FedEx plunges 7% on Q2 miss & revenue guidance cut

investing.com:

FedEx (NYSE:FDX) shares dropped more than 7% after-hours Tuesday following the company’s reported Q2 miss and full-year revenue guidance cut.

Q2 EPS for the package giant came in at $3.99, worse than the consensus estimate of $4.19. Revenue was $22.2 billion, compared to the consensus estimate of $22.37 billion.

“FedEx has delivered an unprecedented two consecutive quarters of operating income growth and margin expansion even with lower revenue, clear evidence of the progress we are making on our transformation as we navigate an uncertain demand environment,” said CEO Raj Subramaniam.

For fiscal 2024, the company now expects a low-single-digit percentage decline in revenue year-over-year, compared to the prior forecast of approximately flat revenue growth.

2024 EPS is seen at $17.00-$18.50, compared to the consensus estimate of $18.25.