FedEx Corporation · NYSE:FDX
FedEx — Non-Deal Roadshow (September 2025)
34 slides from FedEx's roadshow presentation, Sep 18, 2025
Slide 1: Investor Relations
Investor Relations September 18, 2025
Slide 2: Forward-Looking Statements and Non-GAAP Financial Measures
Forward-Looking Statements and Non-GAAP Financial Measures Certain statements in this press release may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act, such as statements regarding expected cost savings, the optimization of our network thr
Slide 3: Over 220 countries and territories
Over 220 698 countries aircraft and and more territories, than including 200,000 every motorized address in vehicles the U.S. 3 3
Slide 4: Broad portfolio of services: FY25 revenues of $87.9 billion
“UNITE Broad portfolio of services‘ FY25 Revenues of $87.9 billion 86% Federal Express Corporation $41.4B ye express 1 0% services FedEx Freight A% Corp. & Other Federal Express and FedEx Freight show segment revenue. $3 7 B Other and eliminations includes revenue from FedEx , Dataworks, FedEx Offic
Slide 5: Bundle of solutions
Bundle of solutions % of revenue • Our portfolio of solutions creates a strong value proposition Express 0.9% • 96.9% of U.S. revenue comes from customers of two or E+G E+F 18.2% 0.1% more transportation services E+G+F 78.0% • We manage service offerings as a portfolio for the benefit Ground Freight
Slide 6: FY26 outlook
FY26 outlook Actively managing a wide range of scenarios Range Additional assumptions: Revenue 4% - 6% growth rate YoY • ~$1 billion in transformation-related cost savings benefit Adjusted EPS* $17.20 - $19.00 • ~$1 billion headwind due to global trade environment • $160 million headwind from the U.
Slide 7: Illustrative operating income bridge based on FY26 adjusted EPS outlook
Illustrative operating income bridge based on the midpoint of FY26 adjusted EPS* outlook 1 Non-GAAP financial measure; see appendix for more information 7 2 Base Expense Increase excludes costs related to incremental FY26 volume, and direct trade-related expense 3 FX impact reflects $0.9 billion of
Slide 8: Capital allocation priorities
Capital allocation priorities Committed to prudent capital allocation $6.8B $6.2B $5.2B $4.1B $4.5B 7.2% of 6.8% of 5.9% of 4.6% of revenue revenue revenue revenue FY22 FY23 FY24 FY25 FY26 Est. Continuing to return capital to stockholders Capital expenditures • Completed $500 million of stock repurc
Slide 9: Well positioned to capture profitable revenue growth
Well positioned to capture profitable revenue growth E-commerce remains the growth B2B higher-margin verticals engine of parcel volume demand top-tier service • ~90% of expected parcel industry • Target segments generate high growth coming from e-commerce* margins • Anticipate addressable U.S. domes
Slide 10: FedEx Business Trends
FedEx Business Trends Meeting e-commerce demands • Year-round, seven-day-per-week U.S. residential delivery through our ground services* • Significantly later pick up times offered with FedEx Extra Hours Service • Widespread retail convenience network with Walgreens, Dollar General, and our own FedE
Slide 11: 92% of people in the U.S. are within five miles of a FedEx location
92% of people in the U.S. are within five miles of a FedEx hold location • Customers want to drop off or pick up at places convenient to their everyday lives — the FedEx retail convenience network offers nearly 50,000 U.S. locations • Now U.S. consumers can pick up their packages at more than 18,000
Slide 12: Pricing Strategy
Pricing Strategy Improving revenue quality • Focused on long-term profitable growth • Utilizing capacity for highest-yielding customers • Shipping rates for express and ground services to increase by an average of 5.9% in January 2026 • FedEx Freight shipping rates will also increase by an average o
Slide 13: Strong portfolio of residential package services
Strong portfolio of residential package services Express Home Delivery Economy • 1–3 days transit time • 1–5 days transit time* • 2–7 days transit time* • Time-definite • Day-definite • No declared value • Money Back Guarantee • Declared value up to $50K • Lighter-weight • Declared value up to $50K
Slide 14: FedEx ground revenue market share has grown to more than 30%
FedEx ground revenue market share has grown to more than 30% $110 50% $100 Revenue ($ Billions) $90 40% Market Share $80 $70 30% $60 $50 $40 20% $30 $20 10% $10 $0 0% CY98CY99CY00CY01CY02CY03CY04CY05CY06CY07CY08CY09CY10CY11CY12CY13CY14CY15CY16CY17CY18CY19CY20CY21CY22CY23CY24 FedEx Ground Revenue Fed
Slide 15: FedEx Freight
FedEx Freight Competitive Advantages • The only nationwide LTL that offers Priority and Economy services from one network • FedEx Freight has the fastest published transit times of any nationwide LTL company. • Focused on improving margins with a better balance of volume, pricing, and capacity • Fed
Slide 16: LTL industry revenue market share
LTL Industry Revenue Market Share LTL industry revenue market share 30% FedEx Yellow XPO TForce ODFL ABFS Saia 25% 20% 15% 10% 5% 0% CY04 CY05 CY06 CY07 CY08 CY09 CY10 CY11 CY12 CY13 CY14 CY15 CY16 CY17 CY18 CY19 CY20 CY21 CY22 CY23 CY24 16 Source: FedEx Analysis
Slide 17: FedEx Freight update
FedEx Freight update • Planned tax-efficient spin-off of FedEx Freight is on track for June 2026 • Submitted confidential Form 10 with SEC and request for IRS private letter ruling on tax treatment of transaction • Continued progress hiring dedicated sales team, nearly 50% complete • FedEx Freight w
Slide 18: Carbon neutral operations by 2040
Carbon neutral operations by 2040 Aircraft Vehicles Facilities Fuel conservation, fleet Route optimization, EV pickup and Renewable energy, energy modernization, and cost-effective delivery vehicles (PUDs), testing management, building efficiency sustainable aviation fuel (SAF) alternative fuels and
Slide 19: Corporate social responsibility
Corporate social responsibility Awards & recognition World’s Most Admired Companies 2025 Best Places to Work in IT 2025 FORTUNE ComputerWorld • Our 25th consecutive year we’ve been ranked among the top 20 in the FORTUNE Most Trusted Brands 2025 Most Admired Companies List Morning Consult World’s Mos
Slide 20: Consolidated operating margin
Consolidated operating margin 8.0% 7.3% 7.1% 7.0% 7.0% 6.7% 6.3% 6.0% 5.9% 6.0% 5.4% 5.0% 4.0% 3.0% 2.0% 1.0% 0.0% FY22 FY23 FY24 FY25 GAAP Adjusted 20 Non-GAAP financial measure. See Appendix for more details.
Slide 21: Earnings per share
Earnings per share $25.00 $20.61 $20.00 $18.19 $17.21 $17.80 $16.81 $15.48 $14.96 $15.00 $14.33 $10.00 $5.00 $0.00 FY22 FY23 FY24 FY25 GAAP Adjusted 21 Non-GAAP financial measure. See Appendix for more details..
Slide 22: Capital expenditures
Capital expenditures (% of Revenues) 9.0% 8.5% 8.0% 7.0% 7.2% 7.0% 6.8% 5.9% 6.0% 5.0% 4.6% 4.0% 3.0% 2.0% 1.0% 0.0% FY20 FY21 FY22 FY23 FY24 FY25 22
Slide 23: Adjusted Free Cash Flow
Adjusted Free Cash Flow $5.0 $4.7 $4.5 $4.1 $4.0 $3.9 $3.7 $3.6 $3.5 $3.0 $ Billion $2.5 $2.0 $1.5 $1.0 $0.5 $0.3 $0.0 FY20 FY21 FY22 FY23 FY24 FY25 23 Non-GAAP financial measure. See Appendix for more details.
Slide 24: Capital Returns
Capital Returns $5.0 $4.5 $4.3 $4.0 $3.8 $3.5 $3.0 $3.0 $2.7 $ Billion $2.5 $2.0 $1.5 $1.0 $0.7 $0.7 $0.5 $0.0 FY20 FY21 FY22 FY23 FY24 FY25 24 Capital Returns calculated based on dividend payments and stock repurchases
Slide 25: Appendix
Appendix 25
Slide 26: Non-GAAP financial measures
Non-GAAP financial measures FY26 EPS and ETR forecasts Our fiscal 2026 diluted earnings per share (“EPS”) forecast is a non-GAAP financial measure because it excludes fiscal 2026 mark-to- market (“MTM”) retirement plans accounting adjustments and estimated costs related to business optimization init
Slide 27: GAAP to non-GAAP reconciliations
GAAP to non-GAAP reconciliations FedEx Corporation Full Year FY25 Full Year FY24 Diluted Diluted Operating Operating Income Earnings Operating Operating Income Earnings Dollars in millions, except EPS Income Margin Taxes1 Net Income2 Per Share Income Margin Taxes1 Net Income2 Per Share GAAP measure
Slide 28: GAAP to non-GAAP reconciliations
GAAP to non-GAAP reconciliations FedEx Corporation Q1 FY26 Q1 FY25 Diluted Diluted Operating Operating Income Net Earnings Operating Operating Income Net Earnings Dollars in millions, except EPS Income Margin Taxes1 Income2 Per Share Income Margin Taxes1 Income2 Per Share GAAP measure $ 1,186 5.3 %
Slide 29: GAAP to non-GAAP reconciliations
GAAP to non-GAAP reconciliations Federal Express Segment Q1 FY26 Q1 FY25 Operating Operating Operating Dollars in millions Income Margin Income Margin GAAP measure $ 1,138 6.0 % $ 953 5.2 % Business optimization costs 21 0.1 % 43 0.2 % FedEx Freight spin-off costs 1 —% — —% Fiscal year change costs
Slide 30: GAAP to non-GAAP reconciliations
GAAP to non-GAAP reconciliations FY26 Diluted Earnings Per Share Forecast FY26 Outlook Diluted Earnings Dollars in millions, except EPS Adjustments per Share Diluted earnings per share before MTM retirement plans accounting adjustments (non-GAAP)7 $14.20 to $16.00 FedEx Freight spin-off costs $600 B
Slide 31: GAAP to non-GAAP reconciliations
GAAP to non-GAAP reconciliations FY20 - FY25 Free Cash Flow and Adjusted Free Cash Flow Dollars in millions FY20 FY21 FY22 FY23 FY24 FY25 Cash Provided by Operating Activities (GAAP) $ 5,097 $ 10,135 $ 9,832 $ 8,848 $ 8,312 $ 7,036 Capital expenditures (5,868) (5,884) (6,763) (6,174) (5,176) (4,055)
Slide 32: GAAP to non-GAAP reconciliations
GAAP to non-GAAP reconciliations FY23 Reconciliation for FedEx Corporation FY23 Diluted Operating Operating Income Earnings Dollars in millions, except EPS Income Margin Taxes1 Net Income2 Per Share3 GAAP measure $ 4,912 5.4% $ 1,391 $ 3,972 $ 15.48 MTM retirement plans — — (157) (493) (1.92) accoun
Slide 33: GAAP to non-GAAP reconciliations
GAAP to non-GAAP reconciliations FY22 Reconciliation for FedEx Corporation FY22 Diluted Operating Operating Income Earnings Dollars in millions, except EPS Income Margin Taxes1 Net Income2 Per Share3 GAAP measure $ 6,245 6.7% $ 1,070 $ 3,826 $ 14.33 Mark-to-Market Retirement — — 379 1,199 4.49 Plans
Slide 34: Footnotes for non-GAAP reconciliation slides
Footnotes for non-GAAP reconciliation slides 1. Income taxes are based on the company’s approximate statutory tax rates applicable to each transaction. 2. Effect of “total other (expense) income” on net income amount not shown. 3. The MTM retirement plans accounting adjustment reflects the year-end