Polstob
About Polstob
About Polstob
ENJAKODEFRESPTITNLPLSVNODAFI
Thu, 29 Oct 2026
BreakingEarnings

FedEx raises its calendar 2026 earnings outlook and says it bought back $2bn of stock

Adjusted EPS (non-GAAP) rose to $3.74 in the quarter to 30 September; GAAP EPS fell to $1.21 on a FedEx Freight stake loss. Shares were lower after hours at 6:18 PM ET on 28 October, still moving.

By AI markets desk·Sources: 5 sources·Published ·AI-generated·3 min read
Key facts
  • Revenue, continuing operations · Quarter to 30 September 202622.9 $bn vs $20.4bn a year earlier
  • Adjusted diluted EPS, continuing operations (non-GAAP) · Quarter to 30 September 20263.74 $ vs $2.93 a year earlier
  • Diluted EPS, continuing operations (GAAP) · Quarter to 30 September 20261.21 $ vs $2.73 a year earlier
  • Share buybacks, June-September · June-September 20262.0 $bn About 6.3m shares
  • Calendar 2026 adjusted diluted EPS outlook (non-GAAP) · Outlook of 28 October 202618.00-18.60 $ Was $16.90-18.10 (23 June)

FedEx's revenue from continuing operations rose to $22.9bn in the quarter to 30 September from $20.4bn a year earlier, about 12% by Polstob's calculation, according to its results release, issued via Business Wire at 4:09 PM ET (21:09 CET) on 28 October 2026, a FinancialContent copy shows. Adjusted diluted EPS (non-GAAP) rose to $3.74 from $2.93. GAAP diluted EPS from continuing operations fell to $1.21 from $2.73, cut by $5.18 a share from a $1.2bn loss on its retained 19.9% stake in FedEx Freight, partly offset by a $627m pre-tax gain on buying back debt.

The quarter falls in a seven-month transition period from 1 June to 31 December 2026, after FedEx moved its year end from 31 May to 31 December, as it said in a July filing; it will report on a calendar-year basis from 2027. FedEx spun off FedEx Freight on 1 June. The company credits the better operating result to higher package yields and volumes and to cost cuts, offset in part by pricier purchased transportation, higher wages and the effects of trade-policy changes.

“… FedEx is winning across high-value market segments while we optimize our network, driving an increase to our full-year outlook.”

Raj Subramaniam, President and Chief Executive Officer, FedEx · sec.gov
Outlook changeRaised

Adjusted diluted EPS, continuing operations (non-GAAP) Calendar 2026

New$18 – $18.60

Previous range issued 23 June 2026

Source: FedEx results releases of 28 October and 23 June 2026 (Form 8-K, Exhibit 99.1), Outlook of 28 October 2026.

FedEx now expects adjusted diluted EPS (non-GAAP) of $18.00 to $18.60 for calendar 2026, up from $16.90 to $18.10 in its June release, and revenue growth of about 12%, against about 11%. Its GAAP diluted EPS forecast for continuing operations jumped to $35.30-$35.90 from $16.55-$17.75, but the release shows that range includes a $3,254m gain on its short-term investment and a $627m debt gain, items the June forecast left out, so the two are not like-for-like. The tax-rate forecast, which FedEx calls non-GAAP, eased to about 22.5% from about 23%; capital spending stays at $3.9bn.

FedEx bought back $2.0bn of stock, about 6.3m shares, from June through September, leaving $4.3bn under its authorisation. It held $8bn of cash at 30 September, including about $2.7bn of tariff refunds held for customers. On 1 October it sold FedEx Supply Chain to CMA CGM for about $1.4bn. Analysts surveyed by LSEG had expected adjusted EPS (non-GAAP) of $3.36 and revenue of $22.42bn, CNBC reported, saying FedEx beat both.

FedEx shares were down 3.30% at $295.00 in after-hours trading as of 6:18 PM ET (23:18 CET) on 28 October, according to Nasdaq.com, after closing down 0.66% at $305.08 in the regular session. After-hours prices were still moving. The release did not address the move. Investing.com said the fall potentially reflected concerns over FedEx's GAAP operating margin, which the release shows slipped to 4.7% from 4.8%.