Earnings Releases·Oct 29, 2026, 4:08 PM ET

FedEx Freight — Q3 TY26 Earnings Summary

Revenue for the four months ended September 30, 2026, rose 9.2% year-over-year to $3.3 billion, while adjusted operating income increased 16.4% to $510 million; however, reported operating income fell 6.1% to $383 million and diluted EPS declined 43% to $1.54.
Full Transition Period (June–December 2026) adjusted operating income guidance was raised to $695–$715 million (from $605–$645 million), with adjusted operating margin forecast at 12.5–12.7% (up from 11.5–12.0%).
The company repaid $100 million of debt ahead of schedule, maintains $1.6 billion in total liquidity, and is on track to announce a 2027 dividend and share repurchase plan subject to board approval.
Outlook assumes current economic conditions and fuel price expectations, with Q4 2026 revenue forecast at $2.30–$2.37 billion and adjusted operating income at $185–$205 million.
Management highlighted solid execution as a standalone entity and confidence in the base business approaching 2027, though MTM retirement plan adjustments remain a key uncertainty for consolidated results.