UPS Q2 earnings top estimates as 2026 guidance rises

UPS Q2 earnings came in ahead of Wall Street expectations, and the package delivery company raised its full-year 2026 guidance. For everyday investors, the report matters because UPS is trying to prove that its turnaround plan can translate into better revenue and profit trends.

United Parcel Service reported second-quarter revenue of $22.8 billion, above the $21.81 billion analysts expected, according to LSEG data cited by CNBC. Adjusted earnings per share were $1.76, topping the $1.66 analysts had forecast.

UPS shares moved slightly higher in premarket trading after the results, CNBC reported.

What were UPS Q2 earnings?

For the quarter that ended June 30, UPS posted net income of $604 million, equal to 71 cents per share. That was down from $1.28 billion, or $1.51 per share, in the same quarter a year earlier.

Adjusted profit was stronger than the headline net income figure. UPS reported adjusted earnings of $1.5 billion, or $1.76 per share, after excluding one-time items. Adjusted earnings are a company’s way of showing profit without costs or gains it considers unusual, though investors still compare them with standard net income to understand the full picture.

• Adjusted earnings per share: $1.76 versus $1.66 expected, according to LSEG
• Revenue: $22.8 billion versus $21.81 billion expected, according to LSEG
• Net income: $604 million, down from $1.28 billion a year earlier
• Adjusted profit: $1.5 billion

UPS raises its 2026 outlook

UPS also lifted its full-year guidance, saying it now expects consolidated revenue of $91.2 billion for 2026. The company also projected adjusted diluted earnings per share of about $7.22.

Guidance is management’s forecast for future results. Investors watch it closely because a company can beat estimates in one quarter while still warning that demand or costs may be weaker later in the year. In this case, UPS raised its revenue, adjusted operating profit and adjusted diluted EPS outlook, according to its release.

CEO Carol Tomé said in the release that the quarter represented “an expected and significant shift” in UPS’s performance. She said the company delivered growth in consolidated revenue and non-GAAP adjusted operating profit and entered the second half of the year with “strong momentum.”

What is UPS trying to change?

UPS is working through a turnaround strategy meant to support longer-term growth. The company has been focused on adding more automation across its delivery network and expanding in growth areas such as healthcare logistics, CNBC reported.

Automation can help a delivery company process packages with fewer manual steps, which may improve efficiency if volumes and costs cooperate. Healthcare logistics is a specialized shipping business that can include moving medical products, an area UPS has identified as part of its growth push.

The second-quarter report gives investors a fresh read on that plan: revenue and adjusted earnings beat analyst expectations, while net income remained below last year’s level. The raised outlook shows UPS management expects the second half of 2026 to be stronger than it previously forecast.

This story draws on original reporting from CNBC.