FedEx reports strong profit growth in 2QFY2012, reaffirms full year forecast

FedEx revenue up 10% - financial highlights for three months ended 30-Nov-2011:

• Revenue: USD10,587 million, +10% year-on-year;
  • FedEx Express: USD6583 million, +10%;
  • FedEx Ground: USD2339 million, +13%;
  • FedEx Freight: USD1325 million, +9%;
  • FedEx Services: USD427 million, -2%;
• Operating costs: USD9807 million, +7%;
• Operating profit: USD780 million, +66%;
  • FedEx Express: USD342 million, +30%;
  • FedEx Ground: USD398 million, +34%;
  • FedEx Freight: USD40 million, compared to a loss of USD91 million in p-c-p;
• Net profit: USD497 million, +76%;
• Capital expenditure: USD1107 million, +6%;
• Total assets: USD28,452 million, +3.9% when compared to period ended 31-May-2011;
• Cash and cash equivalents: USD1896 million, -18.6% when compared to period ended 31-May-2011;
• Total liabilities: USD12,535 million, +3.0% when compared to period ended 31-May-2011. [more - original PR]

FedEx: "FedEx projects earnings to be USD1.25 to USD1.45 per diluted share in the third quarter and reconfirms its forecast of USD6.25 to USD6.75 per diluted share for fiscal 2012. This guidance assumes the current market outlook for fuel prices, normal winter weather and moderate growth in the global economy. The company reported earnings of USD0.73 per diluted share in last year's third quarter, which included one-time FedEx Freight combination costs of USD0.08 per diluted share. The capital spending forecast for fiscal 2012 remains USD4.2 billion." Company statement. Source: FedEx, 15-Dec-2011.