FedEx Profits Up 13%
December 20, 2000
FedEx Corp. reported net income of $194 million for its second fiscal quarter, an increase of 13% from the same period last year.
Revenues for the quarter, which ended November 30, were $4.9 billion, up 7% from last year. Operating income was $345 million, an increase of 13%.
The company says its fastest growing business is FedEx International Priority, where revenue was up 16% from last year’s strong second quarter. Revenues for its express transportation company, FedEx Express, were up 7%; FedEx Ground revenues were up 12%.
Executive Vice President and Chief Financial Officer Alan Graf Jr. said fuel costs were up $78 million from a year ago but the company had been able to offset some of the higher fuel prices with surcharges and hedging.
FedEx owns Viking Freight and recently announced the purchase of regional freight carrier American Freightways for approximately $1.2 billion. That transaction is expected to be finalized early in 2001.