ups also reported that fourth - quarter profit fell from a year ago but forecast and market expectations .
in united parcel service inc. said tuesday that its once highly profitable peak season will continue to be a drag on fourth - quarter and full - year earnings even though it plans to boost some prices to try to offset the added expenses of keeping up with increased holiday loads .
“ these pricing strategies will be designed to ensure we are properly compensated for the value we provide , ” explained ups ceo david abney .
the additional costs soared during the recent disappointing holiday season .
the company averaged more than 30 million deliveries a day during the latest holiday season , executives told analysts in their fourth - quarter earnings call .
that was about six million more a day than in the same period in 2012 and 75 % more than on its average ... ups hates coming to your house , to begin tacking on surcharges for residential delivery last week , in advance of its quarterly earnings report , ups admitted that it over - spent on holiday shipping in 2014 and that it would n’t make that mistake again .
as companies renegotiate their deals with ups chief executive officer david abney said .
according to ups , because you ’re usually only bringing a single package to a home while many businesses receive multiple parcels each day , these home deliveries cost three times what it costs to make deliveries to businesses .
today , with those quarterly earnings announced , the company announced how it ’s going to make back some of its money — by tacking on surcharges are n’t something that you ’ll see immediately applied everywhere , but will be rolled out as ups renegotiates its shipping contracts with its largest customers , reports reuters .