FedEx stock rises on better-than-expected earnings

Core Insights - FedEx reported strong fiscal first-quarter earnings, exceeding both revenue and earnings expectations, leading to a 5% increase in stock price in after-hours trading [1][4] Financial Performance - The company achieved a net income of $820 million, or $3.46 per share, for the first fiscal quarter ended August 31, compared to $790 million, or $3.21 per share, in the same period last year [2] - Adjusted net income, accounting for FedEx Freight spin-off costs, was $910 million or $3.83 per share, surpassing the expected $3.59 [2][4] - Revenue for the quarter was $22.24 billion, exceeding the expected $21.66 billion [4] Operational Metrics - Average daily volumes in the U.S. increased by 6% overall [3] - FedEx anticipates revenue growth in 2026 to be between 4% and 6%, significantly higher than Wall Street's estimate of 1.2% [3] - The company projects full-year earnings per share for fiscal year 2026 to be in the range of $17.20 to $19, with a midpoint of $18.10, close to the estimate of $18.21 [3]