FedEx said a weaker industrial economy produced a “challenging” quarter that caused it to trim its outlook for later this year, a sign of possible cooling in the wider economy.

(Reuters) - FedEx reported a lower first-quarter profit on Thursday as demand in the package industry remained muted, especially for priority services. The company reported first-quarter earnings of $3.60 per share, compared with $4.55 per share a year earlier.

FedEx reported a drop in first-quarter profit on Thursday and lowered the top end of its annual profit forecast as demand in the package industry remained muted, especially for priority services. The company's shares fell about 11% to $268.