FedEx reported mostly steady revenue for the fourth quarter, as the Memphis-based logistics giant remains on pace to make $4 billion in permanent cost reductions by the next fiscal year.
The company reported Tuesday that it generated $22.1 billion in revenue for the 2024 fiscal year’s fourth quarter, a slight increase from the year-before quarter’s $21.9 billion. Operating income was also slightly up at $1.56 billion, an increase from last year’s $1.50 billion.
A net income of $1.47 billion was also reported by the Memphis-based logistics giant, down slightly from last year’s $1.54 billion.
FedEx’s fourth quarter ended May 31. For the entire fiscal year, FedEx saw $87.7 billion in revenue, down slightly from $90.2 billion in Fiscal Year 2023.
FedEx Corp. President and CEO Raj Subramaniam attributed the company’s modest fourth-quarter revenue increase to lower structural costs thanks to the DRIVE program, a multiyear effort to improve the efficiency with which FedEx picks up, transports and delivers packages in the U.S. and Canada.
“We made significant progress in fiscal 2024 and ended the year strong, delivering four consecutive quarters of expanding operating income and margin in a challenging revenue environment,” Subramaniam said. “We expect this momentum to continue in fiscal 2025 as we advance our efforts to create the world’s most flexible, efficient, and intelligent network.”
