Slide 1: FedEx Corporation Fiscal fourth quarter 2026 earnings
FedEx Corporation Fiscal fourth quarter 2026 earnings June 23, 2026 : ‘fie . ra N VP of Investor Relations ¥. Jeni Hollander
Slide 2: Forward-Looking Statements and Non-GAAP Financial Measures
Forward-Looking Statements and Non-GAAP Financial Measures Certain statements in this presentation 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 thro
Slide 3: Key messages
Key messages • Delivered substantial FY26 value, significantly exceeding initial outlook and generated very strong free cash flow* while serving customers with excellence • Grew revenue in premium segments while flexing the network as trade patterns evolved • Improved density and efficiency through
Slide 4: Investor Day strategy in action
Investor Day strategy in action Delivering on our commitments • Growing in high-margin verticals, with B2B shipments driving the majority of Q4 revenue growth • ~45% of eligible volume flowing through Network 2.0 facilities by end of June; on track to achieve $1 billion cost savings in CY26 • Achiev
Slide 5: FEC revenue performance
FEC revenue performance Federal Express 14% $21.6B $19.0B Q4 FY25 Q4 FY26 • FEC revenue growth driven by higher U.S. domestic and International Priority package yields and increased U.S. domestic package and international export volume • Fuel was not material driver of Q4 adjusted operating income g
Slide 6: Yield trends by service
Yield trends by service YoY yield by fiscal quarter 12% 10% 8% 6% 4% 2% 0% -2% Q4 FY25 Q1 FY26 Q2FY26 Q3FY26 Q4FY26 Federal Express U.S. Priority and Deferred Federal Express Ground Federal Express International Export 11 11 Strategic commercial priorities Small and Medium Business (SMB) • ~40% of U
Slide 7: Revenue outlook
Revenue outlook Planning for continued momentum and focused execution across the enterprise • We assume current volume and yield trends continue, supporting CY26 revenue growth of ~11%, including three percentage points for assumed fuel-price driven surcharge benefit; 10% growth in June-December tra
Slide 8: Fourth quarter fiscal 2026 financial results
Fourth quarter fiscal 2026 financial results Disciplined revenue strategies and continued cost management delivered improved profitability $25.0B $2.09B $6.31 Consolidated Adj. Operating Adj. Earnings Revenue Income* Per Share* 13% YoY 3% YoY 4% YoY $1.47B $1.4B CapEx Dividends Paid $21.6B +14% YoY
Slide 9: Capital allocation priorities CY26 outlook
Capital allocation priorities Committed to prudent capital allocation and maximizing stockholder returns $6.8B $6.2B $5.2B $4.1B $3.9B $3.8B 7.2% of 6.8% of 5.9% of 4.6% of 4.0% of revenue revenue revenue revenue revenue FY22 FY23 FY24 FY25 FY26 CY26 • Lowest CapEx intensity since FedEx Corporation
Slide 10: Illustrative CY26 FedEx Freight stranded cost mitigation bridge
Illustrative operating income bridge based on the midpoint of CY26 adjusted EPS* outlook ($2.6B) $3.7B ($0.8B) $0.1B $5.8B ($0.2B) $5.0B $0.6B CY25 Adjusted Volume, Net Yield2 Base Expense Variable Comp3 New Pilot Freight CY26 Adjusted Op. Income1* of Costs Increase Contract Stranded Operating 1-Inc
Slide 11: Additional CY26 considerations
Additional CY26 considerations • Expect revenue trends from Q4 FY26 to continue into first four months of transition period • Resegmenting our results to cover Express U.S. Domestic; Express International; and Corporate & Other • At the midpoint of our outlook, we expect the seven- month transition
Slide 12: Appendix: Upcoming IR events and disclosures
Appendix 23 23 Upcoming IR events and disclosures JUNE 25, 2026 FedEx Freight earnings call Recasted, resegmented historic financials BY MID-AUGUST 2026 for FedEx Corp. for CY24 and CY25 OCTOBER 28, 2026 FedEx Corp. earnings call 24 24 12
Slide 13: Non-GAAP financial measures
Non-GAAP financial measures Calendar 2026 Forecast and Calendar 2025 Earnings Per Share and Effective Tax Rate We have provided forecasts for calendar 2026 earnings per share and adjusted earnings per share, which are derived from calendar year 2025 preliminary recasted results from continuing opera
Slide 14: GAAP to non-GAAP reconciliations
GAAP to non-GAAP reconciliations Federal Express Segment Q4 FY26 Q4 FY25 Operating Operating Operating Operating Dollars in millions Income Margin Income Margin GAAP measure $ 1,651 7.7 % $ 1,586 8.4 % FedEx Freight spin-off costs 26 0.1 % — — % Business optimization costs 208 1.0 % 43 0.2 % Fiscal
Slide 15: GAAP to non-GAAP reconciliations
GAAP to non-GAAP reconciliations FedEx Corporation FY26 Adjusted Free Cash flow reconciliation Full Year FY26 Cash Movements Cash provided by operating activities (GAAP) $ 8,925 -Capital expenditures (3,809) + Proceeds from asset dispositions 97 Free cash flow (non-GAAP) 5,213 + Voluntary contributi
Slide 16: GAAP to non-GAAP reconciliations
GAAP to non-GAAP reconciliations CY25 Actuals CY25 Diluted Earnings Per Share Diluted Earnings Dollars in millions, except EPS Adjustments per Share Diluted earnings per share before MTM retirement plans accounting adjustments (non-GAAP)8 $14.80 Business optimization costs 344 Fiscal year change cos
Slide 17: GAAP to non-GAAP reconciliations
GAAP to non-GAAP reconciliations TY25 Actuals TY25 Diluted Earnings Per Share Diluted Earnings Dollars in millions, except EPS Adjustments per Share Diluted earnings per share before MTM retirement plans accounting adjustments (non-GAAP)8 $9.10 Business optimization costs 100 Fiscal year change cost