How United Parcel Service (UPS) Makes Money: A Visual Guide
United Parcel Service (UPS) generated $88.68B in revenue (TTM through Q4 2025), earning $5.57B in net profit (6.3% margin). Its largest revenue source is International Package (71.2% of revenue). Below is an interactive breakdown of how revenue flows through the income statement.
United Parcel Service (UPS) Income Statement Flow
Frequently asked questions
How does United Parcel Service (UPS) make money?
- United Parcel Service (UPS) primarily makes money through International Package, which accounts for 71.2% of total revenue. For TTM through Q4 2025, United Parcel Service generated $88.68B in total revenue with a net profit margin of 6.3%.
What is United Parcel Service (UPS) gross profit margin?
- United Parcel Service (UPS) reported a gross profit margin of 18.2% for TTM through Q4 2025, equivalent to $16.11B in gross profit. This means United Parcel Service retains 18.2% of each revenue unit after direct costs of production.
What is United Parcel Service (UPS) operating profit margin?
- United Parcel Service (UPS) reported an operating profit margin of 9% for TTM through Q4 2025, equivalent to $8.02B in operating profit. This reflects profitability after operating expenses such as R&D, sales, and administration, but before taxes and non-operating items.
What is United Parcel Service (UPS) net profit margin?
- United Parcel Service (UPS) reported a net profit margin of 6.3% for TTM through Q4 2025, equivalent to $5.57B in net profit. This is the share of revenue that remains as profit after all expenses, taxes, and non-operating items.
How much does United Parcel Service (UPS) spend on capital expenditures?
- United Parcel Service (UPS) spent $3.69B on capital expenditures in TTM through Q4 2025 (4.2% of total revenue). Capital expenditures represent investments in physical assets such as property, equipment, and infrastructure.
What is United Parcel Service (UPS) free cash flow?
- United Parcel Service (UPS) generated $4.76B in free cash flow for TTM through Q4 2025 (5.4% of total revenue). Free cash flow is the cash remaining after capital expenditures and represents the company's ability to fund growth, pay dividends, or reduce debt.
What is United Parcel Service (UPS) effective tax rate?
- United Parcel Service (UPS) had an effective tax rate of 22.2% for TTM through Q4 2025. This is the actual percentage of pre-tax income paid as income taxes.
About this data
- What is a Sankey diagram?
- A Sankey diagram shows how money flows through a company from revenue to net profit. The width of each flow represents its proportion.
- How is the data calculated?
- We use the income statement from company filings. For TTM (Trailing Twelve Months), we sum the last four quarters. Revenue flows to cost of revenue and gross profit, then to operating expenses (R&D, S&M, G&A) and operating profit.
- When was this data last updated?
- Based on company filings through TTM through Q4 2025.