Thanks, Carol, morning. and good
certainty no This contract employees in employees. around retain begin on comments industry-leading labor, attract gives pleased Carol's Let providing echoing Teamster labor and of how significant UPS to us it win-win-win operational and are a best us agreement XXX,XXX will a by flexibility to achieving industry. and we continue provides increase measure productivity the the customers, me our help more service than our covering
comments I'll the quarter in cover second macro, Now by our followed results. today, with my areas. X start I'll
year. the a macro worse we the some returns. our to in growth production. And shareholder the Next, line real in on I'll half quarter, cover Internationally, lastly, were little the and cash the conditions due comments second of were provide lower expected conditions I'll industrial both expectations. overall second exports in U.S. with than and In
Moving to financial our results.
is year. expense For combined the basis, our segments a $X.X the deliver of profit, you XX.X% a operating second year. communicated was last us in from X revenue last $XX.X and which All quarter down compared billion, total agility and enabled year-over-year. This target in XX.X% consolidated on to down billion we of quarter, last billion demonstrated quarter to the was decrease by to drove $X.X
last of XXX year, compared to all basis X double-digit was margins. segments same margin decline Consolidated operating with operating the period XX.X%, achieving points a
For same share year. the earnings XX.X% $X.XX, second from down period the quarter, last per was diluted
business revenue offset let's In our Now disciplined approach segments. volume. partially quality look at U.S. domestic, to the in decrease our
the maintaining network match in excellent declined drive an quarter, while demand service levels. industry-leading the and real-time, team did the out job volume throughout As cost adjusting to all
we negotiations quarter, in to as our diversion noise and expected did, volume increased. We but the levels more around volumes labor decline it anticipated than second saw
million sales per the volume by a quarter the volume impact reduced pipeline estimate second with combined in approximately pull-through, X.X our We of day. packages slowdown in diversion,
X.X%, For average was total June volume down quarter, down XX.X%. the with daily
the sectors from daily Moving points ground. second largest Also in the retail the to last air and ground volume and second year, high XX.X% our of increase Total volume year-over-year, year quarter, to quarter, daily to BXB air average all the of basis X.X%. volume ago. XX.X% volume was a out onto In with down X.X%. second volumes XX.X% BXC daily saw we XXX quarter, declines mix. was which across we shift BXB volumes the customers average industry declined see compared down declined volume, daily from lower average an of average and continued tech. was the represented In
improved The volume. in the $XX.X billion, of second customer down Gap] of and point enterprise decline partially by our points. rates X.X%, mix. less average package revenue of points. The combination increased base quarter. piece from the including growth remaining XXX basis volumes rate SMBs, Revenue basis prices factors, in product piece generated quarter, SMB X.X%. by decline the revenue customers. growth terms offsetting revenue basis increased the volume [Audio per in In declined decreased than domestic XXX Changes strong including characteristics and mix, per daily rate U.S. customer per mix multiple to fuel due was piece XXX
costs. reduction year-over-year cost network. expense to history. agility Turning team The out we is did million year-over-year, took of integrated $XXX the largest our our it? technology How domestic in We which and leveraged our do U.S. of the
through you levers we've me some walk pulled. of Let the
of total nonautomated service to power maintain our flow buildings our high flows pull our tools by and XX% smaller into volume of and larger levels labor execute facilities. reduced package of to to out and nearly automated it our optimize hours planning network productivity. leveraged continued We We the plan
trailers on in and While reduced door volume us X.X%, continuing by movements the reduced drivers cube was more feeder nonautomated by UPS total lane. enabled to to reduce our down by brought to X% in year. volume our our utilization ground-ever We This compared manage close XX%. support operations fastest building last to headcount feeder we and
our us more reduced move activity flights. flight volumes, Looking in day next WorldPort, our and volume more at air into via Louisville. we to enabled second day pulled This global AirHub
by and more block XX%. lower we were hours As last exited versus domestic the down a result, with hours second quarter year, X.X% block than
And positions year-over-year. lastly, headcount over we reduced management by X,XXX
All these quarter. actions second helped reduce of U.S. expense us domestic in the
million $XXX X.X% down was average in benefits wage and compensation rates. a increase union despite year-over-year, Specifically,
million Purchase multiple $XX expense. there lower declined was that million the million. factors Fuel and remaining $XXX transportation expense by drove in were reduction $XXX
a out proof cost Our in down volume our results are record took piece second cost And the agility. growth to the of rate per we X.X%, and of amount while nearly quarter, held XX%. was
quarter the our with an first in from basis Domestic points compared in U.S. quarter this delivered second down year. The to billion X.X% of XX.X%, line segment operating the margin was expectations of $X.X and of Operating profit, XXX increase XXXX.
weighed in quarter. Macro consumer. In remained in recovery the inflation experienced International we tight stalled our high And and first Asia, Europe, quarter the sluggish the segment. persistent slow to the in conditions Moving the quarter. on conditions financial second second in
daily total driven volume, the average X/Xrd of came About X.X%, domestic Europe. International average primarily volume was quarter, from X.X% declines in In the down lower down which was by daily decline year-over-year.
side, average year-over-year basis. export volume X.X% daily the declined on a On
driven The Looking primarily $X.X at decline the volume revenue was by and XXX was revenue to down down U.S. which decline daily X.X% the fuel last In surcharge Export basis in piece on first piece. XX.X%. decrease Asia, was revenue export was point volume reductions an a per quarter, year from International in down China improvement to the average volume was was which quarter. per X% from in second lane year-over-year, revenue. a XX% from due billion, the
Additionally, demand-related revenue per volume. decline. a volume offsetting outperformed multiple to stronger export the growth to the piece increased by XXX piece basis XXX And due contributed per base strong reduction a rate as basis points, and revenue in points was surcharge volume domestic decline, rate dollar. in decline mix Partially favorable revenue XX-basis the point including U.S. factors an there
Moving with a to expense. driven costs second included drove block international down which international flight cost. We by lower In network we match quarter, to of leveraged Asia-outbound agility what on capacity includes block last compared X.X% Transcontinental integrated total on reduction, actions controlling and $XXX the to was hours which down control. primarily hour These XX.X% our demand million, could flights. the reduction year, fuel focused
to reduced of than headcount all total more X,XXX also customers. did We functions positions to and continuing operations service a while deliver and in our we of overhead this by excellent
demand-related segment Operating margin with quarter a line $XXX in million profit in in Operating International in the which million, included second down expectations. $XXX the reduction XX.X%, $XXX was million year-over-year, revenue. surcharge our was
Supply Solutions. at Now Chain looking
navigate teams revenue second Our In the executed to $XXX was continued year-over-year. $X.X billion, our environment million a to plans quarter, reduce down and cost. challenging macro
key the at Looking drivers.
Asia, and in costs impacted response, spreads. million softer care to continuing buy-sell quarter, which rate by profit market decline health demand, This lower. Solutions are be Supply the Chain to revenue profit. operating second gains continued In Forwarding operating we in manage of drove cut Logistics operating of operating resulted and global a especially out business. revenue operating delivered and in of growth, volume generated our including margin In profit $XXX and an and XX.X%.
Walking our interest the $XXX $XX million, quarter tax rate was pension statement. We was million had XX.X%. income the rest effective expense, the for our income of other of through second and
off the including issued and off debt. long-term pay second $XXX of in plan in quarter, the used billion the half $X.X maturities in half maturities million use quarter. that first Year-to-date, turn billion shareowner returns. $X.X let's in first in was debt we pension debt We've generated cash flow Now billion to the $X.X made $X.X in first year, to billion, in $X.X quarter, to from and And we this paid billion the of we operations, UPS year. cash $X.X this billion our XXXX, we in of cash and dividend. second free pay contribution annual Also to
price around completed in $X.X also of an billion share. share at buybacks average per We $XXX
comments Now share few our I'll outlook. a about
contract have As margin adjusted mentioned, our revenue updated Carol operating for ratification, the with out consolidated and we guidance.
$XX consolidated of expect consolidated we margin XXXX, and of year full XX.X%. about around billion revenues the operating For
help The unique Domestic some U.S. navigating of is half second couple your half Now in back of you for a update year. models let provide the the segment the the of to factors color me year.
our because First, into accelerate back already the starting we ramp-up win on initiatives the from sales volume and quality. executing of revenue remaining We're anticipated year in of July, for second diversion more volume second pull-through base. the this, quarter a to from experienced and half our lower than diverted our while disciplined we volume pipeline the is
of by expense the And percentage planned. about out last at accrue to for daily We the wage the looking volume terms half average contract year, while be our of we of the than segment. in And we ratification. December is efforts, year-over-year. end volume U.S. second, second U.S. originally to The August the Domestic XXXX, we expect by union with a for X, our year expect average new for year. rate in the labor higher of included agreement of increases agreement daily on for first down be tentative a As to our started are even the level the result overall, mid-single-digit
address additional year half will quarter. Further, in be labor new the we labor of offset These by that adjustments costs wage partially the made compression will back contract. from network second the the in resulted we the
be same we full year-over-year, percentage the the similar Turning Supply second in the revenue down be And saw in flattish piece Chain to half growth single-digit segment. second to the approaching to to year, we expect International per we revenue Solutions, period a quarter In year half what $XX expect revenue by volume to second the billion. to with rate high year-over-year year. last of the compared be and growth
Moving allocation. to capital
Our targets have XXXX full not year changed.
the expanding strategy health in on includes and which We and to will billion, first the the are Logistics-as-a-Service in Smart investing continuing and Marketability U.S., phase still expected both continue $X.X footprint globally, our about invest of expenditures our internationally opportunities. to care logistics growth DAP in efficiency Package completing stay be Capital deployment expand platform.
in approval. our plan to to around dividends billion pay full year, in still back Board planning billion out buy for the are still shares. $X.X $X of And XXXX, around we We to subject
forward. our we are us, business moving behind negotiations With
have that for employees, our volume drive industry-leading reward people, helps our and deliver revenue a and us us enables win to service which we For the platform continues that our to to future to customers quality.
We will investing up means continuing which our network reward efficient integrated in to grow And parts our the manage which the more on most control us can enable market, and shareholders. we staying cycle, of strategy network we and with volume. even we to costs through scale the what control, to continue as attractive this are will make
Thank you, the and operator, open please line.
