American logistics firm FedEx Corp. has upgraded its earnings outlook for the year even as it slightly lowered its capital spending plans for 2022, the firm announced in a filing.
- FedEx expects earnings per diluted share to fall between $18.60 to $19.60 before the year-end mark-to-market retirement plans accounting adjustment, higher than the $18.25 to $18.95 per diluted share it earlier forecasted.
- Capital spending plans for the year were slightly lowered to $7.0 billion from the prior forecast of $7.2 billion, assuming continued growth in the United States and no new business restrictions due to the COVID-19 pandemic.
- Adjusted net income for the third quarter of the fiscal year 2022 climbed 30% to $1.2 billion from the previous year, diluted earnings per share up 32% to $4.59, and total revenue up by 10% to $23.6 billion.
- The growth was attributed to higher revenue per shipment and a net fuel benefit in all transport segments. Growth was also driven by lower expenses and more favorable weather conditions during the period.
The company said it is supporting its team members and others affected by the ongoing conflict between Russia and Ukraine. FDX is down 2.62% premarket.