FedEx reported adjusted diluted earnings per share (EPS) of $3.83 for the first quarter of fiscal year 2026, an increase from $3.60 in the prior-year period. Consolidated revenue for the quarter grew to $22.2 billion, up from $21.6 billion year-over-year, demonstrating earnings and revenue growth.
The company reaffirmed its full-year fiscal 2026 adjusted EPS outlook in the range of $17.20 to $19.00, with a midpoint of $18.10. This outlook reflects continued progress on strategic initiatives, including flexing its network and reducing cost-to-serve, despite incurring $150 million in headwinds from the global trade environment, primarily due to the loss of the 'de minimis' exception.
FedEx announced that effective January 5, 2026, its parcel and FedEx Freight LTL shipping rates will increase by an average of 5.9%. This strategic pricing decision aims to improve revenue quality and offset ongoing cost pressures. The company also completed $0.5 billion in share repurchases during the quarter and confirmed that the FedEx Freight spin-off remains on track for completion by June 2026, with a confidential Form 10 submitted to the SEC in August and an IRS private letter ruling request in September.
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