Analysis of Geographic Areas
FedEx Corp. operates in 2 regions: U.S. and International.
Paying user area
Try for free
FedEx Corp. pages available for free this week:
- Balance Sheet: Liabilities and Stockholders’ Equity
- Analysis of Liquidity Ratios
- Analysis of Long-term (Investment) Activity Ratios
- DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit Margin
- Price to FCFE (P/FCFE)
- Selected Financial Data since 2005
- Operating Profit Margin since 2005
- Return on Equity (ROE) since 2005
- Price to Sales (P/S) since 2005
- Aggregate Accruals
The data is hidden behind: . Unhide it.
Get full access to the entire website from $10.42/mo, or
get 1-month access to FedEx Corp. for $24.99.
This is a one-time payment. There is no automatic renewal.
We accept:
Area Asset Turnover
FedEx Corp., asset turnover by geographic area
| May 31, 2024 | May 31, 2023 | May 31, 2022 | May 31, 2021 | May 31, 2020 | May 31, 2019 | |
|---|---|---|---|---|---|---|
| U.S. | ||||||
| International |
Based on: 10-K (reporting date: 2024-05-31), 10-K (reporting date: 2023-05-31), 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31).
- U.S. Asset Turnover Ratio
- The U.S. geographic asset turnover ratio exhibited a general declining trend from 1.43 in 2019 to 1.06 in 2020, indicating a notable decrease in efficiency during that year. Subsequent years show some recovery with the ratio rising to 1.19 in 2021 and 1.22 in 2022. However, from 2022 onwards, there is a gradual decline again, reaching 1.15 in 2023 and 1.12 in 2024, suggesting a modest but consistent reduction in asset turnover in the recent period.
- International Asset Turnover Ratio
- The international asset turnover ratio also demonstrates a downward movement, starting at a high of 2.72 in 2019 and sharply dropping to 1.82 in 2020. This was followed by a mild recovery to 1.97 in 2021 and a more significant increase to 2.32 in 2022. After 2022, the ratio declined again, falling to 2.09 in 2023 and further to 2.02 in 2024, maintaining a level notably above the U.S. ratio but with a downward pressure apparent in the last two years.
- Comparative Analysis
- Both geographic areas experienced the steepest decreases in asset turnover in 2020, possibly reflecting external challenges during that period. While both regions saw improvements in 2021 and 2022, these were not sustained through 2023 and 2024, where a downward trend resumed. Throughout the period, the international asset turnover consistently remained higher than the U.S. ratio by a significant margin, indicating relatively stronger asset utilization abroad despite recent declines.
Area Asset Turnover: U.S.
FedEx Corp.; U.S.; area asset turnover calculation
| May 31, 2024 | May 31, 2023 | May 31, 2022 | May 31, 2021 | May 31, 2020 | May 31, 2019 | |
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Revenue | ||||||
| Noncurrent assets | ||||||
| Area Activity Ratio | ||||||
| Area asset turnover1 | ||||||
Based on: 10-K (reporting date: 2024-05-31), 10-K (reporting date: 2023-05-31), 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31).
1 2024 Calculation
Area asset turnover = Revenue ÷ Noncurrent assets
= ÷ =
- Revenue Trends
- Revenue showed an overall increasing trend from 2019 to 2022, rising from $47,584 million in 2019 to a peak of $64,941 million in 2022. However, in 2023 and 2024, revenue experienced a slight decline to $64,890 million and $63,531 million respectively, indicating a plateau and mild decrease after significant growth.
- Noncurrent Assets Trends
- Noncurrent assets consistently increased over the entire period. Starting from $33,189 million in 2019, they grew steadily each year, reaching $56,822 million in 2024. This represents a substantial investment in long-term assets, nearly doubling over the six-year span, suggesting a focus on asset accumulation or expansion.
- Area Asset Turnover Ratio Trends
- The area asset turnover ratio, which measures the efficiency of asset use to generate revenue, declined from 1.43 in 2019 to 1.06 in 2020. Following this dip, the ratio experienced a gradual recovery, rising to 1.19 in 2021 and 1.22 in 2022. However, it decreased again slightly in 2023 and 2024, settling at 1.15 and 1.12 respectively. This indicates fluctuating but generally declining efficiency in using area assets to produce revenue.
- Overall Analysis
- The data reveals that while revenue increased significantly until 2022 before slightly falling, noncurrent assets have consistently grown, indicating ongoing capital investments. Meanwhile, the asset turnover ratio shows a decrease in efficiency in 2020, some recovery in subsequent years, yet a mild decline towards 2024. This pattern could point to the business taking on more assets faster than revenue is growing, thereby reducing turnover efficiency over time.
Area Asset Turnover: International
FedEx Corp.; International; area asset turnover calculation
| May 31, 2024 | May 31, 2023 | May 31, 2022 | May 31, 2021 | May 31, 2020 | May 31, 2019 | |
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Revenue | ||||||
| Noncurrent assets | ||||||
| Area Activity Ratio | ||||||
| Area asset turnover1 | ||||||
Based on: 10-K (reporting date: 2024-05-31), 10-K (reporting date: 2023-05-31), 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31).
1 2024 Calculation
Area asset turnover = Revenue ÷ Noncurrent assets
= ÷ =
- Revenue Trends
- The revenue experienced a decline from 22,109 million USD in 2019 to 20,813 million USD in 2020. This was followed by a notable increase to 25,167 million USD in 2021 and further growth to 28,571 million USD in 2022. However, revenue decreased again in the subsequent years, falling to 25,265 million USD in 2023 and further to 24,162 million USD in 2024. Overall, revenue showed volatility with a peak in 2022 and a downward adjustment thereafter.
- Noncurrent Assets
- Noncurrent assets rose significantly from 8,128 million USD in 2019 to 11,463 million USD in 2020 and continued to grow to 12,790 million USD in 2021. After a slight decrease in 2022 to 12,318 million USD, these assets gradually declined further to 12,084 million USD in 2023 and 11,978 million USD in 2024. The initial increase indicates investment or acquisition in fixed assets or long-term investments, followed by a period of mild contraction.
- Area Asset Turnover Ratio
- The area asset turnover ratio dropped sharply from 2.72 in 2019 to 1.82 in 2020, coinciding with the decrease in revenue and rise in noncurrent assets, suggesting reduced efficiency in utilizing assets to generate sales during that period. There was improvement in 2021 to 1.97 and further to 2.32 in 2022, reflecting enhanced asset utilization coinciding with peak revenue. Nevertheless, the ratio declined again in 2023 to 2.09 and slightly more to 2.02 in 2024, indicating a modest decrease in operational efficiency relative to asset base in recent years.
- Summary
- The data reveals fluctuating financial performance in the international segment, with revenue peaking in 2022 and then declining. Noncurrent assets increased substantially between 2019 and 2021, then gradually decreased, which could reflect changing investment strategy or asset disposals. Efficiency as measured by the area asset turnover ratio improved after 2020 but did not sustain its peak levels beyond 2022. These patterns suggest an initial recovery and growth phase following 2020 challenges, with subsequent moderation in revenue and asset utilization efficiency in the last two years.
Revenue
FedEx Corp., revenue by geographic area
US$ in millions
| May 31, 2024 | May 31, 2023 | May 31, 2022 | May 31, 2021 | May 31, 2020 | May 31, 2019 | |
|---|---|---|---|---|---|---|
| U.S. | ||||||
| International | ||||||
| Total |
Based on: 10-K (reporting date: 2024-05-31), 10-K (reporting date: 2023-05-31), 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31).
The revenue data over the six-year period reveals distinct patterns in both the U.S. and International segments, as well as in the overall total revenue.
- U.S. Revenue
- The revenue from the U.S. market demonstrates a generally increasing trend from 2019 through 2022, rising from $47,584 million to $64,941 million. This peak in 2022 is followed by a slight decline over the next two years, with revenues decreasing to $63,531 million by 2024. Despite this recent decline, the overall trend across the entire period indicates growth in the U.S. segment.
- International Revenue
- The International revenue figures exhibit more volatility. After a decline from $22,109 million in 2019 to $20,813 million in 2020, there was a notable rebound to $25,167 million in 2021, continuing an upward movement to a peak of $28,571 million in 2022. However, similar to the U.S. segment, the international revenue then decreased in both 2023 and 2024, reaching $24,162 million. This suggests that after a period of recovery and growth post-2020, international revenue faced downward pressure in the most recent years.
- Total Revenue
- The total revenue follows the combined effect of the two segments. It remained relatively stable between 2019 and 2020 with a slight decrease from $69,693 million to $69,217 million. This was followed by a significant upward trend through 2021 and 2022, reaching $93,512 million in 2022. Subsequent years showed a decline to $87,693 million in 2024, indicating a reduction in overall revenues after the peak in 2022.
- Summary Insights
- The data indicates that both segments experienced their highest revenues in 2022, after which there has been a decrease through 2024. The U.S. market maintains a dominant position in revenue contribution and shows a more stable growth pattern, while the international segment is more subject to fluctuations. The downward trend in recent years could indicate market challenges or external factors impacting revenue generation globally.
Noncurrent assets
FedEx Corp., noncurrent assets by geographic area
US$ in millions
| May 31, 2024 | May 31, 2023 | May 31, 2022 | May 31, 2021 | May 31, 2020 | May 31, 2019 | |
|---|---|---|---|---|---|---|
| U.S. | ||||||
| International | ||||||
| Total |
Based on: 10-K (reporting date: 2024-05-31), 10-K (reporting date: 2023-05-31), 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31).
- U.S. Noncurrent Assets Trend
- The U.S. noncurrent assets demonstrated a consistent upward trajectory over the observed period. Starting from approximately 33,189 million US dollars in 2019, the assets increased each year, reaching a peak of 56,822 million US dollars by 2024. This represents an overall growth of about 71% across the timeframe, with notable increments each year, reflecting ongoing investments or asset appreciation within the domestic segment.
- International Noncurrent Assets Trend
- International noncurrent assets exhibited a different pattern compared to the U.S. segment. From 2019 to 2021, there was a significant rise from 8,128 million to 12,790 million US dollars, marking an increase of approximately 57%. However, post-2021, these assets showed a gradual decline, decreasing to 11,978 million US dollars by 2024. This downturn indicates either divestitures, depreciation exceeding additions, or strategic reallocation of resources internationally during the last three years.
- Total Noncurrent Assets Overview
- The total noncurrent assets, encompassing both U.S. and international holdings, increased steadily from 41,317 million US dollars in 2019 to 68,800 million US dollars in 2024, resulting in an overall growth of approximately 67%. The upward trend was most pronounced until 2022, after which the growth rate slowed, attributable primarily to the stabilization and slight decrease in international assets, while the U.S. assets maintained robust growth.
- Overall Observations
- The data indicates a heavier reliance and sustained investment in U.S.-based noncurrent assets relative to international counterparts. The more volatile pattern observed internationally suggests adjustments in strategy, possibly reflecting changing market conditions or operational priorities. The consistent growth in total noncurrent assets points to an ongoing expansion or upgrade of long-term assets over this period, supporting the company’s capacity to sustain or enhance its operational capabilities.