UPS reports $21.2 billion revenue in Q1 2026, reaffirms outlook

United Parcel Service reported consolidated revenue of $21.2 billion for the first quarter of 2026, with operating profit of $1.27 billion and diluted earnings per share of $1.02. On an adjusted basis, operating profit was $1.32 billion and diluted earnings per share stood at $1.07.

The company recorded a consolidated operating margin of 6%, while adjusted operating margin was 6.2%. UPS stated that its GAAP results for the quarter included after-tax transformation and other charges of $42 million, or $0.05 per diluted share.

Within its US Domestic Segment, revenue totalled $14.3 billion. Average daily volume declined by 3.5%, while revenue per piece increased by 2.5%. Operating profit for the segment was $879 million, with an operating margin of 6.1%.

In the International Segment, revenue stood at $4.4 billion. Average daily volume rose by 2.7%, and revenue per piece increased by 1.5%. Operating profit reached $641 million, with an operating margin of 14.5%.

For the Supply Chain Solutions segment, revenue was reported at $2.5 billion. The segment posted an operating profit of $121 million, with an operating margin of 4.8%.

UPS highlighted that cash from operations for the quarter was $2.6 billion, while free cash flow amounted to $1.7 billion. The company returned $1.4 billion to shareholders through dividends and share repurchases.

The company reaffirmed its full-year 2026 guidance and said it remains focused on executing its strategy to improve profitability and efficiency across its network.