NYSE$UPS

United Parcel Service Inc · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

UPS reported Q4 2020 earnings with revenue growth across all segments.

UPS announced strong fourth-quarter results, with consolidated revenue increasing by 21.0% to $24.9 billion. The company's adjusted diluted EPS rose by 26.1% to $2.66. The company also started transporting COVID-19 vaccines during the quarter.

  • Consolidated revenue increased 21.0% to $24.9B; Growth Across All Segments
  • Consolidated Operating Profit Up 1.6% to $2.2B, Up 26.0% on an Adjusted* Basis
  • Adjusted Diluted EPS of $2.66, Up 26.1%
  • Began transporting COVID-19 vaccines

Headline financials

Total Revenue

$24.9B

Previous: $20.6B+21.0%
EPS (adj)

$2.66

Previous: $2.11+26.1%
Capital Expenditures

$2.19B

Previous: $2.04B+7.3%
Free Cash Flow

-$1.02B

Previous: $902M-212.7%
Net Income

-$3.26B

Previous: -$106M-2978.3%
Operating Income

$2.17B

Previous: $2.13B+1.6%
Gross Profit

$2.17B

Previous: $2.13B+1.6%
Cash & Equivalents

$5.91B

Previous: $5.24B+12.8%
Total Assets

$62.4B

Previous: $57.9B+7.9%
Stock-Based Comp

$288M

Previous: $199M+44.7%

Revenue & EPS history

UPS · Revenue · Quarterly

$24.9B

Q4 2020+21%vs Q4 2019
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

UPS · $24.9B total across 3 segments · Q4 2020

  • U.S. Domestic Package
    $15.7B+17.4%
  • International Package
    $4.77B+26.8%
  • Supply Chain Solutions
    $4.38B+29.0%

Forward guidance

Given continued economic uncertainty due to the global pandemic, the Company is not providing revenue or diluted earnings per share guidance. It is providing full-year guidance for capital allocation.

Tailwinds

  • Capital expenditures are planned to be about $4.0 billion.
  • Dividends are expected to grow, subject to Board approval.
  • Long-term debt maturities of $2.5 billion will be repaid when they come due.
  • Effective tax rate is expected to be approximately 23.5%.
  • The Company has no plans to repurchase shares or access the debt capital markets in 2021.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2020

Historical avgQ4 2020

-0.3%

Avg return

Earnings day

-0.9%

Avg return

5 days after

-0.2%

Avg return

30 days after

48%

35 / 73 earnings

Positive

+15.4%

Q2 2020

Best reaction

-14.1%

Q4 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-4.6%-0.6%-1.9%
Q4 2025+0.9%-0.7%+9.0%
Q3 2025+7.7%+8.1%+7.2%
Q2 2025-0.6%-0.5%-2.0%
Q1 2025-0.4%-0.7%+1.0%
Q4 2024-14.1%-16.5%-11.0%
Q3 2024+4.6%+2.2%+2.6%
Q2 2024-11.5%-11.3%-12.6%
Q1 2024+0.9%+1.5%-4.3%
Q4 2023-10.2%-10.2%-6.2%
Q3 2023-8.2%-3.9%+3.5%
Q2 2023-1.5%-3.0%-10.9%
Q1 2023-11.9%-8.2%-12.6%
Q4 2022+4.5%+8.3%+4.4%
Q3 2022+0.9%-0.2%+9.1%
Q2 2022-2.1%+3.7%+9.1%
Q1 2022-1.7%-5.1%-5.9%
Q4 2021+14.8%+11.2%+5.1%
Q3 2021+4.1%+4.7%+2.2%
Q2 2021-8.5%-8.8%-8.3%
Q1 2021+12.8%+16.0%+21.0%
Q4 2020+2.2%+5.2%+2.0%
Q3 2020-5.5%-6.6%-1.1%
Q2 2020+15.4%+17.0%+31.3%
Q1 2020-6.3%-10.4%-2.8%
Q4 2019-10.6%-10.7%-21.8%
Q3 2019-2.8%-2.4%+0.8%
Q2 2019+12.3%+12.8%+5.7%
Q1 2019-9.2%-7.2%-16.2%
Q4 2018+4.8%+6.4%+10.8%
Q3 2018-5.6%-8.0%-4.9%
Q2 2018+5.7%+5.6%+9.2%
Q1 2018+4.9%+3.5%+6.3%
Q4 2017-8.5%-11.5%-17.2%
Q3 2017+1.9%-0.9%-4.6%
Q2 2017-2.3%-1.9%+1.0%
Q1 2017-0.1%-0.7%-1.6%
Q4 2016-10.0%-8.6%-9.5%
Q3 2016-0.8%-1.6%+7.0%
Q2 2016-0.7%-0.4%+0.2%
Q1 2016-1.3%
Q4 2015+1.3%
Q3 2015-3.3%
Q2 2015+6.1%
Q1 2015+3.9%
Q4 2014+0.4%
Q3 2014+1.8%
Q2 2014-3.2%
Q1 2014-1.9%
Q4 2013-0.1%
Q3 2013+3.5%
Q2 2013-0.7%
Q1 2013+2.6%
Q4 2012-1.6%
Q3 2012+2.2%
Q2 2012-4.7%
Q1 2012-1.5%
Q2 2011+0.5%
Q4 2011+0.5%
Q3 2011-0.1%
Q1 2011-0.2%
Q2 2010-1.5%
Q4 2010-1.5%
Q3 2010+0.2%
Q1 2009+3.8%
Q1 2010-0.6%
Q2 2009+0.7%
Q4 2007+0.7%
Q4 2009+0.7%
Q3 2008+3.2%
Q3 2009+3.2%
Q2 2008+0.9%
Q4 2008+0.9%

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