FedEx Quarterly Profit Drops
FedEx reported fiscal Q2 2013 results that were weaker on a year-over-year basis, the company detailed in a press release. Although revenue was 5% higher on an annual basis at $11.1 billion, net profit saw a 12% decline to $438 million ($1.39 per share).
Analysts had been expecting revenue of around $10.8 billion and EPS of $1.41.
The company attributed the drop in earnings to the negative effects of Hurricane Sandy, and what its CEO Frederick Smith termed "persistent weakness in the global economy and increased demand for lower-yielding international services."
The firm also provided guidance for its current Q3 and for full-year fiscal 2013. It believes earnings will total $1.25-$1.45 per diluted share for the former, and $6.20-$6.60 for the latter.
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