The latest figures exceeded the consensus estimates from Wall Street analysts.
The results reflect the company's operations in the holiday season, which were bolstered by people ordering online due to the coronavirus pandemic.
And in mid-December the Memphis Commercial Appeal noted that the company's planes and trucks began delivering COVID vaccines for distribution nationwide.
On the downside, winter storms severely hurt FedEx operations.
For the quarter ended Feb. 28 FedEx earned $3.30 a share compared with $1.20 a share in the year-earlier quarter. The latest adjusted earnings were $3.47 a share.
Revenue reached $21.51 billion from $17.49 billion.
A survey of analysts by FactSet produced consensus estimates of GAAP earnings of $3.13 a share, or an adjusted $3.30, on revenue of $19.96 billion.
At last check FedEx shares were trading up 0.8% at $266.59. They closed the regular Thursday trading session off 0.6% at $264.36.
Volume growth was “strong” in U.S. domestic residential package and FedEx International Priority services, FedEx said. And the company broadly was able to increase prices.
These positives were offset in part by costs to support the strong demand and expand services, plus variable compensation expense, higher labor rates, and one fewer operating weekday, FedEx said.
Severe winter weather in February reduced the quarter’s operating profit by some $350 million.
The storms hampered operations at “several of the company’s largest facilities, including the primary FedEx Express hub in Memphis and FedEx Express hubs in Indianapolis and North Texas.”
For the fiscal year, FedEx issued two sets of estimates.
The first is earnings of $16.80 to $17.40 a share before the year-end mark-to-market retirement plan accounting adjustment and debt-refinancing costs that it might incur.
The other is earnings of $17.60 to $18.20 a share before a year-end mark-to-market retirement plan accounting adjustment and debt refinancing costs that it might incur; and excluding TNT Express integration expenses, costs associated with business realignment, and a second-quarter mark-to-market TNT Express retirement plan accounting adjustment.
FactSet's survey is looking for fiscal 2021 adjusted earnings of $17.57 a share.
Most recently, in early March FedEx committed to achieving carbon-neutral operations worldwide by 2040.
An investment of $2 billion, FedEx said, will go to:
-- turning its entire pickup and delivery fleet to zero-emission electric vehicles;
-- investing in alternative fuels to reduce aircraft and vehicle emissions, and,
-- helping establish the Yale Center for Natural Carbon Capture "to support applied research into natural carbon sequestration solutions."
Earlier this month Amazon.com (AMZN) - Get Amazon.com Inc. Report moved to boost its investment in Air Transport Services Group (ATSG) - Get Air Transport Services Group Inc Report, as the online retailing giant tries to gain more control over its shipment services.
In February, shipping rival UPS posted better-than-expected results as well.