FedEx Plunge Extends Loss to 32%, General Mills Reaffirms Outlook

Mukesh Buch
19 Dec, 2018
New York City

FedEx lowered fiscal outlook despite strong results. General Mills reaffirmed fiscal forecast. Jabil Circuit net surged 94% on 16% jump in revenues. Micron Technology reported better-than-expected results. Paychex jumped after strong second-quarter results.

[R]1:05 PM New York City, New York – FedEx lowered fiscal outlook despite strong results. General Mills reaffirmed fiscal forecast. Jabil Circuit net surged 94% on 16% jump in revenues. Micron Technology reported better-than-expected results. Paychex jumped after strong second-quarter results.[/R]

Tollbooth Index advanced 70.67 or 0.5% to 14,423.79 but for the year-to-date soared 4.8%.

Earnings Review

FedEx Corp ((FDX)) plunged 10.3% or $19.17 to $166.19 after the package delivery services provider reported revenues in the second-quarter ending in November soared 9.2% from a year ago to $17.8 billion.

Net income in the quarter surged 20.6% to $935 million or $3.51 per diluted share from $775 million or $2.84 in the same quarter last year.

FedEx lowered fiscal 2019 diluted earnings per share to between $12.65 and $13.40 from the earlier estimate of $15.85 to $16.45 and capital spending of $5.6 billion.

General Mills Inc ((GIS)) jumped 5.5% or $2.02 to $38.72 after the branded consumer foods maker reported revenues in the second-quarter ending on November 25 advanced 5% from a year ago to $4.4 billion.

Net income in the quarter surged 20.2% to $343.4 million or 57 cents per diluted share from $430.5 million or 74 cents in the same quarter last year.

General Mills reaffirmed fiscal 2019 net sales growth forecast in the range of flat to 1% increase and operating profit growth between 6% and 9% and diluted earnings per share growth in the range of flat to 3% decline.

Jabil Circuit Inc ((JBL)) soared 7.8% or $1.73 to $23.94 after the printed circuit board maker said net revenues in the first-quarter ending in November surged 16.1% from a year ago to $6.5 billion.

Net income in the quarter soared 94% to $123.6 million or 76 cents per diluted share from $63.8 million or 74 cents in the same quarter last year.

The circuit board maker forecasted fiscal 2019 net revenues between $5.8 billion to $6.4 billion and operating income in the range of $116 million to $168 million and diluted earnings per share in the range of 20 cents to 48 cents.

Micron Technology Inc ((MU)) slumped 3.9% or $1.33 to $32.78 after the flash memory and solid-state drives maker reported revenues in the first-quarter ending on November 29 advanced 16% from a year ago to $7.9 billion.

Net income in the quarter jumped 22.2% to $3.3 billion or $2.81 per diluted share from $2.7 billion or $2.19 in the same quarter last year.

Paychex, Inc ((PAYX)) jumped 1.7% or $1.09 to $65.41 after the outsourcing services provider stated total revenues in the second-quarter ending in November increased 7% from a year ago to $858.9 million.

Net income in the quarter jumped 19% to $235.8 million or 65 cents per diluted share from $198.8 million or 55 cents in the same quarter last year.

Paychex forecasted fiscal 2019 net income to increase approx 4% and diluted earnings per share to jump 4%.