FedEx reported $1.54 per share which was $0.04 better than average analyst estimates and at the high end of their own November estimate of $1.45 to $1.55 per share.
“High fuel prices and weak U.S. economic growth year over year have impacted our business,” said Frederick W. Smith, FedEx Corp. chairman, president and chief executive officer. “We continue to benefit from solid international growth, which helps mitigate softness in U.S. industrial production. While we see challenging near-term economic trends, we remain confident about long-term prospects in all our business segments.”
FedEx Corp. reported the following consolidated results for the second quarter:
- Revenue of $9.45 billion, up 6% from $8.93 billion the previous year
- Operating income of $783 million, down 7% from $839 million a year ago
- Operating margin of 8.3%, down from 9.4% the previous year
- Net income of $479 million, down 6% from last year’s $511 million
FedEx provided the following outlook:
- Q3 EPS of 1.15 to $1.30 per diluted share compared to $1.35 a year ago
- For the full fiscal year ending May 2008, EPS of $6.40 to $6.70 per diluted share.
As of 12/17/07, analysts had estimated FY2008 earnings to be $6.28 to $6.76 so this is nice upgrade.
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