Fedex corporation (fdx) overwhelmed earnings evoke argus to increase eps forecast

Today, Argus took a review of FedEx Corporation’s ( NYSE:FDX) financial results. Noodles and company belmar These results turned robust and excited the Street. Noodles and company franklin Argus upgraded the company’s FY16 earnings per share (EPS) estimate from $10.75 to $10.83. E noodles menu It reiterated a Buy stance with a price target of $180.

On March 16, 2016, FedEx announced its third quarter of fiscal year 2015 (3QFY15) results. Noodles express menu The company disclosed $12.654 billion sales revenue, up 2.37% against consensus estimate of $12.361 billion. Noodles n company locations The net income during the quarter reached $691 million. Noodles and company northbrook It also surpassed consensus $654.938 million expectations by 5.51%. Order noodles As a result, the adjusted EPS touched $2.509 per share in comparison with consensus $2.337 anticipation, resulting in a 7.36% surge.

FedEx Corporation Chairman, President, and CEO Frederick W. Noodles and company coon rapids Smith stated: “Our strong financial performance was driven by increasing demand for our broad portfolio of FedEx business solutions which helped increase revenue and adjusted profit for the corporation.” He further added: “We sincerely appreciate the peak season efforts of our FedEx team members who delivered great service despite the challenges of stronger-than-expected shipping demand, driven by the growth in e-commerce.”

The improved earnings were attributed to the net impact of currency exchange rates and lower fuel prices, besides better program management initiatives.

Noodles and company norfolk Although, these benefits received a slight hit due to thin operating results at FedEx Ground and FedEx Freight.

The other factor, which apparently helped in increased earnings, is 7.3 million shares repurchase. Noodles and company utc This buyback helped the company’s quarterly result by 0.07 per diluted share year-over-year (YoY). Where did noodles originate from Company’s Revised Guidance

The company increased its FY16 Adjusted EPS to be in $10.7-$10.9 range. Noodles and company broadway Previously, this range was $10.4-$10.9 per diluted share. Noodles and company price list This outlook assumed moderate economic growth and also adjusted provision against legal matters as well as TNT-related expenditures. Noodles wiki The capital expenditure forecast therefore increased by $0.2 billion to $4.8 billion. Where did noodles originate Previously, FedEx announced $4.6 billion expenditure as on December 16, 2015.

FedEx Corporation executive vice president and CFO Alan B. Noodles and company hours operation Graf, Jr. Noodles and company royal oak expressed his remarks: “We now expect our fiscal 2016 adjusted earnings to be up 20% to 22% over last year, as we continue to benefit from our execution of the profit improvement program.” he added: “Our positive financial momentum should continue into our upcoming fiscal 2017, where we expect solid growth in earnings and cash flow.”

Argus believes that the company has been performing well for the past three years due to strong domestic economic growth, especially from growth in e-commerce. Noodles in chicago Its managerial staff continued to plow cash back into the operations. Yama noodles menu This is likely to set a stage for future efficiencies and margin improvement.

Additionally, the company looks forward to modernize its aircraft fleet. Noodles catering The new airplanes will be more fuel-efficient, demanding less maintenance. Noodles and compamy This will result in further margins improvement. Noodles and company buttered noodles Furthermore, the likelihood of TNT Express NV – ADR ( OTCMKTS:TNTEY) acquisition approval will strengthen the company’s competitive position in Europe. Noodles and xompany Keeping these things under consideration, the valuations remain attractive.

It is pertinent to note that on April 7, 2015, FedEx had announced its intention to acquire Dutch-based parcel services company TNT Express against 8 euros per share in an all-cash deal. What are noodles The transaction represents an implied equity value of $4.8 billion. Find noodles As of now, the deal awaits EU regulators’ approval. Noodles and company woburn If approved, FedEx will be in a position to offer ground delivery services under its banner. Noodles company menu prices To date, it is offering air express delivery operation in the European region. Noodles and company website The deal is likely to close within first half of CY16. Www noodles and company menu Bulk of Criminal Charges against FedEx Dropped

Good news that emerged today is the elimination of certain legal charges from the company. Noodles and company longmont Senior U.S. Noodles and c District Court Judge Charles Breyer discharged more than 18 cases of criminal concerns in a lawsuit alleging FedEx for knowingly-shipped illegal prescription drugs. Noodles and company menu nutrition The prosecutors had blamed the company to ship sleep aids, painkillers, sedatives, and other drugs to customers, in collaboration with the online pharmacies. Noodles & Although the company got a relief from drugs case, it still needs to face the charges linked with money laundering as well as the controlled substances distributions.

It is relevant to note that the company has already made provision in expenses related to legal matters. Noodles and company franklin tn In this regard, it had put $0.61 per diluted share worth amount. Noodles and company kentlands However, the judiciary’s announcement today will help it to reduce this provision. Noodles & company columbus oh As a result, the company may disclose healthy FY16 year-end results.