Published: November 11, 2025
Key Takeaways
- Guidance surprise: FedEx expects current‑quarter (fiscal Q2) adjusted EPS to exceed last year’s $4.05, topping consensus estimates of ~$4.02. Shares rose about 5% intraday on the update. [1]
- Live remarks today: CEO Raj Subramaniam and CFO John Dietrich appeared at the Baird Global Industrial Conference webcast this morning. [2]
- Operations today (Veterans Day): FedEx is operating with modified service across select networks; customers should check service details before shipping. [3]
- Network & demand signals: A new FedEx survey points to robust APAC–Europe SME trade optimism and recent flight additions that trim transit times on that corridor. [4]
FedEx Lifts Near‑Term Profit Outlook; Stock Rallies
FedEx Corporation (NYSE: FDX) told investors today it expects adjusted earnings in its fiscal second quarter (ending Nov. 30) to come in above last year’s $4.05 per share—a level that also sits ahead of the ~$4.02 average analyst estimate referenced by Bloomberg data. The upbeat signal helped send FDX shares up roughly 5% intraday. [5]
Speaking at an industry conference, the company also acknowledged potential cost and capacity headwinds tied to the ongoing grounding of MD‑11 freighters industry‑wide in the wake of last week’s UPS accident, though FedEx said contingency plans are in place to minimize service disruption. [6]
What Management Said Today
FedEx’s leadership team appeared at the Baird Global Industrial Conference this morning, a scheduled webcast event featuring CEO Raj Subramaniam and CFO John Dietrich. The event offered incremental color on peak‑season operations, pricing, and cost initiatives that underpin the improved quarterly profit outlook. [7]
Context: MD‑11 Safety Inspections Continue
The Federal Aviation Administration issued an emergency airworthiness directive on Nov. 8 requiring inspections of all MD‑11/MD‑11F aircraft after a fatal UPS crash in Louisville. Both UPS and FedEx grounded MD‑11 fleets while safety reviews proceed; FedEx operates 28 MD‑11s. Any prolonged pause can shift volume to other aircraft types and networks, raising near‑term costs. [8]
Veterans Day: What Shippers Need to Know Today
FedEx is open with modified service for Veterans Day (Nov. 11). According to the company’s 2025 holiday schedule, most express, ground and office operations remain available, though some services may run with modified hours or one‑day longer transit times depending on product and location. Shippers should verify pickup and delivery specifics before tendering time‑sensitive parcels. [9]
New: APAC–Europe Trade Momentum and Network Additions
Separately, FedEx published new survey findings today highlighting strong cross‑border trade confidence among small and mid‑sized businesses in Asia Pacific and Europe. Among the operational updates, FedEx added five weekly flights connecting Asia to Europe and improved Vietnam–Europe connectivity, shaving up to one day off transit on certain lanes. The company now operates 26 weekly flights linking Europe shipments to APAC, reflecting ongoing optimization ahead of peak. [10]
Why It Matters for Investors
- Earnings cadence: Today’s above‑prior‑year EPS signal alleviates concerns about a softer peak season and validates cost and network actions implemented since mid‑year. [11]
- Demand backdrop: U.S. holiday retail sales are projected to surpass $1 trillion for the first time—albeit with slower growth—suggesting solid (if more promotional) parcel demand into December. [12]
- Operational risk: The temporary grounding/inspection regime for MD‑11s introduces mix and routing complexity that could pressure unit costs if extended, though FedEx indicates mitigation plans are active. [13]
What’s Next
- Quarter close & guidance precision: FedEx’s fiscal Q2 ends Nov. 30; investors will look for confirmation of EPS above last year’s mark and any updated full‑year framework on the December earnings call. Today’s commentary sets a constructive tone heading into the print. [14]
- Peak‑season execution: Watch on‑time performance and capacity allocation as FedEx navigates Veterans Day‑week volumes, the MD‑11 inspection window, and the Thanksgiving‑to‑Cyber Monday surge. [15]
- International growth lanes: Additional flight frequencies and faster APAC–Europe transit times should support export‑driven SMEs, a segment highlighted in FedEx’s survey and a potential margin lever for Express. [16]
Bottom Line
On Nov. 11, 2025, FedEx raised near‑term profit expectations and calmed peak‑season worries, sending FDX higher. The company is balancing short‑term operational challenges tied to MD‑11 inspections with targeted network upgrades and stable holiday demand. For shippers, modified Veterans Day service is in effect; for investors, the tone from today’s webcast is a constructive setup heading into December’s results. [17]
Sources: FedEx remarks and market reaction (Investing.com/Reuters); Baird webcast listing (FedEx IR); Veterans Day service schedule (FedEx); FAA MD‑11 inspection directive and fleet grounding context (Washington Post); holiday retail outlook (Reuters). [18]
Tags: FedEx, FDX, earnings, guidance, Baird Global Industrial Conference, Veterans Day shipping, MD‑11, holiday season, APAC–Europe trade, logistics stocks
References
1. www.investing.com, 2. investors.fedex.com, 3. www.fedex.com, 4. newsroom.fedex.com, 5. www.investing.com, 6. www.investing.com, 7. investors.fedex.com, 8. www.washingtonpost.com, 9. www.fedex.com, 10. newsroom.fedex.com, 11. www.investing.com, 12. www.reuters.com, 13. www.washingtonpost.com, 14. www.investing.com, 15. www.fedex.com, 16. newsroom.fedex.com, 17. www.investing.com, 18. www.investing.com
