Parcel POV: What FedEx’s Q1 FY26 Earnings Mean for Shippers

FedEx just reported Q1 FY26 earnings. Beyond the headlines, here’s what shippers should know:

• Domestic fees are doing the heavy lifting.
  Revenue per package rose ~2%, with fuel and accessorials offsetting headwinds in freight, customs, and the USPS contract loss. Shippers are footing the bill.
• GRI is locked at 5.9%, but costs run higher.
  Layer in fuel, seasonal, and the steady stream of revised/increased surcharges, and effective increases land closer to 7–12%.
• Data is the next frontier.
  FedEx touted its “real-world operational data platform.” That could mean smarter tools for visibility—but also raises questions on privacy, data use, and pricing models.
• Healthcare is a priority.
  A new Dublin–Indianapolis lane underscores FedEx’s investment in high-value, time-sensitive verticals.
• Peak season: cautious optimism.
  FedEx wants your holiday volume—a reminder to plan and negotiate early.

LJM’s takeaway: FedEx is leaning on domestic parcel pricing today, while betting on data and healthcare tomorrow. For shippers, the cadence of increases isn’t slowing — but leverage exists, especially in healthcare, SMB, and other high-value segments.