Information contained herein is as of July 27, 2021 and speaks only as of that date. We undertake no obligation to update this information based on events, circumstances or changes in results after the date thereof. |
Three Months Ended | ||||
June 30 | ||||
2021 | 2020 | Change | % Change | |
(amounts in millions, except per share data) | ||||
Statement of Income Data: | ||||
Revenue: | ||||
U.S. Domestic Package | $ 14,402 | $ 13,074 | $ 1,328 | 10.2 % |
International Package | 4,817 | 3,705 | 1,112 | 30.0 % |
Supply Chain Solutions(2) | 4,205 | 3,680 | 525 | 14.3 % |
Total revenue | 23,424 | 20,459 | 2,965 | 14.5 % |
Operating expenses: | ||||
U.S. Domestic Package | 12,835 | 11,892 | 943 | 7.9 % |
International Package | 3,633 | 2,934 | 699 | 23.8 % |
Supply Chain Solutions(2) | 3,698 | 3,421 | 277 | 8.1 % |
Total operating expenses | 20,166 | 18,247 | 1,919 | 10.5 % |
Operating profit: | ||||
U.S. Domestic Package | 1,567 | 1,182 | 385 | 32.6 % |
International Package | 1,184 | 771 | 413 | 53.6 % |
Supply Chain Solutions(2) | 507 | 259 | 248 | 95.8 % |
Total operating profit | 3,258 | 2,212 | 1,046 | 47.3 % |
Other income (expense): | ||||
Other pension income (expense) | 302 | 327 | (25) | (7.6)% |
Investment income and other | 43 | 1 | 42 | N/M |
Interest expense | (167) | (183) | 16 | (8.7)% |
Total other income (expense) | 178 | 145 | 33 | 22.8 % |
Income before income taxes | 3,436 | 2,357 | 1,079 | 45.8 % |
Income tax expense (benefit) | 760 | 589 | 171 | 29.0 % |
Net income | $ 2,676 | $ 1,768 | $ 908 | 51.4 % |
Net income as a percentage of revenue | 11.4% | 8.6% | ||
Per share amounts: | ||||
Basic earnings per share | $ 3.06 | $ 2.04 | $ 1.02 | 50.0 % |
Diluted earnings per share | $ 3.05 | $ 2.03 | $ 1.02 | 50.2 % |
Weighted-average shares outstanding: | ||||
Basic | 875 | 866 | 9 | 1.0 % |
Diluted | 878 | 869 | 9 | 1.0 % |
As adjusted income data(1): | ||||
Operating profit: | ||||
U.S. Domestic Package | $ 1,675 | $ 1,215 | $ 460 | 37.9 % |
International Package | 1,190 | 842 | 348 | 41.3 % |
Supply Chain Solutions(2) | 408 | 267 | 141 | 52.8 % |
Total operating profit | 3,273 | 2,324 | 949 | 40.8 % |
Total other income (expense) | $ 178 | $ 145 | $ 33 | 22.8 % |
Income before income taxes | $ 3,451 | $ 2,469 | $ 982 | 39.8 % |
Net income | $ 2,687 | $ 1,851 | $ 836 | 45.2 % |
Basic earnings per share | $ 3.07 | $ 2.14 | $ 0.93 | 43.5 % |
Diluted earnings per share | $ 3.06 | $ 2.13 | $ 0.93 | 43.7 % |
(1) See Non-GAAP schedules for reconciliation of adjustments. | ||||
(2) The divestiture of UPS Freight was completed on April 30, 2021. |
&"Arial,Bold"United Parcel Service, Inc. Selected Financial Data - Second Quarter (unaudited)
&"Arial,Italic"&9Certain prior year amounts have been reclassified to conform to the current year presentation. &"Arial,Regular"&9Page &P of &N
Three Months Ended | ||||
June 30 | ||||
2021 | 2020 | Change | % Change | |
Revenue (in millions): | ||||
U.S. Domestic Package: | ||||
Next Day Air | $ 2,456 | $ 1,984 | $ 472 | 23.8 % |
Deferred | 1,313 | 1,298 | 15 | 1.2 % |
Ground | 10,633 | 9,792 | 841 | 8.6 % |
Total U.S. Domestic Package | 14,402 | 13,074 | 1,328 | 10.2 % |
International Package: | ||||
Domestic | 936 | 719 | 217 | 30.2 % |
Export | 3,674 | 2,824 | 850 | 30.1 % |
Cargo and Other | 207 | 162 | 45 | 27.8 % |
Total International Package | 4,817 | 3,705 | 1,112 | 30.0 % |
Supply Chain Solutions(1): | ||||
Forwarding | 2,309 | 1,771 | 538 | 30.4 % |
Logistics | 1,162 | 977 | 185 | 18.9 % |
Freight | 297 | 724 | (427) | (59.0)% |
Other | 437 | 208 | 229 | 110.1 % |
Total Supply Chain Solutions(1) | 4,205 | 3,680 | 525 | 14.3 % |
Consolidated | $ 23,424 | $ 20,459 | $ 2,965 | 14.5 % |
Consolidated volume (in millions) | 1,551 | 1,564 | (13) | (0.8)% |
Operating weekdays | 64 | 64 | - | -% |
Average Daily Package Volume (in thousands): | ||||
U.S. Domestic Package: | ||||
Next Day Air | 2,071 | 1,865 | 206 | 11.0 % |
Deferred | 1,581 | 1,702 | (121) | (7.1)% |
Ground | 16,856 | 17,560 | (704) | (4.0)% |
Total U.S. Domestic Package | 20,508 | 21,127 | (619) | (2.9)% |
International Package: | ||||
Domestic | 1,967 | 1,764 | 203 | 11.5 % |
Export | 1,761 | 1,545 | 216 | 14.0 % |
Total International Package | 3,728 | 3,309 | 419 | 12.7 % |
Consolidated | 24,236 | 24,436 | (200) | (0.8)% |
Average Revenue Per Piece: | ||||
U.S. Domestic Package: | ||||
Next Day Air | $ 18.53 | $ 16.62 | $ 1.91 | 11.5 % |
Deferred | 12.98 | 11.92 | 1.06 | 8.9 % |
Ground | 9.86 | 8.71 | 1.15 | 13.2 % |
Total U.S. Domestic Package | 10.97 | 9.67 | 1.30 | 13.4 % |
International Package: | ||||
Domestic | 7.44 | 6.37 | 1.07 | 16.8 % |
Export | 32.60 | 28.56 | 4.04 | 14.1 % |
Total International Package | 19.32 | 16.73 | 2.59 | 15.5 % |
Consolidated | $ 12.26 | $ 10.63 | $ 1.63 | 15.3 % |
(1) The divestiture of UPS Freight was completed on April 30, 2021. |
&"Arial,Bold"United Parcel Service, Inc. Selected Operating Data - Second Quarter (unaudited)
&"Arial,Italic"&9Certain prior year amounts have been reclassified to conform to the current year presentation. &"Arial,Regular"&9Page &P of &N
(in millions) | Three Months Ended | |||
June 30 | ||||
2021 | 2020 | Change | % Change | |
Compensation and benefits | $ 11,327 | $ 10,843 | $ 484 | 4.5 % |
Repairs and maintenance | 599 | 554 | 45 | 8.1 % |
Depreciation and amortization | 739 | 661 | 78 | 11.8 % |
Purchased transportation | 4,446 | 3,716 | 730 | 19.6 % |
Fuel | 915 | 499 | 416 | 83.4 % |
Other occupancy | 402 | 355 | 47 | 13.2 % |
Other expenses | 1,738 | 1,619 | 119 | 7.4 % |
Total operating expenses | $ 20,166 | $ 18,247 | $ 1,919 | 10.5 % |
&"Arial,Bold"United Parcel Service, Inc. Detail of Operating Expenses - Second Quarter (unaudited)
&"Arial,Italic"&9Certain prior year amounts have been reclassified to conform to the current year presentation. &"Arial,Regular"&9Page &P of &N
Six Months Ended | ||||
June 30 | ||||
2021 | 2020 | Change | % Change | |
(amounts in millions, except per share data) | ||||
Statement of Income Data: | ||||
Revenue: | ||||
U.S. Domestic Package | $ 28,412 | $ 24,530 | $ 3,882 | 15.8 % |
International Package | 9,424 | 7,088 | 2,336 | 33.0 % |
Supply Chain Solutions(2) | 8,496 | 6,876 | 1,620 | 23.6 % |
Total revenue | 46,332 | 38,494 | 7,838 | 20.4 % |
Operating expenses: | ||||
U.S. Domestic Package | 25,486 | 22,984 | 2,502 | 10.9 % |
International Package | 7,155 | 5,766 | 1,389 | 24.1 % |
Supply Chain Solutions(2) | 7,668 | 6,460 | 1,208 | 18.7 % |
Total operating expenses | 40,309 | 35,210 | 5,099 | 14.5 % |
Operating profit: | ||||
U.S. Domestic Package | 2,926 | 1,546 | 1,380 | 89.3 % |
International Package | 2,269 | 1,322 | 947 | 71.6 % |
Supply Chain Solutions(2) | 828 | 416 | 412 | 99.0 % |
Total operating profit | 6,023 | 3,284 | 2,739 | 83.4 % |
Other income (expense): | ||||
Other pension income (expense) | 3,905 | 654 | 3,251 | 497.1 % |
Investment income and other | 56 | 19 | 37 | 194.7 % |
Interest expense | (344) | (350) | 6 | (1.7)% |
Total other income (expense) | 3,617 | 323 | 3,294 | N/M |
Income before income taxes | 9,640 | 3,607 | 6,033 | 167.3 % |
Income tax expense (benefit) | 2,172 | 874 | 1,298 | 148.5 % |
Net income | $ 7,468 | $ 2,733 | $ 4,735 | 173.3 % |
Net income as a percentage of revenue | 16.1% | 7.1% | ||
Per share amounts: | ||||
Basic earnings per share | $ 8.54 | $ 3.16 | $ 5.38 | 170.3 % |
Diluted earnings per share | $ 8.51 | $ 3.14 | $ 5.37 | 171.0 % |
Weighted-average shares outstanding: | ||||
Basic | 874 | 865 | 9 | 1.0 % |
Diluted | 878 | 869 | 9 | 1.0 % |
As adjusted income data(1): | ||||
Operating profit: | ||||
U.S. Domestic Package | $ 3,138 | $ 1,616 | $ 1,522 | 94.2 % |
International Package | 2,281 | 1,400 | 881 | 62.9 % |
Supply Chain Solutions(2) | 803 | 425 | 378 | 88.9 % |
Total operating profit | 6,222 | 3,441 | 2,781 | 80.8 % |
Total other income (expense) | $ 327 | $ 323 | $ 4 | 1.2 % |
Income before income taxes | $ 6,549 | $ 3,764 | $ 2,785 | 74.0 % |
Net income | $ 5,117 | $ 2,851 | $ 2,266 | 79.5 % |
Basic earnings per share | $ 5.85 | $ 3.30 | $ 2.55 | 77.3 % |
Diluted earnings per share | $ 5.83 | $ 3.28 | $ 2.55 | 77.7 % |
(1) See Non-GAAP schedules for reconciliation of adjustments. | ||||
(2) The divestiture of UPS Freight was completed on April 30, 2021. |
&"Arial,Bold"United Parcel Service, Inc. Selected Financial Data - Year to Date (unaudited)
&"Arial,Italic"&9Certain prior year amounts have been reclassified to conform to the current year presentation. &"Arial,Regular"&9Page &P of &N
Six Months Ended | ||||
June 30 | ||||
2021 | 2020 | Change | % Change | |
Revenue (in millions): | ||||
U.S. Domestic Package: | ||||
Next Day Air | $ 4,787 | $ 4,039 | $ 748 | 18.5 % |
Deferred | 2,573 | 2,495 | 78 | 3.1 % |
Ground | 21,052 | 17,996 | 3,056 | 17.0 % |
Total U.S. Domestic Package | 28,412 | 24,530 | 3,882 | 15.8 % |
International Package: | ||||
Domestic | 1,864 | 1,407 | 457 | 32.5 % |
Export | 7,167 | 5,385 | 1,782 | 33.1 % |
Cargo and Other | 393 | 296 | 97 | 32.8 % |
Total International Package | 9,424 | 7,088 | 2,336 | 33.0 % |
Supply Chain Solutions(1): | ||||
Forwarding | 4,381 | 3,144 | 1,237 | 39.3 % |
Logistics | 2,266 | 1,822 | 444 | 24.4 % |
Freight | 1,064 | 1,490 | (426) | (28.6)% |
Other | 785 | 420 | 365 | 86.9 % |
Total Supply Chain Solutions(1) | 8,496 | 6,876 | 1,620 | 23.6 % |
Consolidated | $ 46,332 | $ 38,494 | $ 7,838 | 20.4 % |
Consolidated volume (in millions) | 3,072 | 2,916 | 156 | 5.4 % |
Operating weekdays | 127 | 128 | (1) | (0.8)% |
Average Daily Package Volume (in thousands): | ||||
U.S. Domestic Package: | ||||
Next Day Air | 2,041 | 1,874 | 167 | 8.9 % |
Deferred | 1,548 | 1,597 | (49) | (3.1)% |
Ground | 16,842 | 16,114 | 728 | 4.5 % |
Total U.S. Domestic Package | 20,431 | 19,585 | 846 | 4.3 % |
International Package: | ||||
Domestic | 1,988 | 1,716 | 272 | 15.9 % |
Export | 1,772 | 1,479 | 293 | 19.8 % |
Total International Package | 3,760 | 3,195 | 565 | 17.7 % |
Consolidated | 24,191 | 22,780 | 1,411 | 6.2 % |
Average Revenue Per Piece: | ||||
U.S. Domestic Package: | ||||
Next Day Air | $ 18.47 | $ 16.84 | $ 1.63 | 9.7 % |
Deferred | 13.09 | 12.21 | 0.88 | 7.2 % |
Ground | 9.84 | 8.72 | 1.12 | 12.8 % |
Total U.S. Domestic Package | 10.95 | 9.79 | 1.16 | 11.8 % |
International Package: | ||||
Domestic | 7.38 | 6.41 | 0.97 | 15.1 % |
Export | 31.85 | 28.45 | 3.40 | 12.0 % |
Total International Package | 18.91 | 16.61 | 2.30 | 13.8 % |
Consolidated | $ 12.19 | $ 10.74 | $ 1.45 | 13.5 % |
(1) The divestiture of UPS Freight was completed on April 30, 2021. |
&"Arial,Bold"United Parcel Service, Inc. Selected Operating Data - Year to Date (unaudited)
&"Arial,Italic"&9Certain prior year amounts have been reclassified to conform to the current year presentation. &"Arial,Regular"&9Page &P of &N
(in millions) | Six Months Ended | |||
June 30 | ||||
2021 | 2020 | Change | % Change | |
Compensation and benefits | $ 22,810 | $ 20,929 | $ 1,881 | 9.0 % |
Repairs and maintenance | 1,218 | 1,117 | 101 | 9.0 % |
Depreciation and amortization | 1,461 | 1,309 | 152 | 11.6 % |
Purchased transportation | 8,689 | 6,647 | 2,042 | 30.7 % |
Fuel | 1,722 | 1,260 | 462 | 36.7 % |
Other occupancy | 868 | 738 | 130 | 17.6 % |
Other expenses | 3,541 | 3,210 | 331 | 10.3 % |
Total operating expenses | $ 40,309 | $ 35,210 | $ 5,099 | 14.5 % |
&"Arial,Bold"United Parcel Service, Inc. Detail of Operating Expenses - Year to Date (unaudited)
&"Arial,Italic"&9Certain prior year amounts have been reclassified to conform to the current year presentation. &"Arial,Regular"&9Page &P of &N
(amounts in millions) | June 30, | December 31, |
2021 | 2020 | |
ASSETS | ||
Current Assets: | ||
Cash and cash equivalents | $ 9,608 | $ 5,910 |
Marketable securities | 346 | 406 |
Accounts receivable | 10,260 | 10,888 |
Less: Allowance for credit losses | (123) | (138) |
Accounts receivable, net | 10,137 | 10,750 |
Assets held for sale | - | 1,197 |
Other current assets | 1,897 | 1,953 |
Total Current Assets | 21,988 | 20,216 |
Property, Plant and Equipment, Net | 32,631 | 32,254 |
Operating Lease Right-Of-Use Assets | 3,568 | 3,073 |
Goodwill | 3,357 | 3,367 |
Intangible Assets, Net | 2,238 | 2,274 |
Investments and Restricted Cash | 25 | 25 |
Deferred Income Tax Assets | 187 | 527 |
Other Non-Current Assets | 875 | 672 |
Total Assets | $ 64,869 | $ 62,408 |
LIABILITIES AND SHAREOWNERS' EQUITY | ||
Current Liabilities: | ||
Current maturities of long-term debt, commercial paper and finance leases | $ 1,564 | $ 2,623 |
Current maturities of operating leases | 556 | 560 |
Accounts payable | 6,563 | 6,455 |
Accrued wages and withholdings | 3,737 | 3,569 |
Self-insurance reserves | 1,110 | 1,085 |
Accrued group welfare and retirement plan contributions | 884 | 927 |
Liabilities to be disposed of | - | 347 |
Other current liabilities | 1,356 | 1,450 |
Total Current Liabilities | 15,770 | 17,016 |
Long-Term Debt and Finance Leases | 21,027 | 22,031 |
Non-Current Operating Leases | 3,038 | 2,540 |
Pension and Postretirement Benefit Obligations | 7,675 | 15,817 |
Deferred Income Tax Liabilities | 2,584 | 488 |
Other Non-Current Liabilities | 3,953 | 3,847 |
Shareowners' Equity: | ||
Class A common stock | 2 | 2 |
Class B common stock | 7 | 7 |
Additional paid-in capital | 1,329 | 865 |
Retained earnings | 12,531 | 6,896 |
Accumulated other comprehensive loss | (3,064) | (7,113) |
Deferred compensation obligations | 16 | 20 |
Less: Treasury stock | (16) | (20) |
Total Equity for Controlling Interests | 10,805 | 657 |
Noncontrolling interests | 17 | 12 |
Total Shareowners' Equity | 10,822 | 669 |
Total Liabilities and Shareowners' Equity | $ 64,869 | $ 62,408 |
&"Arial,Bold"United Parcel Service, Inc. Consolidated Balance Sheets June 30, 2021 (unaudited) and December 31, 2020
&"Arial,Italic"&9Certain prior year amounts have been reclassified to conform to the current year presentation. &"Arial,Regular"&9Page &P of &N
(amounts in millions) | Six Months Ended | |
June 30, | ||
2021 | 2020 | |
Cash Flows From Operating Activities: | ||
Net income | $ 7,468 | $ 2,733 |
Adjustments to reconcile net income to net cash from operating activities: | ||
Depreciation and amortization | 1,461 | 1,309 |
Pension and postretirement benefit expense | (2,839) | 321 |
Pension and postretirement benefit contributions | (276) | (263) |
Self-insurance reserves | 130 | 293 |
Deferred tax (benefit) expense | 1,127 | 284 |
Stock compensation expense | 521 | 368 |
Other (gains) losses | - | 97 |
Changes in assets and liabilities, net of effects of business acquisitions: | Changes in assets and liabilities, net of effects of business acquisitions: | |
Accounts receivable | 439 | 105 |
Other assets | 169 | 301 |
Accounts payable | 56 | (617) |
Accrued wages and withholdings | 227 | 771 |
Other liabilities | (27) | 239 |
Other operating activities | (2) | 6 |
Net cash from operating activities | 8,454 | 5,947 |
Cash Flows From Investing Activities: | ||
Capital expenditures | (1,670) | (2,065) |
Proceeds from disposal of businesses, property, plant and equipment | 863 | 2 |
Purchases of marketable securities | (141) | (131) |
Sales and maturities of marketable securities | 214 | 241 |
Net change in finance receivables | 16 | 16 |
Cash paid for business acquisitions, net of cash and cash equivalents acquired | (5) | - |
Other investing activities | (11) | (6) |
Net cash used in investing activities | (734) | (1,943) |
Cash Flows From Financing Activities: | ||
Net change in short-term debt | 498 | (892) |
Proceeds from long-term borrowings | - | 4,436 |
Repayments of long-term borrowings | (2,599) | (1,826) |
Purchases of common stock | - | (231) |
Issuances of common stock | 141 | 131 |
Dividends | (1,718) | (1,683) |
Other financing activities | (360) | (334) |
Net cash used in financing activities | (4,038) | (399) |
Effect of Exchange Rate Changes on Cash, Cash Equivalents and Restricted Cash | 16 | (29) |
Net Increase (Decrease) in Cash, Cash Equivalents and Restricted Cash | 3,698 | 3,576 |
Cash, Cash Equivalents and Restricted Cash: | ||
Beginning of period | 5,910 | 5,238 |
End of period | $ 9,608 | $ 8,814 |
&"Arial,Bold"United Parcel Service, Inc. Statements of Consolidated Cash Flows (unaudited)
&"Arial,Italic"&9Certain prior year amounts have been reclassified to conform to the current year presentation. &"Arial,Regular"&9Page &P of &N
(amounts in millions) | ||
Six Months Ended | ||
June 30, | ||
2021 | 2020 | |
Cash flows from operating activities | $ 8,454 | $ 5,947 |
Capital expenditures | (1,670) | (2,065) |
Proceeds from disposals of PP&E | 15 | 2 |
Net change in finance receivables | 16 | 16 |
Other investing activities | (11) | (6) |
Free Cash Flow (Non-GAAP measure) | $ 6,804 | $ 3,894 |
&"Arial,Bold"United Parcel Service, Inc. Reconciliation of Free Cash Flow (Non-GAAP measure) (unaudited)&12
&"Arial,Italic"&9Certain prior year amounts have been reclassified to conform to the current year presentation. &"Arial,Regular"&9Page &P of &N
(amounts in millions) | |||||
Q3 2020 | Q4 2020 | Q1 2021 | Q2 2021 | TTM(1) | |
Net income (loss) | $ 1,957 | $ (3,347) | $ 4,792 | $ 2,676 | $ 6,078 |
Add back: | |||||
Income tax expense (benefit) | 568 | (941) | 1,412 | 760 | 1,799 |
Interest expense | 176 | 175 | 177 | 167 | 695 |
Depreciation and amortization | 677 | 712 | 722 | 739 | 2,850 |
EBITDA | 3,378 | (3,401) | 7,103 | 4,342 | 11,422 |
Add back: | |||||
Transformation and other | 44 | 833 | 184 | 15 | 1,076 |
Defined benefit plans mark-to-market losses | - | 6,484 | - | - | 6,484 |
Deduct: | |||||
Defined benefit plans mark-to-market gain | - | - | (3,290) | - | (3,290) |
Investment income and other | (338) | (334) | (326) | (345) | (1,343) |
Adjusted EBITDA | $ 3,084 | $ 3,582 | $ 3,671 | $ 4,012 | $ 14,349 |
Debt and finance leases, including current maturities | $ 22,591 | $ 22,591 | |||
Add back: | |||||
Non-current pension and postretirement benefit obligations | 7,675 | 7,675 | |||
Adjusted total debt | $ 30,266 | $ 30,266 | |||
Adjusted total debt/adjusted EBITDA | 2.11 | ||||
(1) Trailing twelve months (TTM) ended June 30th |
&"Arial,Bold"United Parcel Service, Inc. Adjusted Total Debt / Adjusted EBITDA (Non-GAAP measure) (unaudited)
&"Arial,Italic"&9Certain prior year amounts have been reclassified to conform to the current year presentation. &"Arial,Regular"&9Page &P of &N
Three Months Ended June 30, | ||||||
(in millions, except per share amounts) | 2021 | 2020 | ||||
As Reported (GAAP) | Transformation & Other Adj.(1) | As Adjusted (Non-GAAP) | As Reported (GAAP) | Transformation & Other Adj.(2) | As Adjusted (Non-GAAP) | |
U.S. Domestic Package | $ 1,567 | $ 108 | $ 1,675 | $ 1,182 | $ 33 | $ 1,215 |
International Package | 1,184 | 6 | 1,190 | 771 | 71 | 842 |
Supply Chain Solutions(3) | 507 | (99) | 408 | 259 | 8 | 267 |
Operating Profit | 3,258 | 15 | 3,273 | 2,212 | 112 | 2,324 |
Other Income and (Expense): | ||||||
Other pension income (expense) | 302 | - | 302 | 327 | - | 327 |
Investment income and other | 43 | - | 43 | 1 | - | 1 |
Interest expense | (167) | - | (167) | (183) | - | (183) |
Total Other Income and (Expense) | 178 | - | 178 | 145 | - | 145 |
Income Before Income Taxes | 3,436 | 15 | 3,451 | 2,357 | 112 | 2,469 |
Income Tax Expense | 760 | 4 | 764 | 589 | 29 | 618 |
Net Income | $ 2,676 | $ 11 | $ 2,687 | $ 1,768 | $ 83 | $ 1,851 |
Basic Earnings Per Share | $ 3.06 | $ 0.01 | $ 3.07 | $ 2.04 | $ 0.10 | $ 2.14 |
Diluted Earnings Per Share | $ 3.05 | $ 0.01 | $ 3.06 | $ 2.03 | $ 0.10 | $ 2.13 |
Weighted-average shares outstanding: | ||||||
Basic | 875 | 866 | ||||
Diluted | 878 | 869 | ||||
(1) Transformation & Other of $15 million reflects a gain on the divestiture of UPS Freight of $101 million, other employee benefits costs of $55 million and other costs of $61 million. | ||||||
(2) Transformation & Other of $112 million reflects other employee benefits costs of $81 million and other costs of $31 million. | ||||||
(3) The divestiture of UPS Freight was completed on April 30, 2021. |
&"Arial,Bold"United Parcel Service, Inc. Reconciliation of GAAP and As Adjusted Income Statement Data (unaudited)
&"Times New Roman,Italic"Certain prior year amounts have been reclassified to conform to the current year presentation. &P of &N
Six Months Ended June 30, | |||||||
(in millions, except per share amounts) | 2021 | 2020 | |||||
As Reported (GAAP) | Pension MTM Adj.(1) | Transformation & Other Adj.(2) | As Adjusted (Non-GAAP) | As Reported (GAAP) | Transformation & Other Adj.(3) | As Adjusted (Non-GAAP) | |
U.S. Domestic Package | $ 2,926 | $ - | $ 212 | $ 3,138 | $ 1,546 | $ 70 | $ 1,616 |
International Package | 2,269 | - | 12 | 2,281 | 1,322 | 78 | 1,400 |
Supply Chain Solutions(4) | 828 | - | (25) | 803 | 416 | 9 | 425 |
Operating Profit | 6,023 | - | 199 | 6,222 | 3,284 | 157 | 3,441 |
Other Income and (Expense): | |||||||
Other pension income (expense) | 3,905 | (3,290) | - | 615 | 654 | - | 654 |
Investment income and other | 56 | - | - | 56 | 19 | - | 19 |
Interest expense | (344) | - | - | (344) | (350) | - | (350) |
Total Other Income and (Expense) | 3,617 | (3,290) | - | 327 | 323 | - | 323 |
Income Before Income Taxes | 9,640 | 3,290 | 199 | 6,549 | 3,607 | 157 | 3,764 |
Income Tax Expense | 2,172 | (788) | 48 | 1,432 | 874 | 39 | 913 |
Net Income | $ 7,468 | $ (2,502) | $ 151 | $ 5,117 | $ 2,733 | $ 118 | $ 2,851 |
Basic Earnings Per Share | $ 8.54 | $ (2.86) | $ 0.17 | $ 5.85 | $ 3.16 | $ 0.14 | $ 3.30 |
Diluted Earnings Per Share | $ 8.51 | $ (2.85) | $ 0.17 | $ 5.83 | $ 3.14 | $ 0.14 | $ 3.28 |
Weighted-average shares outstanding: | |||||||
Basic | 874 | 865 | |||||
Diluted | 878 | 869 | |||||
(1) Represents a mark-to-market gain recognized outside of a 10% corridor for the UPS IBT Pension Plan | |||||||
(2) Transformation & Other of $199 million reflects a gain on the divestiture of UPS Freight of $101 million net of a previously-recognized valuation allowance of $66 million, other employee benefits costs of $131 million and other costs of $103 million. | |||||||
(3) Transformation & Other of $157 million reflects other employee benefits costs of $93 million and other costs of $64 million. | |||||||
(4) The divestiture of UPS Freight was completed on April 30, 2021. |
&"Arial,Bold"United Parcel Service, Inc. Reconciliation of GAAP and As Adjusted Income Statement Data (unaudited)
&"Times New Roman,Italic"Certain prior year amounts have been reclassified to conform to the current year presentation. &P of &N
Currency Neutral Revenue Per Piece, Revenue and As Adjusted Operating Profit | ||||||
Three Months Ended | Currency | |||||
June 30 | Neutral | |||||
2021 | 2020 | % Change | Currency | 2021(1) | % Change | |
Average Revenue Per Piece: | ||||||
International Package: | ||||||
Domestic | $ 7.44 | $ 6.37 | 16.8% | $ (0.66) | $ 6.78 | 6.4% |
Export | 32.60 | 28.56 | 14.1% | (1.15) | 31.45 | 10.1% |
Total International Package | $ 19.32 | $ 16.73 | 15.5% | $ (0.89) | $ 18.43 | 10.2% |
Consolidated | $ 12.26 | $ 10.63 | 15.3% | $ (0.14) | $ 12.12 | 14.0% |
Three Months Ended | Currency | |||||
June 30 | Neutral | |||||
2021 | 2020 | % Change | Currency | 2021(1) | % Change | |
Revenue (in millions): | ||||||
U.S. Domestic Package | $ 14,402 | $ 13,074 | 10.2% | $ - | $ 14,402 | 10.2% |
International Package | 4,817 | 3,705 | 30.0% | (218) | 4,599 | 24.1% |
Supply Chain Solutions(3) | 4,205 | 3,680 | 14.3% | (64) | 4,141 | 12.5% |
Total revenue | $ 23,424 | $ 20,459 | 14.5% | $ (282) | $ 23,142 | 13.1% |
Three Months Ended | Currency | |||||
June 30 | Neutral | |||||
2021 | 2020 | % Change | Currency | 2021(1) | % Change | |
As-Adjusted Operating profit (in millions)(2): | ||||||
U.S. Domestic Package | $ 1,675 | $ 1,215 | 37.9% | $ - 0 | $ 1,675 | 37.9% |
International Package | 1,190 | 842 | 41.3% | (42) | 1,148 | 36.3% |
Supply Chain Solutions(3) | 408 | 267 | 52.8% | 6 | 414 | 55.1% |
Total operating profit | $ 3,273 | $ 2,324 | 40.8% | $ (36) | $ 3,237 | 39.3% |
(1) Amounts adjusted for period over period foreign currency exchange rate and hedging differences | ||||||
(2) Amounts adjusted for transformation & other | ||||||
(3) The divestiture of UPS Freight was completed on April 30, 2021. |
&"Arial,Bold"United Parcel Service, Inc. Supplemental Analysis of Currency - Second Quarter (unaudited)
&"Arial,Italic"&9Certain prior year amounts have been reclassified to conform to the current year presentation. &"Arial,Regular"&9Page &P of &N
Currency Neutral Revenue Per Piece, Revenue and As Adjusted Operating Profit | ||||||
Six Months Ended | Currency | |||||
June 30 | Neutral | |||||
2021 | 2020 | % Change | Currency | 2021(1) | % Change | |
Average Revenue Per Piece: | ||||||
International Package: | ||||||
Domestic | $ 7.38 | $ 6.41 | 15.1% | $ (0.56) | $ 6.82 | 6.4% |
Export | 31.85 | 28.45 | 12.0% | (1.10) | 30.75 | 8.1% |
Total International Package | $ 18.91 | $ 16.61 | 13.8% | $ (0.81) | $ 18.10 | 9.0% |
Consolidated | $ 12.19 | $ 10.74 | 13.5% | $ (0.13) | $ 12.06 | 12.3% |
Six Months Ended | Currency | |||||
June 30 | Neutral | |||||
2021 | 2020 | % Change | Currency | 2021(1) | % Change | |
Revenue (in millions): | ||||||
U.S. Domestic Package | $ 28,412 | $ 24,530 | 15.8% | $ - | $ 28,412 | 15.8% |
International Package | 9,424 | 7,088 | 33.0% | (394) | 9,030 | 27.4% |
Supply Chain Solutions(3) | 8,496 | 6,876 | 23.6% | (109) | 8,387 | 22.0% |
Total revenue | $ 46,332 | $ 38,494 | 20.4% | $ (503) | $ 45,829 | 19.1% |
Six Months Ended | Currency | |||||
June 30 | Neutral | |||||
2021 | 2020 | % Change | Currency | 2021(1) | % Change | |
As-Adjusted Operating profit (in millions)(2): | ||||||
U.S. Domestic Package | $ 3,138 | $ 1,616 | 94.2% | $ - | $ 3,138 | 94.2% |
International Package | 2,281 | 1,400 | 62.9% | (81) | 2,200 | 57.1% |
Supply Chain Solutions(3) | 803 | 425 | 88.9% | 8 | 811 | 90.8% |
Total operating profit | $ 6,222 | $ 3,441 | 80.8% | $ (73) | $ 6,149 | 78.7% |
(1) Amounts adjusted for period over period foreign currency exchange rate and hedging differences | ||||||
(2) Amounts adjusted for transformation & other | ||||||
(3) The divestiture of UPS Freight was completed on April 30, 2021. |
&"Arial,Bold"United Parcel Service, Inc. Supplemental Analysis of Currency - Year to Date (unaudited)
&"Arial,Italic"&9Certain prior year amounts have been reclassified to conform to the current year presentation. &"Arial,Regular"&9Page &P of &N
Owned and | Operating Leases & | |||
Description | Finance Leases | Charters from Others | On Order | Under Option |
Operating: | ||||
Boeing 757-200 | 75 | - | - | - |
Boeing 767-300 | 70 | - | 2 | - |
Boeing 767-300BCF | 4 | - | - | - |
Boeing 767-300BDSF | 4 | - | - | - |
Airbus A300-600 | 52 | - | - | - |
Boeing MD-11 | 42 | - | - | - |
Boeing 747-400F | 11 | - | - | - |
Boeing 747-400BCF | 2 | - | - | - |
Boeing 747-8F | 22 | - | 6 | - |
Other | - | 294 | - | - |
Total | 282 | 294 | 8 | - |
&"Arial,Bold"United Parcel Service, Inc. Aircraft Fleet - As of June 30, 2021 (unaudited)
&"Arial,Italic"&9Certain prior year amounts have been reclassified to conform to the current year presentation. &"Arial,Regular"&9Page &P of &N
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UPS - United Parcel Service Inc. published this content on 27 July 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 27 July 2021 10:39:03 UTC.