“I think so. But you know, these numbers, they don’t look very good,” Subramaniam said in response to Cramer’s question about whether the economy is “going into a global recession.” The CEO’s pessimism came after FedEx missed first-quarter revenue and profit estimates. The company also withdrew guidance for the full year. FedEx shares fell 15% in extended trading Thursday. “I’m very disappointed with the results that we just announced here, and you know, the headline is really the macro situation that we’re dealing with,” Subramaniam said in an interview on “Mad Money.” The chief executive, who took over earlier this year, said weakening global shipment volumes drove FedEx’s disappointing results. While the company expected demand to pick up after factories in China were closed due to Covid, it actually fell, he said. “Week after week after week, that went down,” Subramaniam said. The CEO also said the loss in volume is widespread and that the company has seen weekly declines since around its investor day in June. “We’re seeing this decline in sales volume in every segment around the world, and so you know, we’ve just started the second quarter,” he said. “The weekly numbers don’t look that good, so we’re just assuming at this point that economic conditions aren’t really good.” “We are a reflection of everyone else’s work, especially the high-value economy in the world,” he added later.
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