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3 July 2023
Under the Radar: FedEx on air cargo demand post-pandemic; FedEx’s Q4 earnings and guidance; On IATA’s data showing global air cargo down 6.6% yoy in April; Whether demand is shifting to maritime shipping players; Removing 29 aircraft from fleet; Adding small feeder aircrafts to enhance flexibility
Today we’re going to talk about one of the world’s largest express transportation companies.
Our guest for today is from FedEx, a company that was founded by Frederick W Smith as the Federal Express Corporation in 1971.
And here’s a fun fact about the company’s name.The word “federal” suggested an interest in nationwide economic activity in the US and was meant to resonate with the US Federal Reserve Bank, which is a potential customer for the logistics player.
But back to FedEx’s business, the firm recently reported fourth quarter earnings of US$4.94 per share, better than the analyst estimate of US$4.86.
Still, revenue came in below expectations. More recently, FedEx is also streamlining its air courier business by removing 29 aircrafts from its fleet to make its logistics network more flexible amid slowing global trade activities in the current economic climate.
So how will such efforts aid FedEx in becoming leaner and more competitive against industry peers and what is the road ahead for the firm?
On Under the Radar, Drive Time’s finance presenter Chua Tian Tian sat down with Audrey Cheong, Vice President, Southeast Asia Operations, FedEx for more.

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