FedEx Freight publishes Q3 2026 earnings call transcript
FDX•FedEx Freight raised its fourth-quarter 2026 adjusted operating income guidance to $185 million-$205 million and revenue guidance to $2.3 billion-$2.37 billion. Revenue for the four months ended September 30 rose 9% to $3.3 billion, while adjusted operating income increased 16% to $510 million.
1. Fourth-quarter guidance
FedEx Freight raised its fourth-quarter 2026 guidance to adjusted operating income of $185 million-$205 million and revenue of $2.3 billion-$2.37 billion. Management said higher fuel prices underpin most of the projected fourth-quarter yield improvement, and a 6.9% general rate increase takes effect January 8.
2. Results and targets
Revenue for the four months ended September 30 rose 9% to $3.3 billion, and adjusted operating income increased 16% to $510 million. Management expects 2027 performance to support medium-term targets of 4%-6% annual compounded revenue growth and 10%-12% annual compounded adjusted operating income growth.
