Business
UPS raises full-year revenue outlook to $92.6 billion after strong Q3
UPS beat third‑quarter expectations and lifted its full‑year revenue forecast to about $92.6 billion as holiday season demand approaches.
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According to CNBC, United Parcel Service posted third‑quarter results that topped Wall Street forecasts and raised its full‑year consolidated revenue projection to roughly $92.6 billion, up from the prior $91.2 billion estimate.
For the quarter ending Sept. 30, UPS generated $22.9 billion in revenue, a 6.7% year‑over‑year increase, and net income of $1.16 billion, or $1.37 per share. Adjusted earnings were $1.69 per share.
Revenue growth came from all three operating segments: domestic sales rose 4.5%, international sales climbed 7.1%, and the supply‑chain solutions business surged 18.2%, driven largely by forwarding, logistics and healthcare activities. Healthcare revenue exceeded $3 billion for the third consecutive quarter.
CEO Carol Tomé told analysts the company is “driving more premium growth, improving revenue quality and mix, and creating greater operating leverage through a more efficient network.” She added, “All of this is strengthening the underlying performance of our business,” and noted that nearly 70% of packages this holiday season will be processed through automation.
UPS now expects fourth‑quarter revenue of $25.7 billion and foresees average daily volume growth comparable with last year, although domestic volume is projected to decline because of reduced shipments from Amazon.
The updated guidance arrives as UPS gears up for the peak holiday period, a traditionally high‑volume stretch for parcel carriers.
Why it matters: The higher revenue outlook signals UPS anticipates stronger earnings ahead of the holiday season, a critical demand driver for the logistics industry.
Source: UPS beats quarterly expectations, raises full-year guidance again — CNBC