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UPS to Benefit From Export Services Expansion From Kyushu: Here's How

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United Parcel Service, Inc. (UPS - Free Report) recently announced that it is gearing up to improvise its export services from Kyushu. To this end, UPS has begun providing faster export services from additional cities in Kyushu, enabling businesses in the region to grow through UPS’ global logistics network.

Effective March 31, export shipments from almost 800 postal codes in the cities of Iizuka, Koga, Yukuhashi, Miyawaka, Kanda Town, and Kurate Town in Fukuoka prefecture, and Oita and Nakatsu City in Oita prefecture shall now reach their respective destinations globally one business day faster. This service includes a same-day uplift to UPS's daily weekday flights from Kitakyushu Airport.

Pickup cutoff times have been increased by up to 2.5 hours in more than 700 postal areas in Kitakyushu City.

We would like to remind investors that UPS launched daily weekday flights from Kitakyushu Airport in 2023. In December 2024, the company also announced export services utilizing JR Kyushu's bullet train, a step that linked the Shinkansen network with an international air cargo network for the first time.

Makoto Kato, president of UPS Japan, stated, "As the only international express delivery provider with regular flights from Kyushu, we are delighted to provide yet another enhancement to our services to help the region's businesses reach more customers located across the world. A diverse customer base is a key element of a resilient supply chain, and reaching those customers quickly can make all the difference for businesses looking for a competitive edge. With growth expected in industries such as high tech, automotive and cross-border e-commerce in the region, we'll continue to provide the products and services our customers need to make the most of every opportunity."

UPS’ Zacks Rank

Currently, UPS carries a Zacks Rank #4 (Sell).

Stocks to Consider

Investors interested in the Zacks Transportation sector may also consider SkyWest (SKYW - Free Report) and Frontier Group (ULCC - Free Report) .

SkyWest

SkyWest currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

SKYW has an expected earnings growth rate of 16% for the current year. The company has an impressive earnings surprise history. Its earnings outpaced the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average beat of 16.7%. Shares of SKYW have risen 9.1% over the past six months.

Frontier Group

Frontier Group flaunts a Zacks Rank of 1 at present.

ULCC has an expected earnings growth rate of more than 300% for the current year.

The company has an encouraging track record with respect to earnings surprise, having surpassed the Zacks Consensus Estimate in three of the trailing four quarters and missed once. The average surprise is 1.1%. Shares of ULCC have surged 43% in the past six months.


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