Debt to Equity
since 2005
Calculation
United Parcel Service Inc., debt to equity, long-term trends, calculation
| Debt to equity | = | Long-term debt, finance leases and commercial paper1 | ÷ | Equity for controlling interests1 | |
|---|---|---|---|---|---|
| Dec 31, 2025 | 1.49 | = | 24,127) | ÷ | 16,227) |
| Dec 31, 2024 | 1.27 | = | 21,284) | ÷ | 16,718) |
| Dec 31, 2023 | 1.29 | = | 22,264) | ÷ | 17,306) |
| Dec 31, 2022 | 0.99 | = | 19,662) | ÷ | 19,786) |
| Dec 31, 2021 | 1.54 | = | 21,915) | ÷ | 14,253) |
| Dec 31, 2020 | 37.53 | = | 24,654) | ÷ | 657) |
| Dec 31, 2019 | 7.73 | = | 25,238) | ÷ | 3,267) |
| Dec 31, 2018 | 7.53 | = | 22,736) | ÷ | 3,021) |
| Dec 31, 2017 | 24.29 | = | 24,289) | ÷ | 1,000) |
| Dec 31, 2016 | 39.69 | = | 16,075) | ÷ | 405) |
| Dec 31, 2015 | 5.80 | = | 14,334) | ÷ | 2,470) |
| Dec 31, 2014 | 5.04 | = | 10,787) | ÷ | 2,141) |
| Dec 31, 2013 | 1.68 | = | 10,872) | ÷ | 6,474) |
| Dec 31, 2012 | 2.77 | = | 12,870) | ÷ | 4,653) |
| Dec 31, 2011 | 1.58 | = | 11,128) | ÷ | 7,035) |
| Dec 31, 2010 | 1.36 | = | 10,846) | ÷ | 7,979) |
| Dec 31, 2009 | 1.25 | = | 9,521) | ÷ | 7,630) |
| Dec 31, 2008 | 1.46 | = | 9,871) | ÷ | 6,780) |
| Dec 31, 2007 | 0.90 | = | 11,018) | ÷ | 12,183) |
| Dec 31, 2006 | 0.27 | = | 4,116) | ÷ | 15,482) |
| Dec 31, 2005 | 0.24 | = | 3,980) | ÷ | 16,884) |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in millions
The relationship between long-term debt, finance leases, commercial paper, and equity for controlling interests exhibited significant fluctuations over the period examined. Initially, the debt-to-equity ratio remained relatively stable, but experienced substantial volatility beginning in 2007. A marked increase in debt coupled with declines in equity contributed to these shifts.
- Initial Stability (2005-2006)
- From 2005 to 2006, the debt-to-equity ratio increased modestly, moving from 0.24 to 0.27. This suggests a slight increase in leverage, but remained within a conservative range. Both long-term debt and equity experienced relatively minor changes during this timeframe.
- Significant Increase in Leverage (2007-2009)
- Beginning in 2007, a substantial increase in long-term debt occurred, rising to 11,018 US$ millions. Simultaneously, equity began to decline. This combination resulted in a dramatic increase in the debt-to-equity ratio, reaching 0.90 in 2007, 1.46 in 2008, and 1.25 in 2009. This period indicates a significant shift towards greater financial leverage.
- Volatility and Peak Leverage (2010-2015)
- The debt-to-equity ratio continued to fluctuate between 1.36 and 5.80 over the next six years. Equity experienced considerable declines, reaching a low of 2,141 US$ millions in 2014. This decline, coupled with relatively stable debt levels, drove the ratio to a peak of 5.04 in 2014 and 5.80 in 2015. The ratio in 2015 was exceptionally high, indicating a substantial reliance on debt financing.
- Debt Reduction and Equity Recovery (2016-2021)
- From 2016 through 2021, the debt-to-equity ratio demonstrated considerable volatility, but generally trended downwards. Long-term debt decreased from 16,075 US$ millions to 21,915 US$ millions, while equity began to recover, particularly in 2021, reaching 14,253 US$ millions and then 19,786 US$ millions. This recovery contributed to a decrease in the ratio to 1.54 in 2021.
- Recent Trends (2022-2025)
- In the most recent period, the debt-to-equity ratio has remained relatively stable, fluctuating between 1.27 and 1.49. Long-term debt has remained within a range of 21,284 to 24,127 US$ millions, and equity has stabilized between 16,227 and 17,306 US$ millions. This suggests a period of more consistent financial structure.
Overall, the period examined was characterized by significant shifts in the company’s capital structure. While the initial years showed conservative leverage, a period of increased debt and declining equity led to substantial volatility. More recently, the ratio has stabilized, indicating a potential return to a more balanced financial position.
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Comparison to Competitors
United Parcel Service Inc., debt to equity, long-term trends, comparison to competitors
| United Parcel Service Inc. | FedEx Corp. | Uber Technologies Inc. | Union Pacific Corp. | United Airlines Holdings Inc. | |
|---|---|---|---|---|---|
| Dec 31, 2025 | 1.49 | 0.73 | 0.39 | 1.72 | 1.64 |
| Dec 31, 2024 | 1.27 | 0.73 | 0.39 | 1.85 | 2.26 |
| Dec 31, 2023 | 1.29 | 0.79 | 0.84 | 2.20 | 3.40 |
| Dec 31, 2022 | 0.99 | 0.81 | 1.26 | 2.74 | 4.68 |
| Dec 31, 2021 | 1.54 | 0.86 | 0.64 | 2.10 | 7.03 |
| Dec 31, 2020 | 37.53 | 1.20 | 0.62 | 1.58 | 4.75 |
| Dec 31, 2019 | 7.73 | 0.99 | 0.40 | 1.39 | 1.29 |
| Dec 31, 2018 | 7.53 | 0.85 | — | 1.10 | 1.47 |
| Dec 31, 2017 | 24.29 | 0.93 | — | 0.68 | 1.63 |
| Dec 31, 2016 | 39.69 | 1.01 | — | 0.75 | 1.35 |
| Dec 31, 2015 | 5.80 | 0.48 | — | 0.69 | 1.31 |
| Dec 31, 2014 | 5.04 | 0.31 | — | 0.54 | 5.06 |
| Dec 31, 2013 | 1.68 | 0.17 | — | 0.45 | 4.16 |
| Dec 31, 2012 | 2.77 | 0.11 | — | 0.45 | 27.37 |
| Dec 31, 2011 | 1.58 | 0.11 | — | 0.48 | 7.05 |
| Dec 31, 2010 | 1.36 | 0.14 | — | 0.52 | 8.76 |
| Dec 31, 2009 | 1.25 | 0.19 | — | 0.58 | — |
| Dec 31, 2008 | 1.46 | 0.14 | — | 0.58 | — |
| Dec 31, 2007 | 0.90 | 0.21 | — | 0.49 | 3.49 |
| Dec 31, 2006 | 0.27 | 0.21 | — | 0.44 | 4.93 |
| Dec 31, 2005 | 0.24 | 0.29 | — | 0.54 | — |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Transportation)
United Parcel Service Inc., debt to equity, long-term trends, comparison to sector (transportation)
| United Parcel Service Inc. | Transportation | |
|---|---|---|
| Dec 31, 2025 | 1.49 | 1.07 |
| Dec 31, 2024 | 1.27 | 1.15 |
| Dec 31, 2023 | 1.29 | 1.48 |
| Dec 31, 2022 | 0.99 | 1.61 |
| Dec 31, 2021 | 1.54 | 1.63 |
| Dec 31, 2020 | 37.53 | 2.02 |
| Dec 31, 2019 | 7.73 | 1.36 |
| Dec 31, 2018 | 7.53 | 1.45 |
| Dec 31, 2017 | 24.29 | 1.39 |
| Dec 31, 2016 | 39.69 | 1.32 |
| Dec 31, 2015 | 5.80 | 1.01 |
| Dec 31, 2014 | 5.04 | 0.95 |
| Dec 31, 2013 | 1.68 | 0.75 |
| Dec 31, 2012 | 2.77 | 0.92 |
| Dec 31, 2011 | 1.58 | 0.81 |
| Dec 31, 2010 | 1.36 | 0.90 |
| Dec 31, 2009 | 1.25 | 0.86 |
| Dec 31, 2008 | 1.46 | 0.84 |
| Dec 31, 2007 | 0.90 | 0.70 |
| Dec 31, 2006 | 0.27 | 0.54 |
| Dec 31, 2005 | 0.24 | 1.07 |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Industrials)
United Parcel Service Inc., debt to equity, long-term trends, comparison to industry (industrials)
| United Parcel Service Inc. | Industrials | |
|---|---|---|
| Dec 31, 2025 | 1.49 | 1.31 |
| Dec 31, 2024 | 1.27 | 1.38 |
| Dec 31, 2023 | 1.29 | 1.52 |
| Dec 31, 2022 | 0.99 | 1.42 |
| Dec 31, 2021 | 1.54 | 1.37 |
| Dec 31, 2020 | 37.53 | 1.82 |
| Dec 31, 2019 | 7.73 | 1.82 |
| Dec 31, 2018 | 7.53 | 1.85 |
| Dec 31, 2017 | 24.29 | 1.65 |
| Dec 31, 2016 | 39.69 | 1.54 |
| Dec 31, 2015 | 5.80 | 1.51 |
| Dec 31, 2014 | 5.04 | 1.89 |
| Dec 31, 2013 | 1.68 | 1.79 |
| Dec 31, 2012 | 2.77 | 2.29 |
| Dec 31, 2011 | 1.58 | 2.60 |
| Dec 31, 2010 | 1.36 | 2.68 |
| Dec 31, 2009 | 1.25 | 3.01 |
| Dec 31, 2008 | 1.46 | 3.54 |
| Dec 31, 2007 | 0.90 | 2.73 |
| Dec 31, 2006 | 0.27 | 2.49 |
| Dec 31, 2005 | 0.24 | 2.42 |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).