FedEx said it would close offices, freeze hiring and park aircraft in response to a decline in package shipping volumes that prompted the company to issue a profit warning and scrap its guidance for fiscal 2023.
The update, from a company considered a bellwether of global economic growth due to the wide range of items it ships, was issued after Wall Street’s closing bell on Thursday and knocked shares down more than 15 per cent to their lowest level in more than two years.
FedEx released preliminary results for the three months to August 31 that were weaker than analysts expected, blaming “global volume softness” that “accelerated” in the final weeks of the quarter.
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