From the promised LAND
HEre you go. Your own thread. Slap away. This is your own play room, no holds barred!
dannyboy said:HEre you go. Your own thread. Slap away. This is your own play room, no holds barred!
I dont want to put words in your mouth. Was your "crappy quarter" remark your opinion or was it another one of your facts? Lets take our discussion one step at a time so we dont have to go backwards. fair enough?
Earnings release. Shows fdx volume overall grew 3 percent. GDP for the year 2005 coming in around 3.5 percent. That means fdx volume grew less then the economy.
Press ReleaseSource: FedEx Corporation
FedEx Net Income Surges 33 Percent
Wednesday December 21, 7:50 am ET Annual Earnings Outlook Raised
MEMPHIS, Tenn.--(BUSINESS WIRE)--Dec. 21, 2005--FedEx Corporation (NYSE: FDX - News) today reported earnings of $1.53 per diluted share for the second quarter ended November 30, compared to $1.15 per diluted share a year ago, an increase of 33%.
FedEx Corp. reported the following consolidated results for the second quarter:
"Customer demand for our broad portfolio of transportation services, a disciplined pricing approach by FedEx and strong productivity gains led to a sharp improvement in our operating margins," said Frederick W. Smith, chairman, president and chief executive officer. "FedEx is also benefiting from solid economic growth year over year in the U.S. and Asian economies, which we expect to continue in 2006."
- Revenue of $8.09 billion, up 10% from $7.33 billion the previous year
- Operating income of $790 million, up 32% from $600 million a year ago
- Operating margin of 9.8%, up from last year's 8.2%
- Net income of $471 million, up 33% from $354 million the previous year
Last year's second quarter included two one-time items which negatively affected earnings by a net $0.06 per share: A one-time charge of $48 million or $0.10 per diluted share related to the company's claim for compensation under the Air Transportation Safety and System Stabilization Act, partially offset by a $0.04 per diluted share tax benefit resulting from the passage of the American Jobs Creation Act of 2004.
Total combined average daily package volume at FedEx Express and FedEx Ground grew 3% year over year for the quarter, led by improved international express package growth. Yield management actions in U.S. deferred services at FedEx Express to improve profitability boosted yields while resulting in lower volume. FedEx Ground volumes were weaker than expected, but strengthened in the last two weeks of November and continue to strengthen in December. The higher FedEx Ground growth trend is expected to continue in the second half of the fiscal year.
FedEx expects third quarter earnings to be $1.15 to $1.30 per diluted share. The company increased its earnings guidance for the year to $5.45 to $5.70 per diluted share from its previous guidance of $5.25 to $5.50 per diluted share, which includes the net effect of a $0.15 per share lease accounting charge in the first quarter. Excluding the impact of the lease accounting charge, earnings for the year are expected to be $5.60 to $5.85 per diluted share. The capital spending forecast for fiscal 2006 remains approximately $2.5 billion.
"We exceeded our original forecast for the second quarter due to outstanding operational performance and the deferral of certain advertising and promotional expenses to the second half of the fiscal year," said Alan B. Graf, Jr., executive vice president and chief financial officer. "Our increased earnings guidance for the full year reflects confidence in our ability to continue executing our business strategy, manage our cost structure and leverage sustained economic growth."
FedEx Express Segment
For the second quarter, the FedEx Express segment reported:
FedEx International Priority (IP) revenue grew 14% for the quarter. IP average daily package volume grew 8%, due to strong growth in Asia and Europe and continuing growth in U.S. export. IP revenue per package grew 5%, primarily due to higher fuel surcharges. U.S. domestic express package revenue increased 8%, as U.S. domestic revenue per package increased 7% and U.S. domestic volume increased 1%. The increase in U.S. domestic revenue per package was mainly driven by higher fuel surcharges and an increase in average rate per pound. FedEx Express operating margin improved significantly year over year, benefiting from solid growth in IP revenue and significant improvement in productivity. Also, last year's operating margin was negatively affected by the one-time charge related to the company's claim for compensation under the Air Transportation Safety and System Stabilization Act.
- Revenue of $5.37 billion, up 11% from last year's $4.83 billion
- Operating income of $476 million, up 43% from $333 million a year ago
- Operating margin of 8.9%, up from 6.9% the previous year
Thus why I really don't even want to discuss the issue with you. The quote above is pretty cut and dried. Either its true or its not. If its true then fdx is in a position it has not seen in the last year of near stagnant volume growth. Anyone can get that information from your press release. And yet here again you're attacking me for referencing what came out of your press release. I didn't create the number . If its true and you keep trying to find different ways to present the same number to me then there is no need to attack me for referencing it.montecarlo12 said:Tieguy.
you are a manager correct?? you cant even read a earnings report and understand what it is that you are reading. Now you want to compare the growth of the 2005 economy with Fedex growth numbers for the year, and our 4th quarter doesnt even end until May 31. Damn....were not even done with our 3rd quarter and are still waiting for our peak season numbers. You are lost huh??