FedEx has reported quarterly revenue exceeding $23 billion for the first time in three years, marking a significant rebound for the global logistics giant as it continues to streamline operations and strengthen profitability. The company posted $23.5 billion in revenue for its fiscal second quarter, up from $22 billion a year earlier, according to its latest earnings release.
The stronger‑than‑expected performance reflects a 7% year‑over‑year increase, driven by improved U.S. domestic package yields, higher International Priority volumes and ongoing structural cost reductions, as reported by FedEx officials. Net income rose to $960 million, with adjusted earnings reaching $1.14 billion, according to the company’s filings.
FedEx President and CEO Raj Subramaniam described the quarter as “outstanding,” noting that the company delivered solid results despite challenges including air‑traffic constraints, global trade policy shifts and the continued grounding of its MD‑11 fleet.
The company also reaffirmed plans to spin off FedEx Freight by June 1, 2026, a move executives say will sharpen operational focus and support long‑term growth.
FedEx’s return to revenue levels above $23 billion underscores the impact of its multi‑year transformation strategy, which includes network optimisation, digital investments and expanded use of AI across its operations. The company has raised its full‑year fiscal 2026 revenue and earnings outlook as demand stabilises and efficiency gains continue.
Fedex Hq Irvine, California Picture on Wikimedia by Nandaro
