A fedex truck on Cyber Monday in San Francisco, California, America on Monday, December 2, 2024.
David Paul Morris | Bloomberg | Getty images
Fedex, On Tuesday, the better-appreated quarterly earnings and revenue were reported as the company announced that it had achieved the target of cutting its $ 4 billion and would target another $ 1 billion in its upcoming financial year.
CEO Raj Subramaniam said in a media release, the company achieved its “target of” structural cost reduction, “CEO Raj Subramaniam said in a media release.
“Further, I am confident that our change initiative, which focuses on integrating our network and reducing our cost-to-service, will generate meaningful long-term value,” he said.
Fedex stock fell around 5% in post-trading as the company had offered the current-wide profit guidance that came down slightly below the expectation of Wall Street.
After Tuesday’s closure, Fedex shares fell over 18% year-to-year.
Here is how the company did in its financial fourth quarter of 2025, which was expecting analysts, based on a survey of analysts by LSEG:
- earnings per share: $ 6.07 adjusted vs. $ 5.84 expected
- Income: $ 22.22 billion vs $ 21.79 billion is expected
Fedex reported that its US daily package was 6% year after year. The amount of US ground home delivery, in particular, was 10% year -on -year.
The company reported net income for the quarter ended May 31 on 31 May, or $ 1.47 billion, or $ 6.88 per share a year ago, or $ 5.94 per share. Adjustment to one -time goods, including accounting costs associated with retirement plans and other charges, Fedex reported income to $ 6.07.
Revenue for the fiscal fourth quarter rose slightly from $ 22.1 billion to $ 22.22 billion a year earlier.
For the entire financial year, the revenue from $ 87.7 billion in fiscal 2024 was $ 87.9 billion.
Fedex and rival Above It is usually seen as bellavethers for the global economy because they touch a variety of businesses.
Fedex reported that its capital expenditure for Fiscal 2025 was $ 4.1 billion, below $ 5.2 billion in fiscal 2024. Capital expenditure as a percentage of revenue reached its lowest level in Fedex history.
Fedex pursues a long-term cost-cutting initiative as a decrease in spending. Its drive program introduced in FY 2023 is aimed at improving long -term profitability. Fedex said Infrastructure,
Its full-year financial 2026 guidance involves a cost of cost $ 1 billion.
For its first quarter of 2026, Fedex gave mixed guidance. The company’s forecast revenue estimates that up to 2% year -to -year will be flat, the topping streetkount estimates that the revenue has been called for a decline of 0.1%. However, Fedex is expected to adjust the adjusted income per $ 3.40 to $ 4.00, slightly under a streetcount estimate of $ 4.06.
In December, Fedex announced a long -standing plans to get out its freight transportation division, leaving two publicly trading companies. At that time, fedex Said It is expected that the tax-free spin-off will be executed within 18 months.
The quarterly results come a few days later of Fedex founder and executive president, Fred SmithHe died at the age of 80. Smith stepped as CEO in 2022 and succeeded by Subramaniam.
