Parcel delivery company says high fuel prices and slowing demand hurt quarterly earnings and forecasts a follow-on quarter and full-year below estimates.Shares of FedEx declined Wednesday after the package shipping company reported a larger-than-expected quarterly loss and forecast full-year profit below Wall Street expectations.
FedEx (FDX, Fortune 500) shares fell $2, or 2.4%, to $82.33 in morning trading.
The Memphis, Tenn., shipper said record-high fuel prices and a weaker U.S. economy drove it to a fiscal fourth-quarter loss of $241 million, or 89 cents per share. Excluding one-time items, FedEx said it earned $1.45 per share - missing analysts' $1.47 per share average forecast by 2 cents.
The company's profit estimates also came in below expectations. FedEx predicted 2009 earnings of between $4.75 per share and $5.27 per share, compared with Wall Street's $5.92 per share forecast.
For the first quarter, the company guided for earnings between 80 cents and $1 per share, well below analysts' projected $1.27 per share.
Shares of FedEx have weakened significantly over the past year, losing nearly a third of their value from a 52-week high of $119.10 last July.
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