United Parcel Service announced its first-quarter earnings on Tuesday, exceeding expectations on both revenue and profits.
Shares of the logistics company fell approximately 3% during premarket trading.
The following details showcase the company’s performance in the first quarter, compared to Wall Street’s forecasts, according to analyst surveys by LSEG:
- Earnings per share: $1.07 adjusted vs. $1.02 projected
- Revenue: $21.2 billion vs. $20.99 billion projected
For the quarter ending March 31, UPS recorded a net income of $864 million, translating to $1.02 per share, down from $1.19 billion or $1.40 per share the previous year. After adjusting for extraordinary items, the firm reported a profit of $906 million, or $1.07 per share.
“The first quarter of 2026 represented a pivotal shift for UPS where we needed to flawlessly implement several key strategic initiatives, and we did,” stated CEO Carol Tomé. “Now that we have that behind us, we anticipate a return to revenue growth and profit improvements, alongside expanded operating margins in the second quarter of this year.”
For its guidance for the full year 2026, the firm reaffirmed its overall revenue projection at $89.7 billion and non-GAAP adjusted operating margin of 9.6%.
Within its domestic sector, UPS indicated a revenue drop of 2.3%, mainly attributed to a predicted decline in volume.
UPS is undergoing a transformation plan and boosting automation within its operations. In the first quarter, the company reported achieving $600 million in savings through its network efficiency plan, with the goal of reaching $3 billion in annual savings by 2026.
Company leaders will conduct a conference call at 8:30 a.m. ET.
