UPS Boosts Forecast as CEO Stays for Union Talks, Customer Faces $92.6B Blow
WHO:
Fast Company - United Parcel Service (UPS) CEO Carol Tomé said the company was improving “revenue quality and mix” and “creating greater operating leverage through a more efficient network.”
Fast Company - Amazon was UPS’s largest customer, but Tomé said it was “not our most profitable customer.”
Bloomberg Markets - Tomé intends to lead UPS for at least two more years to negotiate another labor deal with its unionized delivery drivers.
Bloomberg Markets - Bloomberg’s Lee Klaskow joined the report to discuss UPS’s outlook and Tomé’s plans.
WHAT:
Fast Company - UPS said its shares had fallen to about half their value from four years earlier, while rival FedEx’s shares gained roughly the same percentage that UPS lost.
Bloomberg Markets - UPS raised prices during the third quarter, while demand remained high; third-quarter earnings and revenue both exceeded Wall Street estimates.
Fast Company - UPS reported third-quarter results that beat expectations and raised its annual revenue outlook from $91.2 billion to $92.6 billion.
Fast Company - UPS shares were up around 5% when the article was written.
Fast Company - UPS planned to cut its Amazon delivery volume in half while continuing to handle Amazon returns at UPS locations.
Fast Company - Tomé said UPS’s high-volume, low-margin Amazon arrangement was “very dilutive to the US domestic business.”
Fast Company - Amazon accounted for around half of UPS’s domestic package deliveries and 12% of its revenue.
Fast Company - Tomé said 19% of e-commerce sales are returned and described UPS’s “box-less, label-less returns” capabilities as a strength.
Fast Company - UPS announced plans to cut 30,000 jobs and close dozens of warehouses; the article also reported 48,000 job cuts in 2025.
Bloomberg Markets - UPS raised its financial guidance, with the article saying the company expected to benefit from high prices and resilient demand through the holiday season.
WHERE:
Fast Company - UPS’s planned network changes concern its U.S. operations; Tomé referred to the impact on its “US domestic business.”
WHEN:
Fast Company - UPS reported third-quarter results on a Tuesday; the article does not specify the calendar date.
Fast Company - UPS had planned to halve its Amazon delivery volume by the summer; the article does not specify the year.
Bloomberg Markets - Tomé intends to remain in her role for two years or more to oversee union negotiations.
WHY:
Bloomberg Markets - UPS said it expected a strong holiday shipping season, supporting its higher sales outlook.
Fast Company - UPS said reducing lower-margin Amazon deliveries was intended to improve revenue mix, profitability, and operating efficiency.
Bloomberg Markets - The company’s raised outlook reflected expected support from high prices and resilient holiday-season demand.
HOW:
Fast Company - UPS continued its Amazon relationship through in-person package returns while reducing delivery volume.
Fast Company - UPS was reconfiguring its U.S. network and winding down parts of its business as part of a plan to become a “nimbler, more efficient operation.”
(UPDATED October 27, 2026 21:08 UTC)
UPS beat third-quarter earnings and revenue expectations, raised its annual revenue outlook to $92.6 billion from $91.2 billion, and said high prices and resilient demand should support a strong holiday season. CEO Carol Tomé said UPS plans to halve its Amazon delivery volume because the high-volume, low-margin business weighs on domestic profitability, while continuing to handle Amazon returns and reconfiguring its U.S. network. The company also plans to cut 30,000 jobs and close dozens of warehouses, while Tomé intends to lead UPS for at least two more years as it negotiates a new labor deal with its unionized drivers.
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(UPDATED October 27, 2026 20:07 UTC)
UPS beat third-quarter expectations and raised its annual revenue outlook to $92.6 billion, citing high prices and resilient holiday demand. The company plans to halve Amazon deliveries because the high-volume, low-margin business weighs on its U.S. operations, while continuing to handle Amazon returns as it reshapes its network and cuts 30,000 jobs. CEO Carol Tomé says she plans to lead UPS for at least two more years to negotiate another labor deal with unionized delivery drivers.