By Connor Hart

FedEx is scheduled to report its fiscal third-quarter results after the market closes Thursday. Here is what you need to know:

-- PROFIT: The delivery giant is expected to post an adjusted profit of $1.12 billion, or $4.56 a share, according to the consensus forecast from analysts surveyed by FactSet. In the same quarter the previous year, the company reported adjusted earnings of $966 million, or $3.86 a share.

-- REVENUE: Sales are expected by analysts to rise to $21.88 billion from $21.7 billion in the year-earlier quarter.

The stock has fallen 9.6% in the past three months and was recently trading at $249.52.

WHAT TO WATCH

-- FedEx is working to spin off its freight trucking division, which is the largest less-than-truckload operator in the country. Investors will be looking for commentary about the separation, which was first disclosed in December, at which time it was expected to be complete within 18 months. At the same time, FedEx is in the process of combining its Express and Ground operations in a multiyear restructuring that had been long called for by analysts and activist investor D.E. Shaw. Look for updates on the combination.

-- Last quarter, FedEx reported a lower quarterly profit and trimmed its financial outlook for its fiscal 2025, citing weak demand in both its freight segment and U.S. parcel business. Investors will be looking to see how demand is holding up, as since then, President Trump's economic policies and erratic approach to tariffs have damped consumer confidence and prompted a pullback in discretionary spending.

-- FedEx's recent quarter included the peak December shipping period, which likely provided favorable volume and pricing momentum, Evercore ISI analyst Jonathan Chappell said in a research note. The company has since faced several headwinds, demand has declined and uncertainty has risen, meaning investor reaction to the quarter will likely come down to guidance.

Write to Connor Hart at connor.hart@wsj.com

(END) Dow Jones Newswires

March 20, 2025 12:42 ET (16:42 GMT)

Copyright (c) 2025 Dow Jones & Company, Inc.