FedEx Corporation (NYSE:FDX) shares closed almost 5% higher on Friday following the company’s reported Q2 results, with adjusted EPS coming in at $4.83, beating the consensus estimate of $4.28. Quarterly revenue grew 14% year-over-year to $23.5 billion, compared to the consensus estimate of $22.4 billion.

Express segment revenue grew 12%, while adjusted operating income increased 8%, limited by labor challenges/inefficiencies. Ground segment revenue increased 13%, while adjusted operating income decreased 13% primarily on staffing shortages causing increased purchased transportation costs/higher wage rates/network inefficiencies.

The company returned 2022 adjusted EPS guidance to its original $20.50- $21.50.