FedEx (FDX:US) blamed “demand challenges” for its mixed results for the fiscal fourth quarter that ended May 31. The company posted adjusted profit of $4.94 per share on revenue of $21.90 billion, which compares to the average analyst estimate of $3.97 on revenue of $22.59 billion.

FedEx said it plans to ground 29 more aircraft this fiscal year as it faces another challenging year. CEO Raj Subramaniam said on a call with analysts that it expects the first half of the current 2024 fiscal year to be “marked by demand challenges”. In the earnings press release, he said the company is operating in the “dynamic demand environment.”

The company already slashed around 29,000 jobs and retired 18 planes in an effort to identify $4 billion in permanent savings by the end of its 2025 fiscal year.

“FedEx is becoming a more flexible, efficient and data-driven organization as we significantly lower our cost structure, drive enhanced profitability, and deliver outstanding service for our customers.”

As a result, FedEx projected its revenue will grow in low-single-digit-percent this year while the adjusted EPS is expected in the range of $16.5 - $18.5, missing the consensus. 

The company also announced a CFO change with the current top financial officer, Michael Lenz, planning to retire on July 31.

Congressman Michael McCaul is one of the Representatives who has been consistently buying FedEx shares in recent months. Most recently, Mr. McCaul bought FedEx shares on March 22, when the stock closed at $217.06.

Shares closed at $225.84 on Wednesday.