Detailed financial statements for United Parcel Service, Inc. (UPS): income statement, balance sheet and cash-flow summary. Track margins, debt, liquidity and profitability trends year over year: ten fiscal years free and up to 20 with Premium.
United Parcel Service, Inc., a package delivery and logistics provider, offers transportation and delivery services. It operates through two segments, U.S. Domestic Package and International Package. The U.S. Domestic Package segment offers time-definite delivery services for express letters, documents, packages and palletized freight through air and ground services.
Analysis Summary
United Parcel Service, Inc. reported revenue of $88.66B in the most recent fiscal year, growing at a 5-year CAGR of 1.0%. Net income reached $5.57B, with a 32.9% 5-year CAGR.
Trailing-twelve-month margins: gross margin 16.6%, operating margin 7.3%, net margin 5.1%. Free cash flow grew at -1.1% CAGR over 5 years.
At the current price of $93.14, UPS trades at a P/E of 17.26 and an ROE of 29.07%. Market capitalisation stands at $79.1B, placing it among large-cap names.
Balance sheet quality for UPS: current ratio of 1.2, net debt of $26.40B. A debt-to-equity below 1.0 typically signals conservative capital structure, while a current ratio above 1.5 indicates comfortable short-term liquidity.
Cash flow quality is decent: free cash flow of $4.76B represents 86% conversion of reported net income. High conversion (above 90%) suggests earnings translate cleanly into cash; lower conversion may indicate working capital tightness or accounting timing differences.
Income Statement (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $60.50B | $66.55B | $71.91B | $73.92B | $84.43B | $97.20B | $100.03B | $90.75B | $90.89B | $88.66B |
| Cost of Revenue | $48.16B | $53.20B | $57.74B | $57.82B | $62.65B | $79.77B | $79.95B | $73.04B | $73.84B | $72.63B |
| Gross Profit | $12.34B | $13.35B | $14.17B | $16.09B | $21.78B | $17.43B | $20.08B | $17.71B | $17.06B | $16.03B |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Selling, General & Admin | $7.27B | $5.86B | $7.09B | $8.22B | $13.95B | $4.33B | $7.11B | $8.34B | $8.68B | 0 |
| Operating Expenses | $7.27B | $5.86B | $7.09B | $8.22B | $13.95B | $4.33B | $7.11B | $8.34B | $8.37B | $8.16B |
| Operating Income | $5.07B | $7.49B | $7.07B | $7.88B | $7.84B | $13.11B | $12.97B | $9.37B | $8.69B | $7.87B |
| EBITDA | $7.71B | $9.84B | $8.80B | $8.64B | $5.23B | $20.23B | $18.71B | $12.71B | $11.91B | $11.93B |
| Interest Expense | $347.0M | $417.0M | $572.0M | $629.0M | $684.0M | $683.0M | $694.0M | $775.0M | $861.0M | $1.01B |
| Pre-tax Income | $5.14B | $7.14B | $6.02B | $5.65B | $1.84B | $16.59B | $14.82B | $8.57B | $7.44B | $7.16B |
| Income Tax | $1.71B | $2.23B | $1.23B | $1.21B | $501.0M | $3.71B | $3.28B | $1.86B | $1.66B | $1.59B |
| Net Income | $3.43B | $4.91B | $4.79B | $4.44B | $1.34B | $12.89B | $11.55B | $6.71B | $5.78B | $5.57B |
| EPS | $3.89 | $5.63 | $5.53 | $5.14 | $1.55 | $14.75 | $13.26 | $7.81 | $6.76 | $6.56 |
| EPS (Diluted) | $3.87 | $5.61 | $5.51 | $5.11 | $1.54 | $14.68 | $13.20 | $7.80 | $6.76 | $6.56 |
| Shares Outstanding (Diluted) | $887.0M | $875.0M | $870.0M | $869.0M | $871.0M | $878.0M | $871.0M | $860.0M | $856.0M | $850.0M |
Income Statement (Quarterly)
| Year | 2025-Q3 | 2025-Q4 | 2026-Q1 | 2026-Q2 |
|---|---|---|---|---|
| Revenue | $21.41B | $24.48B | $21.20B | $22.83B |
| Gross Profit | $3.49B | $5.08B | $3.36B | $3.03B |
| Operating Income | $1.80B | $2.58B | $1.27B | $930.0M |
| EBITDA | $2.82B | $3.61B | $2.38B | $1.79B |
| Net Income | $1.31B | $1.79B | $864.0M | $604.0M |
| EPS | $1.55 | $2.11 | $1.02 | $0.71 |
| EPS (Diluted) | $1.55 | $2.10 | $1.02 | $0.71 |
Balance Sheet (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Cash & Equivalents | $3.48B | $3.32B | $4.22B | $5.24B | $5.91B | $10.26B | $5.60B | $3.17B | $6.11B | $5.89B |
| Short-term Investments | $1.09B | $749.0M | $810.0M | $503.0M | $406.0M | $338.0M | $1.99B | $2.87B | $206.0M | 0 |
| Receivables | $8.33B | $10.35B | $9.90B | $9.55B | $10.75B | $12.54B | $12.58B | $11.22B | $10.87B | $11.21B |
| Inventory | $342.0M | $404.0M | $421.0M | $511.0M | $620.0M | $717.0M | $889.0M | $935.0M | $826.0M | 0 |
| Total Current Assets | $13.85B | $15.72B | $16.21B | $17.10B | $20.22B | $24.93B | $22.22B | $19.41B | $19.31B | $19.05B |
| Property, Plant & Equipment | $18.80B | $22.12B | $26.58B | $33.34B | $35.33B | $37.04B | $38.47B | $41.25B | $41.33B | $41.99B |
| Goodwill | $3.76B | $3.87B | $3.81B | $3.81B | $3.37B | $3.69B | $4.22B | $4.87B | $4.30B | $5.84B |
| Intangible Assets | $1.76B | $1.96B | $2.08B | $2.17B | $2.27B | $2.49B | $2.80B | $3.31B | $3.06B | $4.02B |
| Total Assets | $40.38B | $45.57B | $50.02B | $57.86B | $62.41B | $69.41B | $71.12B | $70.86B | $70.07B | $73.09B |
| Accounts Payable | $3.04B | $3.93B | $5.19B | $5.55B | $6.46B | $7.52B | $7.51B | $6.34B | $6.30B | $6.63B |
| Short-term Debt | $3.68B | $4.01B | $2.81B | $3.42B | $2.62B | $2.13B | $2.34B | $3.35B | $1.84B | $1.37B |
| Total Current Liabilities | $11.86B | $12.71B | $14.09B | $15.41B | $17.02B | $17.57B | $18.14B | $17.68B | $16.44B | $15.62B |
| Long-term Debt | $12.39B | $20.28B | $19.93B | $21.82B | $22.03B | $19.78B | $17.32B | $18.92B | $19.45B | $27.22B |
| Total Liabilities | $39.95B | $44.55B | $46.98B | $54.57B | $61.74B | $55.14B | $51.32B | $53.54B | $53.33B | $56.84B |
| Retained Earnings | $4.88B | $5.86B | $8.01B | $9.11B | $6.90B | $16.18B | $21.33B | $21.05B | $20.88B | $20.15B |
| Total Equity | $405.0M | $994.0M | $3.02B | $3.27B | $657.0M | $14.25B | $19.79B | $17.31B | $16.72B | $16.23B |
| Total Debt | $16.52B | $24.79B | $22.74B | $28.17B | $27.75B | $25.53B | $23.52B | $26.73B | $25.65B | $32.29B |
| Net Debt | $11.96B | $20.72B | $17.70B | $22.43B | $21.44B | $14.94B | $15.93B | $20.69B | $19.33B | $26.40B |
| Working Capital | $1.99B | $3.01B | $2.12B | $1.69B | $3.20B | $7.37B | $4.08B | $1.74B | $2.87B | $3.42B |
Balance Sheet (Quarterly)
| Year | 2025-Q3 | 2025-Q4 | 2026-Q1 | 2026-Q2 |
|---|---|---|---|---|
| Cash & Equivalents | $6.76B | $5.89B | $5.80B | $4.65B |
| Total Assets | $71.39B | $73.09B | $71.81B | $71.27B |
| Total Liabilities | $55.54B | $56.84B | $56.02B | $56.17B |
| Total Equity | $15.82B | $16.23B | $15.76B | $15.07B |
| Total Debt | $29.21B | $32.29B | $28.66B | $28.67B |
Cash Flow (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Income | $3.43B | $4.91B | $4.79B | $4.44B | $1.43B | $12.89B | $11.55B | $6.71B | $5.78B | $5.57B |
| Depreciation & Amortization | $2.22B | $2.28B | $2.21B | $2.36B | $2.70B | $2.95B | $3.19B | $3.37B | $3.61B | $3.75B |
| Stock-based Compensation | $591.0M | $584.0M | $634.0M | $915.0M | $796.0M | $878.0M | $1.57B | $220.0M | $24.0M | $73.0M |
| Change in Working Capital | -$709.0M | -$1.46B | $2.04B | $136.0M | $1.08B | -$664.0M | -$420.0M | -$372.0M | $256.0M | -$930.0M |
| Operating Cash Flow | $6.47B | $1.48B | $12.71B | $8.64B | $10.46B | $15.01B | $14.10B | $10.24B | $10.12B | $8.45B |
| Capital Expenditure | -$2.96B | -$5.23B | -$6.28B | -$6.38B | -$5.41B | -$4.19B | -$4.77B | -$5.16B | -$3.91B | -$3.69B |
| Acquisitions | -$547.0M | -$134.0M | -$2.0M | -$6.0M | -$20.0M | -$602.0M | -$743.0M | -$1.14B | $1.04B | -$1.97B |
| Stock Repurchased | -$2.68B | -$1.81B | -$1.01B | -$1.00B | -$224.0M | -$500.0M | -$3.50B | -$2.25B | -$500.0M | -$1.00B |
| Dividends Paid | -$2.64B | -$2.77B | -$3.01B | -$3.19B | -$3.37B | -$3.44B | -$5.11B | -$5.37B | -$5.40B | -$5.40B |
| Free Cash Flow | $3.51B | -$3.75B | $6.43B | $2.26B | $5.05B | $10.81B | $9.34B | $5.08B | $6.21B | $4.76B |
Cash Flow (Quarterly)
| Year | 2025-Q3 | 2025-Q4 | 2026-Q1 | 2026-Q2 |
|---|---|---|---|---|
| Operating Cash Flow | $2.48B | $3.30B | $2.22B | $887.0M |
| Capital Expenditure | -$970.0M | -$716.0M | -$1.03B | -$693.0M |
| Free Cash Flow | $1.51B | $2.59B | $1.19B | $194.0M |
| Dividends Paid | -$1.35B | -$1.35B | -$1.35B | -$1.36B |
| Stock-based Compensation | $20.0M | $32.0M | $24.0M | $34.0M |
Growth & Margins (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue Growth (YoY) | +10.0% | +8.1% | +2.8% | +14.2% | +15.1% | +2.9% | -9.3% | +0.2% | -2.5% | |
| Net Income Growth (YoY) | +43.0% | -2.3% | -7.3% | -69.8% | +859.8% | -10.4% | -41.9% | -13.8% | -3.6% | |
| EPS Growth (YoY) | +44.7% | -1.8% | -7.1% | -69.8% | +851.6% | -10.1% | -41.1% | -13.4% | -3.0% | |
| Shares Change (YoY) | -1.4% | -0.6% | -0.1% | +0.2% | +0.8% | -0.8% | -1.3% | -0.5% | -0.7% | |
| FCF Growth (YoY) | -206.8% | +271.5% | -64.9% | +123.4% | +114.2% | -13.7% | -45.6% | +22.3% | -23.3% | |
| Gross Margin | 20.4% | 20.1% | 19.7% | 21.8% | 25.8% | 17.9% | 20.1% | 19.5% | 18.8% | 18.1% |
| Operating Margin | 8.4% | 11.3% | 9.8% | 10.7% | 9.3% | 13.5% | 13.0% | 10.3% | 9.6% | 8.9% |
| EBITDA Margin | 12.7% | 14.8% | 12.2% | 11.7% | 6.2% | 20.8% | 18.7% | 14.0% | 13.1% | 13.5% |
| Net Margin | 5.7% | 7.4% | 6.7% | 6.0% | 1.6% | 13.3% | 11.5% | 7.4% | 6.4% | 6.3% |
| FCF Margin | 5.8% | -5.6% | 8.9% | 3.1% | 6.0% | 11.1% | 9.3% | 5.6% | 6.8% | 5.4% |
| Effective Tax Rate | 33.2% | 31.3% | 20.4% | 21.4% | 27.2% | 22.3% | 22.1% | 21.8% | 22.3% | 22.2% |
Per-Share Data (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| FCF Per Share | $3.95 | $-4.28 | $7.39 | $2.60 | $5.79 | $12.32 | $10.72 | $5.91 | $7.26 | $5.61 |
| Dividends Per Share | $2.98 | $3.17 | $3.46 | $3.68 | $3.87 | $3.91 | $5.87 | $6.25 | $6.31 | $6.35 |
| Shares Outstanding (Basic) | $883.0M | $871.0M | $866.0M | $864.0M | $867.0M | $874.0M | $871.0M | $859.0M | $855.0M | $849.0M |
What to look at in Industrials
Aerospace, defence, machinery, transport. Semi-cyclical. Key: backlog, operating margins, and FCF conversion.
- 5y revenue growth — Without growth, there is no long-term value creation
- Operating margin — The best indicator of operational discipline in industrials
- ROIC — Quality industrials have ROIC >15% — the rest destroy capital
- FCF conversion — FCF / Net Income — in industrials good >85%
- Net debt / EBITDA — Cyclical industrials with high debt suffer hard in recessions
- Capex / Revenue — Maintaining the machinery. <4% = possible underinvestment (future decline)
- Altman Z-Score — Bankruptcy model (NYU 1968) — combines liquidity, leverage and profitability. Key in cyclicals
Profitability
| Return on Equity | 29.07% |
| Return on Invested Capital | 8.87% |
| Return on Assets | 6.41% |
| Gross Margin | 16.63% |
| Operating Margin | 7.31% |
| Net Margin | 5.08% |
Financial Health
| Debt / Equity | 1.90 |
| Current Ratio | 1.18 |
| Piotroski F-Score | 5 |
| Altman Z-Score | 2.90 |
Key Ratios (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| P/E | 29.47 | 21.16 | 17.64 | 22.77 | 108.65 | 14.53 | 13.11 | 20.13 | 18.65 | 15.12 |
| P/B | 249.94 | 104.41 | 27.96 | 30.96 | 222.23 | 13.14 | 7.65 | 7.80 | 6.45 | 5.19 |
| P/S | 1.67 | 1.56 | 1.17 | 1.37 | 1.73 | 1.93 | 1.51 | 1.49 | 1.19 | 0.95 |
| Gross Margin | 20.4% | 20.1% | 19.7% | 21.8% | 25.8% | 17.9% | 20.1% | 19.5% | 18.8% | 18.1% |
| Operating Margin | 8.4% | 11.3% | 9.8% | 10.7% | 9.3% | 13.5% | 13.0% | 10.3% | 9.6% | 8.9% |
| Net Margin | 5.7% | 7.4% | 6.7% | 6.0% | 1.6% | 13.3% | 11.5% | 7.4% | 6.4% | 6.3% |
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Explore sector: Industrials · Integrated Freight & Logistics
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