FedEx said on Thursday that adjusted profit for its current quarter will come in above Wall Street's average estimate and released financial targets stretching to its fiscal year that ends in May 2029.
The global delivery company signaled that earnings for its third quarter, which ends on Feb. 28, will top analysts' consensus forecast. The announcement came ahead of its annual investor day held in Memphis, the city where the company is headquartered.
Analysts, on average, were looking for a profit of $3.99 per share as of Wednesday, according to data compiled by LSEG.
Alongside the near-term profit outlook, FedEx set explicit targets for fiscal 2029. The company said it is aiming for:
- Consolidated revenue of $98 billion
- Operating income of $8 billion
- An operating margin of 8%
Those 2029 targets were presented with a baseline of the company's most recently completed fiscal year. For fiscal 2025, FedEx reported revenue of $87.9 billion, adjusted operating income of $6.12 billion and an adjusted operating margin of 7%.
The company disclosed the stronger-than-expected quarterly profit projection and the multi-year financial targets as part of investor communications tied to its annual meeting in Memphis. The guidance and targets were described in the company's statements ahead of that event.
No additional financial forecasts or operational details were provided beyond the third-quarter adjusted earnings outlook, the LSEG analyst consensus number, the fiscal 2029 targets and the fiscal 2025 comparatives noted above.
The information released offers both a near-term earnings signal and a longer-range set of goals that the company is using as benchmarks for its performance through fiscal 2029.