FedEx Corp. posted stronger-than-expected fourth-quarter results, with adjusted earnings rising 12% to $6.07 a share on revenue of $22.2 billion. Operating income climbed to $2.02 billion, lifting the adjusted margin 60 basis points to 9.1%, as the parcel giant met its US$2.2 billion annual cost-reduction target and retired 12 aircraft. Full-year adjusted profit reached $18.19 a share on revenue of $87.9 billion. The upbeat quarter was overshadowed by management’s decision to suspend full-year guidance and issue a weaker profit forecast for the current quarter. FedEx expects fiscal first-quarter adjusted earnings of $3.40 to $4.00 a share—below the $4.06 Wall Street estimate—and projects revenue to be roughly flat to up 2%. The company aims to generate an additional $1 billion of permanent cost savings in fiscal 2026 while keeping capital expenditure around $4.5 billion. Chief Executive Officer Raj Subramaniam said the “global demand environment remains volatile,” pointing to U.S. tariffs on Chinese goods and the end of duty-free treatment for many direct-to-consumer shipments. FedEx’s China exposure—greater than that of rival UPS—has led to a sharp drop in volumes on its key U.S.–China route, executives said. The cautious outlook sent FedEx shares down more than 5% in after-hours and early Wednesday trading despite the quarterly earnings beat.