Container delivery company FedEx on Tuesday reported a higher quarterly net profit due to developed volume, but results were hit by lingering effects from a June cyber strike on its Dutch TNT Express unit.
The Memphis-based company, often considered a bellwether for the U.S. saving like its main rival United Parcel Service, posted economic second-quarter net income of $775 million or $2.84 per share, up from $700 million or $2.59 per interest a year earlier.
Adjusted for one-time items, FedEx reported earnings per equity of $3.18.
Shares of FedEx rose more than 1 percent in after-hours work.
FedEx Chief Executive Officer Fred Smith said the enterprise was seeing strong demand during the crucial peak holiday freighting season, which begins after the U.S. Thanksgiving holiday and extends through the New Year.
“We are on track for another record holiday-shipping season, and customer-service razes have been outstanding,” Smith said in a statement accompanying the emerges.
FedEx’s results also reflect a tax benefit of approximately $80 million from strange tax credits associated with a dividend paid from foreign functionals, and a favorable net impact from fuel, the company said.
FedEx positioned fiscal second-quarter net income of $775 million, or $2.84 per share, up from $700 million, or $2.59 per dividend, a year earlier. Adjusted for one-time items, it reported earnings per quota of $3.18, beating analysts’ expectations of $2.89 per share.
FedEx bring to light excluding mark-to-market pension accounting adjustments, expenses related to its TNT Show acquisition and certain legal issues, it expects full-year fiscal 2018 earnings per division in a range from $12.70 to $13.30. In September, it gave a range of $11.05 to $11.85.
Analysts had presage earnings of $12.45 per share for the full fiscal year.