• ITVI.USA
    14,237.430
    109.200
    0.8%
  • OTRI.USA
    21.810
    -0.160
    -0.7%
  • OTVI.USA
    14,212.180
    102.900
    0.7%
  • TLT.USA
    2.800
    -0.010
    -0.4%
  • TSTOPVRPM.ATLPHL
    2.290
    -0.190
    -7.7%
  • TSTOPVRPM.CHIATL
    2.760
    -0.310
    -10.1%
  • TSTOPVRPM.DALLAX
    1.320
    -0.050
    -3.6%
  • TSTOPVRPM.LAXDAL
    2.040
    -0.240
    -10.5%
  • TSTOPVRPM.PHLCHI
    1.870
    -0.030
    -1.6%
  • TSTOPVRPM.LAXSEA
    2.630
    -0.090
    -3.3%
  • WAIT.USA
    127.000
    0.000
    0%
  • ITVI.USA
    14,237.430
    109.200
    0.8%
  • OTRI.USA
    21.810
    -0.160
    -0.7%
  • OTVI.USA
    14,212.180
    102.900
    0.7%
  • TLT.USA
    2.800
    -0.010
    -0.4%
  • TSTOPVRPM.ATLPHL
    2.290
    -0.190
    -7.7%
  • TSTOPVRPM.CHIATL
    2.760
    -0.310
    -10.1%
  • TSTOPVRPM.DALLAX
    1.320
    -0.050
    -3.6%
  • TSTOPVRPM.LAXDAL
    2.040
    -0.240
    -10.5%
  • TSTOPVRPM.PHLCHI
    1.870
    -0.030
    -1.6%
  • TSTOPVRPM.LAXSEA
    2.630
    -0.090
    -3.3%
  • WAIT.USA
    127.000
    0.000
    0%
Air CargoCompany earningsLast MileLess than TruckloadNewsParcel

FedEx posts strong fiscal second-quarter results

Revenue jumps by more than $3 billion, while operating income doubles

FedEx Corp. (NYSE:FDX), as many had expected, blew away fiscal 2021 second-quarter estimates on Thursday, posting diluted and adjusted earnings per share of $4.83, nearly doubling the 2020 fiscal year’s level of $2.51, and way above the $3.90-per-share median estimate by analysts on Barchart.

Revenue rose to $20.6 billion from $17.3 billion, while adjusted operating income exploded to $1.51 billion, compared with $684 million in the same period in fiscal 2020. Adjusted net income roughly doubled to $1.3 billion, while adjusted operating margins soared to 7.4% from 3.9%.

Memphis, Tennessee-based FedEx attributed the strong performance to accelerating U.S. business-to-consumer (B2C) demand, as well as solid growth in its premium-priced, time-sensitive International Priority air express operation. The company also cited the benefit of strong pricing across its three transport segments: its Express air and international unit, its Ground package delivery business, and its Freight less-than-truckload (LTL) operation.

The company did not provide earnings guidance for the full year. It still expects $5.1 billion in fiscal-year capital spending. Shares, which rose during the regular trading session, were down sharply in early after-hours trading.

FedEx’s fiscal second quarter ended on Nov. 30, so it included the activity of Black Friday, which is the day after Thanksgiving, and the first day of the following Cyberweek online ordering frenzy.

Mark Solomon

Formerly the Executive Editor at DC Velocity, Mark Solomon joined FreightWaves as Managing Editor of Freight Markets. Solomon began his journalistic career in 1982 at Traffic World magazine, ran his own public relations firm (Media Based Solutions) from 1994 to 2008, and has been at DC Velocity since then. Over the course of his career, Solomon has covered nearly the whole gamut of the transportation and logistics industry, including trucking, railroads, maritime, 3PLs, and regulatory issues. Solomon witnessed and narrated the rise of Amazon and XPO Logistics and the shift of the U.S. Postal Service from a mail-focused service to parcel, as well as the exponential, e-commerce-driven growth of warehouse square footage and omnichannel fulfillment.