FedEx Corp. (NYSE:FDX)

Operating Profit Margin

The operating profit margin showed an overall upward trend from August 2020 through May 2021, reaching a peak around 6.98%. After this peak, there was a steady decline through the end of 2022, falling to approximately 5.45%. Beginning in early 2023, the margin gradually improved again, fluctuating between mid-5% and just above 6%, ending near 6.27% by November 2025. This pattern indicates periods of both operational expansion and contraction, with recent quarters suggesting a recovery and stabilization of profitability from core operations.

Net Profit Margin

Net profit margin experienced significant growth from August 2020 until May 2021, rising from 2.5% to above 6%. Following this peak, the margin decreased consistently until mid-2022, reaching a low around 3.23%. Starting in late 2022, the margin showed a steady recovery and maintained a range between 4.4% and 5.0%, reaching approximately 4.81% by November 2025. This trend demonstrates some volatility in bottom-line profitability but suggests a moderate recovery and improved earnings efficiency in recent periods.

Return on Equity (ROE)

ROE improved substantially from early 2020 to mid-2021, peaking at over 21% in May 2021. Afterwards, ROE declined steadily, falling to nearly 12.1% by early 2023. From that point onward, it recovered to range between about 15% and 16.6%, indicating enhanced use of shareholder equity and better profitability through to November 2025. The trend suggests a return to more consistent and healthy profitability relative to equity after a period of volatility.

Return on Assets (ROA)

ROA exhibited a strong increase from August 2020 through May 2021, reaching a high above 6%. It then declined gradually to approximately 3.49% by early 2023. From 2023 onward, ROA improved steadily, stabilizing between 4.5% and 5.1% and achieving around 4.86% by late 2025. This indicates an enhanced ability to generate profit from total assets after a period of reduced efficiency.

Revenue Trends

Revenue exhibited a general upward trend from August 2020 through May 2022, increasing from approximately $19.3 billion to nearly $24.4 billion. However, after this peak, there was a noticeable decline, with revenue dropping to around $21.7 billion by August 2023. Subsequent periods showed some fluctuation with slight improvements and declines, ending at approximately $23.5 billion by November 2025. Overall, the revenue pattern suggests periods of growth followed by a correction phase and stabilization toward the later reporting dates.

Operating Income Patterns

Operating income shows higher volatility compared to revenue. Initially, it fluctuated between $1.0 billion and $1.8 billion, peaking around May 2021 and May 2022. Afterward, operating income remained variable with intermittent increases and decreases, reflecting operational challenges or cost management issues over time. For example, between August 2023 and August 2024, the income declined from $1.485 billion to $1.08 billion but rebounded to $1.793 billion by May 2025. This oscillating pattern indicates sensitivity to both internal and external factors affecting profitability.

Operating Profit Margin Dynamics

The operating profit margin generally remained within a moderate range of approximately 4.2% to 7.0% throughout the periods. The margin improved notably from August 2020's low of 4.24% to a high near 6.98% by May 2021, maintaining mostly above 6% until mid-2022. Later, it experienced a slight decline toward the 5.4% to 5.7% range but showed renewed improvement toward the end of the observed periods, closing near 6.27%. This indicates an overall stable profitability ratio amidst revenue and operating income fluctuations, suggesting effective cost control and operational efficiency during volatile periods.

Interrelationships and Insights

Though revenue growth was not consistently linear, the relative stability of operating profit margins implies the company managed to sustain profitable operations despite fluctuating top-line figures. Operating income volatility relative to revenue suggests varying impacts from operational costs, pricing strategies, or external economic pressures. Peaks in operating income do not always correspond with revenue peaks, indicating that margin management plays a significant role in income outcomes. The data highlights periods of operational strength interspersed with phases requiring strategic adjustment to enhance income consistency.

Revenue Trends

Revenue exhibits a generally increasing trend from August 2020 through November 2025, with some fluctuations. The figures start at approximately 19.3 billion USD and rise steadily to nearly 23.5 billion USD by the end of the observed period. Some periodic declines occur, such as decreases around the August 2022 through May 2023 timeframe and again between August 2023 and August 2024; however, these are followed by recoveries and further growth. This indicates overall positive top-line growth with intermittent variability likely influenced by seasonal or market factors.

Net Income Analysis

Net income shows more volatility compared to revenue. It fluctuates substantially throughout the quarters, ranging from a low of about 558 million USD to highs exceeding 1.8 billion USD. Notable peaks occur around May 2021 and May 2025, while dips are observed in May 2022 and several other quarters. Despite this variability, there is no sustained upward or downward trajectory, suggesting net income is influenced by factors beyond revenue growth, such as operating expenses, extraordinary items, or market conditions.

Net Profit Margin Insights

The net profit margin demonstrates variability yet remains within a relatively narrow range between approximately 2.5% and 6.2%. The margin peaks notably in May 2021 at 6.23%, corresponding with a peak in net income, and then declines to lower percentages around August 2022. Following this period, margins stabilize and generally improve modestly, maintaining levels around 4.5% to 5% through to the end of the timeline. This pattern indicates an improvement in cost control or profitability efficiency after periods of margin compression.

Correlations and Observations

The data shows a moderate correlation between net income peaks and improvements in net profit margin, affirming that profitability spikes are linked to higher efficiency or favorable cost structures. While revenue generally increases, the inconsistent net income performance suggests variability in expense management or external factors affecting profitability. The stabilization of net profit margin in the latter periods may imply better operational consistency or strategic adjustments.

Summary

Over the examined timeframe, revenue growth is steady albeit with short-term fluctuations, net income is volatile with significant quarter-on-quarter variations, and net profit margin shows periodic highs followed by stabilization. These patterns reveal a company experiencing growth with variable profitability, possibly due to changing market conditions or operational factors. Recent trends indicate improving profit margins despite some revenue dips, which may imply enhanced efficiency and cost mitigation efforts.

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

Net Income

The net income demonstrates variability across quarters, initially showing moderate values around 1200 million USD in late 2020 and early 2021. There is a significant peak in May 2021 at 1868 million USD, followed by a decline and a subsequent recovery pattern. The values fluctuate irregularly thereafter, with intermittent increases and decreases. Notably, peaks can be observed again in May 2023 (1538 million USD) and May 2025 (1648 million USD). Between these peaks, the net income generally shows moderate to lower values, indicating a cyclical performance pattern within the examined timeframe.

Common Stockholders’ Investment

Common stockholders’ investment exhibits a generally upward trend over the periods. Starting from approximately 19,462 million USD in August 2020, it consistently increases through most periods, reaching around 28,140 million USD by November 2025. There are some minor fluctuations or brief plateaus (e.g., slight decreases around November 2022 and early 2025), but the overall movement indicates expansion of the company’s equity base, reflecting reinvestment or capital inflow over time.

Return on Equity (ROE)

ROE shows relative volatility in the initial periods, starting at 9.18% in August 2020 and ascending to a peak of 21.64% in May 2021. This peak is followed by a downward trend and stabilization around the mid-teens percentage range. From late 2021 onward, ROE mostly fluctuates within a narrower band between approximately 12.1% and 16.7%, suggesting a period of relatively stable profitability relative to equity. Toward the final quarters, ROE maintains a value near 15%, indicating consistent returns despite net income fluctuations.

In summary, the company’s net income experiences cyclical highs and lows without a clear linear trend, whereas stockholders’ investment steadily grows, indicating increased equity capital. ROE shows initial volatility with a peak in mid-2021, followed by stable and moderately strong returns on equity. These trends suggest that while profitability experiences variability, equity investment has been robust and return efficiency has stabilized over the recent periods.

The analysis of the quarterly financial data reveals several notable trends in the performance and asset base of the company over the observed periods.

Net Income

Net income exhibits fluctuations throughout the periods, with several peaks and troughs. Initially, it was around the mid-thousand million mark, showing a significant increase in May 2021 to a peak above 1800 million US dollars. This was followed by decreases and recoveries, with another notable rise in May 2023 exceeding 1500 million US dollars. The latest quarters indicate a pattern of volatility but with a general tendency to recover after dips, reaching above 1600 million US dollars in May 2025.

Total Assets

Total assets demonstrate a general trend of gradual increase over the periods. Starting below 78,000 million US dollars, the asset base steadily rose to nearly 89,000 million US dollars by the final reported quarter. The growth appears consistent with minor fluctuations, indicating ongoing asset accumulation or valuation adjustments, supporting the company's expansion or investment activities.

Return on Assets (ROA)

The ROA shows a dynamic pattern correlating in part with net income variations. Starting at a low of 2.3%, ROA rises sharply to over 6% by May 2021, reflecting improved profitability relative to asset size during that period. Subsequently, ROA declines gradually but stabilizes between 4.5% and 5.1% through the middle periods, indicating a moderately efficient use of assets. Towards the end of the timeline, ROA remains relatively stable around the mid-4% to near 5% range, suggesting consistent but less volatile profitability relative to assets than in earlier periods.

Overall, the data illustrates a company experiencing some earnings volatility but maintaining asset growth and relatively stable asset profitability over time. The temporary spikes in net income and ROA indicate periods of heightened operational performance, while the steady growth in total assets suggests a focus on long-term capacity building. The observed trends provide insight into financial resilience and efficiency in asset utilization across multiple quarters.