https://finance.yahoo.com/news/fedex-reports-drop-quarterly-earnings-201019958.html

The company did away with $1.8 billion in structural costs in fiscal 2024 ended May, and plans to take out another $2.2 billion in costs in fiscal 2025.

However, ongoing cost cuts failed to offset the drag from weak demand for the lucrative priority services in the United States and one fewer operating day in the quarter, FedEx said.

 

So…”only” $790,000,000 of profit. That sucks! They can only afford about $3,100,000,000 in annual contract improvements.

Good luck in negotiations! They can afford what you are worth.

 

no kidding. with what apple earns each year, their employees must make millions!

 

webcast on now

 

CNBC is calling this a "big earnings miss"

https://www.cnbc.com/2024/09/19/fede...-services.html

From webcast:

Raj:

"Focus on maximizing efficiencies"

Europe - optimizing and obtaining efficiencies

"Nimble AI platform" will be used to streamline operations

Brie:

Pictures of front doors when a package is delivered (** Amazon has done this for ??? years???)

John:

"500M in headwinds" from loss of USPS contract.

Q/A Session

"Taking down daytime flying" due to loss of USPS

B2B volumes much weaker than expected

Plan to "match aircraft size to demand profile"

Europe is top priority for executive team

 

AI engineers are getting a million per year. Obviously, not everyone commands that much. Apple is a bit more profitable than FedEx

 

jesus h christ. just shed $10 billion in market cap in the blink of the eye. cnbc reporting it’s due to priority package delivery issues.

 

Fedex stock appeared to be overvalued so a correction is not totally unexpected.

 

Last pckage I shipped got the delivery picture. Of course it wasnt my package or the right delivery address. Maybe that should be dealt with by our management team. Amazon almost never misses.

 

Unfortunately, like so many other companies, this one has bowed to the pressure of the ESG corporate agenda. An agenda born in Europe aimed at socializing our capitalism, and creating a type of corporate communism. Company greatness doesn't matter. What matters is using great buzzwords that sound sharp: like efficiency, when they really mean firing employees.

Hiring great leadership? Not the priority. Checking certain boxes is. Hire mediocre managers and supervisors who meet certain 'metrics' (excellence is not considered), which are irrelevant to the success of the company, as long as they score ESG points. Instead of continuing a great legacy at these companies, the new woke management instead are condescending to their customers and employees (think PSA offer, or losing USPS and spinning it to a win).

Like Bud Lite, Target, Harley Davidson, etc. this company has taken on the same bizarre notion of future growth by abandoning what made it succesful to begin with. They have completely missed the point about what made this company outstanding for decades. Now we shrink and outsource our company to success, with all the right buzzwords.

I don't know anyone who wants this at this company, nor in the government, but still it's all around us. Powerful global thing going on, and we are seeing our slice of it here at work.