FedEx Corp. (NYSE:FDX)

The financial data exhibit several notable trends and fluctuations over the analyzed periods. Revenue demonstrates a general upward trajectory from August 2019 through May 2022, peaking at $24,394 million, followed by some variability and a slight decline in subsequent quarters, stabilizing around the $22,000 million mark towards early 2025.

Operating expenses follow a similar pattern, increasing steadily until early 2022, peaking at approximately $22,470 million, and then showing a general decline and stabilization around $20,400 million in the later periods. This suggests some cost control or efficiency measures implemented after the peak period.

Salaries and employee benefits

These costs rose continuously from around $6,087 million in August 2019 to a peak near $8,244 million in early 2022. Subsequent quarters reveal a gradual reduction and stabilization around $7,600 to $7,800 million, indicating a possible workforce or compensation adjustment.

Purchased transportation

Costs in this category also increased until late 2021, reaching a high of $6,272 million, then decreased notably by mid-2023 to values near $5,000-5,500 million. This decline could reflect operational efficiencies or changes in supply chain strategies.

Rentals and landing fees

These expenses grew steadily but more modestly, increasing from approximately $920 million to around $1,200 million before slightly declining and stabilizing near $1,140 million, indicating relatively controlled growth in fixed and variable facility expenses.

Depreciation and amortization

There is a gradual increase from approximately $879 million to around $1,075 million, with minor fluctuations suggesting ongoing capital expenditure and asset base growth, followed by stabilization near $1,060 million.

Fuel

Fuel costs exhibit significant volatility. Initial costs were near $870 million but dropped sharply in May 2020 to $517 million, likely influenced by external conditions reducing fuel consumption or prices. Afterward, fuel expenses rose again, peaking at $1,822 million by late 2021 before tapering off gradually, reflecting sensitive response to market fuel price changes and consumption patterns.

Maintenance and repairs

Expenses remain relatively stable with minor fluctuations, generally hovering between $780 and $880 million, suggesting consistent maintenance expenditure aligned with operational needs.

Goodwill and other asset impairment charges

There are intermittent charges with significant impairments during February 2020 and May 2020, and again in November 2023 and February 2025, indicating occasional write-downs impacting earnings in those periods.

Business optimization costs

These costs appear irregular but show an increasing trend starting around late 2020, peaking in early 2024, which could reflect ongoing restructuring or efficiency initiatives impacting the cost base.

Other expenses

Other operating expenses remain substantial and fairly consistent, ranging broadly from $2,500 to $3,700 million, indicating a significant and steady cost component.

Operating income experienced considerable fluctuations. After a dip in early 2020, it rebounded strongly from mid-2020 through early 2022, with peaks above $1,900 million. Thereafter, income showed variability but generally remained positive, reflecting sustained operational profitability despite challenges.

Interest expenses remained relatively stable, reflecting consistent borrowing costs without major spikes or declines. Other retirement plans show large volatility, including a significant positive anomaly in May 2021, which may indicate pension plan adjustments or funding changes that materially impacted net income in some quarters.

Non-operating items included significant loss on debt extinguishment in May 2021, and various fluctuations in other income/expense accounts, contributing to quarterly income volatility.

Income before taxes follows a pattern similar to operating income with some fluctuations linked to other income and interest expenses. It peaked significantly in May 2021 and May 2024, correlating with strong operating performance and favorable non-operating results.

Provision for income taxes fluctuates proportionally with pre-tax income but also shows quarters with relatively high or low tax impacts, suggesting tax rate variability or deferred tax adjustments.

Net income reflects the overall profitability pattern, with losses only in May 2020 coinciding with a challenging period likely due to external disruptions. Subsequent quarters exhibit strong recovery and growth, with notable peaks in May 2021 and May 2024, aligning with peaks in operating income and before-tax income, indicating effective cost and revenue management.