FedEx Q2 – revenues up from 2020

Revenues at FedEx Corp were up markedly in the second financial quarter while profits fell slightly by comparison to Q2 2020.

FedEx Corp’s revenues hit $23.5 billion (£17.5bn) compared to Q2, 2020’s $20.6bn. Profits weren’t as strong as 2020, dropping to $1.04bn (£790 million) from $1.23bn (£930 million) in Q2 2020.

“FedEx operating income grew in our second quarter, driven by strong revenue growth and effective management of our cost and expected labor availability challenges,” said CFO Michael Lenz. “While adjusted earnings per share was unchanged year over year, this year’s effective tax rate was significantly higher, as last year’s earnings included a $0.71 per share tax benefit.”

The news comes as demand for logistics and deliveries worldwide has slowed in growth but remains far stronger than prior to the pandemic. This has been brought about by global e-commerce booming thanks to lockdowns around the world.

Raj Subramaniam, President and Chief Operating Officer added, “FedEx Ground had an outstanding Cyber Week, with 100 million packages picked up during the first official week of peak. Our ability to handle this influx of packages has been years in the making as we have taken deliberate steps to enhance our unparalleled network to support customers, large and small.”