FedEx reported financial results on Tuesday that exceeded Wall Street's expectations for both revenue and profit.

This report marks the company's final quarter to include its freight business, which was spun off into an independent publicly traded entity named FedEx Freight on June 1. The company stated that FedEx Freight paid a cash dividend of approximately $4.1 billion to FedEx Corp. as part of the separation process.

FedEx shares declined by approximately 6% in after-hours trading.

According to an analyst survey, the company's fourth-quarter performance compared to expectations was as follows: Adjusted earnings per share came in at $6.31, surpassing the anticipated $5.96. Revenue reached $25.01 billion, exceeding the forecast of $24.04 billion.

For the quarter ending May 31, FedEx reported revenue from its Express segment of $21.57 billion, higher than the StreetAccount estimate of $20.75 billion. The company noted a 3% year-over-year increase in domestic package volume and a 3% rise in U.S. priority package volume.

In the fourth quarter, FedEx posted net income of $1.6 billion, or $6.60 per share, compared to net income of $1.65 billion, or $6.88 per share, in the same period last year. After adjusting for one-time costs related to the spin-off and retirement plans, the company reported adjusted earnings per share of $6.31.

For the entire fiscal year, FedEx revenue totaled $94.7 billion, up from $87.9 billion the previous year.

Chief Executive Officer Raj Subramaniam stated on a call with analysts, "The momentum you see in our business demonstrates that our strategy is working. This is translating into strong financial results, including very robust free cash flow, with fiscal 2026 performance significantly exceeding our initial full-year outlook."

The company also announced it will change its fiscal year-end from May 31 to December 31, effective this month.

For the full 2026 fiscal year, FedEx anticipates revenue growth of 11% year-over-year, with adjusted diluted earnings per share projected to be between $16.90 and $18.10.

FedEx's fuel costs increased to $1.43 billion this year from $864 million last year, a rise of 66%. Company executives noted on the analyst call that they have not yet observed an impact on demand from fuel prices.

The company also reported a 10% increase in U.S. pricing.