March 19 (Reuters) - FedEx ( FDX ), known for its

air-dependent overnight deliveries, on Thursday raised its

full-year profit forecast as it reported a rise in third-quarter

profit and revenue, helped by a surge in deliveries during the

all-important holiday quarter.

The company now expects adjusted profit for its fiscal year

ending May 31 to be between $19.30 and $20.10 per share.

The Memphis-based company in December forecast annual profit

of $17.80 to $19.00 per share, raising the low end of its

previous $17.20 to $19.00 range.

FedEx ( FDX ) said operating results in its Express unit improved in

the third quarter, helped by stronger U.S. and international

package pricing, higher domestic volumes and ongoing cost cuts.

Gains were partly offset by higher wages and incentive pay,

rising transportation costs, the impact of global trade policy

changes, and the grounding of MD-11 aircraft, it said.

Adjusted earnings for its crucial winter holiday quarter

rose to $5.25 per share from $4.51 a year earlier, even as it

absorbed millions in unexpected costs related to truck and plane

replacements for its MD-11 fleet, which was grounded after a

deadly UPS crash in November 2025.

FedEx ( FDX ) had 28 Boeing MD-11 cargo jets in operation

when the Federal Aviation Administration grounded the planes

after the crash that killed 14 people, including three pilots

onboard.

Executives previously said they expect the company's MD-11

fleet to return to service by the end of May.

The company also said that it now expects its full-year

revenue to be up in the range of 6.0% to 6.5% year-over-year,

compared to its previous forecast of a growth between 5% and 6%.

FedEx ( FDX ) is in a multi-year restructuring that includes

slashing billions of dollars in costs, combining its distinct

Ground and Express delivery options, automating some operations

and spinning off its Freight trucking business on June 1.