FedEx Freight reported standalone results: $3.3 billion revenue, $510 million adjusted operating income, 15.5% adjusted operating margin and approximately $239 million free cash flow; fourth-quarter revenue guidance is $2.3 to $2.37 billion and adjusted operating income $185 and $205 million.
FDXF · FedEx Freight Holding Company, Inc.
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FedEx Freight Holding Company, Inc. reported revenue growth of 8% in the third quarter and 9% for four months ended September 30, 2026, but operating income fell 13% and 6% as separation costs increased.
FedEx Freight reported $3.3 billion revenue, up 9.2%, and $383 million operating income for the four months ended September 30, 2026. It forecasts $5.58 billion to $5.65 billion revenue for the Transition Period.
FedEx Freight Holding Company, Inc. will hold its 2027 Annual Meeting on May 5, 2027. Stockholder proposals for inclusion in proxy materials are due by November 24, 2026, subject to applicable SEC rules.
Metrics snapshot
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Quarterly results
AI Brief
Q3 FY26 earnings call · Oct 29, 2026TL;DR. FedEx Freight reported revenue of $3.3 billion, up 9.2%, adjusted operating income up 16.4%, and adjusted operating margin up 90 bps; it raised transition-period adjusted operating-income and margin guidance, introduced fourth-quarter guidance, and took pricing actions intended to support future yield. Average daily shipments and GAAP profitability declined, performance compensation and transition-service costs offset growth, GAAP transition-period operating-income and margin guidance was reduced, and retirement-plan mark-to-market adjustments could materially affect results and the effective tax rate.
- + The company introduced fourth-quarter guidance for revenue of $2.30 billion to $2.37 billion and adjusted operating income of $185 million to $205 million.
- + FedEx Freight generated approximately $239 million of free cash flow, repaid $100 million of debt, and reduced gross leverage to 2.8 times.
- + Customer service metrics reached record levels, including a 0.43% claims ratio and 0.27% claims filing frequency.
- + Approximately 25% of the contractual portfolio was renewed at the strongest renewal pricing performance in recent years, and a 6.9% general rate increase was announced for January 8.
- − Four-month GAAP operating income declined 6.1%, GAAP operating margin fell 190 bps, and adjusted diluted EPS declined 24.6%.
- − Average daily shipments declined 1.4% during the four-month transition period.
- − Performance-based compensation of approximately $50 million and nearly $30 million of transition-service-agreement costs partially offset revenue growth.
- − Unforecastable retirement-plan mark-to-market adjustments could materially affect transition-period results and the effective tax rate.
AI-generated from the earnings call and 8-K · may contain errors · not investment advice
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Guidance & track record
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Technicals
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Key metrics
the company's own KPIs, from written earnings releases and filings| Metric | Latest | Period | YoY |
|---|---|---|---|
| FY24-FY26 Adjusted EPS non-GAAP | $56.21 | three-fiscal-year period ended May 31, 2026 filing | — |
| FY24-FY26 Relative TSR non-GAAP | 72.9% | three-fiscal-year period ended May 31, 2026 filing | — |
| FY24-FY26 ROIC growth non-GAAP | 110 | three-fiscal-year period ended May 31, 2026 filing | — |
Figures exactly as the company stated them in writing · click a metric with a to chart its history · period links open the stating document · "filing" marks figures stated in the 10-K/10-Q · YoY needs an exactly comparable prior-year period
Versus peers
Integrated Freight & Logistics — same industry group| Company | Mkt cap | YTD | Rev growth Y/Y | P/E | Short % shares |
|---|---|---|---|---|---|
|
FDXF
this stock
FedEx Freight Holding Company, Inc.
|
$19.48B | — | -1.1% | — | 4.2% |
|
UPS
United Parcel Service Inc
|
$97.25B | +15.2% | +8.2% | 22.0 | 3.1% |
|
FDX
Fedex Corp
|
$74.48B | — | +8.5% | — | 2.2% |
|
EXPD
Expeditors International Of Washington Inc
|
$26.56B | +32.7% | +13.5% | 25.9 | 3.6% |
|
JBHT
Hunt J B Transport Services Inc
|
$20.94B | +16.8% | +9.7% | 31.6 | 2.7% |
Peers by industry group · P/E from as-reported trailing EPS · short % is of shares outstanding
At a glance
key data from every section- Filed
- Oct 29, 2026
- This year
- 11
FedEx Freight Holding Company, Inc. reported revenue growth of 8% in the third quarter and 9% for four months ended September 30, 2026, but operating income fell 13% and 6% as separation costs increased.
ViewPerformance
| 5D | 20D | 120D | MTD | YTD | |
|---|---|---|---|---|---|
| FDXF | +19.5% | +14.1% | — | +2.7% | — |
| SPY | -0.7% | -1.3% | +2.5% | +1.5% | +12.5% |
| vs SPY | +20.2% | +15.4% | — | +1.2% | — |