FedEx withdrew its FY23 earnings guidance

In its reporting of Q1 results, which were not good.

  • adj. EPS US$3.44 (expected $5.10)
  • revenue US$23.2bn (expected $23.54bn)
  • preliminary Q1 Operating. income $1.23bn (vs. $1.74bn that was expected)

FedEx says that first quarter results were adversely impacted by reduced volumes of shipments globally. The fall intensified in the final weeks of the quarter. Also:

  • macroeconomic weakness in Asia
  • services weakness in Europe

The firm cut costs:

  • deferral of hiring
  • closed more than 90 FedEx locations
  • cancelled some planned increases in network capacity


ps. This would appear to pour cold water on speculation fo a 100bp rate hike from Federal Open Market Committee (FOMC) next week (September 20 & 21 meeting). Totally drown it IMO.