XML 23 R9.htm IDEA: XBRL DOCUMENT v3.25.1
REVENUE RECOGNITION
 3 Months Ended
Mar. 31, 2025
Revenue from Contract with Customer [Abstract]  
REVENUE RECOGNITION REVENUE RECOGNITION
Revenue Recognition
Substantially all of our revenues are from contracts associated with the pickup, transportation and delivery of packages and freight ("transportation services"). These services may be carried out by or arranged by us and generally occur over a short period of time. Additionally, we provide value-added logistics services to customers through our global network of distribution centers and field stocking locations.
The vast majority of our contracts with customers are for transportation services that include only one performance obligation: the transportation services themselves. We generally recognize revenue over time, based on the extent of progress towards completion of the services in the contract. All of our major businesses act as a principal in their revenue arrangements and as such, we report revenue and the associated purchased transportation costs on a gross basis within our statements of consolidated income.
Disaggregation of Revenue
Three Months Ended
 March 31,
20252024
Revenue:
Next Day Air$2,361 $2,316 
Deferred 1,049 1,156 
Ground10,709 10,762 
Cargo and Other341 32 
     U.S. Domestic Package14,460 14,266 
Domestic771 758 
Export3,444 3,350 
Cargo and Other
158 148 
    International Package4,373 4,256 
Forwarding726 1,280 
Logistics1,572 1,542 
Other415 362 
    Supply Chain Solutions2,713 3,184 
Consolidated revenue$21,546 $21,706 
Contract Assets and Liabilities
During the three months ended March 31, 2025, there were no material changes to our accounting policy for contract assets and liabilities described in note 2 to the audited consolidated financial statements in our Annual Report on Form 10-K for the year ended December 31, 2024.
Contract assets and liabilities as of March 31, 2025 and December 31, 2024 were as follows (in millions):
Balance Sheet Location
March 31, 2025
December 31, 2024
Contract Assets:
Revenue related to in-transit packagesOther current assets$276 $307 
Contract Liabilities:
Short-term advance payments from customersOther current liabilities$28 $13 
Long-term advance payments from customersOther non-current liabilities$46 $27 
Accounts Receivable, Net
During the three months ended March 31, 2025, there were no material changes to our accounting policy for accounts receivable or how we estimate expected credit losses, as described in note 2 to the audited consolidated financial statements in our Annual Report on Form 10-K for the year ended December 31, 2024.
Our allowance for credit losses as of March 31, 2025 and December 31, 2024 was $142 and $136 million, respectively. Amounts for credit losses charged to expense, before recoveries, during each of the three months ended March 31, 2025 and 2024 were $69 and $73 million, respectively.