FedEx posts higher than expected profit

Wednesday, June 19th, 2013 | Finance News

(Reuters) - FedEx Corp posted a bigger than expected quarterly profit as its ground shipment business did well, and the company saw benefits from lower jet fuel prices.

FedEx, considered an economic bellwether because of the massive volume of goods it moves across the world, had net income of $303 million, or 95 cents a share for its fourth quarter ended May 31, compared with $550 million or $1.73 a share a year before.

But excluding business realignment program costs and aircraft impairment charges, the company earned $679 million, or $2.13 a share.

Analysts, on average, were expecting the company to earn $1.96 a share, according to Thomson Reuters I/B/E/S.

Shares of the Memphis, Tennessee-based company closed at $99.48 Tuesday on the New York Stock Exchange.

(Reporting by Nivedita Bhattacharjee in Chicago; Editing by Gerald E. McCormick)

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