United Parcel Service on Tuesday reported earnings that topped Wall Street’s estimates ahead of its busy holiday season.

Shares of the package delivery giant surged 10% in premarket trading.

Here’s how the company performed in its third quarter, compared with what Wall Street was expecting based on a survey of analysts by LSEG:

• Earnings per share: $1.74 adjusted vs. $1.30 expected
• Revenue: $21.4 billion vs. $20.83 billion expected

For the period ended Sept. 30, the company reported net income of $1.31 billion, or $1.55 per share, compared with $1.99 billion, or $1.80 per share, the year prior. Adjusting for one-time items, including costs of its transformation strategy, the company reported profit of $1.48 billion or $1.74 per share.

UPS estimates its fourth quarter revenue to be $24 billion with an operating margin of 11% to 11.5%.

The company also on Tuesday laid out details of its previously announced turnaround plan and said it cut its workforce by 34,000 jobs, greater than its previous estimate of 20,000, as part of its plan to trim down its work with Amazon

previously its largest customer.

UPS also initiated a sale-leaseback transaction in the third quarter for five properties as part of its broader strategy, which resulted in a $330 million pre-tax gain on sale in its supply chain solutions division. It said Tuesday that it has now closed daily operations at 93 leased and owned buildings through September as part of the initiative.

UPS said its turnaround plan has resulted in $2.2 billion in savings through the end of the third quarter, with an estimate of achieving $3.5 billion total year-over-year cost savings in 2025.

“We are executing the most significant strategic shift in our company’s history, and the changes we are implementing are designed to deliver long-term value for all stakeholders,” CEO Carol Tomé said. “With the holiday shipping season nearly upon us, we are positioned to run the most efficient peak in our history while providing industry-leading service to our customers for the eighth consecutive year.”

The courier’s strong results come as the parcel industry faces a volatile tariff environment and sluggish demand, in addition to impacts from the end of the de minimis loophole. Rival FedEx

said last month that it incurred $150 million in headwinds from the global trade environment.