![UPS unveils big dividend hike after strong 2021](https://www.portugalcolonial.pt/media/shared/articles/21/09/f6/UPS-unveils-big-dividend-hike-after-244468.jpg)
-
'Windmill love' sees Dutch artist become mill operator
-
US defends law forcing sale of TikTok app
-
Messi out for defending champ Miami as Leagues Cup begins
-
Australia bans uranium mining at Indigenous site
-
Divers attempt to reach sunken Philippine oil tanker
-
Trump accuses Harris of anti-Semitism in overblown speech
-
Coughlin clings to lead at LPGA Canadian Women's Open
-
Trump offers tech sector policy flips ahead of election
-
Spacecraft to swing by Earth, Moon on path to Jupiter
-
What's the fallout of Mexican drug lords' capture?
-
Video game makers see actors as AI 'data,' says union on strike
-
Chinese qualifier Shang to face Thompson in ATP Atlanta semis
-
'Massive attack' on French rail threatens more chaos
-
'We did it!': France breathes sigh of relief after Olympics ceremony
-
Regional concern grows as Venezuela blocks vote observers
-
Historic river parade, Dion show-stopper ignite Paris Olympics
-
Rainy Paris Olympic parade dampens many spectators' spirits
-
The one of a kind Paris opening ceremony: five memorable moments
-
Justin Timberlake seeks to dismiss DUI case
-
Warner Brothers Discovery sues NBA over Amazon rights deal
-
Kobe Bryant locker, Maradona jersey up for auction in New York
-
Historic river parade launches Paris Olympics
-
New York family of Holocaust victim reclaims Nazi-looted art
-
NASA Mars rover captures rock that could hold fossilized microbes
-
Thousands evacuate season's biggest wildfire in northern California
-
Ethiopia mourns victims of landslide tragedy
-
Lady Gaga adds sparkle to star-studded Olympic show
-
Airbus and Boeing supremacy secure despite turbulence
-
Teams sail down Seine in rain-soaked Olympics opening ceremony
-
West Indies' treble strike rocks England in third Test
-
Olympic opening ceremony under way on River Seine
-
Mott's England future uncertain as ECB chief fails to offer support
-
Trump meets Israeli PM Netanyahu in Florida
-
S.African police say 95 Libyans detained at suspected military camp
-
Blinken set for talks with Chinese counterpart in Laos
-
Norris heads Piastri in McLaren one-two at Belgian GP practice
-
G20 seeks common ground on taxing super-rich
-
European medicines watchdog rejects new Alzheimer's drug
-
Habib, Ebden eye Alcaraz and Djokovic shocks at Olympics tennis
-
Long queues, ticketing problems ahead of Paris opening ceremony
-
Two Sinaloa Cartel leaders face US charges after stunning capture
-
Spain train driver jailed for 2.5 years over deadly 2013 crash
-
Paris poised for Olympic opening ceremony spectacular
-
Judoka fails doping test in first case at Paris Olympics
-
Holder and Da Silva keep England at bay after West Indies collapse
-
Alpine F1 boss Bruno Famin to leave in August
-
Ethiopia declares three days of mourning after landslide tragedy
-
Brazilian dunes dotted with dazzling pools make UNESCO heritage list
-
Rain, cooling slow huge blaze in Canada's Jasper park
-
French Rugby's Jaminet suspended 34 weeks after racist video: Federation
![UPS unveils big dividend hike after strong 2021](https://www.portugalcolonial.pt/media/shared/articles/21/09/f6/UPS-unveils-big-dividend-hike-after-244468.jpg)
UPS unveils big dividend hike after strong 2021
UPS announced Tuesday a hefty increase in its investor dividend, boosting shares as it moved up key profit targets following a strong 2021.
The package delivery company, which has been focused on building up higher-return areas such as health care and small- package shipping, will pay a quarterly dividend a $1.52 per share, a 49 percent hike from the prior level.
The increase "is a reflection in confidence in the business going forward," said Chief Financial Officer Brian Newman. "It's also a commitment to return value to shareholders."
The announcement concludes a banner year for the 115-year-old company, which reported profits of $12.9 billion last year, more than nine times the level in 2020.
Revenues jumped 15 percent to $97.3 billion.
The company expects to grow annual revenues to $102 billion in 2022, a year ahead of the prior target. The company also moved up a key operating profit margin.
UPS said the dividend hike is the largest quarterly increase in its history. It expects $5.2 billion in dividend payments in 2022, plus at least $1 billion in share repurchases.
A question beyond the 2022 timeframe will be contract negotiations the following year with the Teamsters union, which represent the majority of UPS' 458,000 US employees.
Newman, in an interview with AFP, said he is focused a "win win" in the 2023 labor talks, but it "would be unrealistic" to focus on them since they are a year and a half away.
"For the moment, we've got costs managed in 2022," he said. "The company is focused on increasing profitability, generating cash and returning it to shareholders."
Newman said the results mark a sign of progress under Chief Executive Carol Tome, who had deemphasized lower-return businesses under a "better not bigger" mantra.
While UPS has also grown volumes under Tome, Newman praised decisions such as a January 2021 move to sell freight assets to TFI International for $800 million.
But UPS officials emphasized that business with Amazon, its biggest customer, remains critical.
In 2021, Amazon's share of total revenues (11.7 percent) returned to its pre-Covid range after spiking in 2020, Tome said on a conference call with analysts.
"We have a great relationship with Amazon and we have mutually agreed about the volume we should take and the volume that they should keep that works best for both companies," Tome said on a conference call with analysts.
Shares of UPS were up 13.9 percent at $230.35 in afternoon trading.
A.Silveira--PC