FedEx Corp. reported adjusted earnings for the fiscal fourth quarter ended May 31 of $6.31 a share on revenue of $25.01 billion, a 13% increase. 

The company said the results reflect continued strength in U.S. domestic and international package volumes. However, FedEx also cited “the financial impacts of global trade policy changes” as a headwind to its operations. Operating margin fell to 7.7% from 8.4% a year earlier as costs climbed for fuel and employee salaries and benefits.

The earnings report was the first since FedEx Freight began trading independently from the parcel company on June 1. For the full fiscal year, FedEx reported revenue of $94.7 billion, up from $87.9 billion the year prior.

“We are building momentum across our global industrial network, driving structural improvements and winning in high-value growth markets,” said Raj Subramaniam, FedEx Corp. president and CEO. “Our profitable growth strategy is working. With the successful spin-off of FedEx Freight, we are entering this next chapter positioned to grow while further optimizing our network, lowering our cost to serve, creating meaningful long-term value, and driving robust free cash flow.”

FedEx said it is changing its fiscal year-end from May 31 to Dec. 31. For the full year, FedEx said it expects 11% year-over-year revenue growth and adjusted diluted earnings per share of between $16.90 to $18.10.