What FedEx Corp.'s Results Mean for United Parcel Service's Prospects - Motley Fool Five key themes FedEx's third-quarter earnings were discussed in more detail in an earlier article, so let's focus here on the takeaways that are relevant to UPS: Peak demand and e-commerce delivery continues to exceed expectations. FedEx's ground operating income margin fell to 12.6% in the third quarter compared to 16.5% in the same period last year, partly pressured by peak and e-commerce demand. FedEx is undertaking pricing initiatives in order to increase margins and adapt to customer behavior. Capital spending requirements increased. Amazon.com's (NASDAQ:AMZN) recent cargo network expansion might not be a competitive threat.