FedEx Corp. (NYSE:FDX)

The analysis of the quarterly financial ratios reveals several notable trends in profitability and efficiency metrics across the observed periods.

Operating Profit Margin (%)

This metric demonstrates a generally upward trajectory beginning in the May 31, 2020 period, with values rising from 3.49% to a peak of 6.98% by August 31, 2021. Following this peak, the margin maintains relative stability, fluctuating within a narrow range between approximately 5.45% and 6.68% through to August 31, 2025. The information suggests improved operational efficiency and cost control during the initial increase and consistent performance thereafter.

Net Profit Margin (%)

The net profit margin also exhibits positive growth from May 31, 2020, starting at 1.86% and climbing to a high of 6.23% at August 31, 2021. Subsequently, the ratio experiences a decline, falling to around 3.23% by May 31, 2023, before gradually recovering to settle near 4.65% toward the latter periods. This pattern indicates that while the company managed to noticeably increase its bottom-line profitability initially, challenges or increased expenses may have impacted net gains in mid-term periods, followed by partial recovery.

Return on Equity (ROE) (%)

ROE shows a consistent upward movement from May 31, 2020, starting at 7.03% and reaching a significant peak at 21.64% by August 31, 2021. Thereafter, ROE declines steadily to approximately 12.10% by May 31, 2023, then experiences a moderate rebound to fluctuate around 14.5% to 16.7% in later quarters. This trend suggests that the company initially enhanced shareholder value considerably, but faced reduced efficiency or profitability in generating returns on equity before stabilizing at a healthy mid-range level.

Return on Assets (ROA) (%)

ROA closely mirrors the trends shown in ROE, increasing from 1.75% in May 2020 to a peak of 6.32% on August 31, 2021. Thereafter, there is a decline to a low of 3.49% by May 31, 2023, with subsequent recovery to approximately 4.66% by August 31, 2025. This indicates fluctuations in asset utilization efficiency, originally improving significantly before facing a downturn and then regaining moderate strength.

Overall, the financial ratios illustrate a period of marked improvement in profitability and returns culminating around mid-2021, followed by a phase of decline across indicators, and a phase of stabilization and moderate recovery in subsequent periods. The trends highlight the importance of monitoring factors impacting net profitability and return metrics to sustain growth momentum.

Revenue

The revenue figures show an overall increasing trend from August 2019 through May 2022, rising steadily from 17,048 million US dollars to a peak of 24,394 million US dollars. After May 2022, revenue experiences fluctuations with a gradual decline toward August 2024, reaching around 21,579 million US dollars, before slightly recovering and stabilizing around 22,200 million US dollars by August 2025. This pattern indicates a period of growth followed by a moderate decline and stabilization.

Operating Income

Operating income demonstrates substantial volatility over the observed periods. Initially, operating income declines from 977 million in August 2019 to 411 million by February 2020, followed by recovery and marked growth to 1,924 million in May 2022. Post this peak, operating income fluctuates notably, with values ranging between approximately 1,042 million and 1,793 million. Despite this variability, operating income levels remain generally strong compared to the initial periods, indicating some resilience amid changing market conditions.

Operating Profit Margin

Operating profit margin data is available starting May 2020 and reveals an upward trend from 3.49% to a peak of 6.98% in August 2021. Following this peak, the margin slightly declines but remains relatively stable within the range of approximately 5.6% to 6.6% through August 2025. This suggests improvements in operational efficiency or cost management during the pandemic period, with sustained profitability margins in subsequent quarters despite fluctuations.

Summary of Trends

The financial data indicates that revenue growth was strong up to mid-2022, after which it softened and stabilized. Operating income was highly variable, with significant dips followed by recoveries, peaking alongside revenue in the mid-2022 period. Operating profit margins improved considerably starting mid-2020, stabilizing at higher levels compared to earlier quarters. Overall, the data suggests that while there have been challenges impacting revenue, the company's operating profitability has become more consistent, reflecting possibly improved operational control or cost efficiencies.

The analysis of the financial data over the specified quarters reveals several notable trends and fluctuations in net income, revenue, and net profit margin.

Net Income

Net income demonstrates considerable volatility across the periods analyzed. Initially, it started at a high level of 745 million US dollars in August 2019, followed by a marked decline to 315 million by February 2020. A significant downturn occurred in May 2020, with net income turning negative at -334 million, which may indicate exceptional or extraordinary losses during that period. From August 2020 onwards, net income recovered strongly, peaking notably at 1868 million in May 2021. Subsequent quarters showed oscillations with net income generally remaining above 700 million, with some higher peaks such as 1538 million in May 2023 and 1648 million in February 2025. The last recorded quarter shows net income at 824 million, maintaining a relatively stable positive profit level compared to earlier periods.

Revenue

Revenue exhibits an overall upward trend with some fluctuations. Starting at 17,048 million US dollars in August 2019, revenue increased steadily, reaching a peak of 24,394 million in May 2022. After this peak, revenue slightly decreased and fluctuated in the range of approximately 21,600 to 22,400 million for the following quarters. Despite these fluctuations, revenue levels remained significantly higher than at the start of the period, indicating growth over the timeframe assessed. The most recent quarters display a subtle yet consistent stabilization around the low 22,000 million range.

Net Profit Margin

Net profit margin data begins from the May 2020 quarter, at 1.86%, and shows a general upward trajectory with notable fluctuations. From an initial margin below 2%, it rose steadily to peak around 6.23% in May 2021. After this peak, net profit margin declined modestly but maintained a range between 3.23% and just above 5% for subsequent quarters. The most recent quarters indicate stabilization around 4.5% to 4.7%, signifying relatively steady profitability as a percentage of revenue in the latter periods.

In summary, the financial data reflect a company experiencing an initial period of instability and losses (particularly in early 2020), followed by recovery and growth in both revenue and profitability. Revenue growth has generally supported the increase in net income and profit margins, despite some volatility in profitability percentages. The ability to sustain positive net income and consistent profit margins in recent periods suggests favorable operational performance and financial management.

The analysis of the quarterly financial data reveals several notable trends in net income, common stockholders’ investment, and return on equity (ROE) over the observed period.

Net Income

Net income demonstrates considerable volatility throughout the timeframe. It begins with positive values in 2019, reaching a peak of 1245 million US dollars in August 2020 after a brief dip into negative territory in May 2020 (-334 million US dollars). Following this peak, net income fluctuates with several ups and downs, including a high of 1868 million US dollars in May 2021 and subsequent declines and recoveries. Notably, there is a resurgence to 1538 million US dollars in May 2023 and another peak of 1648 million US dollars in February 2025, indicating periods of strong profitability interspersed with declines. The pattern suggests sensitivity to external factors or operational challenges influencing quarterly earnings.

Common Stockholders’ Investment

This metric shows a steady and generally upward trend over the period. Beginning at 18,166 million US dollars in August 2019, the investment grows consistently with minor fluctuations, peaking at 28,074 million US dollars in May 2025. Occasional slight decreases occur, such as between November 2021 (24,940 million) and February 2022 (24,526 million), and similarly in late 2022 and throughout 2024, but the overall trajectory is positive. This indicates continued capital infusion or retained earnings contributing to the equity base.

Return on Equity (ROE)

ROE is initially unavailable but becomes measurable from May 2020 onward. After beginning at 7.03%, it rises steadily to a high of 21.64% in August 2021, reflecting improved profitability relative to equity. Subsequently, ROE slightly declines, stabilizing in a range between approximately 12% and 16% through the latest periods. The initial surge may correspond to recovery and growth phases post initial external challenges, while later stabilization indicates a normalization of profitability levels in relation to shareholders’ equity.

Overall, while net income displays fluctuations indicative of a dynamic operating environment, the consistent increase in common stockholders’ investment suggests growing shareholder confidence and capital strengthening. The ROE follows a pattern of sharp improvement followed by stabilization, aligning with the trends in net income and equity growth. These results may point toward cycles of investment and earnings adjustments reflecting market conditions and operational performance during the period analyzed.

The data presents a detailed view of net income, total assets, and return on assets (ROA) for the company over multiple quarters from August 2019 to August 2025. Several trends and notable fluctuations can be identified throughout the period.

Net Income

Net income demonstrates significant volatility across the quarters. Starting at 745 million USD in August 2019, it shows a marked decrease in May 2020 to a negative value of -334 million USD, indicating a loss during that quarter. Following this downturn, net income rebounds strongly, peaking at 1868 million USD by May 2021. Subsequent quarters witness fluctuations with income ranging mostly between approximately 700 million and 1500 million USD. Another period of strong increase occurs in May 2023 at 1538 million USD and again in May 2024 reaching 1474 million USD. Fluctuations persist with net income values showing repeated rises and falls, reflecting a cyclical pattern or the influence of non-recurring factors affecting profit generation.

Total Assets

Total assets generally exhibit a steady upward trend over the entire timeframe. Starting from about 68.5 billion USD in August 2019, assets gradually increase each quarter, reaching approximately 87.4 billion USD by August 2025. There are some minor variations, such as slight decreases in certain quarters (e.g., from Nov 2023 to Feb 2024 and between Feb 2025 and Aug 2025), but the overall trajectory is growth. This suggests ongoing investment or asset accumulation by the company over time.

Return on Assets (ROA)

ROA data begins appearing only in May 2020, showing an initial value of 1.75%, which then rises to a peak of 6.32% by August 2021. From this peak, ROA exhibits a downward trend to around 3.49% by May 2023, followed by a moderate recovery with values fluctuating around the mid-4% range through to August 2025. The variations in ROA, especially after its peak in 2021, may be indicative of changing profitability efficiency relative to asset base growth. The alignment of ROA peaks with periods of increased net income suggests that profitability per asset invested was highest during those months.

In summary, the data indicates a period of volatility in earnings with a significant loss reported in mid-2020, followed by recovery and fluctuating profitability. Asset growth has been consistent, reflecting expanding company resources. Return on assets peaked in 2021 and has since moderated but remained positive, demonstrating generally effective asset utilization despite income fluctuations. This combination of trends suggests adaptive responses to market conditions and internal management strategies impacting profitability and asset management over time.