Common-Size Income Statement
Quarterly Data
Paying user area
Try for free
United Parcel Service Inc. pages available for free this week:
- Cash Flow Statement
- Common-Size Balance Sheet: Assets
- DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit Margin
- Analysis of Geographic Areas
- Common Stock Valuation Ratios
- Enterprise Value to EBITDA (EV/EBITDA)
- Price to FCFE (P/FCFE)
- Net Profit Margin since 2005
- Return on Assets (ROA) since 2005
- Price to Book Value (P/BV) since 2005
The data is hidden behind: . Unhide it.
Get full access to the entire website from $10.42/mo, or
get 1-month access to United Parcel Service Inc. for $24.99.
This is a one-time payment. There is no automatic renewal.
We accept:
United Parcel Service Inc., common-size consolidated income statement (quarterly data)
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
A comprehensive analysis of the common-size income statement reveals a persistent contraction in operating and net profit margins over the analyzed period. Operating expenses as a percentage of revenue have increased from approximately 86% in early 2021 to nearly 96% by mid-2026, leading to a corresponding decline in overall profitability.
- Operating Cost Drivers
- Compensation and benefits represent the most significant expense and exhibit a clear upward trend, rising from a range of 45.9% to 50.1% in 2021 to peaks of 56.6% in late 2025. This trend suggests intensifying labor cost pressures.
- Purchased transportation costs show a contrary downward trend, decreasing from highs of 20.6% in late 2021 to approximately 14% by mid-2026, indicating a strategic shift toward insourcing or improved routing efficiency.
- Depreciation and amortization expenses have steadily increased from roughly 3% of revenue in 2021 to over 4% by 2026, reflecting expanded capital investment in infrastructure or equipment.
- Fuel costs remain volatile, with a notable peak of 6.85% in mid-2022 and another sharp increase to 7.43% by June 2026, highlighting the company's sensitivity to energy price fluctuations.
- Profitability and Margin Erosion
- Operating profit margins have experienced a significant decline, falling from a high of 14.27% in June 2022 to 4.07% by June 2026. This erosion is primarily driven by the rise in labor and capital costs which outweighed the savings achieved in purchased transportation.
- Net income margins followed a similar trajectory, descending from a stabilized range of 10% to 12% in 2021-2022 to a low of 2.65% by mid-2026, excluding the anomalous spike in early 2021.
- Non-Operating Items and Tax
- Interest expenses have incrementally risen as a percentage of revenue, moving from approximately 0.6% to 0.8% in 2021 to peaks above 1.3% in 2025-2026, suggesting an increase in the cost of debt servicing.
- Other income and investment income, which provided a substantial boost in the first quarter of 2021, have since normalized and occasionally turned negative, further contributing to the decline in pre-tax income.
- Income tax expenses as a percentage of revenue have generally decreased in tandem with the falling pre-tax income, though the effective tax rate remains a variable factor across the quarters.