Executive Summary
FedEx reported QQ4 2024 revenue of $22.11 billion, up 0.8% year over year and 1.7% quarter over quarter, supported by resilient demand in express and ground networks amid a modest macro backdrop. The company delivered an operating income of $1.99 billion and net income of $1.47 billion, translating to an operating margin of 7.03% and a net margin of 6.67%, indicating notable quarterly operating leverage even as year-over-year profitability faced some gross-margin erosion. Free cash flow totaled approximately $1.50 billion for the period, underscoring cash generation capacity and the company’s ability to fund dividends, buybacks, and continued capex.
Key Performance Indicators
Key Insights
Revenue: $22.11B; YoY +0.82%, QoQ +1.71%
Gross Profit: $5.12B, Gross Margin 23.17%; YoY -2.29%, QoQ +12.87%
Operating Income: $1.99B, Margin 7.03%; YoY +32.20%, QoQ +59.86%
Net Income: $1.47B, Margin 6.67%; YoY -4.16%, QoQ +67.69%
EPS (GAAP): $5.98; Diluted EPS: $5.94; YoY -2.29%, QoQ +68.45%
Operating Cash Flow: $2.70B; Free Cash Flow: $1.50B; Capex: $1.20B
Balance Sheet: Cash & equivalents $6.50B; Total debt $37.72B; Net debt $31.22B; Total equity $27.58B; Current ratio 1.36; Debt/Capitali...
Financial Highlights
Revenue: $22.11B; YoY +0.82%, QoQ +1.71%
Gross Profit: $5.12B, Gross Margin 23.17%; YoY -2.29%, QoQ +12.87%
Operating Income: $1.99B, Margin 7.03%; YoY +32.20%, QoQ +59.86%
Net Income: $1.47B, Margin 6.67%; YoY -4.16%, QoQ +67.69%
EPS (GAAP): $5.98; Diluted EPS: $5.94; YoY -2.29%, QoQ +68.45%
Operating Cash Flow: $2.70B; Free Cash Flow: $1.50B; Capex: $1.20B
Balance Sheet: Cash & equivalents $6.50B; Total debt $37.72B; Net debt $31.22B; Total equity $27.58B; Current ratio 1.36; Debt/Capitalization 0.58; ROE ~5.3%
Cash Returns & Allocation: Dividends paid $0.31B; Share repurchases $0.50B; Net cash from financing activity -$0.59B
Valuation/Multiples: P/E ~10.5x; P/B ~2.24x; P/S ~2.80x; EV/FCF ~26.0x; Dividend yield ~0.5%
Efficiency/Turnover: DSO 41.1 days; DIO 3.25 days; DPO 16.9 days; CCC ~27.4 days; Inventory turnover ~27.66x; Operating cash flow per share $10.96; Free cash flow per share $6.08
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
22.11B |
0.82% |
1.71% |
| Gross Profit |
5.12B |
-2.29% |
12.87% |
| Operating Income |
1.99B |
32.20% |
59.86% |
| Net Income |
1.47B |
-4.16% |
67.69% |
| EPS |
5.98 |
-2.29% |
68.45% |
Key Financial Ratios
operatingProfitMargin
7.03%
operatingCashFlowPerShare
$10.86
freeCashFlowPerShare
$6.02
Management Commentary
No earnings call transcript data is available in the provided dataset. Consequently, no management quotes or thematic highlights from an earnings call could be extracted.
Forward Guidance
No formal forward guidance was included in the provided data for QQ4 2024. In the absence of explicit guidance, investors should monitor: (1) fuel price volatility (jet fuel) and its impact on operating costs; (2) demand trends in international and cross-border shipments and express volumes; (3) effectiveness of network optimization, cost-reduction initiatives, and pricing discipline; (4) capital allocation flexibility (debt levels and potential restructuring) and ongoing buyback/dividend policy; (5) macroeconomic developments affecting freight volumes and e-commerce growth. Management commentary in a typical cycle would likely emphasize cost control, network efficiency, and long-term growth opportunities in e-commerce and cross-border logistics.