FedEx Corporation reported quarterly earnings that fell short of analysts’ expectations and lowered its full-year forecast, causing shares to decline in extended trading on Thursday. The company expects full-year revenue to be flat or slightly lower than last year, which is worse than its previous prediction.
The shipping giant saw revenue grow 2% year-over-year to $22.2 billion in the fiscal third quarter, above analyst consensus. However, adjusted earnings of $1.09 billion, or $4.51 per share, missed Wall Street estimates. FedEx CEO Raj Subramaniam attributed the results to a challenging operating environment, including a compressed peak season and severe weather events.
This is not the first time FedEx has lowered its forecasts; it did so in consecutive quarters prior to this one. The company also announced plans to spin off its Freight business as a standalone entity last month. As a result, shares of FedEx plummeted more than 5% after-hours on Thursday, representing a decline of about 12% so far in 2025.
Source: https://www.investopedia.com/fedex-earnings-q3-fy2025-11700096