FDX: Surprise! FedEx Blames Weather on Earnings Miss

It cited storms and severe weather during the quarter

   

FDX: Surprise! FedEx Blames Weather on Earnings Miss

On Wednesday, delivery giant FedEx (FDX) posted a quarterly profit that disappointed Wall Street and trimmed its outlook for the year. On the news, FDX stock sank slightly in morning trading.

fedex truck 630 300x207 FDX: Surprise! FedEx Blames Weather on Earnings Miss
Source: Flickr

FedEx stock moved lower after FedEx reported adjusted fiscal third-quarter earnings of $1.23 per FDX share. That was well below the profit of $1.45 per FDX share that analysts were looking for, USA TODAY notes.

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Quarterly revenue rose 3% year-over-year t0 $11.3 billion.

A FedEx executive attributed the earnings miss to “the impact of multiple severe storms and frigid temperatures” during the third fiscal quarter. He noted that this year’s bad weather was “significantly more pronounced” compared to prior years.

FDX lowered its profit outlook for the full year from previous estimates of between 6.73 and $7.10 a share, to a new range of $6.55 and $6.80 per FDX share.

Over the past year, FedEx stock has climbed about 30%.

More FedEx News:


Article printed from InvestorPlace Media, http://investorplace.com/2014/03/fdx-surprise-fedex-blames-weather-earnings-miss/.

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