Fedex falls on expectations

first_img Fedex falls on expectations Share whatsapp KCS-content Show Comments ▼ Thursday 16 September 2010 9:04 pmcenter_img whatsapp FEDEX forecast profit for the current quarter that missed expectations and its chief executive warned that the economic recovery’s pace may slow, pushing shares down more than three per cent.The company said profit in its fiscal first quarter that ended 31 August was $380m (£243m) compared with earnings of $181m a year earlier.Revenue rose 18.1 per cent to $9.46bn, topping the consensus Wall Street estimate of $9.42bn.The company, seen as an economic bellwether because its planes and trucks ship a variety of merchandise around the world, has been on a strong growth footing in recent months, and raised its profit forecast for its full 2011 fiscal year for the second time.It also said its first-quarter profit more than doubled as business and consumer spending sparked more demand for its package delivery servicesBut chief executive Fred Smith said he expects the pace of the world’s economic recovery to slow in the months ahead.“We expect a phase of somewhat slower economic growth going forward,” said Smith.The Memphis, Tennessee-based company forecast a second-quarter profit below Wall Street’s expectations, and said some costs would rise this fiscal year as it resumes some employee benefit programs that it had halted during the worst of the recent recession. Demand for air freight has surged as businesses – particularly Asian electronics makers – rely more heavily on overnight shipment of components, rather than keeping large inventories in warehouses, company officials said. Read This Next’A Quiet Place Part II’ Sets Pandemic Record in Debut WeekendFamily ProofHiking Gadgets: Amazon Deals Perfect For Your Next AdventureFamily ProofBack on the Rails for Summer New York to New Orleans, Savannah and MiamiFamily ProofYoga for Beginners: 3 Different Types of Yoga You Should TryFamily ProofAmazon roars for MGM’s lion, paying $8.45 billion for studio behind JamesFamily ProofIndian Spiced Vegetable Nuggets: Recipes Worth CookingFamily ProofTortilla Mango Cups: Recipes Worth CookingFamily ProofWhat to Know About ‘Loki’ Ahead of Disney+ Premier on June 9Family ProofCheese Crostini: Delicious Recipes Worth CookingFamily Proof by Taboolaby TaboolaSponsored LinksSponsored LinksPromoted LinksPromoted LinksYou May LikeMisterStoryWoman Files For Divorce After Seeing This Photo – Can You See Why?MisterStoryTotal PastThe Ingenious Reason There Are No Mosquitoes At Disney WorldTotal PastNoteabley25 Funny Notes Written By StrangersNoteableyPeople TodayNewborn’s Strange Behavior Troubles Mom, 40 Years Later She Finds The Reason Behind ItPeople TodayMoneyPailShe Was A Star, Now She Works In ScottsdaleMoneyPailSerendipity TimesInside Coco Chanel’s Eerily Abandoned Mansion Frozen In TimeSerendipity TimesBrake For ItThe Most Worthless Cars Ever MadeBrake For ItBetterBe20 Stunning Female AthletesBetterBemoneycougar.comThis Proves The Osmonds Weren’t So Tags: NULLlast_img

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