FedEx Q2 Earnings May Exceed Guidance
Due to growth in FedEx International priority and FedEx Ground volumes
FedEx is expecting to report earnings of $1.10 per diluted share for the Q2 ended November 30, down 30% from $1.58 per diluted share a year ago. The company's previous guidance for the quarter was $0.65 to $0.95 per diluted share.
Alan Graf Jr., executive vice president and CFO of FedEx, said: “FedEx will exceed previous earnings guidance in the second quarter primarily due to better-than-expected growth in FedEx International Priority and FedEx Ground volumes, coupled with the benefits of our continuing cost control programs.
“Year-over-year growth in our U.S. overnight express and FedEx International Priority services increased each month during the quarter, aided by inventory restocking and our successful sales efforts. Demand for our international services has improved significantly since the first quarter, particularly in Asia and Latin America.”
FedEx will release the details of Q2 earnings and update its earnings outlook on December 17, 2009.

Comments may be moderated for spam, obscenities or defamation.