tiprankstipranks
United Parcel (MX:UPS)
:UPS
Mexico Market
EarningsQ2 2026 Earnings Report

United Parcel (UPS) Q2 2026 Earnings Report

0 Followers

MX:UPS Q2 2026 EPS Results

Actual EPS$29.80
Consensus EPS$28.18
Beat/MissBeat by +$1.63
One Year Ago EPS$26.25

MX:UPS Q2 2026 Revenue Results

Actual Revenue$386.91B
Expected Revenue$370.12B
Beat/MissBeat by +$16.80B
YoY Revenue Growth+7.70%

Earnings Announcement Details

QuarterQ2 2026
Date07/28/2026
TimeBefore Open
Conference CallTuesday, July 28, 2026
MX:UPS Upcoming Earnings
United Parcel's next earnings date is estimated for October 27, 2026, based on past reporting schedules.

Q2 2026 Earnings Call Audio

MX:UPS Q2 2026 Earnings Call
0:00 / 0:00

Q2 2026 Earnings Slide Deck

Q2 2026 Earnings Call Summary

Q2 2026
Earnings Call Date:Jul 28, 2026|
% Change Since:
|
Earnings Call Sentiment|Positive
The call highlighted strong operational execution: completion of the Amazon glide down, meaningful network automation and productivity gains, solid revenue and operating profit growth, raised full-year guidance, and momentum in higher-margin businesses (SMB, DAP, health care, Supply Chain Solutions). Headwinds included one-time transformation charges, fuel volatility (with a larger impact on International margins), and year-over-year volume declines driven largely by the planned Amazon reduction and trade/tariff noise. Overall, the positive items (execution, margin expansion, guidance raise, automation, and new revenue momentum) materially outweigh the transitory challenges and one-time costs.
Company Guidance
UPS raised full‑year 2026 guidance to consolidated revenue of about $91.2 billion, consolidated operating profit of about $8.65 billion and diluted EPS of about $7.22; segment guidance included U.S. Domestic revenue of roughly $60 billion (up ~1% YoY) with a full‑year operating margin of ~7.5% (Q3 ADVs expected to decline mid‑single digits, Q3 revenue ~flat YoY, Q3 margin ~7%, and U.S. domestic margin of ~8.8% in the back half), International revenue up mid‑single digits with full‑year operating margin in the mid‑teens (Q3 margin 13–14%), and Supply Chain Solutions revenue growth in the high single digits with a 10–11% operating margin (Q3 revenue growth low double digits, margin 10–11%); corporate cash guidance included ~ $3.0 billion of capital expenditures, a $1.3 billion pension contribution, expected free cash flow of ~ $5.5 billion (includes Driver Choice payments), and planned dividends of about $5.4 billion, and the company said it still expects to realize roughly $3 billion of benefits from the Amazon glide‑down/network reconfiguration in 2026 (with U.S. Q3→Q4 volume seasonality of ~ +24%).
Execution of Amazon glide down and network reconfiguration
Successfully completed Amazon glide down as planned, eliminating ~2 million pieces/day of lower-quality Amazon volume, reconfiguring and automating the U.S. network, removing approximately $4.5 billion of related expense to date and expecting roughly $3.0 billion in related benefits in 2026.
Revenue and operating profit growth
Consolidated revenue of $22.8 billion, up 7.6% year-over-year; consolidated operating profit of $2.1 billion, up 12% year-over-year; consolidated operating margin 9.2%, up 40 basis points year-over-year and up 300 basis points sequentially from Q1.
Raised full-year 2026 guidance
Increased full-year outlook to ~ $91.2 billion consolidated revenue, ~ $8.65 billion consolidated operating profit and diluted EPS of ~ $7.22.
U.S. Domestic margin and profitability improvement
U.S. Domestic revenue of $14.9 billion, up 6% year-over-year; revenue per piece increased 9.3% YoY; U.S. Domestic operating profit $1.2 billion, up 21% YoY; operating margin 8.0%, up 100 basis points YoY and up 400 basis points sequentially.
Network automation and productivity gains
Automation now handles ~68.5% of U.S. volume (vs 64% a year ago); cost per piece in automated buildings ~28% lower than non-automated buildings; revenue-per-piece grew 130 basis points faster than cost-per-piece in the reconfigured U.S. network.
SMB and DAP momentum
SMB average daily volume grew 4.3% YoY and SMBs comprised 34.5% of U.S. volume (up 250 basis points YoY). Digital Access Program (DAP) generated $1.4 billion in global revenue in the quarter (third consecutive quarter > $1.0 billion); B2B DAP ADV up 34% YoY.
International top-line strength
International revenue of $5.0 billion, up 12.5% YoY; revenue per piece up 18.9% YoY driven by revenue quality improvements; Asia trade lanes showing recovery (China→U.S. returned to YoY growth beginning in May).
Supply Chain Solutions improvement
Supply Chain Solutions revenue $2.9 billion, up $207 million YoY; operating profit $291 million, up $79 million YoY; operating margin 10.2%, up 220 basis points YoY. UPS Digital (incl. Roadie and Happy Returns) revenue grew >30% YoY.
Strong cash generation and capital plan
Year-to-date cash from operations $3.1 billion and free cash flow $1.6 billion (includes one-time Driver Choice payments); ended quarter with $4.7 billion cash. Full-year expectations: capex ~ $3.0 billion, pension contribution ~$1.3 billion, free cash flow ~$5.5 billion and planned dividends ~ $5.4 billion.
Health care logistics leadership
Generated over $3.0 billion in health care revenue for the second consecutive quarter; added 27 temperature-controlled cross-dock facilities and emphasized end-to-end owned assets and RFID-enabled visibility as differentiators.

MX:UPS Earnings History

Report Date
Fiscal Quarter
Forecast / EPS
Last Year's EPS
EPS YoY Change
Press Release
Oct 27, 2026
2026 (Q3)
27.84 / -
29.463
2026 (Q2)
28.18 / 29.80
26.24613.55% (+3.56)
2026 (Q1)
17.20 / 18.12
25.23-28.19% (-7.11)
2025 (Q4)
37.27 / 40.30
46.565-13.45% (-6.27)
2025 (Q3)
21.86 / 29.46
29.802-1.14% (-0.34)
2025 (Q2)
26.47 / 26.25
30.31-13.41% (-4.06)
2025 (Q1)
23.37 / 25.23
24.2144.20% (+1.02)
2024 (Q4)
42.86 / 46.57
41.82411.34% (+4.74)
2024 (Q3)
27.75 / 29.80
26.58412.10% (+3.22)
2024 (Q2)
33.71 / 30.31
43.009-29.53% (-12.70)
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed