🧐 ProPicks AI October update is out now! See which stocks made the listPick Stocks with AI

FedEx shares surge post-earnings as DRIVE plan boosts profitability

Published 2024-06-25, 04:33 p/m
© Reuters.  FedEx shares surge post-earnings as DRIVE plan boosts profitability
FDX
-

Proactive Investors - FedEx Corp (NYSE:FDX, ETR:FDX) shares jumped afterhours as the parcel delivery firm’s fiscal fourth quarter and full-year earnings impressed, showing that its DRIVE cost savings plan is improving profitability.

For fiscal 2024, adjusted earnings per share (EPS) of $17.80 topped estimates of $17.76 while revenue of $87.7 million matched expectations.

For 4Q, adjusted EPS was $5.41, ahead of estimates of $5.34, while revenue of $22.1 billion was in line with the consensus.

FedEx also introduced its fiscal 2025 guidance of low-to-mid single-digit percentage revenue growth year-over-year, compared to the Street expectation of a 3% increase to about $90.4 billion.

It projects EPS in the range of $18.25 to $20.25, missing the consensus of $20.34.

“We made significant progress in fiscal 2024 and ended the year strong, delivering four consecutive quarters of expanding operating income and margin in a challenging revenue environment,” FedEx CEO Raj Subramaniam said in a statement.

“These results are unprecedented in this current environment, reflecting our continued execution of our DRIVE initiatives and our resolve to transform FedEx while we deliver outstanding service to our customers.”

Shares of FedEx were up 15.7% at $296 post-earnings.

Read more on Proactive Investors CA

Disclaimer

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.