UPS q2 earnings top estimates as delivery giant raises 2026 outlook
UPS beat second-quarter earnings estimates and lifted its 2026 forecast, pointing to revenue of $91.2 billion and adjusted EPS near $7.22.
By Sal Moretti · Money Reporter
2 min read
UPS q2 earnings landed above Wall Street’s targets Tuesday, and the delivery company raised its full-year forecast as it pushes through a turnaround plan built around automation and faster-growing markets.
The company reported second-quarter revenue of $22.8 billion, ahead of the $21.81 billion expected by analysts surveyed by LSEG. Adjusted earnings were $1.76 per share, topping the $1.66 per share that analysts had expected, according to LSEG.
UPS shares moved slightly higher in premarket trading after the results.
What did UPS report for the second quarter?
For the quarter that ended June 30, UPS said net income was $604 million, or 71 cents a share. A year earlier, the company earned $1.28 billion, or $1.51 a share.
After stripping out one-time items, UPS reported adjusted profit of $1.5 billion, equal to $1.76 a share. That adjusted figure is the one investors often use to compare results with analyst estimates, because it removes items that management identifies as not part of regular operations.
The headline for investors was the beat against forecasts. UPS cleared expectations on both revenue and adjusted profit per share, according to LSEG’s analyst survey.
What is UPS forecasting for 2026?
UPS lifted its full-year 2026 guidance. The company now expects consolidated revenue of $91.2 billion and adjusted diluted earnings per share of about $7.22.
Chief Executive Carol Tomé said in the company’s release that the second quarter brought an expected shift in performance, with growth in consolidated revenue and non-GAAP adjusted operating profit. She said UPS entered the second half with momentum and was raising its guidance for consolidated revenue, non-GAAP adjusted operating profit and non-GAAP adjusted diluted EPS.
Guidance is a company’s own forecast for future results. Investors watch it closely because it shows what management expects after seeing current demand, costs and operating trends.
How does the turnaround plan fit in?
UPS is working through a turnaround strategy that the company says is meant to support long-term, sustainable growth. The effort includes increasing automation across its network and looking for growth in areas such as healthcare logistics.
Healthcare logistics has become one of the markets UPS is targeting as part of that broader plan. The company has also pointed to automation as a way to improve how its delivery network operates.
The second-quarter report gave UPS a cleaner story to tell investors: earnings beat forecasts, revenue came in above expectations, and management raised its outlook for the year. The comparison with last year’s net income was weaker, but the adjusted result and the higher forecast were enough to put the focus on the company’s second-half plans.
This story draws on original reporting from CNBC.