Financial Results

Business • Markets
Home deliveries boost FedEx's sales past $20 billion, profit nearly triples
FedEx Truck
FedEx Truck Credit: Dano (Creative Commons Attribution 2.0)

FedEx shares have more than doubled in price since the pandemic forced government officials to shutter businesses and issue stay-at-home orders. The revenue for the quarter ended Feb. 28 grew 23% to $21.5 billion, boosted by a half-billion holiday package deliveries and COVID-19 vaccines shipments.

Average daily package volume for FedEx Ground, which counts Walmart among its top e-commerce shipping partners, jumped 25% to 13.2 million during the quarter.

The results came even as severe winter weather in February disrupted service at important facilities in Memphis, Indianapolis and North Texas and reduced quarterly operating income by about $350 million.

Regional News • Europe • Germany
Deutsche Telekom announces more than 100 billion euros of revenue in 2020
Deutsche Telekom logo
Deutsche Telekom logo Credit: Deutsche Telekom

Germany's Deutsche Telekom posted a record-breaking turnover figure on Friday as its US unit T-Mobile continued to drive growth. In 2020, the telecommunications company earned €101 billion, a 25.4% increase compared with the year before.

CEO Tim Höttges said, "We closed a groundbreaking deal in the United States, improved our market position in Europe and at the same time made an important contribution to managing the impact of the coronavirus pandemic with our stable networks."

Arts, Entertainment, Culture • TV & Movies
Disney+ reached 73.7 million paid subscribers
Disney+ Credit: The Walt Disney Company

Launched one year ago, Disney+ reached 73.7 million paid subscribers as of early October, a jump from the 60.5 million subscribers the service had on August 3. The numbers are part of The Walt Disney Company’s fourth-quarter earnings report released Thursday.

CEO Bob Chapek said, in a statement, that "The real bright spot has been our direct-to-consumer business, which is key to the future of our company, and on this anniversary of the launch of Disney+ we're pleased to report that, as of the end of the fourth quarter, the service had more than 73 million paid subscribers - far surpassing our expectations in just its first year."

Business • Markets
Tencent's profit jumps 89% in the third quarter
Tencent's profit jumps 89% in the third quarter
Credit: Tencent Holdings Ltd.

The Chinese gaming giant Tencent Holdings Ltd. reported its net profit for the third quarter surged 89%, thanks to continued strength in its gaming revenue and better cost-efficiency. The Chinese group has a solid pipeline of new games waiting to be released, including a testing launch of a mobile version of League of Legends in Asia last month.

"I think Tencent's fintech focus has been on payment business, and it is quite prudent on lending; the stance is more in compliance with regulations (than rivals)," said Alex Liu, an analyst with China Renaissance.

Technology • Internet & Web
Twitter revenue rises 14%, but user growth failed to impress
Twitter revenue rises 14%, but user growth failed to impress
Credit: Brett Jordan

Twitter reported Thursday a net income of $29 million in the third quarter, or 4 cents per diluted share, a decline from the same period last year. The company also reported a revenue of $936 million, beating the analysts' expected revenue of $777 million.

The return of live events and previously postponed product launches helped drive the increased advertising spending, Twitter CFO Ned Segal said in a statement in the company's earnings release.

The monetizable daily active users (mDAUs) was 187 million, bellow the 195 million expected.

Twitter discussed in its letter to shareholders its efforts to combat misinformation and provide context to users, especially with the uncertainty that could surround election results in the US as mail-in ballots are expected to potentially prolong the outcome.

Business • Consumer & Service
Peloton announced its first-ever quarterly profit amid Covid-19 pandemic-demand spike
Peloton Bike
Peloton Bike Credit: Peloton

Peloton, the connected fitness-equipment company, reported a fiscal fourth-quarter profit of $89.1 million, the first-ever since the company went public a year ago. The company revenue totalled $607.1 million, up from $223 million a year ago.

During a conference call Thursday, the company CEO James Foley said: "The strong tailwind we experienced in March as the COVID-19 pandemic took hold has continued to propel the demand for our products into the fourth quarter and the first couple of months of the Q1 fiscal year 2021."

Business • Consumer & Service
Apple reports revenue of $59.69 billion in the third quarter
Apple Park headquarters
Apple Park headquarters Credit: Carles Rabada

Apple announced revenue of $59.7 billion and a net quarterly profit of $11.25 billion for the third fiscal quarter of 2020, which corresponds to the second calendar quarter of the year.

The company reported growth across all of its product lines for Q3, from the iPhone, which has seen slowed growth in recent years, to its booming wearables and services businesses. The iPhone revenue of $26.4 billion for the quarter, an increase from the year-ago quarter.

Business • Economy
Dropbox quarterly revenue and profit beat market estimates
Dropbox Logo
Dropbox Logo Credit: Dropbox

With total revenue of $455.0 million and $39.3 million in net income, Dropbox quarterly results presented a profit for the first time since the company debuted on the Nasdaq, back in 2018.

“We had a strong first quarter as we rallied together to support our customers and our community during this unprecedented public health crisis,” said Dropbox Co-founder and Chief Executive Officer Drew Houston. “We delivered healthy growth, record operating margins, and our first quarter of GAAP profitability. I’m incredibly proud of our team as we continue to build products that help facilitate distributed work at scale. We’ve built an enduring business and I remain confident in our future.”

Technology • Games
Electronic Arts beats investor expectations with $1.39 billion revenue in Q4
FIFA 20, an Electronic Arts game, screenshot
FIFA 20, an Electronic Arts game, screenshot Credit: Electronic Arts

Electronic Arts delivered financial results today above investor expectations. The game publisher generated $1.39 billion in revenues for Q4 -- against the $1.19 billion predicted by analysts.

The company credits its digital sales and strong franchises for its growth. That includes $4.05 billion in digital net bookings for fiscal 2020. That’s up 9% year-over-year, and EA says it accounts for 78% of its total net bookings.

“We’re humbled to see people around the world connecting through our games during this unprecedented period,” EA CEO Andrew Wilson said.