United Parcel Service, Inc.
UPS · NYSE
Next quarter
Reports Oct 27, 2026.
Consensus is $1.63 EPS for Sep 2026 across 10 estimates, ranging $1.58 to $1.73.
UPS Jun 2026
- 6.67%
- -0.92%
- $1.65
- $1.76
- —
- $22.83B
Reported results
- $22.83B
- $930.00M
- 4.07%
- $604.00M
- $0.71
Highlights
- Second-quarter revenue was $22.834 billion, versus $21.221 billion a year earlier; net income was $604 million, versus $1.283 billion.
- U.S. Domestic Package revenue was $14.930 billion, including $10.908 billion from Ground, $2.578 billion from Next Day Air, $1.102 billion from Deferred and $342 million from Cargo and Other.
- International Package revenue was $5.044 billion, comprising $3.962 billion of Export, $869 million of Domestic and $213 million of Cargo and Other.
- Supply Chain Solutions revenue was $2.860 billion, including $1.540 billion from Logistics, $791 million from Forwarding and $529 million from Other.
- Operating profit was $930 million versus $1.822 billion a year earlier, while six-month capital expenditures were $1.724 billion versus $1.999 billion in the prior-year period; no forward guidance was provided in the supplied material.
Analysis
No consensus figures are available, so the quarter cannot be assessed against analyst expectations. Revenue increased to $22.834 billion from $21.221 billion a year earlier and from $21.20 billion in the first quarter, but profitability deteriorated sharply: operating profit fell to $930 million from $1.822 billion and net income declined to $604 million from $1.283 billion. International Package was the strongest reported segment on revenue growth, rising to $5.044 billion from $4.485 billion, while U.S. Domestic Package reached $14.930 billion from $14.083 billion and SCS rose to $2.860 billion from $2.653 billion. Higher operating costs overwhelmed the revenue increase, particularly compensation and benefits at $12.654 billion versus $11.626 billion, purchased transportation at $3.187 billion versus $2.522 billion, and fuel at $1.697 billion versus $1.058 billion. The results therefore show revenue expansion but materially weaker operating leverage than in the prior-year quarter.
Guidance
No guidance for the third quarter, full year, revenue, operating profit, earnings, or capital expenditures was provided in the supplied filing material. Consequently, there are no management ranges to compare with a prior guide and no stated assumptions for volumes, pricing, fuel, labor costs, or other operating conditions. Management did include standard forward-looking risk disclosures covering economic conditions, tariffs, geopolitical uncertainty, competition, labor disruptions, fuel prices, exchange rates and interest rates, but these disclosures are not a numerical outlook. The filing also cautions that interim results should not be regarded as indicative of results for any other period or the full year.
What drove it
- Domestic Package — U.S. Domestic Package revenue was $14.930 billion, up from $14.083 billion a year earlier.
- International Package — International Package revenue was $5.044 billion, compared with $4.485 billion in the prior-year quarter.
- Supply Chain Solutions — SCS revenue was $2.860 billion, versus $2.653 billion a year earlier, with Logistics at $1.540 billion.
- Cost Inflation — Compensation and benefits, purchased transportation and fuel were $12.654 billion, $3.187 billion and $1.697 billion, respectively.
- Capital Spending — Capital expenditures for the six months ended June 30 were $1.724 billion, compared with $1.999 billion in the prior-year period.
Watch items
- Operating profit fell to $930 million from $1.822 billion, while net income declined to $604 million from $1.283 billion.
- Fuel expense increased to $1.697 billion from $1.058 billion, and purchased transportation rose to $3.187 billion from $2.522 billion.
- SCS Forwarding revenue for the first six months was $1.447 billion, below $1.458 billion in the prior-year period.
- Management identified potential headwinds from tariffs, geopolitical uncertainty, labor disruptions, competition, fuel prices and changing exchange rates or interest rates.
