FedEx recently shared its financial results for the first quarter of its 2026 fiscal year. The company made more money than expected, with total revenue (all the money FedEx brought in from deliveries and other business) reaching $22.2 billion, up from $21.6 billion the year before. Its net income (the profit after all expenses are paid) was $820 million, or $3.46 per share, compared to $790 million, or $3.21 per share, a year earlier. After accounting for certain costs, adjusted profit was $910 million, or $3.83 per share. News of these results caused FedEx’s stock price to go up by more than 5%.
The main reason for this improvement was an increase in the number of packages sent in the United States, which was up by 6%. FedEx also benefited from cost-cutting programs and efforts to make its delivery network work more smoothly. However, its freight shipping business did not do as well, mainly because it earned less money and labor costs went up.
FedEx kept its forecast for the rest of the year, expecting to make $17.20 to $19.00 in adjusted earnings per share, and predicting its revenue will grow by 4% to 6%. The company also bought back $500 million of its own stock, which can reward shareholders. FedEx still plans to split off its freight business as a separate company by June 2026.