Document

Exhibit 99.2

United Parcel Service, Inc.

Selected Financial Data - Third Quarter

(unaudited)


	Three Months Ended
	September 30,
	2025			2024			Change		% Change
(amounts in millions, except per share data)
Statement of Income Data:
Revenue:
U.S. Domestic Package	$	14,220		$	14,597		$	(377)	(2.6)	%
International Package	4,673			4,411			262		5.9	%
Supply Chain Solutions	2,522			3,237			(715)		(22.1)	%
Total revenue	21,415			22,245			(830)		(3.7)	%
Operating expenses:
U.S. Domestic Package	13,617			13,754			(137)		(1.0)	%
International Package	3,997			3,613			384		10.6	%
Supply Chain Solutions	1,997			2,893			(896)		(31.0)	%
Total operating expenses	19,611			20,260			(649)		(3.2)	%
Operating profit:
U.S. Domestic Package	603			843			(240)		(28.5)	%
International Package	676			798			(122)		(15.3)	%
Supply Chain Solutions	525			344			181		52.6	%
Total operating profit	1,804			1,985			(181)		(9.1)	%
Other income (expense):
Other pension income (expense)	47			68			(21)		(30.9)	%
Investment income (expense) and other	47			87			(40)		(46.0)	%
Interest expense	(291)			(230)			(61)		26.5	%
Total other income (expense)	(197)			(75)			(122)		162.7	%
Income before income taxes	1,607			1,910			(303)		(15.9)	%
Income tax expense	296			371			(75)		(20.2)	%
Net income	$	1,311		$	1,539		$	(228)	(14.8)	%

Net income as a percentage of revenue	6.1		%	6.9		%
Per share amounts:
Basic earnings per share	$	1.55		$	1.80		$	(0.25)	(13.9)	%
Diluted earnings per share	$	1.55		$	1.80		$	(0.25)	(13.9)	%
Weighted-average shares outstanding:
Basic	848			855			(7)		(0.8)	%
Diluted	848			855			(7)		(0.8)	%
Non-GAAP Adjusted Income Data (1):
Operating profit:
U.S. Domestic Package	$	905		$	919		$	(14)	(1.5)	%
International Package	691			792			(101)		(12.8)	%
Supply Chain Solutions	536			272			264		97.1	%
Total operating profit	2,132			1,983			149		7.5	%
Total other income (expense)	$	(197)		$	(75)		$	(122)	162.7	%
Income before income taxes	$	1,935		$	1,908		$	27	1.4	%
Net income	$	1,475		$	1,503		$	(28)	(1.9)	%

Basic earnings per share	$	1.74		$	1.76		$	(0.02)	(1.1)	%
Diluted earnings per share	$	1.74		$	1.76		$	(0.02)	(1.1)	%

(1) See Non-GAAP schedules for reconciliation of adjustments.

Certain prior year amounts have been reclassified to conform to the current year presentation, including the recast of air cargo results to U.S. Domestic, with no change to consolidated results. Certain amounts are calculated based on unrounded numbers.

United Parcel Service, Inc.

Selected Operating Data - Third Quarter

(unaudited)


	Three Months Ended
	September 30,
	2025		2024		Change		% Change
Revenue (in millions):
U.S. Domestic Package:
Next Day Air	$	2,381	$	2,396	$	(15)	(0.6)	%
Deferred	1,020		1,109		(89)		(8.0)	%
Ground	10,525		10,945		(420)		(3.8)	%
Cargo and Other	294		147		147		100.0	%
Total U.S. Domestic Package	14,220		14,597		(377)		(2.6)	%
International Package:
Domestic	847		771		76		9.9	%
Export	3,646		3,482		164		4.7	%
Cargo and Other	180		158		22		13.9	%
Total International Package	4,673		4,411		262		5.9	%
Supply Chain Solutions:
Forwarding	730		1,307		(577)		(44.1)	%
Logistics	1,363		1,550		(187)		(12.1)	%
Other	429		380		49		12.9	%
Total Supply Chain Solutions	2,522		3,237		(715)		(22.1)	%
Consolidated	$	21,415	$	22,245	$	(830)	(3.7)	%

Consolidated volume (in millions)	1,243		1,378		(135)		(9.8)	%

Operating weekdays	64		64		—		0.0	%
Average Daily Package Volume (in thousands):
U.S. Domestic Package:
Next Day Air	1,422		1,596		(174)		(10.9)	%
Deferred	804		988		(184)		(18.6)	%
Ground	13,924		15,823		(1,899)		(12.0)	%
Total U.S. Domestic Package	16,150		18,407		(2,257)		(12.3)	%
International Package:
Domestic	1,536		1,483		53		3.6	%
Export	1,733		1,637		96		5.9	%
Total International Package	3,269		3,120		149		4.8	%
Consolidated	19,419		21,527		(2,108)		(9.8)	%
Average Revenue Per Piece:
U.S. Domestic Package:
Next Day Air	$	26.16	$	23.46	$	2.70	11.5	%
Deferred	19.82		17.54		2.28		13.0	%
Ground	11.81		10.81		1.00		9.3	%
Total U.S. Domestic Package	13.47		12.27		1.20		9.8	%
International Package:
Domestic	8.62		8.12		0.50		6.2	%
Export	32.87		33.24		(0.37)		(1.1)	%
Total International Package	21.48		21.30		0.18		0.8	%
Consolidated	$	14.82	$	13.58	$	1.24	9.1	%

United Parcel Service, Inc.

Detail of Operating Expenses - Third Quarter

(unaudited)


	Three Months Ended
	September 30,
	2025		2024		Change		% Change
(in millions)
Compensation and benefits	$	12,118	$	11,955	$	163	1.4	%
Repairs and maintenance	803		713		90		12.6	%
Depreciation and amortization	926		905		21		2.3	%
Purchased transportation	2,463		3,375		(912)		(27.0)	%
Fuel	1,071		1,068		3		0.3	%
Other occupancy	548		517		31		6.0	%
Other expenses	1,682		1,727		(45)		(2.6)	%
Total operating expenses	$	19,611	$	20,260	$	(649)	(3.2)	%

United Parcel Service, Inc.

Selected Financial Data - Year to Date

(unaudited)


	Nine Months Ended
	September 30,
	2025			2024			Change		% Change
(amounts in millions, except per share data)
Statement of Income Data:
Revenue:
U.S. Domestic Package	$	42,763		$	43,064		$	(301)	(0.7)	%
International Package	13,531			13,037			494		3.8	%
Supply Chain Solutions	7,888			9,668			(1,780)		(18.4)	%
Total revenue	64,182			65,769			(1,587)		(2.4)	%
Operating expenses:
U.S. Domestic Package	40,265			40,400			(135)		(0.3)	%
International Package	11,542			10,865			677		6.2	%
Supply Chain Solutions	7,083			8,962			(1,879)		(21.0)	%
Total operating expenses	58,890			60,227			(1,337)		(2.2)	%
Operating profit:
U.S. Domestic Package	2,498			2,664			(166)		(6.2)	%
International Package	1,989			2,172			(183)		(8.4)	%
Supply Chain Solutions	805			706			99		14.0	%
Total operating profit	5,292			5,542			(250)		(4.5)	%
Other income (expense):
Other pension income (expense)	122			202			(80)		(39.6)	%
Investment income (expense) and other	129			208			(79)		(38.0)	%
Interest expense	(751)			(637)			(114)		17.9	%
Total other income (expense)	(500)			(227)			(273)		120.3	%
Income before income taxes	4,792			5,315			(523)		(9.8)	%
Income tax expense	1,011			1,254			(243)		(19.4)	%
Net income	$	3,781		$	4,061		$	(280)	(6.9)	%

Net income as a percentage of revenue	5.9		%	6.2		%
Per share amounts:
Basic earnings per share	$	4.46		$	4.74		$	(0.28)	(5.9)	%
Diluted earnings per share	$	4.46		$	4.74		$	(0.28)	(5.9)	%
Weighted-average shares outstanding:
Basic	849			856			(7)		(0.8)	%
Diluted	849			856			(7)		(0.8)	%
Non-GAAP Adjusted Income Data (1):
Operating profit:
U.S. Domestic Package	$	2,898		$	2,762		$	136	4.9	%
International Package	2,027			2,298			(271)		(11.8)	%
Supply Chain Solutions	846			734			112		15.3	%
Total operating profit	5,771			5,794			(23)		(0.4)	%
Total other income (expense)	$	(481)		$	(221)		$	(260)	117.6	%
Income before income taxes	$	5,290		$	5,573		$	(283)	(5.1)	%
Net income	$	4,057		$	4,255		$	(198)	(4.7)	%

Basic earnings per share	$	4.78		$	4.97		$	(0.19)	(3.8)	%
Diluted earnings per share	$	4.78		$	4.97		$	(0.19)	(3.8)	%

(1) See Non-GAAP schedules for reconciliation of adjustments.

United Parcel Service, Inc.

Selected Operating Data - Year to Date

(unaudited)


	Nine Months Ended
	September 30,
	2025		2024		Change		% Change
Revenue (in millions):
U.S. Domestic Package:
Next Day Air	$	7,035	$	7,021	$	14	0.2	%
Deferred	3,093		3,372		(279)		(8.3)	%
Ground	31,718		32,410		(692)		(2.1)	%
Cargo and Other	917		261		656		251.3	%
Total U.S. Domestic Package	42,763		43,064		(301)		(0.7)	%
International Package:
Domestic	2,448		2,299		149		6.5	%
Export	10,574		10,269		305		3.0	%
Cargo and Other	509		469		40		8.5	%
Total International Package	13,531		13,037		494		3.8	%
Supply Chain Solutions:
Forwarding	2,188		3,902		(1,714)		(43.9)	%
Logistics	4,411		4,638		(227)		(4.9)	%
Other	1,289		1,128		161		14.3	%
Total Supply Chain Solutions	7,888		9,668		(1,780)		(18.4)	%
Consolidated	$	64,182	$	65,769	$	(1,587)	(2.4)	%

Consolidated volume (in millions)	3,795		4,053		(258)		(6.4)	%

Operating weekdays	190		191		(1)		(0.5)	%

Average Daily Package Volume (in thousands):
U.S. Domestic Package:
Next Day Air	1,456		1,582		(126)		(8.0)	%
Deferred	831		1,008		(177)		(17.6)	%
Ground	14,420		15,526		(1,106)		(7.1)	%
Total U.S. Domestic Package	16,707		18,116		(1,409)		(7.8)	%
International Package:
Domestic	1,539		1,491		48		3.2	%
Export	1,728		1,613		115		7.1	%
Total International Package	3,267		3,104		163		5.3	%
Consolidated	19,974		21,220		(1,246)		(5.9)	%

Average Revenue Per Piece:
U.S. Domestic Package:
Next Day Air	$	25.43	$	23.24	$	2.19	9.4	%
Deferred	19.59		17.51		2.08		11.9	%
Ground	11.58		10.93		0.65		5.9	%
Total U.S. Domestic Package	13.18		12.37		0.81		6.5	%
International Package:
Domestic	8.37		8.07		0.30		3.7	%
Export	32.21		33.33		(1.12)		(3.4)	%
Total International Package	20.98		21.20		(0.22)		(1.0)	%
Consolidated	$	14.46	$	13.66	$	0.80	5.9	%

United Parcel Service, Inc.

Detail of Operating Expenses - Year to Date

(unaudited)


	Nine Months Ended
	September 30,
	2025		2024		Change		% Change
(in millions)
Compensation and benefits	$	35,571	$	35,097	$	474	1.4	%
Repairs and maintenance	2,290		2,165		125		5.8	%
Depreciation and amortization	2,774		2,690		84		3.1	%
Purchased transportation	7,715		9,894		(2,179)		(22.0)	%
Fuel	3,187		3,254		(67)		(2.1)	%
Other occupancy	1,699		1,573		126		8.0	%
Other expenses	5,654		5,554		100		1.8	%
Total operating expenses	$	58,890	$	60,227	$	(1,337)	(2.2)	%

United Parcel Service, Inc.

Consolidated Balance Sheets

September 30, 2025 (unaudited) and December 31, 2024 (amounts in millions)


	September 30, 2025		December 31, 2024
ASSETS
Current Assets:
Cash and cash equivalents	$	6,764	$	6,112
Accounts receivable, net	9,967		10,871
Other current assets	2,254		2,327
Total Current Assets	18,985		19,310
Property, Plant and Equipment, Net	37,743		37,179
Operating Lease Right-Of-Use Assets	4,217		4,149
Goodwill	4,810		4,300
Intangible Assets, Net	3,455		3,064
Deferred Income Tax Assets	158		112
Other Non-Current Assets	2,024		1,956
Total Assets	$	71,392	$	70,070

LIABILITIES AND SHAREOWNERS' EQUITY
Current Liabilities:
Current maturities of long-term debt, commercial paper and finance leases	$	932	$	1,838
Current maturities of operating leases	742		733
Accounts payable	5,784		6,302
Accrued wages and withholdings	3,476		3,655
Self-insurance reserves	1,024		1,086
Accrued group welfare and retirement plan contributions	1,221		1,390
Other current liabilities	1,373		1,437
Total Current Liabilities	14,552		16,441
Long-Term Debt and Finance Leases	23,850		19,446
Non-Current Operating Leases	3,687		3,635
Pension and Postretirement Benefit Obligations	6,187		6,859
Deferred Income Tax Liabilities	3,581		3,595
Other Non-Current Liabilities	3,687		3,351

Shareowners' Equity:
Class A common stock	2		2
Class B common stock	7		7
Additional paid-in capital	178		136
Retained earnings	19,753		20,882
Accumulated other comprehensive loss	(4,117)		(4,309)
Deferred compensation obligations	5		7
Less: Treasury stock	(5)		(7)
Total Equity for Controlling Interests	15,823		16,718
Noncontrolling interests	25		25
Total Shareowners' Equity	15,848		16,743
Total Liabilities and Shareowners' Equity	$	71,392	$	70,070

Certain prior year amounts have been reclassified to conform to the current year presentation. Certain amounts are calculated based on unrounded numbers.

United Parcel Service, Inc.

Statements of Consolidated Cash Flows

(In millions, unaudited)


		Nine Months Ended
		September 30,
		2025		2024
Cash Flows From Operating Activities:
	Net income	$	3,781	$	4,061
	Adjustments to reconcile net income to net cash from operating activities:
	Depreciation and amortization	2,774		2,690
	Pension and postretirement benefit expense	763		774
	Pension and postretirement benefit contributions	(1,338)		(1,434)
	Self-insurance reserves	76		14
	Deferred tax (benefit) expense	(34)		24
	Stock compensation expense (benefit)	41		(21)
	Other (gains) losses	(155)		61
	Changes in assets and liabilities, net of effects of business acquisitions:
	Accounts receivable	854		1,395
	Other assets	(80)		116
	Accounts payable	(801)		(829)
	Accrued wages and withholdings	(202)		348
	Other liabilities	(528)		(335)
	Other operating activities	(3)		(57)
	Net cash from operating activities	5,148		6,807
Cash Flows From Investing Activities:
	Capital expenditures	(2,969)		(2,811)
	Proceeds from disposal of businesses, property, plant and equipment	585		1,070
	Purchases of marketable securities	(90)		(52)
	Sales and maturities of marketable securities	229		2,725
	Acquisitions, net of cash acquired	(479)		(66)
	Other investing activities	(10)		(26)
	Net cash (used in) from investing activities	(2,734)		840
Cash Flows From Financing Activities:
	Net change in short-term debt	—		(1,272)
	Proceeds from long-term borrowings	4,153		2,785
	Repayments of long-term borrowings	(1,145)		(1,944)
	Purchases of common stock	(1,000)		(500)
	Issuances of common stock	133		184
	Dividends	(4,045)		(4,049)
	Other financing activities	(43)		(207)
	Net cash used in financing activities	(1,947)		(5,003)
Effect of Exchange Rate Changes on Cash, Cash Equivalents and Restricted Cash		185		5
Net Increase (Decrease) in Cash, Cash Equivalents and Restricted Cash		652		2,649
Cash, Cash Equivalents and Restricted Cash:
	Beginning of period	6,112		3,206
	End of period	$	6,764	$	5,855

Certain prior year amounts have been reclassified to conform to the current year presentation. Certain amounts are calculated based on unrounded numbers.

United Parcel Service, Inc.

Reconciliation of Free Cash Flow (Non-GAAP measure)

(In millions, unaudited)



	Nine Months Ended
	September 30,
	2025		2024
Cash flows from operating activities	$	5,148	$	6,807
Capital expenditures	(2,969)		(2,811)
Proceeds from disposals of property, plant and equipment	585		68
Other investing activities	(20)		(26)
Free Cash Flow (Non-GAAP measure)	$	2,744	$	4,038

Certain prior year amounts have been reclassified to conform to the current year presentation. Certain amounts are calculated based on unrounded numbers.

United Parcel Service, Inc.

Reconciliation of GAAP and Non-GAAP Adjusted Measures

(unaudited)


Three Months Ended
September 30,
(amounts in millions)	2025		2024			2025		2024
Operating Profit (GAAP)	$	1,804	$	1,985	Operating Margin (GAAP)	8.4	%	8.9	%

Transformation Strategy Costs:					Transformation Strategy Costs:
Transformation 2.0					Transformation 2.0
Business portfolio review	—		34		Business portfolio review	—	%	0.1	%
Financial systems	13		12		Financial systems	0.1	%	0.1	%
Transformation 2.0 total	13		46		Transformation 2.0 total	0.1	%	0.2	%

Fit to Serve	19		108		Fit to Serve	0.1	%	0.5	%

Network Reconfiguration and Efficiency Reimagined	296		—		Network Reconfiguration and Efficiency Reimagined	1.4	%	—	%

Total Transformation Strategy Costs	328		154		Total Transformation Strategy Costs	1.6	%	0.7	%

Gain on Divestiture (6)	—		(156)		Gain on Divestiture (6)	—	%	(0.7)	%

Non-GAAP Adjusted Operating Profit	$	2,132	$	1,983	Non-GAAP Adjusted Operating Margin	10.0	%	8.9	%


(6) Represents a pre-tax gain of $156 million on the divestiture of our Coyote Logistics business within Supply Chain Solutions during 2024.

United Parcel Service, Inc.

Reconciliation of GAAP and Non-GAAP Adjusted Measures

(unaudited)


Three Months Ended
September 30,
(amounts in millions)	2025		2024		(amounts in millions)	2025		2024
Income Before Income Taxes (GAAP)	$	1,607	$	1,910	Income Tax Expense (GAAP)	$	296	$	371

Transformation Strategy Costs:					Transformation Strategy Costs:
Transformation 2.0					Transformation 2.0
Business portfolio review	—		34		Business portfolio review	—		8
Financial systems	13		12		Financial systems	3		3
Transformation 2.0 total	13		46		Transformation 2.0 total	3		11

Fit to Serve	19		108		Fit to Serve	4		27

Network Reconfiguration and Efficiency Reimagined	296		—		Network Reconfiguration and Efficiency Reimagined	71		—

Total Transformation Strategy Costs	328		154		Total Transformation Strategy Costs	78		38

Gain on Divestiture (6)	—		(156)		Gain on Divestiture (6)	—		(4)
					Reversal of Income Tax Valuation Allowance (7)	86		—
Non-GAAP Adjusted Income Before Income Taxes	$	1,935	$	1,908	Non-GAAP Adjusted Income Tax Expense	$	460	$	405

(6) Represents a pre-tax gain of $156 million on the divestiture of our Coyote Logistics business within Supply Chain Solutions during 2024.
(7) Reflects the reversal of an income tax valuation allowance.

United Parcel Service, Inc.

Reconciliation of GAAP and Non-GAAP Adjusted Measures

(unaudited)


Three Months Ended
September 30,
(amounts in millions)	2025		2024			2025		2024
Net Income (GAAP)	$	1,311	$	1,539	Diluted Earnings Per Share (GAAP)	$	1.55	$	1.80

Transformation Strategy Costs:					Transformation Strategy Costs:
Transformation 2.0					Transformation 2.0
Business portfolio review	—		26		Business portfolio review	—		0.03
Financial systems	10		9		Financial systems	0.01		0.01
Transformation 2.0 total	10		35		Transformation 2.0 total	0.01		0.04

Fit to Serve	15		81		Fit to Serve	0.02		0.10

Network Reconfiguration and Efficiency Reimagined	225		—		Network Reconfiguration and Efficiency Reimagined	0.26		—

Total Transformation Strategy Costs	250		116		Total Transformation Strategy Costs	0.29		0.14

Gain on Divestiture (6)	—		(152)		Gain on Divestiture (6)	—		(0.18)
Reversal of Income Tax Valuation Allowance (7)	(86)		—		Reversal of Income Tax Valuation Allowance (7)	(0.10)		—

Non-GAAP Adjusted Net Income	$	1,475	$	1,503	Non-GAAP Adjusted Diluted Earnings Per Share	$	1.74	$	1.76


(6) Represents a pre-tax gain of $156 million on the divestiture of our Coyote Logistics business within Supply Chain Solutions during 2024.
(7) Reflects the reversal of an income tax valuation allowance.

United Parcel Service, Inc.

Reconciliation of GAAP and Non-GAAP Adjusted Measures by Segment

(unaudited)


Three Months Ended
September 30,
	2025		2024				2025		2024				2025		2024
U.S. Domestic Package	Operating Expenses				% Change		Operating Profit				% Change		Operating Margin
GAAP	$	13,617	$	13,754	(1.0)	%	$	603	$	843	(28.5)	%	4.2	%	5.8	%

Adjusted for:
Transformation Strategy Costs	(302)		(76)				302		76				2.2	%	0.5	%

Non-GAAP Adjusted Measure	$	13,315	$	13,678	(2.7)	%	$	905	$	919	(1.5)	%	6.4	%	6.3	%

	2025		2024				2025		2024				2025		2024
International Package	Operating Expenses				% Change		Operating Profit				% Change		Operating Margin
GAAP	$	3,997	$	3,613	10.6	%	$	676	$	798	(15.3)	%	14.5	%	18.1	%

Adjusted for:
Transformation Strategy Costs	(15)		6				15		(6)				0.3	%	(0.1)	%

Non-GAAP Adjusted Measure	$	3,982	$	3,619	10.0	%	$	691	$	792	(12.8)	%	14.8	%	18.0	%

	2025		2024				2025		2024				2025		2024
Supply Chain Solutions	Operating Expenses				% Change		Operating Profit				% Change		Operating Margin
GAAP	$	1,997	$	2,893	(31.0)	%	$	525	$	344	52.6	%	20.8	%	10.6	%

Adjusted for:
Transformation Strategy Costs	(11)		(84)				11		84				0.5	%	2.6	%
Gain on Divestiture	—		156				—		(156)				—	%	(4.8)	%

Non-GAAP Adjusted Measure	$	1,986	$	2,965	(33.0)	%	$	536	$	272	97.1	%	21.3	%	8.4	%

United Parcel Service, Inc.

Reconciliation of GAAP and Non-GAAP Adjusted Measures - U.S. Domestic Cost Per Piece

(unaudited)


	Three Months Ended
	September 30,
	2025		2024		% Change
Operating Days	64		64
Average Daily U.S. Domestic Package Volume (in thousands)	16,150		18,407
U.S. Domestic Package Cost Per Piece (GAAP)	$	12.92	$	11.50	12.3	%

Transformation Strategy Costs	(0.29)		(0.06)

U.S. Domestic Package Non-GAAP Adjusted Cost Per Piece	$	12.63	$	11.44	10.4	%

Note: Cost per piece excludes expense associated with cargo and other activity.

United Parcel Service, Inc.

Reconciliation of GAAP and Non-GAAP Adjusted Measures

(unaudited)


Nine Months Ended
September 30,
(amounts in millions)	2025		2024			2025		2024
Operating Profit (GAAP)	$	5,292	$	5,542	Operating Margin (GAAP)	8.2	%	8.4	%

Transformation Strategy Costs:					Transformation Strategy Costs:

Transformation 2.0					Transformation 2.0
Business portfolio review	(18)		29		Business portfolio review	—	%	—	%
Financial systems	44		41		Financial systems	0.1	%	0.1	%
Transformation 2.0 total	26		70		Transformation 2.0 total	0.1	%	0.1	%

Fit to Serve	47		157		Fit to Serve	0.1	%	0.2	%
Network Redesign and Efficiency Reimagined	387		—		Network Redesign and Efficiency Reimagined	0.6	%	—	%

Total Transformation Strategy Costs	460		227		Total Transformation Strategy Costs	0.8	%	0.3	%

Gain on Divestiture (1) (6)	(20)		(156)		Gain on Divestiture (1) (6)	(0.1)	%	(0.2)	%
Goodwill and Asset Impairment Charges (2) (3)	39		48		Goodwill and Asset Impairment Charges (2) (3)	0.1	%	0.1	%
Expense for Regulatory Matter (4)	—		45		Expense for Regulatory Matter (4)	—	%	0.1	%
One-Time Payment for Int'l Regulatory Matter (5)	—		88		One-Time Payment for Int'l Regulatory Matter (5)	—	%	0.1	%

Non-GAAP Adjusted Operating Profit	$	5,771	$	5,794	Non-GAAP Adjusted Operating Margin	9.0	%	8.8	%

(amounts in millions)	2025		2024
Other Income (Expense) (GAAP)	$	(500)	$	(227)

Goodwill and Asset Impairment Charges (2) (3)	19		—
One-Time Payment for Int'l Regulatory Matter (5)	—		6

Non-GAAP Adjusted Other Income (Expense)	$	(481)	$	(221)

(1) Reflects a pre-tax gain of $20 million on the divestiture of a business within Supply Chain Solutions.
(2) Reflects impairment charges for long-lived assets and related tax effect charges for a business within Supply Chain Solutions and the write-down of an equity investment in 2025.
(3) Reflects pre-tax impairment charges of $41 million for acquired trade names within Supply Chain Solutions and $7 million for software licenses in 2024.
(4) Reflects expense related to the settlement of a regulatory matter.
(5) Reflects a pre-tax one-time payment for an international regulatory matter of $88 million and related interest of $6 million.
(6) Represents a pre-tax gain of $156 million on the divestiture of our Coyote Logistics business within Supply Chain Solutions during 2024.

United Parcel Service, Inc.

Reconciliation of GAAP and Non-GAAP Adjusted Measures

(unaudited)


Nine Months Ended
September 30,
(amounts in millions)	2025		2024		(amounts in millions)	2025		2024
Income Before Income Taxes (GAAP)	$	4,792	$	5,315	Income Tax Expense (GAAP)	$	1,011	$	1,254

Transformation Strategy Costs:					Transformation Strategy Costs:
Transformation 2.0					Transformation 2.0
Business portfolio review	(18)		29		Business portfolio review	(5)		7
Financial systems	44		41		Financial systems	11		10
Transformation 2.0 total	26		70		Transformation 2.0 total	6		17

Fit to Serve	47		157		Fit to Serve	10		38

Network Redesign and Efficiency Reimagined	387		—		Network Redesign and Efficiency Reimagined	93		—

Total Transformation Strategy Costs	460		227		Total Transformation Strategy Costs	109		55

Gain on Divestiture (1) (6)	(20)		(156)		Gain on Divestiture (1) (6)	(5)		(4)
Goodwill and Asset Impairment Charges (2) (3)	58		48		Goodwill and Asset Impairment Charges (2) (3)	9		13
Expense for Regulatory Matter (4)	—		45		Reversal of Income Tax Valuation Allowance (7)	109		—
One-Time Payment for Int'l Regulatory Matter (5)	—		94

Non-GAAP Adjusted Income Before Income Taxes	$	5,290	$	5,573	Non-GAAP Adjusted Income Tax Expense	$	1,233	$	1,318

(1) Reflects a pre-tax gain of $20 million on the divestiture of a business within Supply Chain Solutions.
(2) Reflects impairment charges for long-lived assets and related tax effect charges for a business within Supply Chain Solutions and the write-down of an equity investment in 2025.
(3) Reflects pre-tax impairment charges of $41 million for acquired trade names within Supply Chain Solutions and $7 million for software licenses in 2024.
(4) Reflects expense related to the settlement of a regulatory matter.
(5) Reflects a pre-tax one-time payment for an international regulatory matter of $88 million and related interest of $6 million.
(6) Represents a pre-tax gain of $156 million on the divestiture of our Coyote Logistics business within Supply Chain Solutions during 2024.
(7) Reflects the reversal of an income tax valuation allowance.

United Parcel Service, Inc.

Reconciliation of GAAP and Non-GAAP Adjusted Measures

(unaudited)


Nine Months Ended
September 30,
(amounts in millions)	2025		2024			2025		2024
Net Income (GAAP)	$	3,781	$	4,061	Diluted Earnings Per Share (GAAP)	$	4.46	$	4.74

Transformation Strategy Costs:					Transformation Strategy Costs:
Transformation 2.0					Transformation 2.0
Business portfolio review	(13)		22		Business portfolio review	(0.02)		0.03
Financial systems	33		31		Financial systems	0.04		0.04
Transformation 2.0 total	20		53		Transformation 2.0 total	0.02		0.07

Fit to Serve	37		119		Fit to Serve	0.04		0.14

Network Redesign and Efficiency Reimagined	294		—		Network Redesign and Efficiency Reimagined	0.35		—

Total Transformation Strategy Costs	351		172		Total Transformation Strategy Costs	0.41		0.21

Gain on Divestiture (1) (6)	(15)		(152)		Gain on Divestiture (1) (6)	(0.02)		(0.18)
Goodwill and Asset Impairment Charges (2) (3)	49		35		Goodwill and Asset Impairment Charges (2) (3)	0.06		0.04
Expense for Regulatory Matter (4)	—		45		Expense for Regulatory Matter (4)	—		0.05
One-Time Payment for Int'l Regulatory Matter (5)	—		94		One-Time Payment for Int'l Regulatory Matter (5)	—		0.11
Reversal of Income Tax Valuation Allowance (7)	(109)		—		Reversal of Income Tax Valuation Allowance (7)	(0.13)		—

Non-GAAP Adjusted Net Income	$	4,057	$	4,255	Non-GAAP Adjusted Diluted Earnings Per Share	$	4.78	$	4.97

(1) Reflects a pre-tax gain of $20 million on the divestiture of a business within Supply Chain Solutions.
(2) Reflects impairment charges for long-lived assets and related tax effect charges for a business within Supply Chain Solutions and the write-down of an equity investment in 2025.
(3) Reflects pre-tax impairment charges of $41 million for acquired trade names within Supply Chain Solutions and $7 million for software licenses in 2024.
(4) Reflects expense related to the settlement of a regulatory matter.
(5) Reflects a pre-tax one-time payment for an international regulatory matter of $88 million and related interest of $6 million.
(6) Represents a pre-tax gain of $156 million on the divestiture of our Coyote Logistics business within Supply Chain Solutions during 2024.
(7) Reflects the reversal of an income tax valuation allowance.

United Parcel Service, Inc.

Reconciliation of GAAP and Non-GAAP Adjusted Measures by Segment

(unaudited)


Nine Months Ended
September 30,
	2025		2024				2025		2024				2025		2024
U.S. Domestic Package	Operating Expenses				% Change		Operating Profit				% Change		Operating Margin
GAAP	$	40,265	$	40,400	(0.3)	%	$	2,498	$	2,664	(6.2)	%	5.8	%	6.2	%

Adjusted for:
Transformation Strategy Costs	(400)		(93)				400		93				1.0	%	0.2	%
Goodwill and Asset Impairment Charges	—		(5)				—		5				—	%	—	%

Non-GAAP Adjusted Measure	$	39,865	$	40,302	(1.1)	%	$	2,898	$	2,762	4.9	%	6.8	%	6.4	%

	2025		2024				2025		2024				2025		2024
International Package	Operating Expenses				% Change		Operating Profit				% Change		Operating Margin
GAAP	$	11,542	$	10,865	6.2	%	$	1,989	$	2,172	(8.4)	%	14.7	%	16.7	%

Adjusted for:
Transformation Strategy Costs	(38)		(36)				38		36				0.3	%	0.2	%
Goodwill and Asset Impairment Charges	—		(2)				—		2				—	%	—	%
One-Time Int'l Regulatory Matter	—		(88)				—		88				—	%	0.7	%

Non-GAAP Adjusted Measure	$	11,504	$	10,739	7.1	%	$	2,027	$	2,298	(11.8)	%	15.0	%	17.6	%

	2025		2024				2025		2024				2025		2024
Supply Chain Solutions	Operating Expenses				% Change		Operating Profit				% Change		Operating Margin
GAAP	$	7,083	$	8,962	(21.0)	%	$	805	$	706	14.0	%	10.2	%	7.3	%

Adjusted for:
Transformation Strategy Costs	(22)		(98)				22		98				0.3	%	1.0	%
Gain on Divestiture	20		156				(20)		(156)				(0.3)	%	(1.6)	%
Goodwill and Asset Impairment Charges	(39)		(41)				39		41				0.5	%	0.4	%
Expense for Regulatory Matter	—		(45)				—		45				—	%	0.5	%

Non-GAAP Adjusted Measure	$	7,042	$	8,934	(21.2)	%	$	846	$	734	15.3	%	10.7	%	7.6	%

United Parcel Service, Inc.

Reconciliation of GAAP and Non-GAAP Adjusted Measures - U.S. Domestic Cost Per Piece

(unaudited)


	Nine Months Ended
	September 30,
	2025		2024		% Change
Operating Days	190		191
Average Daily U.S. Domestic Package Volume (in thousands)	16,707		18,116
U.S. Domestic Package Cost Per Piece (GAAP)	$	12.43	$	11.59	7.2	%

Transformation Strategy Costs	(0.13)		(0.03)

U.S. Domestic Package Non-GAAP Adjusted Cost Per Piece	$	12.30	$	11.56	6.4	%

Note: Cost per piece excludes expense associated with cargo and other activity.

United Parcel Service, Inc.

Aircraft Fleet - As of September 30, 2025

(unaudited)


Description	UPS Owned and/or Operated	Charters & Leases Operated by Others	On Order	Under Option

Boeing 757-200	75	—	—	—
Boeing 767-300	87	—	20	—
Boeing 767-300BCF	6	—	—	—
Boeing 767-300BDSF	4	—	—	—
Airbus A300-600	52	—	—	—
Boeing MD-11(1)	27	—	—	—
Boeing 747-400F	11	—	—	—
Boeing 747-400BCF	2	—	—	—
Boeing 747-8F	30	—	—	—
Other	—	222	—	—
Total	294	222	20	—

(1) None of the MD-11 aircraft shown above have been retired from operational use as of September 30, 2025. We anticipate retiring one (1) of the MD-11 aircraft shown above during 2025.