FedEx Corporation
FedEx reported adjusted earnings per share of $6.31, beating the consensus estimate of $5.96. In addition, the company reported revenue of $25.00 billion, beating the consensus estimate of $24.04 billion.
Federal Express segment operating results improved during the quarter, driven by increased U.S. domestic and International Priority package yields, continued cost savings from transformation initiatives and higher U.S. domestic and international export package volume. The company also completed its spin-off of FedEx Freight on June 1.
The company ended the quarter with $13.3 billion in total cash and cash equivalents and intends to repurchase up to $1 billion worth of shares opportunistically throughout the rest of the calendar year.
"Our profitable growth strategy is working. We are building momentum across our global industrial network, driving structural improvements and winning in high-value growth markets," said Raj Subramaniam, President and CEO.
"With the successful spin-off of FedEx Freight, we are entering this next chapter positioned to grow while further optimizing our network and driving robust free cash flow."
Outlook
FedEx expects revenue growth of 11% year-over-year for calendar year 2026 and guided for adjusted earnings in the range of $16.90 to $18.10 per share.
FedEx Shares Fall
FDX Price Action: At the time of publication, FedEx shares are trading 7.35% lower at $293.91, according to data from Benzinga Pro.
