UPS Expects 2026 Revenue of $108B-$114B, FCF of $17B-$18B and 2024–2026 Capex of 5.5% of Total Revenue
Portfolio Pulse from Benzinga Newsdesk
UPS has outlined its financial targets for 2026, projecting consolidated revenue between $108 billion and $114 billion, with an adjusted operating margin above 13%. The company anticipates an adjusted operating margin of at least 12% for its U.S. Domestic Package segment, between 18% and 19% for the International Package segment, and around 12% for the Supply Chain Solutions segment. Additionally, UPS expects to generate free cash flow of $17 billion to $18 billion and plans capital spending of approximately 5.5% of total revenue from 2024 to 2026.
March 26, 2024 | 10:04 am
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UPS projects significant growth by 2026 with revenue between $108B-$114B, operating margins above 13%, and free cash flow of $17B-$18B, alongside a capital expenditure plan of 5.5% of total revenue.
UPS's ambitious financial targets for 2026 indicate a positive outlook for the company's growth and profitability. The projected increase in revenue, operating margins, and free cash flow suggests strong operational efficiency and financial health. This outlook is likely to be viewed positively by investors, potentially leading to an increase in stock price in the short term as market sentiment around UPS's future prospects improves.
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