FedEx Authorizes New Share-Repurchase Program

   By Ezequiel Minaya 
 

FedEx Corp. authorized on Tuesday a new share repurchase program of up to 25 million shares, worth more than $3 billion.

Shares of the company inched up 0.3% to $127.67 in after-hours trading.

FedEx said that since its 2014 fiscal year, it has repurchased more than 57 million shares for nearly $8 billion. No time limit was set for the latest share-buyback program. The prior authorization, launched in September 2014 for 15 million shares, has been completed, the company said.

The company is valued around $35 billion, according to FactSet.

FedEx suffered a black eye over the holidays, saying last-minute online orders and severe weather resulted in some packages arriving late.

For the December quarter, FedEx reported a profit of $691 million, or $2.44 a share, up from year-earlier earnings of $663 million, or $2.31 a share. Excluding certain items, profit rose to $2.58 a share from $2.16. Revenue increased 4% to $12.5 billion.

Earlier this month, European Union regulators approved FedEx's acquisition of Dutch parcel company TNT Express NV, ending a six-month antitrust investigation that had been one of the biggest hurdles for the nearly $5 billion deal.

Write to Ezequiel Minaya at [e-mail]

(END) Dow Jones Newswires

January 26, 2016 18:19 ET (23:19 GMT)

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