UPS lifts 2026 revenue target to $92.6 billion after Q3 beat

United Parcel Service shareholders will see a higher annual revenue projection as the company reported third-quarter results that surpassed Wall Street estimates. UPS now projects full-year consolidated revenue of approximately $92.6 billion, up from its prior expectation of $91.2 billion. The company also forecasts fourth-quarter revenue of $25.7 billion.

For the quarter ended September 30, UPS generated $22.9 billion in revenue, beating the $22.29 billion average analyst estimate. Adjusted earnings per share came in at $1.69, compared with the $1.63 expected by LSEG analysts. Net income totaled $1.16 billion, or $1.37 per share, which was slightly lower than the $1.31 billion, or $1.55 per share, reported in the same period last year.

Growth varied across business units. The domestic segment saw revenue increase by 4.5%, while the international segment grew by 7.1%. The supply chain solutions business led the performance with an 18.2% revenue increase. UPS attributed this surge primarily to growth in forwarding and logistics, specifically within the healthcare sector. This domestic growth occurred despite the company’s earlier expectation that domestic revenue would remain flat due to seasonal declines and reduced volume from Amazon.

CEO Carol Tomé said the company is entering the holiday shipping season from a position of strength. She noted that UPS is operating the most automated and efficient network in its history. The performance supports the ongoing turnaround strategy under Tomé, which focuses on a leaner business model and increased automation to drive growth. Shares of UPS rose slightly in premarket trading on Tuesday following the announcement.