FedEx Reports Its Third-Quarter Income Dips 2%
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FedEx Corp. Wednesday said its fiscal third-quarter profit dipped 2% to $420 million or $1.35 per share, from $428 million or $1.38 a year earlier.
FedEx cited a slowing economy, winter storms and lower fuel surcharges for the downturn, the Associated Press reported.Third-quarter revenue rose 7% to $8.59 billion.Operating income at the carrier’s less-than-truckload FedEx Freight unit fell 32% to $50 million, while revenue rose 30% to $1.1 billion. LTL shipments rose 20% year-over-year due to FedEx’s acquisition of Watkins Motor Lines last year.Operating income at the company’s FedEx Ground segment rose 5% to $196 million, while revenue gained 12% to $1.52 billion.The FedEx Express segment’s operating income dropped 12% to $391 million, while revenue rose 3% to $5.52 billion.FedEx Kinko’s segment saw its operating income drop 43% to $4 million, while revenue dipped 3% to $485 million.FedEx said its fourth-quarter earnings would be $1.93 to $2.08 per share, while earnings for the full year would be $6.45 to $6.60 per share.FedEx Corp. is ranked No. 2 on the Transport Topics 100 listing of U.S. and Canadian for-hire carriers.
FedEx Corp. Wednesday said its fiscal third-quarter profit dipped 2% to $420 million or $1.35 per share, from $428 million or $1.38 a year earlier.
FedEx cited a slowing economy, winter storms and lower fuel surcharges for the downturn, the Associated Press reported.Third-quarter revenue rose 7% to $8.59 billion.Operating income at the carrier’s less-than-truckload FedEx Freight unit fell 32% to $50 million, while revenue rose 30% to $1.1 billion. LTL shipments rose 20% year-over-year due to FedEx’s acquisition of Watkins Motor Lines last year.Operating income at the company’s FedEx Ground segment rose 5% to $196 million, while revenue gained 12% to $1.52 billion.The FedEx Express segment’s operating income dropped 12% to $391 million, while revenue rose 3% to $5.52 billion.FedEx Kinko’s segment saw its operating income drop 43% to $4 million, while revenue dipped 3% to $485 million.FedEx said its fourth-quarter earnings would be $1.93 to $2.08 per share, while earnings for the full year would be $6.45 to $6.60 per share.FedEx Corp. is ranked No. 2 on the Transport Topics 100 listing of U.S. and Canadian for-hire carriers.
