FedEx Corporation
FedEx posted adjusted earnings per share of $5.25, beating the consensus estimate of $4.13. In addition, it reported revenue of $24.00 billion, beating the consensus estimate of $23.42 billion.
The Federal Express segment delivered improved operating results, supported by stronger U.S. domestic and International Priority package yields, ongoing cost reductions tied to transformation efforts and higher U.S. domestic package volume.
In contrast, operating results at the Freight segment declined, reflecting costs related to the planned spin-off, lower shipment volumes and higher wage expenses. FedEx said the separation of its Freight business remains on track for June 1.
"Team FedEx delivered another quarter of strong financial results and excellent service for our customers, powered by disciplined operational execution, the resilience of our global network, and the accelerating impact of our advanced digital solutions," said CEO Raj Subramaniam.
Looking ahead, FedEx raised its fiscal-year adjusted earnings per share guidance to a range of $19.30 to $20.10 from $17.80 to $19.00, above the consensus estimate of $18.70. The company also updated its fiscal-year revenue outlook to a range of $93.20 billion to $93.64 billion, compared with prior guidance of $93.50 billion and a consensus estimate of $92.78 billion.
FedEx Shares Climb
FDX Price Action: At the time of publication, FedEx shares are trading 6.27% higher at $378.45, according to data from Benzinga Pro.
