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UPS Shifts to Higher‑Margin Business as Network Reset Takes Hold

Investors are warming to a plan that swaps low‑return volume for pricing gains.

Overview

  • U.S. revenue per piece rose 9.8% year over year in Q3, reflecting the company’s push for better per‑package economics.
  • Total revenue fell 3.7% in Q3, a planned decline tied to the Coyote Logistics sale and reduced Amazon shipment volume.
  • UPS has closed 93 facilities, including 19 in Q3, and completed a voluntary retirement program as part of a sweeping network reconfiguration.
  • The November 2025 acquisition of Andlauer Healthcare Group expands UPS’s capabilities in complex healthcare logistics.
  • Shares have climbed more than 25% over the past three months even as the stock remains down over 12 months and recent dividends exceeded free cash flow.