United Parcel Service Inc (NYSE:UPS) shares are set to drop on Tuesday after fourth-quarter revenue and guidance for the new year were delivered below analyst estimates. The courier posted results showing revenues of $24.9 billion for the final quarter of 2023, down 7.8% year-on-year, with operating profit falling 22.5% to $2.5 billion. Earnings per share came in at $1.87 for the quarter, or $2.47 on an adjusted basis, a 32% decrease on the same period a year earlier. Chief executive officer Carol Tomé said: "2023 was a unique and difficult year and through it all we remained focused on controlling what we could control, stayed on strategy and strengthened our foundation for future growth." UPS said for the full year ahead, it expects revenue of $92-94.5 billion and an adjusted operating margin of roughly 10-10.6%. This suggests earnings for 2024 will be short of Wall Street expectations, due to higher labor costs and lower package demand.