FedEx predicts slower earnings growth this year

NEW YORK (AP) -- FedEx says higher costs and slow global growth will crimp its earnings results over the next 12 months.

The world's second-largest package delivery company is reporting lower results for the fiscal fourth quarter ended in May due to a charge for retiring some planes.

FedEx earned $550 million or $1.73 per share in the last quarter, compared with $558 million, or $1.75 per share, a year earlier. Revenue rose to $11 billion from $10.55 billion.

Without the charge, FedEx would have earned $1.99 per share, 4 cents better than Wall Street estimates.

But the Memphis, Tenn. company's forecast for the first quarter and fiscal year fell below Wall Street's expectations and its stock fell about 2 percent on Tuesday before the opening bell.

(Copyright 2012 by The Associated Press. All Rights Reserved.)