CLAIM #60220 · United Parcel Service Inc (UPS) · 2024Q1 earnings call · Apr 23, 2024 · due Dec 31, 2026
“Additionally, we expect to expand our consolidated operating margin to more than 13% by 2026, which includes expanding our domestic operating margin to at least 12%.”
Brian O. Newman · CFO
How to check this claim
Look at: Consolidated operating margin and U.S. Domestic segment operating margin, fiscal year
It came true if: Consolidated operating margin > 13% AND U.S. Domestic segment operating margin >= 12%
Where: Company financial statements / 10-K segment reporting (FY2026 annual report)
In context
“rms of financial reporting, the revenue and expense associated with USPS Air Cargo will show up in the SCS other line in our financial reporting. Adding the USPS air cargo volume to our existing network will result in a higher share of the network cost being allocated to SCS, indirectly benefiting our U.S. domestic segment. We expect to see a benefit to operating margins this year at both the consolidated level and within the U.S. Domestic segment. To wrap up, we are also reaffirming our three-year consolidated revenue and operating margin targets we put forth at our March Investor and Analyst Day. Specifically, we aim to grow revenue to be between $108 million and $114 billion by 2026. The high end of the range includes inorganic opportunities, primarily in health care and international. Additionally, we expect to expand our consolidated operating margin to more than 13% by 2026, which includes expanding our domestic operating margin to at least 12%. And I'll note that the USPS volume is consistent with our better and bolder approach to grow in the parts of the market that leverage our integrated network, and it gives us a strong start to our 2026 targets. With that, thank you, and operator, please open the lines. Operator: Thank you. We will now conduct the question-and-answer session. Our first question will come from the line of Brandon Oglenski of Barclays. Please go ahead. Eric Morgan : Hey, good morning. This is Eric Morgan on for Brandon. Thanks for taking the question. I just wanted to ask about the guidance in the first half. I know you mentioned 1Q kind of coming in line with your expectations, but you did call out the 40% decline expectation at the Investor Day. So just wondering if anything happened late in the quarter tha”
Verify independently
SEC filings for UPS ↗ · Claim quote is verbatim from the 2024Q1 earnings call.