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FedEx Freight (FDXF) posts 2026 results and issues Transition Period guidance

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8-K

Rhea-AI Filing Summary

FedEx Freight Holding Company, Inc. reported segmented results for the fourth quarter and full fiscal year ended May 31, 2026, together with its first standalone guidance after completing its spin-off from FedEx Corporation and beginning trading as an independent company on June 1, 2026.

Fourth quarter revenue was $2.4 billion, up 4.8% from the prior year, driven mainly by fuel surcharges and higher weight per shipment. Operating income was $158 million, down 66.9%, while adjusted operating income was $363 million, down 23.9%. Operating margin was 6.6% and adjusted operating margin was 15.1%. Revenue per shipment rose 11.5% to $415.22, but average daily shipments fell 5.9%.

For full fiscal 2026, revenue was $8.8 billion, a 1.1% decline. Operating income fell to $616 million, down 58.6%, and adjusted operating income was $1.1 billion, down 25.6%, reflecting spin-off costs and higher expenses. Effective June 1, 2026, the company changed its fiscal year-end from May 31 to December 31.

For the seven-month Transition Period ending December 31, 2026, FedEx Freight forecasts 4%–6% revenue growth versus $5.1 billion for the seven months ended December 31, 2025, operating income of $475 million to $515 million, and adjusted operating income of $605 million to $645 million. It projects operating margin of 9.0%–9.5% and adjusted operating margin of 11.5%–12.0%. Diluted EPS is expected to be $1.75 to $1.95 before mark-to-market retirement plan accounting adjustments and $2.40 to $2.60 after also excluding estimated spin-off costs, based on an assumed share count of 149.5 million.

Positive

  • Transition Period guidance indicates margin improvement: For the seven months ending December 31, 2026, FedEx Freight targets operating income of $475–515 million and adjusted operating income of $605–645 million, with operating margin rising to 9.0–9.5% and adjusted margin to 11.5–12.0% versus 7.8% and 11.8% previously.
  • Revenue growth outlook after spin-off: The company forecasts 4%–6% revenue growth for the Transition Period compared to $5.1 billion in the seven months ended December 31, 2025, suggesting expectations for modest top-line expansion as an independent carrier.

Negative

  • Sharp decline in fiscal 2026 profitability: Full-year operating income dropped 58.6% to $616 million, and adjusted operating income fell 25.6% to $1.108 billion, highlighting substantial margin compression despite relatively stable revenue.
  • Fourth quarter margin pressure despite revenue growth: Q4 2026 revenue grew 4.8% to $2.4 billion, but operating income fell 66.9% to $158 million and adjusted operating income decreased 23.9% to $363 million, reflecting higher costs and separation-related expenses.

Insights

Profitability fell sharply in 2026, but guidance points to modest margin recovery in the transition period.

FedEx Freight shows mixed dynamics. For fiscal 2026, revenue of $8.8 billion slipped 1.1%, while operating income dropped 58.6% to $616 million. Even on an adjusted basis, operating income of $1.108 billion declined 25.6%, signalling higher costs and sizable spin-off-related items.

Fourth quarter trends mirror this pressure: revenue grew 4.8% to $2.4 billion, but operating income fell to $158 million, with adjusted operating income of $363 million. Volume softness, wage inflation, separation costs, and lapping a prior-year facility sale weighed on margins despite stronger yield metrics like revenue per shipment rising 11.5%.

Transition Period guidance implies some rebuilding. Compared with seven months ended December 31, 2025, management targets 4–6% revenue growth from $5.1 billion, operating income of $475–515 million, and adjusted operating income of $605–645 million. Operating margin is expected to expand to 9.0–9.5%, with adjusted margin of 11.5–12.0%, alongside diluted EPS of $1.75–1.95 before mark-to-market pension adjustments and $2.40–2.60 after also excluding spin-off costs. Actual outcomes will depend on freight demand, fuel prices, and execution of post-spin cost controls.

Item 2.02 Results of Operations and Financial Condition Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01 Financial Statements and Exhibits Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Q4 2026 revenue $2.4 billion Fourth quarter fiscal 2026, up 4.8% year over year
Q4 2026 operating income $158 million Fourth quarter fiscal 2026, down 66.9% from prior year
Q4 2026 adjusted operating income $363 million Fourth quarter fiscal 2026, down 23.9% year over year
Full-year 2026 revenue $8.8 billion Fiscal year 2026, 1.1% decrease versus prior year
Full-year 2026 operating income $616 million Fiscal year 2026, 58.6% decline
Transition Period operating income guidance $475–515 million Seven months ending December 31, 2026 forecast
Transition Period revenue growth guidance 4%–6% Versus $5.1 billion for seven months ended December 31, 2025
Adjusted EPS guidance $2.40–$2.60 Seven months ending December 31, 2026, excluding MTM and spin-off costs
spin-off financial
"Completed Spin-off from FedEx Corp. and Began Trading as an Independent Company on June 1, 2026"
A spin-off happens when a company creates a new, independent business by separating part of itself, like splitting off a division into its own company. This often happens so the new company can focus better on its own goals or attract different investors. It matters because it can lead to more growth opportunities and clearer focus for both companies.
mark-to-market (MTM) retirement plan accounting adjustments financial
"FedEx Freight is unable to forecast the mark-to-market (MTM) retirement plan accounting adjustments for the seven months ending December 31, 2026."
adjusted operating income financial
"adjusted operating income was $363 million, a 23.9% decrease"
Adjusted operating income is a company's profit from its main activities, excluding certain one-time or unusual costs and gains. It helps investors see how well the business is performing in its normal operations, without distractions from rare events or expenses. This way, they get a clearer picture of the company’s true profitability.
adjusted operating margin financial
"adjusted operating margin of 15.1% compared to an operating margin of 20.8%"
Adjusted operating margin shows how much profit a company makes from its core business activities, after removing unusual or one-time costs and income. It helps investors see the company's true profitability by providing a clearer picture, similar to removing unexpected expenses to understand the regular performance. This metric is useful for comparing companies or tracking performance over time, as it highlights consistent earning power.
less-than-truckload (LTL) carrier financial
"FedEx Freight is North America’s largest less-than-truckload (LTL) carrier"
Transition Period financial
"The company today introduced guidance for the Transition Period on a standalone basis."
Q4 2026 revenue $2.4 billion +4.8% year over year
Q4 2026 operating income $158 million -66.9% year over year
Q4 2026 adjusted operating income $363 million -23.9% year over year
Fiscal 2026 revenue $8.8 billion -1.1% year over year
Fiscal 2026 operating income $616 million -58.6% year over year
Fiscal 2026 adjusted operating income $1.108 billion -25.6% year over year
Guidance

For the seven months ending December 31, 2026, FedEx Freight forecasts 4%–6% revenue growth versus $5.1 billion, operating income of $475–515 million, adjusted operating income of $605–645 million, operating margin of 9.0%–9.5%, adjusted operating margin of 11.5%–12.0%, and diluted EPS of $1.75–1.95 before MTM adjustments and $2.40–2.60 after also excluding spin-off costs.

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FALSE000208224700020822472026-06-252026-06-25

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): June 25, 2026
FedEx Freight Holding Company, Inc.
(Exact name of registrant as specified in its charter)
Commission File Number 001-43059
Delaware
39-3560171
(State or other jurisdiction of
incorporation or organization)
(I.R.S. Employer Identification No.)
8285 Tournament Drive
Memphis, Tennessee
38125
(Address of principal executive offices)(ZIP code)
(901) 560-0784
(Registrant’s telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading SymbolName of each exchange on which registered
Common Stock, par value $0.10 per shareFDXFNew York Stock Exchange
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐





EXPLANATORY NOTE
The information in this Report, including Exhibit 99.1, is being furnished pursuant to Item 2.02 of Form 8-K and General Instruction B.2 thereunder. Such information shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended.

SECTION 2. FINANCIAL INFORMATION.
Item 2.02. Results of Operations and Financial Condition.
Attached as Exhibit 99.1 and incorporated herein by reference is a copy of FedEx Freight Holding Company, Inc.’s press release, dated June 25, 2026, announcing its segmented financial results for the fiscal quarter and year ended May 31, 2026, as previously reported by FedEx Corporation.

SECTION 9. FINANCIAL STATEMENTS AND EXHIBITS.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits.

Exhibit NumberDescription
99.1
Press Release of FedEx Freight Holding Company, Inc. dated June 25, 2026.
104Cover Page Interactive Data File (the cover page XBRL tags are embedded within the Inline XBRL document).


SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

FEDEX FREIGHT HOLDING COMPANY, INC.
Date: June 25, 2026
By:/s/ Guy M. Erwin II
Guy M. Erwin II
Senior Vice President and Chief Accounting Officer


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FedEx Freight Reports Fourth Quarter and Full Fiscal Year 2026 Financial Results
Achieved Record-Low Department of Transportation (DOT) Preventable Accident Performance, Underscoring
Commitment to Safety Above All
Completed Spin-off from FedEx Corp. and Began Trading as an Independent Company on June 1, 2026
Introduces Guidance for Seven-Month Transition Period Ending December 31, 2026
MEMPHIS, Tenn. – June 25, 2026 – FedEx Freight (NYSE: FDXF) today reported segmented financial results for
the fourth quarter and full fiscal year ended May 31, 2026, as previously released by FedEx Corporation. 
“FedEx Freight delivered a solid quarter reflecting the resilience of our business, the dedication of our team
members, and the value we provide customers across North America,” said John Smith, president and chief
executive officer, FedEx Freight. “As a newly independent public company, we are moving forward with a clear
strategy focused on profitable growth and service differentiation. We have full confidence in our outstanding
people, unmatched network, and ability to create meaningful long-term value for shareholders.”
Fourth quarter and full-year fiscal 2026 results included herein are as reported in the FedEx Freight segment
results of FedEx Corporation and not presented on a carve-out basis. See “Non-GAAP Financial Measures” below
for reconciliations of and additional information regarding non-GAAP financial measures.
Fourth Quarter Fiscal 2026 Highlights Compared to Prior Year
•Revenue was $2.4 billion, a 4.8% increase
•Operating income was $158 million, a 66.9% decrease; adjusted operating income was $363 million,
a 23.9% decrease
•Operating margin of 6.6% and adjusted operating margin of 15.1% compared to an operating margin
of 20.8%
•Average daily shipments of 86.7 thousand, a 5.9% decrease 
•Revenue per shipment of $415.22, an 11.5% increase
•Weight per shipment of 948 pounds, a 3.0% increase
•Revenue per hundredweight of $43.79, an 8.2% increase
Full Fiscal 2026 Highlights Compared to Prior Year
•Revenue was $8.8 billion, a 1.1% decrease
•Operating income was $616 million, a 58.6% decrease; adjusted operating income was $1.1 billion, a
25.6% decrease
•Operating margin of 7.0% and adjusted operating margin of 12.6% compared to an operating margin
of 16.7%
Fourth Quarter Fiscal 2026 Financial Summary
FedEx Freight Segment revenue increased 4.8% year-over-year in the fourth quarter of fiscal 2026. The increase
was primarily driven by the favorable impact of fuel surcharges and higher weight per shipment. These factors
were partially offset by lower volumes and a slight decline in base revenue per hundredweight.
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FedEx Freight Segment results were impacted by planned incremental separation costs, lower shipments, the
lapping of a prior-year gain on the sale of a facility, and increased wage rates. These factors were partially offset
by net fuel and higher weight per shipment.
“FedEx Freight enters this next chapter with a strong financial outlook, supported by the scale of our network and
our disciplined approach to cost management, capital deployment, and cash flow generation,” said Marshall Witt,
chief financial officer, FedEx Freight. “Our guidance for the seven-month transition period reflects our
confidence in the underlying strength of the business. We believe FedEx Freight is well-positioned to deliver
strong financial performance as we invest strategically in the business and generate durable shareholder value.” 
Fiscal Year Change
Effective for the period beginning June 1, 2026, the company's fiscal year-end has changed from May 31 to
December 31.
Outlook 
FedEx Freight is unable to forecast the mark-to-market (MTM) retirement plan accounting adjustments for the
seven months ending December 31, 2026. As a result, FedEx Freight is unable to provide a Transition Period
(June 1 through December 31, 2026) earnings per share (EPS) or effective tax rate (ETR) outlook on a GAAP
basis and is relying on the exemption provided by the Securities and Exchange Commission (SEC). It is
reasonably possible that the Transition Period MTM retirement plan accounting adjustments could have a material
effect on the Transition Period consolidated financial results and ETR.
The company today introduced guidance for the Transition Period on a standalone basis. Prior-year figures reflect
carve-out results, with costs previously allocated from FedEx Corporation now fully reclassified into their
respective expense line items.
For the Transition Period, FedEx Freight is forecasting:
•A 4% to 6% revenue growth rate when compared to $5.1 billion for the seven months ended
December 31, 2025;
•Operating income of $475 million to $515 million compared to $394 million for the seven
months ended December 31, 2025;
•Adjusted operating income of $605 million to $645 million compared to $600 million for the
seven months ended December 31, 2025;
•Operating margin of 9.0% to 9.5% compared to 7.8% for the seven months ended December
31, 2025;
•Adjusted operating margin of 11.5% to 12.0% compared to 11.8% for the seven months
ended December 31, 2025;
•Interest expense of approximately $135 million;
•An ETR of approximately 26% prior to the MTM retirement plan accounting adjustments,
compared to 25% for the seven months ended December 31, 2025;
•Diluted EPS of $1.75 to $1.95 before the MTM retirement plan accounting adjustments, and
$2.40 to $2.60 after also excluding costs related to the spin-off; and
•Assumed share count of 149.5 million.
These forecasts assume the company’s current economic outlook and fuel price expectations, and no additional
adverse economic, geopolitical, or international trade-related developments. FedEx Freight’s EPS and ETR
forecasts are based on current law and related regulations and guidance.
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Corporate Overview
FedEx Freight is North America’s largest less-than-truckload (LTL) carrier, delivering industry-leading published
transit times, service levels, and reliability. FedEx Freight’s service offerings — including Priority, Economy, and
Direct — allow customers to balance speed and cost to meet their unique needs. FedEx Custom Critical, a
subsidiary, provides expedited, time- and temperature-specific freight solutions, including Surface Expedite and
White Glove Services, available 24/7/365. With nearly 30,000 vehicles, of which nearly 17,000 are tractors, and
40,000 dedicated team members to support its network of over 365 locations, we ensure freight arrives safely,
securely, and on time across all 50 U.S. states, Canada, Mexico, Puerto Rico, and the U.S. Virgin Islands. FedEx
Freight leverages operational efficiency, data-driven technology, and a focused sales organization to provide
outstanding service. To learn more, visit www.fedexfreight.com.
Additional information and operating data are contained in the company’s filings with the SEC. These materials,
as well as a webcast of the earnings release conference call to be held at 4:00 p.m. CDT on June 25, are
available on the company’s website at ir.fedexfreight.com. A replay of the conference call webcast will be posted
on our website following the call.
The Investor Relations page of our website, ir.fedexfreight.com, contains a significant amount of information about
FedEx Freight, including our SEC filings and financial and other information for investors. The information that we
post on our Investor Relations website could be deemed to be material information. We encourage investors, the
media, and others interested in the company to visit this website from time to time, as information is updated and
new information is posted.
Certain statements in this press release may be considered forward-looking statements within the meaning of the
Private Securities Litigation Reform Act, such as statements regarding future financial targets, business
strategies, management’s views with respect to future events and financial performance, and the assumptions
underlying such targets, strategies, and statements. Forward-looking statements include those preceded by,
followed by, or that include the words “will,” “may,” “could,” “would,” “should,” “believes,” “expects,” “forecasts,”
“anticipates,” “plans,” “estimates,” “targets,” “projects,” “intends,” or similar expressions. Such forward-looking
statements are subject to risks, uncertainties, and other factors which could cause actual results to differ
materially from historical experience or from future results expressed or implied by such forward-looking
statements. Potential risks and uncertainties include, but are not limited to: economic conditions in the markets in
which FedEx Freight operates; significant changes in the volumes of shipments transported through FedEx
Freight’s network, customer demand for FedEx Freight’s various services, or the prices it obtains for its services;
geopolitical developments and additional changes in international trade policies and relations; the price and
availability of fuel; failure to successfully implement FedEx Freight’s business strategy and effectively respond to
changes in market dynamics and customer preferences; FedEx Freight’s ability to achieve some or all of the
anticipated benefits from its spin-off from FedEx Corporation; the consequences of FedEx Freight no longer
operating as part of a globally diversified company; dis-synergies and other costs incurred in connection with the
spin-off exceeding FedEx Freight’s estimates; the distribution of shares of FedEx Freight, together with certain
related transactions, not qualifying for the intended tax treatment; a significant data breach or other disruption to
FedEx Freight’s technology infrastructure, and its ability to mitigate the technological, operational, legal,
regulatory, and reputational risks related to emerging technologies such as autonomous technology and artificial
intelligence (“AI”); increased insurance and claims expenses related to vehicle accidents, workers’ compensation
claims, property and cargo loss, general business liabilities, and benefits paid under employee disability
programs; failure to receive or collect expected insurance coverage; the effect of any international conflicts or
terrorist activities; failure of third-party service providers to perform as expected, or disruptions in FedEx Freight’s
relationships with those providers or their provision of services to FedEx Freight; widespread outbreak of an
illness or any other communicable disease or public health crisis; damage to FedEx Freight’s or FedEx
Corporation’s reputation or loss of brand equity; the intense competition within FedEx Freight’s industry; FedEx
Freight’s ability to maintain good relationships with its employees and avoid attempts by labor organizations to
organize groups of its employees; any effects on FedEx Freight’s businesses resulting from evolving or new U.S.
domestic or international government regulations, laws, policies, and actions; any liability resulting from and the
costs of defending against litigation and governmental proceedings; the sufficiency of insurance coverage FedEx
Freight purchases; the effect of technology developments (including AI and machine learning) on FedEx Freight’s
operations and on demand for its services, and FedEx Freight’s ability to identify and eliminate unnecessary
information technology redundancy and complexity throughout the organization, including exiting the transition
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service agreements with FedEx Corporation in the expected timeframe and at the expected cost; disruptions in
global supply chains; constraints, volatility, or disruption in the global capital and credit markets; FedEx Freight’s
ability to maintain its current credit ratings and senior unsecured debt credit ratings, its ability to meet credit
agreement financial covenants; and other factors which can be found in FedEx Freight’s press releases and filings
with the SEC, including its information statement included as Exhibit 99.1 to its Current Report on Form 8-K that
was filed with the SEC on May 13, 2026. Any forward-looking statement speaks only as of the date on which it is
made. Neither FedEx Freight nor anyone else undertakes or assumes any obligation to update or revise any
forward-looking statement, whether as a result of new information, future events, or otherwise.
Media Contact:
Kelly Crow
media@fedexfreight.com
Investor Relations Contact:
Marianna Rose
ir@fedexfreight.com
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Non-GAAP Financial Measures
The FedEx Freight Segment results as reported by FedEx Corporation are reported in accordance with
accounting principles generally accepted in the United States (GAAP). FedEx Freight has supplemented these
GAAP results and its outlook with certain non-GAAP (adjusted) financial measures, including adjusted operating
income, adjusted operating margin, and adjusted diluted earnings per share.
These non-GAAP financial measures exclude the effects of certain items that management believes are not
indicative of the company’s core operating performance, including costs related to the spin-off of FedEx Freight
from FedEx Corporation, which primarily consist of professional fees and other separation-related costs.
Management believes these non-GAAP financial measures facilitate period-to-period comparisons and provide
useful information to investors by excluding items that are not reflective of the company’s underlying operating
performance. Management uses these non-GAAP measures in making financial, operating and planning
decisions and evaluating the company’s ongoing performance.
These non-GAAP financial measures are intended to supplement, and should be read together with, the
company’s GAAP results. They should not be considered a substitute for, or superior to, reported financial results
prepared in accordance with GAAP. Accordingly, users of our financial statements should not place undue
reliance on these non-GAAP financial measures. Because non-GAAP financial measures are not standardized,
they may not be comparable to similarly titled measures presented by other companies. As required by SEC rules,
reconciliations of the company’s non-GAAP financial measures to the most directly comparable GAAP measures
are provided below.
Fourth Quarter and Full Fiscal 2026 and 2025 Results
FedEx Freight's fourth quarter and full fiscal 2026 Segment adjusted operating income and adjusted operating
margin are non-GAAP financial measures because they exclude the effects of costs related to the spin-off. No
costs related to the spin-off were incurred at the FedEx Freight Segment in fiscal 2025.
Three Months Ended May 31,
Twelve Months Ended May 31,
2026
2026
Dollars in millions
Operating
Income
Operating
Margin
Operating
Income
Operating
Margin
GAAP measure
$158
6.6%
$616
7.0%
Spin-off costs
205
8.5%
492
5.6%
Non-GAAP measure
$363
15.1%
$1,108
12.6%
Seven Months Ended December 31, 2025 Results
FedEx Freight's seven months ended December 31, 2025 carve-out adjusted operating income and adjusted
operating margin are non-GAAP financial measures because they exclude the effects of costs related to the spin-
off. No MTM retirement plan accounting adjustments were made for the seven months ended December 31,
2025.
Seven Months Ended December 31,
2025
Dollars in millions
Operating
Income
Operating
Margin
GAAP measure
$394
7.8%
Spin-off costs
206
4.0%
Non-GAAP measure
$600
11.8%
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Seven Months Ending December 31, 2026 Forecasts
FedEx Freight's seven months ending December 31, 2026 adjusted operating income, adjusted operating margin,
adjusted EPS, and ETR forecasts are non-GAAP financial measures because they exclude, as applicable, the
effects of MTM retirement plan accounting adjustments and estimated costs related to the spin-off.
Dollars in millions
Operating
Income
Operating
Margin
GAAP measure
$
475 to 515
9.0 to 9.5 %
Spin-off costs
130
2.5%
Non-GAAP measure
$
605 to 645
11.5 to 12.0 %
The company is unable to predict the amount of MTM retirement plan accounting adjustments for the seven
months ending December 31, 2026, as such adjustments are significantly affected by changes in interest rates
and financial market conditions. Accordingly, these adjustments are not included in the company’s seven months
ending December 31, 2026 EPS and ETR forecasts, and a reconciliation of these forecasts to the most directly
comparable GAAP measures is impracticable. It is reasonably possible that MTM retirement plan accounting
adjustments could have a material effect on the company’s seven months ending December 31, 2026 financial
results and ETR.
The seven months ending December 31, 2026 adjusted EPS forecast below outlines the estimated effects of the
items excluded from the company’s forecast, other than MTM retirement plan accounting adjustments.
Dollars in millions, except EPS
Adjustments
Diluted Earnings
Per Share
Diluted earnings per share before MTM retirement plan accounting
adjustments (non-GAAP)1
$
1.75 to 1.95
Spin-off costs
$130
Income tax effect
(34)
Net of tax effect
$96
0.65
Diluted earnings per share with adjustments (non-GAAP)1
$
2.40 to 2.60
________________________
1
The MTM retirement plan accounting adjustments, which are impracticable to calculate at this time, are excluded.

Source: View Original Filing on SEC EDGAR

FAQ

How did FedEx Freight (FDXF) perform in Q4 fiscal 2026?

FedEx Freight reported Q4 2026 revenue of $2.4 billion, up 4.8% year over year. Operating income fell to $158 million, down 66.9%, while adjusted operating income was $363 million, down 23.9%, reflecting higher costs and spin-off-related expenses.

What were FedEx Freight’s full fiscal 2026 results?

For fiscal 2026, FedEx Freight generated $8.8 billion in revenue, a 1.1% decrease from the prior year. Operating income declined 58.6% to $616 million, and adjusted operating income fell 25.6% to $1.108 billion, indicating significant margin compression amid spin-off and cost pressures.

What guidance did FedEx Freight (FDXF) provide for the Transition Period?

For the seven months ending December 31, 2026, FedEx Freight forecasts 4%–6% revenue growth versus $5.1 billion in the prior-year period. It expects operating income of $475–515 million, adjusted operating income of $605–645 million, and operating margin of 9.0%–9.5%.

What EPS range is FedEx Freight expecting for the Transition Period?

FedEx Freight projects diluted EPS of $1.75 to $1.95 before mark-to-market retirement plan accounting adjustments. After also excluding estimated spin-off costs, adjusted diluted EPS is forecast at $2.40 to $2.60, based on an assumed share count of 149.5 million.

How did FedEx Freight’s operating margins change in fiscal 2026?

In fiscal 2026, FedEx Freight’s operating margin was 7.0%, down from 16.7% in the prior year. Adjusted operating margin was 12.6%, compared with 16.7% previously, driven by spin-off costs, lower shipments, and higher wage and other operating expenses.

What fiscal year-end change did FedEx Freight implement?

Effective for the period beginning June 1, 2026, FedEx Freight changed its fiscal year-end from May 31 to December 31. The company is using a seven-month Transition Period ending December 31, 2026, to realign its reporting calendar and has provided specific guidance for that timeframe.

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