Net Profit Margin
since 2005
Calculation
United Parcel Service Inc., net profit margin, long-term trends, calculation
| Net profit margin | = | 100 | × | Net income1 | ÷ | Revenue1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2025 | 6.28% | = | 100 | × | 5,572) | ÷ | 88,661) |
| Dec 31, 2024 | 6.35% | = | 100 | × | 5,782) | ÷ | 91,070) |
| Dec 31, 2023 | 7.37% | = | 100 | × | 6,708) | ÷ | 90,958) |
| Dec 31, 2022 | 11.51% | = | 100 | × | 11,548) | ÷ | 100,338) |
| Dec 31, 2021 | 13.25% | = | 100 | × | 12,890) | ÷ | 97,287) |
| Dec 31, 2020 | 1.59% | = | 100 | × | 1,343) | ÷ | 84,628) |
| Dec 31, 2019 | 5.99% | = | 100 | × | 4,440) | ÷ | 74,094) |
| Dec 31, 2018 | 6.67% | = | 100 | × | 4,791) | ÷ | 71,861) |
| Dec 31, 2017 | 7.45% | = | 100 | × | 4,910) | ÷ | 65,872) |
| Dec 31, 2016 | 5.63% | = | 100 | × | 3,431) | ÷ | 60,906) |
| Dec 31, 2015 | 8.30% | = | 100 | × | 4,844) | ÷ | 58,363) |
| Dec 31, 2014 | 5.21% | = | 100 | × | 3,032) | ÷ | 58,232) |
| Dec 31, 2013 | 7.89% | = | 100 | × | 4,372) | ÷ | 55,438) |
| Dec 31, 2012 | 1.49% | = | 100 | × | 807) | ÷ | 54,127) |
| Dec 31, 2011 | 7.16% | = | 100 | × | 3,804) | ÷ | 53,105) |
| Dec 31, 2010 | 7.04% | = | 100 | × | 3,488) | ÷ | 49,545) |
| Dec 31, 2009 | 4.75% | = | 100 | × | 2,152) | ÷ | 45,297) |
| Dec 31, 2008 | 5.83% | = | 100 | × | 3,003) | ÷ | 51,486) |
| Dec 31, 2007 | 0.77% | = | 100 | × | 382) | ÷ | 49,692) |
| Dec 31, 2006 | 8.84% | = | 100 | × | 4,202) | ÷ | 47,547) |
| Dec 31, 2005 | 9.09% | = | 100 | × | 3,870) | ÷ | 42,581) |
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 net profit margin exhibited considerable fluctuation over the observed period, spanning from 2005 to 2025. Initial years demonstrated a relatively strong and stable profitability, followed by a period of significant volatility, and concluding with a return to more moderate, though still fluctuating, levels.
- Initial Stability and Decline (2005-2009)
- From 2005 to 2006, the net profit margin remained consistently high, around 9.09% and 8.84% respectively. A dramatic decline occurred in 2007, falling to 0.77%, indicating a substantial reduction in profitability. This downward trend continued into 2008 and 2009, reaching 5.83% and 4.75% respectively, suggesting increasing cost pressures or revenue challenges.
- Recovery and Subsequent Volatility (2010-2015)
- A recovery was observed in 2010, with the net profit margin rising to 7.04%. This positive momentum continued through 2011, reaching 7.16%. However, 2012 saw a sharp decrease to 1.49%, followed by a substantial increase to 7.89% in 2013. The years 2014 and 2015 showed a net profit margin of 5.21% and 8.30% respectively, demonstrating continued variability.
- Moderate Fluctuations and Recent Peaks (2016-2025)
- From 2016 to 2019, the net profit margin fluctuated between 5.63% and 6.67%, indicating a period of relative stability, albeit at a moderate level. A significant surge occurred in 2020, with the net profit margin reaching 1.59%, followed by exceptionally high values in 2021 (13.25%) and 2022 (11.51%). This suggests a period of exceptional profitability, potentially driven by unique market conditions. The final three years of the period (2023-2025) show a decline to 7.37%, 6.35%, and 6.28% respectively, indicating a return towards more typical levels, though still above the margins observed in the earlier part of the analyzed timeframe.
Overall, the net profit margin demonstrates a pattern of cyclicality and responsiveness to external factors. While periods of strong profitability were evident, particularly in the later years, the company experienced considerable volatility, highlighting the importance of ongoing cost management and revenue diversification strategies.
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Comparison to Competitors
United Parcel Service Inc., net profit margin, 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 | 6.28% | 4.65% | 19.33% | 29.12% | 5.68% |
| Dec 31, 2024 | 6.35% | 4.94% | 22.41% | 27.82% | 5.52% |
| Dec 31, 2023 | 7.37% | 4.41% | 5.06% | 26.45% | 4.87% |
| Dec 31, 2022 | 11.51% | 4.09% | -28.68% | 28.13% | 1.64% |
| Dec 31, 2021 | 13.25% | 6.23% | -2.84% | 29.92% | -7.97% |
| Dec 31, 2020 | 1.59% | 1.86% | -60.76% | 27.38% | -46.04% |
| Dec 31, 2019 | 5.99% | 0.77% | -60.13% | 27.27% | 6.96% |
| Dec 31, 2018 | 6.67% | 6.99% | — | 26.13% | 5.15% |
| Dec 31, 2017 | 7.45% | 4.97% | — | 50.43% | 5.65% |
| Dec 31, 2016 | 5.63% | 3.61% | — | 21.23% | 6.19% |
| Dec 31, 2015 | 8.30% | 2.21% | — | 21.88% | 19.39% |
| Dec 31, 2014 | 5.21% | 4.60% | — | 21.59% | 2.91% |
| Dec 31, 2013 | 7.89% | 3.52% | — | 19.98% | 1.49% |
| Dec 31, 2012 | 1.49% | 4.76% | — | 18.84% | -1.95% |
| Dec 31, 2011 | 7.16% | 3.69% | — | 16.83% | 2.26% |
| Dec 31, 2010 | 7.04% | 3.41% | — | 16.39% | 1.09% |
| Dec 31, 2009 | 4.75% | 0.28% | — | 13.42% | -3.99% |
| Dec 31, 2008 | 5.83% | 2.96% | — | 13.01% | -26.48% |
| Dec 31, 2007 | 0.77% | 5.72% | — | 11.39% | 2.00% |
| Dec 31, 2006 | 8.84% | 5.59% | — | 10.31% | 118.28% |
| Dec 31, 2005 | 9.09% | 4.93% | — | 7.56% | -121.85% |
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., net profit margin, long-term trends, comparison to sector (transportation)
| United Parcel Service Inc. | Transportation | |
|---|---|---|
| Dec 31, 2025 | 6.28% | 9.68% |
| Dec 31, 2024 | 6.35% | 9.82% |
| Dec 31, 2023 | 7.37% | 7.28% |
| Dec 31, 2022 | 11.51% | 4.73% |
| Dec 31, 2021 | 13.25% | 9.05% |
| Dec 31, 2020 | 1.59% | -2.93% |
| Dec 31, 2019 | 5.99% | 2.42% |
| Dec 31, 2018 | 6.67% | 8.67% |
| Dec 31, 2017 | 7.45% | 11.21% |
| Dec 31, 2016 | 5.63% | 7.00% |
| Dec 31, 2015 | 8.30% | 10.88% |
| Dec 31, 2014 | 5.21% | 6.86% |
| Dec 31, 2013 | 7.89% | 6.81% |
| Dec 31, 2012 | 1.49% | 3.91% |
| Dec 31, 2011 | 7.16% | 6.30% |
| Dec 31, 2010 | 7.04% | 6.19% |
| Dec 31, 2009 | 4.75% | 3.14% |
| Dec 31, 2008 | 5.83% | 0.88% |
| Dec 31, 2007 | 0.77% | 3.84% |
| Dec 31, 2006 | 8.84% | 26.57% |
| Dec 31, 2005 | 9.09% | -14.41% |
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., net profit margin, long-term trends, comparison to industry (industrials)
| United Parcel Service Inc. | Industrials | |
|---|---|---|
| Dec 31, 2025 | 6.28% | 9.59% |
| Dec 31, 2024 | 6.35% | 8.06% |
| Dec 31, 2023 | 7.37% | 8.32% |
| Dec 31, 2022 | 11.51% | 5.04% |
| Dec 31, 2021 | 13.25% | 5.85% |
| Dec 31, 2020 | 1.59% | 0.09% |
| Dec 31, 2019 | 5.99% | 4.11% |
| Dec 31, 2018 | 6.67% | 4.75% |
| Dec 31, 2017 | 7.45% | 5.79% |
| Dec 31, 2016 | 5.63% | 7.43% |
| Dec 31, 2015 | 8.30% | 6.48% |
| Dec 31, 2014 | 5.21% | 8.76% |
| Dec 31, 2013 | 7.89% | 8.23% |
| Dec 31, 2012 | 1.49% | 7.39% |
| Dec 31, 2011 | 7.16% | 8.26% |
| Dec 31, 2010 | 7.04% | 7.48% |
| Dec 31, 2009 | 4.75% | 5.76% |
| Dec 31, 2008 | 5.83% | 7.27% |
| Dec 31, 2007 | 0.77% | 9.56% |
| Dec 31, 2006 | 8.84% | 14.87% |
| Dec 31, 2005 | 9.09% | 3.55% |
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).