trucking

FedEx Freight Targets Healthcare, Grocery and Tech Markets as Independent Operator

FedEx Freight is focusing on high-margin segments where it has historically under penetrated as a standalone carrier. President and CEO John Smith outlined the strategy during the company's first earnings call following its spinoff, identifying healthcare, grocery and technology sectors—particularly data center operators—as key growth opportunities. The carrier also aims to expand penetration among small and medium-sized businesses. Smith emphasized the company's dual-service model, offering one- to three-day delivery options that provide shippers with needed flexibility. Q4 results showed adjusted operating income declined 23 percent year-over-year, while revenue per shipment climbed 11 percent. Average daily shipments fell 5.9 percent, though weight per shipment increased 3 percent and revenue per hundred weight rose 8 percent.