FedEx achieves $ 20 billion in quarterly sales for the first time, with profits doubling COVID-19 juice shipments

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As the vacation package crunch comes after a year of increased online shopping during COVID-19 lockdowns, FedEx Corp. on Thursday reported record quarterly sales that exceeded $ 20 billion for the first time and profits that more than doubled.

FedEx FDX,
+ 1,19%
reported that fiscal second quarter earnings rose 114% to $ 1.23 billion, or $ 4.55 per share, from $ 2.13 per share a year ago. After adjusting for a change in pension plan and some integration expenses, the company reported earnings of $ 4.83 per share, down from $ 2.51 per share a year ago.

Revenue jumped 19% to $ 20.6 billion from $ 17.3 billion a year ago. Analysts on average expected adjusted earnings of $ 4.01 per share on sales of $ 19.43 billion, according to FactSet.
The company declined to offer a specific forecast for the current quarter due to continued uncertainty.

“While the overall environment remains uncertain, we expect earnings growth in the second half of fiscal 2021, driven by the expected increased demand for our services as we continue to execute our strategic priorities,” said the CFO Michael Lenz in Thursday’s announcement.

The stock was down more than 2% after-hours trading immediately after the results were released. FedEx shares nearly doubled amid the shipping boom this year, gaining 93.5% in 2020 thanks to Thursday’s regular session. The S&P 500 SPX index,
+ 0,58%
gained 14.6% during this period.

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