FedEx announced an increase in its fiscal 2024 profit forecast on Thursday, attributing the positive adjustment to cost-cutting measures that are expected to counterbalance a decline in demand from its largest customer, the U.S. Postal Service. The company's shares saw a significant jump, with reports indicating an increase of up to 13%, and a specific pre-market value of 297.41, up by 32.56. Additionally, FedEx revealed plans to buy back $5 billion of its shares. This financial strategy, driven by Raj, comes as part of FedEx's ongoing efforts to enhance cash generation and reduce expenses. The CEO expressed confidence in achieving $1.8 billion in permanent cost reduction benefits from the DRIVE initiative this fiscal year, and an additional $2.2 billion in fiscal year 2025. Furthermore, FedEx has narrowed its 2024 profit forecast range on these cost cuts.
$FDX CEO: "Given the progress we have made year-to-date, we will deliver on our goal of $1.8 billion in permanent cost reduction benefits from DRIVE this fiscal year and are highly confident on the additional $2.2 billion in fiscal year '25"
FedEx plans to buy back $5 billion of its shares as cost-cutting efforts help boost profits, sending the courier’s stock soaring the most in a year https://t.co/rfgOrgoq5z https://t.co/VnnzfslhGy
FedEx jumps on profit beat, improved margins in its largest unit https://t.co/EsdztoK54L https://t.co/FLCA7j9SGW
Fed Ex $FDX Pre-market 297.41 +32.56 Beat and doing a 5B buyback.......but.. lower sales and reduced demand https://t.co/95sM1Hc3vL
FedEx tightens 2024 profit forecast on cost cuts, shares jump 13% https://t.co/OHOKoy28Bm https://t.co/mtkVuXI7ny
FedEx tightens 2024 profit forecast on cost cuts, shares jump 12% https://t.co/FOUxDYqEtO https://t.co/B8trfoR5j2
FedEx narrows 2024 profit forecast range on cost cuts https://t.co/If4yJ5VJg4 https://t.co/CNPyLIsmbe
⚠️ FEDEX RAISES 2024 PROFIT FORECAST Full Story → https://t.co/tQ94CqEltt FedEx raised its fiscal 2024 profit forecast on Thursday, expecting cost cuts to offset a decline in demand from its largest customer, the U.S. Postal Service (USPS).
The Fed Ex turn is working. Raj is driving some great cash generation and expense cuts while waiting for a resurgence, if it can make this much now, i say WOW
When FedEx announces earnings on Thursday, investors will be looking for signs that the pendulum of bargaining power has swung back in favor of shippers, @tomwblack says https://t.co/Xa1kIXBHaQ via @opinion