Overview

* UPS Q3 revenue of $21.4 bln beats analyst expectations

* Adjusted EPS for Q3 at $1.74, surpassing analyst estimates

* Company completed a sale-leaseback transaction, boosting EPS by $0.30

Outlook

* UPS expects Q4 2025 revenue of approximately $24 bln

* Company anticipates Q4 non-GAAP adjusted operating margin of 11.0% - 11.5%

* UPS confirms $3.5 bln in capital expenditures for full year 2025

Result Drivers

* U.S. DOMESTIC DECLINE - Revenue fell 2.6% due to expected volume decline, partially offset by higher revenue per piece and air cargo revenue

* INTERNATIONAL GROWTH - Revenue increased 5.9% driven by a 4.8% rise in average daily volume

* SUPPLY CHAIN DECLINE - Revenue dropped 22.1% due to impact from 2024 divestiture of Coyote

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Beat $21.40 $20.83

Revenue bln bln (21

Analysts

)

Q3 Beat $1.74 $1.29

Adjusted (25

EPS Analysts

)

Q3 EPS $1.55

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 13 "strong buy" or "buy", 15 "hold" and 3 "sell" or "strong sell"

* The average consensus recommendation for the courier, postal, air freight & land-based logistics peer group is "buy"

* Wall Street's median 12-month price target for United Parcel Service Inc ( UPS ) is $100.00, about 10.8% above its October 27 closing price of $89.22

* The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 14 three months ago

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)