FedEx rises on ground

FedEx Corp. reported that its profits grew 23% in the third quarter largely because of its ground delivery units. The package-delivery company reported earnings of $147 million compared with $120 million a year ago. FedEx Ground third-quarter revenue grew 26% vs. last year to $844 million, while FedEx Freight's revenues for the quarter rose 12% to $493 million. FedEx Ground's average daily package

Tim Parry

March 19, 2003

FedEx Corp. reported that its profits grew 23% in the third quarter largely because of its ground delivery units.

The package-delivery company reported earnings of $147 million compared with $120 million a year ago.

FedEx Ground third-quarter revenue grew 26% vs. last year to $844 million, while FedEx Freight's revenues for the quarter rose 12% to $493 million.

FedEx Ground's average daily package volume grew 24% in the third quarter, about a third of which was attributed to FedEx Home Delivery.

FedEx Freight average daily shipments for the quarter were flat year-over-year, reflecting the impact of severe winter weather, while yield increased 10% due to general rate increases, higher fuel surcharge revenues and additional volume from its longer-haul EZ Flyer service.