FedEx (NYSE:FDX) Corp announced fourth-quarter 2023 revenue of $21.9 billion down from $24.4 billion a year earlier and falling short of the $22.65 billion consensus analyst estimate on reduced ecommerce demand.
The package delivery giant also generated diluted earnings per share (EPS) of $6.05 during the quarter, while its adjusted diluted EPS of $4.94 edged past expectations of $4.83.
The company's 4Q results included a noncash impairment charge of $70 million, or $0.21 per diluted share, from the decision to permanently retire from service 18 aircraft and 34 related engines to align with the plans of FedEx (NYSE:FDX) Express to modernize its air fleet, improve its global network and better align air network capacity with current and anticipated demand.
FedEx's quarterly results also include impairment charges of $47 million, or $0.17 per diluted share, for goodwill and other assets related to the ShopRunner acquisition.
For its fiscal year 2024, the company said it expects EPS of $16.50 to $18.50 versus the analyst consensus of $18.36.
Furthermore, FedEx reported that its chief financial officer Michael Lenz will retire effective July 31, 2023.
Shares of FedEx fell 4% in Tuesday's after-hours session but have gained 31% year to date.
Contact Sean at sean@proactiveinvestors.com