WMT - FedEx's Profit Miss and Lowered Outlook Warn This Holiday Season Has Been More Ho-Hum Than Ho-Ho | Benzinga
Last Tuesday, FedEx Corporation (NYSE: FDX) shares tumbled almost 10% as the delivery company reported fiscal second quarter results below expectations and lowered its full year guidance. FedEx’s disappointing figures also dragged down the shares of its rival, United Parcel Service Inc (NYSE: UPS) by 2.9% on the day of the report. On December 21st, UPS lost its court battle against EU antitrust regulators who blocked its 2013 bid for Dutch rival TNT for a record $1.90 billion compensation claim. EU antitrust regulators stopped UPS from acquiring TNT for 5.2 billion euro.
Quarterly Highlights
For the quarter ended on November 30th, FedEx reported revenue dropped almost 3% YoY to $22.2 billion. However, net income rose 14% YoY to $898 million. Adjusted earnings rose 23% to $1.01 billion or $3.99 per diluted share, 19 cents short of LSEG’s estimate. Both revenue and earnings ...