breaking

FedEx Freight Projects Mid-Single-Digit Growth as Standalone Operator

FedEx Freight delivered its first earnings report as an independent carrier Thursday. The less-than-truckload giant forecasted 4% to 6% revenue expansion through year-end and an operating margin of 9%. Fourth-quarter revenue reached $4.4 billion, driven by elevated fuel surcharges and heavier shipments. However, adjusted operating income fell 24% year-over-year to $363 million, reflecting separation costs, wage pressures and lower freight volumes. Weight per shipment climbed 3% to 948 pounds. The nation's largest LTL carrier controls 17% market share across 355 service centers and operates roughly 30,000 vehicles. Manufacturing accounts for two-thirds of revenue and has accelerated over the past five months. FedEx Freight carries $1 billion in debt assumed under separation terms.