U.S. Delivery Firm FedEx reinstated its original fiscal 2022 forecast on Thursday, even as persistent labor woes chipped away profits ahead of the peak holiday season when the number of packages it handles often doubles.

The company’s shares also saw a flat adjusted profit year over year for fiscal second quarter. After-hours trading showed that they rose 6% to $253.00.

FedEx, Memphis, Tennessee, expects full year earnings (excluding items) of between $20.50 and $21.50 as per its original forecast. FedEx decreased its per-share outlook range to $19.75 – $21.00 per shares in September.

For the Nov. 30 quarter, adjusted net income was $1.3billion, or $4.83 a share. This is unchanged from the same period last year.

Normal workflows were disrupted by labor shortages. This resulted in inefficiencies in the network, increased transportation costs and higher wages. FedEx Ground was the most affected by these factors, which resulted in an annual increase of approximately $470million. In the prior quarter, FedEx put those costs at $450 million.

The company paid significantly more taxes in the most recent quarter but was able to benefit from lower fuel prices.

The increased demand for home delivery via e-commerce prompted an increase in revenue of 14% to $23.5 million.