UPS Files Q3 2024 10-Q, Details Debt and Stock

TL;DR

UPS Q3 10-Q is in: Debt like Senior Notes due 2025, 2028, 2032 detailed. Stock classes A & B mentioned.

AI Summary

United Parcel Service Inc. (UPS) filed its 10-Q for the period ending September 30, 2024. The filing details financial information, including debt obligations such as Senior Notes due in 2025, 2028, and 2032. It also references common stock classes A and B and provides financial data for the nine months ended September 30, 2024, and the full year ended December 31, 2023.

Why It Matters

This filing provides investors with a detailed look at UPS's financial health and capital structure, including its various debt instruments and equity classes.

Risk Assessment

Risk Level: low — This is a routine quarterly financial filing with no immediate red flags or significant new risks indicated.

Key Numbers

• 2024-09-30 — Reporting Period End Date (Quarterly financial reporting period)
• 2023-12-31 — Previous Fiscal Year End (Comparison point for financial data)

Key Players & Entities

• UNITED PARCEL SERVICE INC (company) — Filer
• 55 GLENLAKE PARKWAY NE, ATLANTA, GA 30328 (address) — Business and Mail Address
• Senior Notes 1.625% Due 2025 (debt) — Specific Debt Instrument
• Senior Notes 1% Due 2028 (debt) — Specific Debt Instrument
• Senior Notes 1.500% Due 2032 (debt) — Specific Debt Instrument
• Common Class A (stock) — Equity Class
• Common Class B (stock) — Equity Class

FAQ

Key Financial Figures

• $0.01 — stered Class B common stock, par value $0.01 per share UPS New York Stock Exchange

Filing Documents

• ups-20240930.htm (10-Q) — 2838KB
• ups-ex311live.htm (EX-31.1) — 10KB
• ups-ex312live.htm (EX-31.2) — 10KB
• ups-ex321live.htm (EX-32.1) — 5KB
• ups-ex322live.htm (EX-32.2) — 4KB
• ups-20240930_g1.jpg (GRAPHIC) — 11KB
• 0001090727-24-000064.txt ( ) — 14074KB
• ups-20240930.xsd (EX-101.SCH) — 81KB
• ups-20240930_cal.xml (EX-101.CAL) — 121KB
• ups-20240930_def.xml (EX-101.DEF) — 456KB
• ups-20240930_lab.xml (EX-101.LAB) — 946KB
• ups-20240930_pre.xml (EX-101.PRE) — 695KB
• ups-20240930_htm.xml (XML) — 2773KB

—FINANCIAL INFORMATION

PART I—FINANCIAL INFORMATION Cautionary Statement About Forward-Looking Statements 1

Financial Statements

Item 1. Financial Statements 2 Consolidated Balance Sheets 2 Statements of Consolidated Income 3 Statements of Consolidated Comprehensive Income (Loss) 3 Statements of Consolidated Cash Flows 4 Notes to Unaudited, Consolidated Financial Statements 5 Note 1—Basis of Presentation and Accounting Policies 5 Note 2—Recent Accounting Pronouncements 7 Note 3—Revenue Recognition 8 Note 4—Stock-Based Compensation 10 Note 5—Marketable Securities and Non-Current Investments 12 Note 6—Property, Plant and Equipment 15 Note 7—Employee Benefit Plans 16 Note 8—Goodwill and Intangible Assets 18 Note 9—Debt and Financing Arrangements 20 Note 10—Leases 23 Note 11—Legal Proceedings and Contingencies 26 Note 12—Shareowners ' Equity 28 Note 13—Segment Information 34 Note 14—Earnings Per Share 35 Note 15—Derivative Instruments and Risk Management 36 Note 16—Income Taxes 41 Note 17—Transformation Strategy Costs 42 Note 18 — Dispositions 44

Management ' s Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management ' s Discussion and Analysis of Financial Condition and Results of Operations 45 Overview 45 Supplemental Information - Items Affecting Comparability 48 Results of Operations - Segment Review 53 U.S. Domestic Package Operations 54 International Package Operations 57 Supply Chain Solutions Operations 60 Consolidated Operating Expenses 64 Other Income (Expense) 69 Income Tax Expense 70 Liquidity and Capital Resources 71 Cash Flows From Operating Activities 71 Cash Flows From Investing Activities 72 Cash Flows From Financing Activities 74 Sources of Credit 75 Contractual Commitments 75 Legal Proceedings and Contingencies 75 Collective Bargaining Agreements 76 Recent Accounting Pronouncements 76

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 77

Controls and Procedures

Item 4. Controls and Procedures 78

—OTHER INFORMATION

PART II—OTHER INFORMATION

Legal Proceedings

Item 1. Legal Proceedings 79

Risk Factors

Item 1A. Risk Factors 79

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 80

Other Information

Item 5. Other Information 81

Exhibits

Item 6. Exhibits 82 Table of Contents

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION Cautionary Statement About Forward-Looking Statements This report, our Annual Report on Form 10-K for the year ended December 31, 2023 and our other filings with the Securities and Exchange Commission contain and in the future may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Statements other than those of current or historical fact, and all statements accompanied by terms such as "will," "believe," "project," "expect," "estimate," "assume," "intend," "anticipate," "target," "plan," and similar terms, are intended to be forward-looking statements. Forward-looking statements are made subject to the safe harbor provisions of the federal securities laws pursuant to Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. From time to time, we also include written or oral forward-looking statements in other publicly disclosed materials. Such statements may relate to our intent, belief, forecasts of, or current expectations about our strategic direction, prospects, future results, or future events; they do not relate strictly to historical or current facts. Management believes that these forward-looking statements are reasonable as and when made. However, caution should be taken not to place undue reliance on any forward-looking statements because such statements speak only as of the date when made and the future, by its very nature, cannot be predicted with certainty. Forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from our historical experience and our present expectations or anticipated results. These risks and uncertainties include, but are not limited to: changes in general economic conditions in the United States ("U.S.") or internationally; significant competition on a local, regional, national and international basis; changes in our relationship

Financial Statements

Item 1. Financial Statements UNITED PARCEL SERVICE, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS September 30, 2024 (unaudited) and December 31, 2023 (in millions) September 30, 2024 December 31, 2023 ASSETS Current Assets: Cash and cash equivalents $ 5,855 $ 3,206 Marketable securities 205 2,866 Accounts receivable 9,323 11,342 Less: Allowance for credit losses ( 128 ) ( 126 ) Accounts receivable, net 9,195 11,216 Other current assets 2,009 2,125 Total Current Assets 17,264 19,413 Property, Plant and Equipment, Net 37,389 36,945 Operating Lease Right-Of-Use Assets 4,129 4,308 Goodwill 4,411 4,872 Intangible Assets, Net 3,108 3,305 Deferred Income Tax Assets 125 126 Other Non-Current Assets 1,837 1,888 Total Assets $ 68,263 $ 70,857 LIABILITIES AND SHAREOWNERS' EQUITY Current Liabilities: Current maturities of long-term debt, commercial paper and finance leases $ 1,606 $ 3,348 Current maturities of operating leases 699 709 Accounts payable 5,410 6,340 Accrued wages and withholdings 3,527 3,224 Self-insurance reserves 1,307 1,320 Accrued group welfare and retirement plan contributions 1,239 1,479 Other current liabilities 1,293 1,256 Total Current Liabilities 15,081 17,676 Long-Term Debt and Finance Leases 20,324 18,916 Non-Current Operating Leases 3,613 3,756 Pension and Postretirement Benefit Obligations 5,384 6,159 Deferred Income Tax Liabilities 3,761 3,772 Other Non-Current Liabilities 3,216 3,264 Shareowners' Equity: Class A common stock ( 122 and 127 shares issued in 2024 and 2023, respectively) 2 2 Class B common stock ( 731 and 726 shares issued in 2024 and 2023, respectively) 7 7 Additional paid-in capital — — Retained earnings 20,552 21,055 Accumulated other comprehensive loss ( 3,704 ) ( 3,758 ) Deferred compensation obligations 6 9 Less: Treasury stock ( 0.1 and 0.2 shares in 2024 and 2023, respectively) ( 6 ) ( 9 ) Total Equity for Controlling Interests 16,857 17,306 Noncontrolling interests 27 8 T