Despite a ‘weaker demand environment,’ Fedex squeezes out profits

December 21, 2022

Fedex’s second-quarter results revealed lower package volumes, pointing to weak demand from China, in particular. However, thanks in part to gasoline surcharges, the company was able to continue turning a profit, sending shares higher in trading yesterday. As for domestic sales, management is waiting for consumers to start gearing up again after indulging during the pandemic. “I think the main macro issue in the United States is really the e-commerce reset,” Chief Executive Raj Subramaniam said during the company’s investor call.

Recent News