EX-99.1 2 fdx-ex99_1.htm EX-99.1 EX-99.1

Exhibit 99.1

FedEx Corporation

 

Annual Consolidated Statements of Income

 

FY 2023 – FY 2024

 

Years ended May 31

 

In millions, except EPS

 

 

 

FY 2023

 

 

FY 2024

 

Revenue:

 

 

 

 

 

 

   Federal Express segment

 

$

75,884

 

 

$

74,663

 

   FedEx Freight segment

 

 

10,084

 

 

 

9,429

 

   Other and eliminations

 

 

4,187

 

 

 

3,601

 

       Total Revenue

 

 

90,155

 

 

 

87,693

 

 

 

 

 

 

 

 

Operating Expenses:

 

 

 

 

 

 

   Salaries and employee benefits

 

 

31,019

 

 

 

30,961

 

   Purchased transportation

 

 

21,790

 

 

 

20,921

 

   Rentals and landing fees

 

 

4,738

 

 

 

4,571

 

   Depreciation and amortization

 

 

4,176

 

 

 

4,287

 

   Fuel

 

 

5,909

 

 

 

4,710

 

   Maintenance and repairs

 

 

3,357

 

 

 

3,291

 

   Business optimization and realignment costs1

 

 

309

 

 

 

582

 

   Goodwill and other asset impairment charges2

 

 

117

 

 

 

157

 

   Other3

 

 

13,828

 

 

 

12,654

 

       Total Operating Expenses

 

 

85,243

 

 

 

82,134

 

 

 

 

 

 

 

 

Operating Income:

 

 

 

 

 

 

   Federal Express segment

 

 

4,193

 

 

 

4,819

 

   FedEx Freight segment

 

 

1,936

 

 

 

1,821

 

   Corporate, other, and eliminations

 

 

(1,217

)

 

 

(1,081

)

       Total Operating Income

 

 

4,912

 

 

 

5,559

 

 

 

 

 

 

 

 

Other Income:

 

 

 

 

 

 

   Interest, net

 

 

(496

)

 

 

(375

)

   Other retirement plans income4

 

 

1,054

 

 

 

722

 

   Other, net

 

 

(107

)

 

 

(70

)

       Total Other Income

 

 

451

 

 

 

277

 

 

 

 

 

 

 

 

Income Before Income Taxes

 

 

5,363

 

 

 

5,836

 

Provision for Income Taxes5

 

 

1,391

 

 

 

1,505

 

Net Income

 

$

3,972

 

 

$

4,331

 

Basic Earnings Per Share

 

$

15.60

 

 

$

17.41

 

Weighted Avg. Common Shares

 

 

254

 

 

 

248

 

Diluted Earnings Per Share

 

$

15.48

 

 

$

17.21

 

Weighted Avg. Diluted Shares

 

 

256

 

 

 

251

 

 

 

 

 

 

 

 

SELECTED STATISTICS

 

 

 

 

 

 

Operating Margin

 

 

5.4

%

 

 

6.3

%

Pre-tax Margin

 

 

5.9

%

 

 

6.7

%

Return on Assets

 

 

4.6

%

 

 

5.0

%

Return on Equity

 

 

15.5

%

 

 

16.1

%

 

 

 

 

 

 

 

Dividends Paid Per Common Share

 

$

4.60

 

 

$

5.04

 

 

 

 

 

 

 

 

1 - FY24 includes $582 million ($444 million, net of tax, or $1.77 per diluted share) associated with our business optimization strategy announced in 2023.

 

2 - FY24 includes asset impairment charges of $157 million ($120 million, net of tax, or $0.48 per diluted share) at the Federal Express segment associated with the decision to permanently
     retire certain aircraft and related engines.

 

3 - FY24 includes $57 million ($44 million, net of tax, or $0.17 per diluted share) in connection with insurance recoveries related to a legal matter. These amounts are included in "Corporate,
       other, and eliminations."

 

4 - FY24 includes a noncash net gain of $561 million ($426 million, net of tax, or $1.69 per diluted share) associated with our year-end mark-to-market retirement plans accounting adjustment.

 

5 - FY24 includes $54 million ($0.21 per diluted share) associated with the remeasurement of state deferred income taxes under the one FedEx structure.

 

 

 

 

 

 

 

 

Unaudited. Differences may result due to rounding.

 

 

 

 

 

 

 

 

 

 

Only footnotes pertaining to FY24 are displayed at the bottom of pages in this exhibit. For supplemental information related to FY23, please see informational notes appendix.

 

FedEx Corporation

 

Quarterly Consolidated Statements of Income

 

FY 2023 – FY 2024

 

Year ended May 31

 

In millions, except EPS

 

 

FY 2023

 

 

FY 2024

 

 

FIRST
QUARTER

 

 

SECOND
QUARTER

 

 

THIRD
QUARTER

 

 

FOURTH
QUARTER

 

 

FIRST
QUARTER

 

 

SECOND
QUARTER

 

 

THIRD
QUARTER

 

 

FOURTH
QUARTER

 

Revenue:

 

   Federal Express segment

 

$

19,184

 

 

$

19,157

 

 

$

18,919

 

 

$

18,624

 

 

$

18,426

 

 

$

18,773

 

 

$

18,672

 

 

$

18,792

 

   FedEx Freight segment

 

 

2,849

 

 

 

2,573

 

 

 

2,293

 

 

 

2,369

 

 

 

2,385

 

 

 

2,452

 

 

 

2,205

 

 

 

2,387

 

   Other and eliminations

 

 

1,209

 

 

 

1,084

 

 

 

957

 

 

 

937

 

 

 

870

 

 

 

940

 

 

 

861

 

 

 

930

 

       Total revenue

 

 

23,242

 

 

 

22,814

 

 

 

22,169

 

 

 

21,930

 

 

 

21,681

 

 

 

22,165

 

 

 

21,738

 

 

 

22,109

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Salaries and employee benefits

 

 

7,859

 

 

 

7,792

 

 

 

7,817

 

 

 

7,551

 

 

 

7,785

 

 

 

7,833

 

 

 

7,693

 

 

 

7,650

 

   Purchased transportation

 

 

5,767

 

 

 

5,665

 

 

 

5,402

 

 

 

4,956

 

 

 

5,036

 

 

 

5,395

 

 

 

5,345

 

 

 

5,145

 

   Rentals and landing fees

 

 

1,159

 

 

 

1,195

 

 

 

1,205

 

 

 

1,179

 

 

 

1,151

 

 

 

1,138

 

 

 

1,145

 

 

 

1,137

 

   Depreciation and amortization

 

 

1,024

 

 

 

1,046

 

 

 

1,031

 

 

 

1,075

 

 

 

1,071

 

 

 

1,040

 

 

 

1,072

 

 

 

1,104

 

   Fuel

 

 

1,822

 

 

 

1,593

 

 

 

1,350

 

 

 

1,144

 

 

 

1,101

 

 

 

1,328

 

 

 

1,140

 

 

 

1,141

 

   Maintenance and repairs

 

 

904

 

 

 

882

 

 

 

789

 

 

 

782

 

 

 

824

 

 

 

854

 

 

 

804

 

 

 

809

 

   Business optimization and realignment
   costs1

 

38

 

 

 

36

 

 

 

123

 

 

 

112

 

 

 

105

 

 

 

145

 

 

 

114

 

 

 

218

 

   Goodwill and other asset impairment
   charges2

 

—

 

 

 

—

 

 

 

—

 

 

 

117

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

157

 

   Other3

 

 

3,478

 

 

 

3,429

 

 

 

3,410

 

 

 

3,511

 

 

 

3,123

 

 

 

3,156

 

 

 

3,182

 

 

 

3,193

 

       Total operating expenses

 

 

22,051

 

 

 

21,638

 

 

 

21,127

 

 

 

20,427

 

 

 

20,196

 

 

 

20,889

 

 

 

20,495

 

 

 

20,554

 

 

 

Operating income:

 

   Federal Express segment

 

 

862

 

 

 

937

 

 

 

962

 

 

 

1,432

 

 

 

1,306

 

 

 

1,035

 

 

 

1,173

 

 

 

1,305

 

   FedEx Freight segment

 

 

657

 

 

 

442

 

 

 

387

 

 

 

450

 

 

 

482

 

 

 

491

 

 

 

341

 

 

 

507

 

   Corporate, other, and eliminations

 

 

(328

)

 

 

(203

)

 

 

(307

)

 

 

(379

)

 

 

(303

)

 

 

(250

)

 

 

(271

)

 

 

(257

)

       Total operating income

 

 

1,191

 

 

 

1,176

 

 

 

1,042

 

 

 

1,503

 

 

 

1,485

 

 

 

1,276

 

 

 

1,243

 

 

 

1,555

 

 

 

Other (expense) income:

 

   Interest, net

 

 

(142

)

 

 

(127

)

 

 

(122

)

 

 

(105

)

 

 

(91

)

 

 

(97

)

 

 

(91

)

 

 

(96

)

   Other retirement plans income4

 

 

101

 

 

 

101

 

 

 

102

 

 

 

750

 

 

 

39

 

 

 

41

 

 

 

40

 

 

 

602

 

   Other, net

 

 

4

 

 

 

(91

)

 

 

—

 

 

 

(20

)

 

 

(10

)

 

 

(18

)

 

 

(9

)

 

 

(33

)

       Total other (expense) Income

 

 

(37

)

 

 

(117

)

 

 

(20

)

 

 

625

 

 

 

(62

)

 

 

(74

)

 

 

(60

)

 

 

473

 

 

 

Income before income taxes

 

 

1,154

 

 

 

1,059

 

 

 

1,022

 

 

 

2,128

 

 

 

1,423

 

 

 

1,202

 

 

 

1,183

 

 

 

2,028

 

Provision for income taxes5

 

 

279

 

 

 

271

 

 

 

251

 

 

 

590

 

 

 

345

 

 

 

302

 

 

 

304

 

 

 

554

 

Net income

 

$

875

 

 

$

788

 

 

$

771

 

 

$

1,538

 

 

$

1,078

 

 

$

900

 

 

$

879

 

 

$

1,474

 

Basic earnings per share

 

$

3.37

 

 

$

3.08

 

 

$

3.07

 

 

$

6.10

 

 

$

4.28

 

 

$

3.59

 

 

$

3.55

 

 

$

6.00

 

Weighted avg. common shares

 

 

259

 

 

 

255

 

 

 

251

 

 

 

252

 

 

 

251

 

 

 

250

 

 

 

247

 

 

 

245

 

Diluted earnings per share

 

$

3.33

 

 

$

3.07

 

 

$

3.05

 

 

$

6.05

 

 

$

4.23

 

 

$

3.55

 

 

$

3.51

 

 

$

5.94

 

Weighted avg. diluted shares

 

 

262

 

 

 

256

 

 

 

253

 

 

 

254

 

 

 

254

 

 

 

253

 

 

 

250

 

 

 

248

 

 

 

Selected statistics

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating margin

 

 

5.1

%

 

 

5.2

%

 

 

4.7

%

 

 

6.9

%

 

 

6.8

%

 

 

5.8

%

 

 

5.7

%

 

 

7.0

%

Pre-tax margin

 

 

5.0

%

 

 

4.6

%

 

 

4.6

%

 

 

9.7

%

 

 

6.6

%

 

 

5.4

%

 

 

5.4

%

 

 

9.2

%

Dividends paid per common share

 

$

1.15

 

 

$

1.15

 

 

$

1.15

 

 

$

1.15

 

 

$

1.26

 

 

$

1.26

 

 

$

1.26

 

 

$

1.26

 

 

 

1 - Fourth quarter 2024 includes business optimization costs of $218 million ($166 million, net of tax, or $0.67 per diluted share) associated with our business optimization strategy announced in 2023.
     Third quarter 2024 includes business optimization costs of $114 million ($87 million, net of tax, or $0.35 per diluted share). Second quarter 2024 includes business optimization costs of $145 million
     ($110 million, net of tax, or $0.44 per diluted share). First quarter 2024 includes business optimization costs of $105 million ($81 million, net of tax, or $0.32 per diluted share).

 

2- Fourth quarter 2024 includes asset impairment charges of $157 million ($120 million, net of tax, or $0.48 per diluted share) at the Federal Express segment associated with the decision to
     permanently retire certain aircraft and related engines.

 

3 - Fourth quarter 2024 includes $57 million ($44 million, net of tax, or $0.18 per diluted share) in connection with insurance recoveries related to a legal matter. These amounts are included in
     "Corporate, other, and eliminations."

 

4 - Fourth quarter 2024 includes a noncash net gain of $561 million ($426 million, net of tax, or $1.72 per diluted share) associated with our year-end mark-to-market retirement plans accounting
     adjustment.

 

5 - Fourth quarter 2024 includes $54 million ($0.22 per diluted share) associated with the remeasurement of state deferred income taxes under the one FedEx structure.

 

 

 

Unaudited. Differences may result due to rounding.

 

 

 

FedEx Corporation

 

Capital Expenditures

 

FY 2023 – FY 2024

 

Years ended May 31

 

In millions

 

 

 

 

 

 

 

 

FY 2023

 

 

FY 2024

 

By Asset Type

 

 

 

 

 

 

Aircraft and related equipment

 

$

1,684

 

 

$

1,627

 

Package handling and ground support equipment

 

 

1,851

 

 

 

974

 

Vehicles and trailers

 

 

719

 

 

 

709

 

Information technology

 

 

802

 

 

 

656

 

Facilities and other

 

 

1,118

 

 

 

1,210

 

   Total

 

$

6,174

 

 

$

5,176

 

 

 

By Segment

 

 

 

 

 

 

Federal Express segment

 

$

5,480

 

 

$

4,591

 

FedEx Freight segment

 

 

557

 

 

 

461

 

Other

 

 

137

 

 

 

124

 

   Total

 

$

6,174

 

 

$

5,176

 

 

 

Unaudited. Differences may result due to rounding.

 

 

 

 

 

Federal Express Segment

 

Annual Consolidated Statements of Income

 

FY 2023 – FY 2024

 

Years ended May 31

 

In millions

 

 

 

FY 2023

 

 

FY 2024

 

Revenue:

 

 

 

 

 

 

    Package:

 

 

 

 

 

 

        U.S. priority

 

$

10,896

 

 

$

10,543

 

        U.S. deferred

 

 

5,126

 

 

 

4,926

 

        U.S. ground

 

 

32,352

 

 

 

32,981

 

           Total U.S. domestic package revenue

 

 

48,374

 

 

 

48,450

 

        International priority

 

 

10,938

 

 

 

9,454

 

        International economy

 

 

3,307

 

 

 

4,653

 

           Total international export package revenue

 

 

14,245

 

 

 

14,107

 

        International domestic1

 

 

4,552

 

 

 

4,659

 

           Total package revenue

 

 

67,171

 

 

 

67,216

 

    Freight:

 

 

 

 

 

 

        U.S.

 

 

2,883

 

 

 

2,391

 

        International priority

 

 

3,059

 

 

 

2,205

 

        International economy

 

 

1,719

 

 

 

1,874

 

           Total freight revenue

 

 

7,661

 

 

 

6,470

 

    Other

 

 

1,052

 

 

 

977

 

              Total revenue

 

 

75,884

 

 

 

74,663

 

Operating expenses:

 

 

 

 

 

 

    Salaries and employee benefits

 

 

24,523

 

 

 

24,606

 

    Purchased transportation

 

 

19,677

 

 

 

19,330

 

    Rentals and landing fees

 

 

4,035

 

 

 

3,863

 

    Depreciation and amortization

 

 

3,655

 

 

 

3,754

 

    Fuel

 

 

5,157

 

 

 

4,137

 

    Maintenance and repairs

 

 

2,910

 

 

 

2,848

 

    Asset impairment charges2

 

 

70

 

 

 

157

 

    Business optimization and realignment costs3

 

 

47

 

 

 

251

 

    Intercompany allocations

 

 

(689

)

 

 

(684

)

    Other

 

 

12,306

 

 

 

11,582

 

       Total operating expenses

 

 

71,691

 

 

 

69,844

 

Operating income

 

$

4,193

 

 

$

4,819

 

Operating margin

 

 

5.5

%

 

 

6.5

%

 

 

 

 

 

 

 

1 - International domestic revenue relates to our international intra-country operations.

 

2 - FY24 includes asset impairment charges of $157 million associated with the decision to permanently retire certain aircraft and related engines.

 

3 - FY24 includes business optimization costs of $251 million associated with our business optimization strategy announced in 2023.

 

 

 

 

 

 

 

 

Unaudited. Differences may result due to rounding.

 

 

 

Federal Express Segment

 

Quarterly Consolidated Statements of Income

 

FY 2023 – FY 2024

 

Year ended May 31

 

In millions

 

 

FY 2023

 

 

FY 2024

 

 

 

FIRST
QUARTER

 

 

SECOND
QUARTER

 

 

THIRD
QUARTER

 

 

FOURTH
QUARTER

 

 

FIRST
QUARTER

 

 

SECOND
QUARTER

 

 

THIRD
QUARTER

 

 

FOURTH
QUARTER

 

Revenue:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    Package:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

        U.S. priority

 

$

2,841

 

 

$

2,711

 

 

$

2,642

 

 

$

2,702

 

 

$

2,673

 

 

$

2,605

 

 

$

2,595

 

 

$

2,670

 

        U.S. deferred

 

 

1,287

 

 

 

1,253

 

 

 

1,346

 

 

 

1,240

 

 

 

1,187

 

 

 

1,207

 

 

 

1,316

 

 

 

1,216

 

        U.S. ground

 

 

7,870

 

 

 

8,103

 

 

 

8,367

 

 

 

8,012

 

 

 

8,133

 

 

 

8,309

 

 

 

8,363

 

 

 

8,176

 

           Total U.S. domestic package revenue

 

 

11,998

 

 

 

12,067

 

 

 

12,355

 

 

 

11,954

 

 

 

11,993

 

 

 

12,121

 

 

 

12,274

 

 

 

12,062

 

        International priority

 

 

2,897

 

 

 

2,822

 

 

 

2,566

 

 

 

2,653

 

 

 

2,327

 

 

 

2,390

 

 

 

2,317

 

 

 

2,420

 

        International economy

 

 

808

 

 

 

812

 

 

 

791

 

 

 

896

 

 

 

1,117

 

 

 

1,183

 

 

 

1,107

 

 

 

1,246

 

           Total international export package
           revenue

 

 

3,705

 

 

 

3,634

 

 

 

3,357

 

 

 

3,549

 

 

 

3,444

 

 

 

3,573

 

 

 

3,424

 

 

 

3,666

 

        International domestic1

 

 

1,106

 

 

 

1,166

 

 

 

1,128

 

 

 

1,152

 

 

 

1,140

 

 

 

1,213

 

 

 

1,139

 

 

 

1,167

 

           Total package revenue

 

 

16,809

 

 

 

16,867

 

 

 

16,840

 

 

 

16,655

 

 

 

16,577

 

 

 

16,907

 

 

 

16,837

 

 

 

16,895

 

    Freight:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

        U.S.

 

 

790

 

 

 

777

 

 

 

715

 

 

 

601

 

 

 

577

 

 

 

577

 

 

 

641

 

 

 

596

 

        International priority

 

 

887

 

 

 

811

 

 

 

688

 

 

 

673

 

 

 

553

 

 

 

568

 

 

 

520

 

 

 

564

 

        International economy

 

 

429

 

 

 

440

 

 

 

414

 

 

 

436

 

 

 

472

 

 

 

470

 

 

 

438

 

 

 

494

 

           Total freight revenue

 

 

2,106

 

 

 

2,028

 

 

 

1,817

 

 

 

1,710

 

 

 

1,602

 

 

 

1,615

 

 

 

1,599

 

 

 

1,654

 

    Other

 

 

269

 

 

 

262

 

 

 

262

 

 

 

259

 

 

 

247

 

 

 

251

 

 

 

236

 

 

 

243

 

              Total revenue

 

 

19,184

 

 

 

19,157

 

 

 

18,919

 

 

 

18,624

 

 

 

18,426

 

 

 

18,773

 

 

 

18,672

 

 

 

18,792

 

Operating expenses:

 

    Salaries and employee benefits

 

 

6,159

 

 

 

6,129

 

 

 

6,247

 

 

 

5,988

 

 

 

6,171

 

 

 

6,208

 

 

 

6,141

 

 

 

6,086

 

    Purchased transportation

 

 

5,049

 

 

 

5,120

 

 

 

4,952

 

 

 

4,556

 

 

 

4,677

 

 

 

4,980

 

 

 

4,954

 

 

 

4,719

 

    Rentals and landing fees

 

 

984

 

 

 

1,019

 

 

 

1,031

 

 

 

1,001

 

 

 

975

 

 

 

963

 

 

 

968

 

 

 

957

 

    Depreciation and amortization

 

 

885

 

 

 

909

 

 

 

922

 

 

 

939

 

 

 

929

 

 

 

925

 

 

 

933

 

 

 

967

 

    Fuel

 

 

1,593

 

 

 

1,381

 

 

 

1,187

 

 

 

996

 

 

 

961

 

 

 

1,164

 

 

 

1,005

 

 

 

1,007

 

    Maintenance and repairs

 

 

788

 

 

 

764

 

 

 

681

 

 

 

677

 

 

 

722

 

 

 

732

 

 

 

697

 

 

 

697

 

    Asset impairment charges2

 

 

–

 

 

 

–

 

 

 

–

 

 

 

70

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

157

 

    Business optimization and realignment
    costs3

 

 

14

 

 

 

11

 

 

 

3

 

 

 

19

 

 

 

27

 

 

 

77

 

 

 

45

 

 

 

102

 

    Intercompany allocations

 

 

(173

)

 

 

(172

)

 

 

(173

)

 

 

(171

)

 

 

(175

)

 

 

(168

)

 

 

(167

)

 

 

(174

)

    Other

 

 

3,023

 

 

 

3,059

 

 

 

3,107

 

 

 

3,117

 

 

 

2,833

 

 

 

2,857

 

 

 

2,923

 

 

 

2,969

 

       Total operating expenses

 

 

18,322

 

 

 

18,220

 

 

 

17,957

 

 

 

17,192

 

 

 

17,120

 

 

 

17,738

 

 

 

17,499

 

 

 

17,487

 

Operating income

 

$

862

 

 

$

937

 

 

$

962

 

 

$

1,432

 

 

$

1,306

 

 

$

1,035

 

 

$

1,173

 

 

$

1,305

 

Operating margin

 

 

4.5

%

 

 

4.9

%

 

 

5.1

%

 

 

7.7

%

 

 

7.1

%

 

 

5.5

%

 

 

6.3

%

 

 

6.9

%

 

 

1 - International domestic revenue relates to our international intra-country operations.

 

2 - Fourth quarter 2024 includes asset impairment charges of $157 million associated with the decision to permanently retire certain aircraft and related engines.

 

3 - Fourth quarter 2024 includes business optimization costs of $102 million associated with our business optimization strategy announced in 2023. Third quarter 2024 includes business
     optimization costs of $45 million. Second quarter 2024 includes business optimization costs of $77 million. First quarter 2024 includes business optimization costs of $27 million.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Unaudited. Differences may result due to rounding.

 

 

 

Federal Express Segment

 

Annual Operating Statistics

 

FY 2023 – FY 2024

 

Year ended May 31

 

In thousands, except yield amounts

 

 

 

FY 2023

 

 

FY 2024

 

Package Statistics

 

 

 

 

 

 

 Average daily package volume (ADV)1:

 

 

 

 

 

 

   U.S. priority

 

 

1,724

 

 

 

1,649

 

   U.S. deferred

 

 

1,064

 

 

 

1,015

 

   U.S. ground commercial

 

 

4,194

 

 

 

4,276

 

   U.S. ground home delivery/economy

 

 

6,756

 

 

 

6,678

 

        Total U.S. domestic ADV

 

 

13,738

 

 

 

13,618

 

   International priority

 

 

708

 

 

 

667

 

   International economy

 

 

311

 

 

 

394

 

        Total international export ADV

 

 

1,019

 

 

 

1,061

 

   International domestic2

 

 

1,967

 

 

 

1,936

 

       Total ADV

 

 

16,724

 

 

 

16,615

 

 Revenue per package (yield):

 

   U.S. priority

 

$

24.78

 

 

$

24.98

 

   U.S. deferred

 

 

18.91

 

 

 

18.97

 

   U.S. ground

 

 

11.59

 

 

 

11.76

 

        Total U.S. domestic composite

 

 

13.81

 

 

 

13.90

 

   International priority

 

 

60.61

 

 

 

55.36

 

   International economy

 

 

41.73

 

 

 

46.14

 

        International export composite

 

 

54.85

 

 

 

51.94

 

   International domestic2

 

 

9.07

 

 

 

9.40

 

       Composite package yield

 

$

15.75

 

 

$

15.80

 

 

 

Freight Statistics

 

 Average daily freight pounds:

 

   U.S.

 

 

6,711

 

 

 

5,636

 

   International priority

 

 

5,435

 

 

 

4,444

 

   International economy

 

 

12,099

 

 

 

11,364

 

       Total average daily freight pounds

 

 

24,245

 

 

 

21,444

 

 Revenue per pound (yield):

 

   U.S.

 

$

1.68

 

 

$

1.66

 

   International priority

 

 

2.21

 

 

 

1.94

 

   International economy

 

 

0.56

 

 

 

0.64

 

       Composite freight yield

 

$

1.24

 

 

$

1.18

 

 

 

Package YOY growth rates

 

 Average daily volume growth:

 

   U.S. priority

 

 

 

 

 

(4.4

%)

   U.S. deferred

 

 

 

 

 

(4.6

%)

   U.S. ground commercial

 

 

 

 

 

2.0

%

   U.S. ground home delivery/economy

 

 

 

 

 

(1.2

%)

        Total U.S. domestic

 

 

 

 

 

(0.9

%)

   International priority

 

 

 

 

 

(5.8

%)

   International economy

 

 

 

 

 

26.7

%

        Total international export

 

 

 

 

 

4.1

%

   International domestic2

 

 

 

 

 

(1.6

%)

       Total package volume growth

 

 

 

 

 

(0.7

%)

 Revenue growth:

 

   U.S. priority

 

 

 

 

 

(3.2

%)

   U.S. deferred

 

 

 

 

 

(3.9

%)

   U.S. ground

 

 

 

 

 

1.9

%

        Total U.S. domestic

 

 

 

 

 

0.2

%

   International priority

 

 

 

 

 

(13.6

%)

   International economy

 

 

 

 

 

40.7

%

        Total international export

 

 

 

 

 

(1.0

%)

   International domestic2

 

 

 

 

 

2.4

%

       Total package revenue growth

 

 

 

 

 

0.1

%

 

 

Avg pounds per package

 

 

14.1

 

 

 

14.6

 

Avg revenue per package lb.

 

$

0.89

 

 

$

0.92

 

Operating days

 

 

255

 

 

 

256

 

 

 

1 - Average daily package volume is calculated on a 5-day-per-week basis. U.S. ground home delivery/economy has been revised from the 7-day-per-week calculation
     to align with the revised financial presentation related to our one FedEx consolidation.

 

2 - International domestic statistics relate to our international intra-country operations.

 

 

 

Unaudited. Differences may result due to rounding.

 

 

 

Federal Express Segment

 

Quarterly Operating Statistics

 

FY 2023 – FY 2024

 

Year ended May 31

 

In thousands, except yield amounts

 

 

FY 2023

 

 

FY 2024

 

 

 

FIRST
QUARTER

 

 

SECOND
QUARTER

 

 

THIRD
QUARTER

 

 

FOURTH
QUARTER

 

 

FIRST
QUARTER

 

 

SECOND
QUARTER

 

 

THIRD
QUARTER

 

 

FOURTH
QUARTER

 

Package Statistics

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Average daily package volume (ADV)1:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   U.S. priority

 

 

1,770

 

 

 

1,740

 

 

 

1,709

 

 

 

1,676

 

 

 

1,680

 

 

 

1,676

 

 

 

1,634

 

 

 

1,606

 

   U.S. deferred

 

 

1,070

 

 

 

1,043

 

 

 

1,141

 

 

 

1,002

 

 

 

970

 

 

 

1,009

 

 

 

1,104

 

 

 

978

 

   U.S. ground commercial

 

 

4,177

 

 

 

4,314

 

 

 

4,156

 

 

 

4,132

 

 

 

4,287

 

 

 

4,392

 

 

 

4,189

 

 

 

4,237

 

   U.S. ground home delivery/economy

 

 

6,495

 

 

 

6,934

 

 

 

7,377

 

 

 

6,253

 

 

 

6,411

 

 

 

6,991

 

 

 

7,090

 

 

 

6,243

 

        Total U.S. domestic ADV

 

 

13,512

 

 

 

14,031

 

 

 

14,383

 

 

 

13,063

 

 

 

13,348

 

 

 

14,068

 

 

 

14,017

 

 

 

13,064

 

   International priority

 

 

700

 

 

 

736

 

 

 

701

 

 

 

695

 

 

 

658

 

 

 

673

 

 

 

663

 

 

 

674

 

   International economy

 

 

293

 

 

 

320

 

 

 

312

 

 

 

318

 

 

 

365

 

 

 

406

 

 

 

393

 

 

 

412

 

        Total international export ADV

 

 

993

 

 

 

1,056

 

 

 

1,013

 

 

 

1,013

 

 

 

1,023

 

 

 

1,079

 

 

 

1,056

 

 

 

1,086

 

   International domestic2

 

 

1,860

 

 

 

2,119

 

 

 

1,974

 

 

 

1,922

 

 

 

1,896

 

 

 

2,085

 

 

 

1,883

 

 

 

1,884

 

       Total ADV

 

 

16,365

 

 

 

17,206

 

 

 

17,370

 

 

 

15,998

 

 

 

16,267

 

 

 

17,232

 

 

 

16,956

 

 

 

16,034

 

 Revenue per package (yield):

 

   U.S. priority

 

$

24.70

 

 

$

24.73

 

 

$

24.93

 

 

$

24.79

 

 

$

24.49

 

 

$

24.67

 

 

$

25.20

 

 

$

25.58

 

   U.S. deferred

 

 

18.49

 

 

 

19.07

 

 

 

19.02

 

 

 

19.06

 

 

 

18.81

 

 

 

19.00

 

 

 

18.93

 

 

 

19.14

 

   U.S. ground

 

 

11.35

 

 

 

11.43

 

 

 

11.70

 

 

 

11.87

 

 

 

11.70

 

 

 

11.59

 

 

 

11.77

 

 

 

12.00

 

        Total U.S. domestic composite

 

 

13.66

 

 

 

13.65

 

 

 

13.85

 

 

 

14.08

 

 

 

13.82

 

 

 

13.68

 

 

 

13.90

 

 

 

14.20

 

   International priority

 

 

63.66

 

 

 

60.90

 

 

 

59.05

 

 

 

58.75

 

 

 

54.37

 

 

 

56.37

 

 

 

55.48

 

 

 

55.23

 

   International economy

 

 

42.48

 

 

 

40.23

 

 

 

40.90

 

 

 

43.29

 

 

 

47.15

 

 

 

46.19

 

 

 

44.71

 

 

 

46.54

 

        International export composite

 

 

57.42

 

 

 

54.63

 

 

 

53.46

 

 

 

53.89

 

 

 

51.80

 

 

 

52.54

 

 

 

51.47

 

 

 

51.93

 

   International domestic2

 

 

9.15

 

 

 

8.74

 

 

 

9.22

 

 

 

9.22

 

 

 

9.25

 

 

 

9.24

 

 

 

9.59

 

 

 

9.53

 

       Composite package yield

 

$

15.80

 

 

$

15.56

 

 

$

15.64

 

 

$

16.02

 

 

$

15.68

 

 

$

15.57

 

 

$

15.76

 

 

$

16.21

 

 

 

Freight Statistics

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Average daily freight pounds:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   U.S.

 

 

7,280

 

 

 

7,471

 

 

 

6,662

 

 

 

5,451

 

 

 

5,305

 

 

 

5,663

 

 

 

6,067

 

 

 

5,525

 

   International priority

 

 

6,042

 

 

 

5,757

 

 

 

5,290

 

 

 

4,657

 

 

 

4,390

 

 

 

4,472

 

 

 

4,353

 

 

 

4,557

 

   International economy

 

 

11,614

 

 

 

13,234

 

 

 

11,979

 

 

 

11,598

 

 

 

11,001

 

 

 

11,857

 

 

 

11,072

 

 

 

11,531

 

       Total average daily freight pounds

 

 

24,936

 

 

 

26,462

 

 

 

23,931

 

 

 

21,706

 

 

 

20,696

 

 

 

21,992

 

 

 

21,492

 

 

 

21,613

 

 Revenue per pound (yield):

 

   U.S.

 

$

1.67

 

 

$

1.65

 

 

$

1.73

 

 

$

1.70

 

 

$

1.67

 

 

$

1.62

 

 

$

1.68

 

 

$

1.66

 

   International priority

 

 

2.26

 

 

 

2.24

 

 

 

2.10

 

 

 

2.23

 

 

 

1.94

 

 

 

2.02

 

 

 

1.90

 

 

 

1.90

 

   International economy

 

 

0.57

 

 

 

0.53

 

 

 

0.56

 

 

 

0.58

 

 

 

0.66

 

 

 

0.63

 

 

 

0.63

 

 

 

0.66

 

       Composite freight yield

 

$

1.30

 

 

$

1.22

 

 

$

1.22

 

 

$

1.21

 

 

$

1.19

 

 

$

1.17

 

 

$

1.18

 

 

$

1.18

 

 

 

Package YOY growth rates

 

 Average daily volume growth:

 

   U.S. priority

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(5.1

%)

 

 

(3.7

%)

 

 

(4.4

%)

 

 

(4.2

%)

   U.S. deferred

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(9.3

%)

 

 

(3.3

%)

 

 

(3.2

%)

 

 

(2.4

%)

   U.S. ground commercial

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2.6

%

 

 

1.8

%

 

 

0.8

%

 

 

2.5

%

   U.S. ground home delivery/economy

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1.3

%)

 

 

0.8

%

 

 

(3.9

%)

 

 

(0.2

%)

        Total U.S. domestic

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1.2

%)

 

 

0.3

%

 

 

(2.5

%)

 

 

0.0

%

   International priority

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(6.0

%)

 

 

(8.6

%)

 

 

(5.4

%)

 

 

(3.0

%)

   International economy

 

 

 

 

 

 

 

 

 

 

 

 

 

 

24.6

%

 

 

26.9

%

 

 

25.9

%

 

 

29.6

%

        Total international export

 

 

 

 

 

 

 

 

 

 

 

 

 

 

3.0

%

 

 

2.2

%

 

 

4.3

%

 

 

7.2

%

   International domestic2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1.9

%

 

 

(1.6

%)

 

 

(4.6

%)

 

 

(2.0

%)

       Total package volume growth

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(0.6

%)

 

 

0.2

%

 

 

(2.4

%)

 

 

0.2

%

 Revenue growth:

 

   U.S. priority

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(5.9

%)

 

 

(3.9

%)

 

 

(1.8

%)

 

 

(1.2

%)

   U.S. deferred

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(7.8

%)

 

 

(3.7

%)

 

 

(2.2

%)

 

 

(1.9

%)

   U.S. ground

 

 

 

 

 

 

 

 

 

 

 

 

 

 

3.3

%

 

 

2.5

%

 

 

(0.0

%)

 

 

2.0

%

        Total U.S. domestic

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(0.0

%)

 

 

0.4

%

 

 

(0.7

%)

 

 

0.9

%

   International priority

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(19.7

%)

 

 

(15.3

%)

 

 

(9.7

%)

 

 

(8.8

%)

   International economy

 

 

 

 

 

 

 

 

 

 

 

 

 

 

38.2

%

 

 

45.7

%

 

 

39.9

%

 

 

39.1

%

        Total international export

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(7.0

%)

 

 

(1.7

%)

 

 

2.0

%

 

 

3.3

%

   International domestic2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

3.1

%

 

 

4.0

%

 

 

1.0

%

 

 

1.3

%

       Total package revenue growth

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1.4

%)

 

 

0.2

%

 

 

(0.0

%)

 

 

1.4

%

 

 

Avg pounds per package

 

 

14.2

 

 

 

13.8

 

 

 

13.7

 

 

 

14.5

 

 

 

14.7

 

 

 

14.4

 

 

 

14.2

 

 

 

15.1

 

Avg revenue per package lb.

 

$

0.90

 

 

$

0.89

 

 

$

0.88

 

 

$

0.91

 

 

$

0.94

 

 

$

0.92

 

 

$

0.90

 

 

$

0.93

 

Operating days

 

 

65

 

 

 

63

 

 

 

62

 

 

 

65

 

 

 

65

 

 

 

63

 

 

 

63

 

 

 

65

 

 

 

1 - Average daily package volume is calculated on a 5-day-per-week basis. U.S. ground home delivery/economy has been revised from the 7-day-per-week calculation to align with the revised financial presentation
      related to our one FedEx consolidation.

 

2 - International domestic statistics relate to our international intra-country operations.

 

 

 

Unaudited. Differences may result due to rounding.

 

 

 

FedEx Freight Segment

 

Annual Consolidated Statements of Income

 

FY 2023 – FY 2024

 

Years ended May 31

 

In millions

 

 

 

FY 2023

 

 

FY 2024

 

 

 

Revenue

 

$

10,084

 

 

$

9,429

 

 

 

 

 

 

 

 

Operating expenses:

 

 

 

 

 

 

   Salaries and employee benefits

 

 

4,057

 

 

 

3,923

 

   Purchased transportation

 

 

1,078

 

 

 

877

 

   Rentals

 

 

269

 

 

 

280

 

   Depreciation and amortization

 

 

387

 

 

 

404

 

   Fuel

 

 

748

 

 

 

571

 

   Maintenance and repairs

 

 

320

 

 

 

330

 

   Intercompany charges

 

 

542

 

 

 

543

 

   Other

 

 

747

 

 

 

680

 

       Total operating expenses

 

 

8,148

 

 

 

7,608

 

Operating income

 

$

1,936

 

 

$

1,821

 

Operating margin

 

 

19.2

%

 

 

19.3

%

 

 

Unaudited. Differences may result due to rounding.

 

 

 

 

 

FedEx Freight Segment

 

Quarterly Consolidated Statements of Income

 

FY 2023 – FY 2024

 

Years ended May 31

 

In millions

 

 

FY 2023

 

 

FY 2024

 

 

FIRST
QUARTER

 

 

SECOND
QUARTER

 

 

THIRD
QUARTER

 

 

FOURTH
QUARTER

 

 

FIRST
QUARTER

 

 

SECOND
QUARTER

 

 

THIRD
QUARTER

 

 

FOURTH
QUARTER

 

 

 

Revenue

$

2,849

 

 

$

2,573

 

 

$

2,293

 

 

$

2,369

 

 

$

2,385

 

 

$

2,452

 

 

$

2,205

 

 

$

2,387

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Salaries and employee benefits

 

 

1,073

 

 

 

1,053

 

 

 

960

 

 

 

971

 

 

 

985

 

 

 

1,018

 

 

 

959

 

 

 

961

 

   Purchased transportation

 

 

318

 

 

 

281

 

 

 

253

 

 

 

226

 

 

 

219

 

 

 

231

 

 

 

218

 

 

 

209

 

   Rentals

 

 

65

 

 

 

67

 

 

 

68

 

 

 

69

 

 

 

69

 

 

 

70

 

 

 

70

 

 

 

71

 

   Depreciation and amortization

 

 

106

 

 

 

103

 

 

 

74

 

 

 

104

 

 

 

108

 

 

 

81

 

 

 

108

 

 

 

107

 

   Fuel

 

 

228

 

 

 

211

 

 

 

162

 

 

 

147

 

 

 

139

 

 

 

164

 

 

 

134

 

 

 

134

 

   Maintenance and repairs

 

 

81

 

 

 

88

 

 

 

77

 

 

 

74

 

 

 

75

 

 

 

94

 

 

 

78

 

 

 

83

 

   Intercompany charges

 

 

136

 

 

 

134

 

 

 

135

 

 

 

137

 

 

 

139

 

 

 

134

 

 

 

132

 

 

 

138

 

   Other

 

 

185

 

 

 

194

 

 

 

177

 

 

 

191

 

 

 

169

 

 

 

169

 

 

 

165

 

 

 

177

 

       Total operating expenses

 

2,192

 

 

 

2,131

 

 

 

1,906

 

 

 

1,919

 

 

 

1,903

 

 

 

1,961

 

 

 

1,864

 

 

 

1,880

 

Operating income

$

657

 

 

$

442

 

 

$

387

 

 

$

450

 

 

$

482

 

 

$

491

 

 

$

341

 

 

$

507

 

Operating margin

 

23.1

%

 

 

17.2

%

 

 

16.9

%

 

 

19.0

%

 

 

20.2

%

 

 

20.0

%

 

 

15.5

%

 

 

21.2

%

 

 

Unaudited. Differences may result due to rounding.

 

 

 

 

 

FedEx Freight Segment

 

Annual Operating Statistics

 

FY 2023 – FY 2024

 

 

 

 

 

FY 2023

 

 

FY 2024

 

Shipments per day

 

   Priority

 

 

70,158

 

 

 

64,915

 

   Economy

 

 

29,562

 

 

 

29,072

 

       Total shipments per day

 

 

99,720

 

 

 

93,987

 

 

 

Weight per shipment (lbs)

 

   Priority

 

 

1,027

 

 

 

977

 

   Economy

 

 

912

 

 

 

878

 

       Composite weight per shipment

 

 

993

 

 

 

946

 

 

 

Revenue/shipment

 

   Priority

 

$

363.85

 

 

$

361.38

 

   Economy

 

 

417.50

 

 

 

411.25

 

       Composite revenue/shipment

 

$

379.76

 

 

$

376.81

 

 

 

Revenue/CWT

 

   Priority

 

$

35.44

 

 

$

36.98

 

   Economy

 

 

45.78

 

 

 

46.86

 

       Composite revenue/CWT

 

$

38.26

 

 

$

39.82

 

 

 

Avg. daily shipment growth rate

 

   Priority

 

 

 

 

 

(7.5

%)

   Economy

 

 

 

 

 

(1.7

%)

       Total shipments per day

 

 

 

 

 

(5.7

%)

 

 

Revenue/shipment growth rate

 

   Priority

 

 

 

 

 

(0.7

%)

   Economy

 

 

 

 

 

(1.5

%)

       Total composite revenue/shipment

 

 

 

 

 

(0.8

%)

 

 

Operating weekdays

 

 

253

 

 

 

254

 

 

 

Unaudited. Differences may result due to rounding.

 

 

 

FedEx Freight

 

Quarterly Operating Statistics

 

FY 2023 – FY 2024

 

 

 

 

 

FY 2023

 

 

FY 2024

 

 

 

FIRST
QUARTER

 

 

SECOND
QUARTER

 

 

THIRD
QUARTER

 

 

FOURTH
QUARTER

 

 

FIRST
QUARTER

 

SECOND
QUARTER

 

THIRD
QUARTER

 

FOURTH
QUARTER

 

Shipments per day

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Priority

 

 

76,174

 

 

 

73,372

 

 

 

65,402

 

 

 

65,540

 

 

 

66,144

 

 

68,486

 

 

61,483

 

 

63,556

 

   Economy

 

 

32,104

 

 

 

30,964

 

 

 

27,685

 

 

 

27,446

 

 

 

28,491

 

 

30,515

 

 

27,765

 

 

29,524

 

       Total shipments per day

 

 

108,278

 

 

 

104,336

 

 

 

93,087

 

 

 

92,986

 

 

 

94,635

 

 

99,001

 

 

89,248

 

 

93,080

 

 

 

Weight per shipment (lbs)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Priority

 

 

1,054

 

 

 

1,029

 

 

 

1,014

 

 

 

1,004

 

 

 

989

 

 

975

 

 

974

 

 

970

 

   Economy

 

 

938

 

 

 

940

 

 

 

890

 

 

 

873

 

 

 

876

 

 

880

 

 

885

 

 

871

 

       Composite weight per shipment

 

 

1,020

 

 

 

1,002

 

 

 

977

 

 

 

966

 

 

 

955

 

 

946

 

 

946

 

 

939

 

 

 

Revenue/shipment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Priority

 

$

369.60

 

 

$

361.57

 

 

$

366.17

 

 

$

357.44

 

 

$

353.01

 

$

365.55

 

$

363.21

 

$

364.11

 

   Economy

 

 

423.59

 

 

 

415.35

 

 

 

418.65

 

 

 

411.62

 

 

 

407.99

 

 

415.82

 

 

414.79

 

 

406.73

 

       Composite revenue/shipment

 

$

385.61

 

 

$

377.53

 

 

$

381.77

 

 

$

373.43

 

 

$

369.56

 

$

381.05

 

$

379.26

 

$

377.63

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue/CWT

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Priority

 

$

35.06

 

 

$

35.14

 

 

$

36.12

 

 

$

35.60

 

 

$

35.71

 

$

37.48

 

$

37.31

 

$

37.52

 

   Economy

 

 

45.16

 

 

 

44.21

 

 

 

47.06

 

 

 

47.13

 

 

 

46.59

 

 

47.26

 

 

46.89

 

 

46.70

 

       Composite revenue/CWT

 

$

37.82

 

 

$

37.66

 

 

$

39.08

 

 

$

38.68

 

 

$

38.71

 

$

40.29

 

$

40.10

 

$

40.22

 

 

 

Avg. daily shipment growth rate

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Priority

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(13.2

%)

 

(6.7

%)

 

(6.0

%)

 

(3.0

%)

   Economy

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(11.3

%)

 

(1.5

%)

 

0.3

%

 

7.6

%

       Total shipments per day

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(12.6

%)

 

(5.1

%)

 

(4.1

%)

 

0.1

%

 

 

Revenue/shipment YOY growth rate

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Priority

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(4.5

%)

 

1.1

%

 

(0.8

%)

 

1.9

%

   Economy

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(3.7

%)

 

0.1

%

 

(0.9

%)

 

(1.2

%)

       Total composite revenue/shipment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(4.2

%)

 

0.9

%

 

(0.7

%)

 

1.1

%

 

 

Operating weekdays

 

 

65

 

 

 

62

 

 

 

61

 

 

 

65

 

 

 

65

 

 

62

 

 

62

 

 

65

 

 

 

Unaudited. Differences may result due to rounding.

 

 

 

 

 

Appendix

 

General comments

 

▪
Other operating expense includes costs associated with outside service contracts (such as facility services and cargo handling, temporary labor, and security), insurance, professional fees, and uniforms for all years presented.

 

▪
Return on Assets and Return on Equity are calculated on a rolling four-quarter basis for all years presented.

 

Segmentations/Restatements

 

 

▪
In the fourth quarter of FY23, we announced one FedEx, a consolidation plan to bring FedEx Ground and FedEx Services into Federal Express, becoming a single company operating a unified, fully integrated air-ground express network under the respected FedEx brand. On June 1, 2024, FedEx Ground and FedEx Services were merged into Federal Express. FedEx Freight continues to provide LTL freight transportation services as a separate subsidiary. Beginning in the first quarter of FY25, Federal Express and FedEx Freight represent our major service lines and constitute our reportable segments. FedEx Custom Critical is included in the FedEx Freight segment instead of the Federal Express segment beginning in FY25.

 

▪
Federal Express average daily package volume calculations for all services are calculated on a 5-day-per-week basis. Interim and annual amounts for FY23 and FY24 were revised to reflect these changes in presentation.

 

Business optimization and realignment costs

 

▪
FY23 includes $273 million ($209 million, net of tax, or $0.81 per diluted share) of business optimization costs, as well as business realignment costs of $36 million ($27 million, net of tax, or $0.11 per diluted share) associated with our workforce reduction plan in Europe previously announced in 2021. Q1 FY23 includes business optimization costs of $24 million ($19 million, net of tax, or $0.07 per diluted share) and business realignment costs of $14 million ($11 million, net of tax, or $0.04 per diluted share). Q2 FY23 includes business optimization costs of $36 million ($27 million, net of tax, or $0.11 per diluted share). Q3 FY23 includes business optimization costs of $120 million ($92 million, net of tax, or $0.36 per diluted share) and business realignment costs of $3 million ($2 million, net of tax, or $0.01 per diluted share). Q4 FY23 includes business optimization costs of $93 million ($71 million, net of tax, or $0.28 per diluted share) and business realignment costs of $19 million ($14 million, net of tax, or $0.06 per diluted share).

 

Goodwill and other asset impairment charges

 

▪
FY23 includes goodwill and other asset impairment charges of $70 million ($54 million, net of tax, or $0.21 per diluted share) at the Federal Express segment associated with the decision to permanently retire certain aircraft and related engines and $47 million ($44 million, net of tax, or $0.17 per diluted share) at the FedEx Dataworks operating segment related to the ShopRunner, Inc. acquisition. These amounts were incurred during the fourth quarter.

 

Legal matters

 

▪
FY23 annual consolidated Other operating expense amounts include $35 million ($26 million, net of tax, or $0.10 per diluted share) in connection with a legal matter. This amount was incurred during the fourth quarter and is included at "Corporate, other, and eliminations."

 

Mark-to-market retirement plans accounting adjustments

 

▪
FY23 annual consolidated Other retirement plan income amounts include a mark-to-market retirement plans pre-tax, noncash gain of approximately $650 million ($493 million, net of tax, or $1.92 per diluted share). This amount was incurred during the fourth quarter.