Fed Ex Posts Annual Results

June 23, 2004
FedEx has earned $838 million in profit for the fiscal year ended May 31, an $8 million gain (1%) over the 2003 fiscal year. The company netted $24.7 billion in revenue— a 10% over 2003 as the company’s Express, Ground and Freight segments expanded. For its fourth quarter results posted a 47% boost in profits over the same period last year to $412 million, while revenue over the same period last year

FedEx has earned $838 million in profit for the fiscal year ended May 31, an $8 million gain (1%) over the 2003 fiscal year. The company netted $24.7 billion in revenue— a 10% over 2003 as the company’s Express, Ground and Freight segments expanded.

For its fourth quarter results posted a 47% boost in profits over the same period last year to $412 million, while revenue over the same period last year increased 20% to $7.04 billion. The package delivery company cited strong demands in all of its divisions, including its recently-acquired Kinko’s.

“Our entire portfolio of transportation services is experiencing strong demand, especially in ground, international express and regional less-than-truckload services,” said Frederick W. Smith, FedEx chairman, president & CEO, commenting on the fourth quarter results.

The company’s bread-and-butter segment, FedEx Express, enjoyed a 10% revenue boost for the fourth quarter over the same period last year to $4.71 billion. The segment posted big gains in its International Priority (IP) service as its revenue went up 22% over the third quarter. The company noted strong activity in Asia and in U.S. exports as IP package volume went up 12% and revenue per package gained 7% over last quarter. Domestic Express package volume grew 2% while revenue per package went up 6%.

The Ground segment, its second-highest grossing division, posted a 21% revenue gain over the same quarter last year to $758 million. Package volume grew 12% for the quarter, the highest this year.

The Freight segment enjoyed a 21% increase in revenue over 4Q 2003 to $758 million. LTL shipments increased 11% over the same quarter last year.

Kinko’s netted $521 million in revenue, driven by demand from commercial customer sales, and signs and banners.

The company estimates it saved $65 million for the fourth quarter and $150 million for the year due to scale backs in salaries and employee benefits costs.

Sponsored Recommendations

Tackling the Tech Shortage: Lessons in Recruiting Talent and Reducing Turnover

Discover innovative strategies for recruiting and retaining tech talent in the trucking industry at our April 16th webinar, where experts will share insights on competitive pay...

Stop Sweating Temperature Excursions

Advanced chemical indicators give you the peace of mind that comes from reliable insights into your supply chains. Compromised shipments can be identified the moment they arrive...

Stop Sweating Temperature Excursions

Advanced chemical indicators give you the peace of mind that comes from reliable insights into your supply chains. Compromised shipments can be identified the moment they arrive...

How Electric Vehicles Help You Prolong the Life of Your Fleet

Before adopting electric vehicles for commercial/government fleets, prioritize cost inquiries. Maintenance is essential; understand the upkeep of EV fleets. Here’s what you need...

Voice your opinion!

To join the conversation, and become an exclusive member of FleetOwner, create an account today!