FedEx operating margins grow across all transportation segments
23 Mar '06
4 min read
- Operating income of $7 million, down 36% from $11 million a year ago
- Operating margin of 1.4%, down from 2.2% the previous year
Operating margin was negatively affected by the decline in copy revenues and increases in costs associated with technology and product offering initiatives. Increased package acceptance revenues and declines in copy product line revenues are expected to continue in the fourth quarter, as are increased costs to enhance service levels and implement new technologies.
During the third quarter, FedEx veteran Kenneth A. May was named president and chief executive officer of FedEx Kinko's and Brian D. Philips, formerly vice president of U.S. marketing for FedEx, succeeded May as executive vice president and chief operating officer.
FedEx Corp provides customers and businesses worldwide with a broad portfolio of transportation, e-commerce and business services.
marketing@alchempro.com
