Mail and package carrier, FedEx believes the global economic recovery is widening as the domestic economy improves alongside strong growth in Asia. Fedex is one of a handful of companies considered a reliable indicator for economic growth as a result of the multitude of markets it has its hand in.
Manufacturing, according to Fedex, as well as economist reports is leading the recovery as consumer spending and hiring stays lower. U.S. industrial production for February exceeded expectations by growing at its fastest pace in two years.
FedEx is working to expand in tandem with global growth, taking its service to Asia in order to best benefit from the speedy economic expansion there.
Fedex had been suffering for some time before restructuring to allow for serious cost reductions that help them revamp their business plan. Already, the Tennessee based shipping leaders raised its earnings forecast for the year and reported the first year-over-year profit growth in five quarters.
Fedex took in $239 million for the quarter that closed February, a massive improvement upon the $97 million in the same quarter last year. Revenue grew by 7 percent to $8.70 billion.
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