FedEx Corporation (FDX)
Return on assets (ROA)
| May 31, 2025 | Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 4,092,000 | 3,918,000 | 3,888,000 | 4,047,000 | 4,331,000 | 4,395,000 | 4,287,000 | 4,175,000 | 3,972,000 | 2,992,000 | 3,333,000 | 3,589,000 | 3,826,000 | 5,136,000 | 4,916,000 | 5,098,000 | 5,231,000 | 3,029,000 | 2,452,000 | 1,786,000 |
| Total assets | US$ in thousands | 129,102,000 | 85,043,000 | 85,481,000 | 86,711,000 | 87,007,000 | 86,114,000 | 88,051,000 | 87,576,000 | 87,110,000 | 85,775,000 | 85,591,000 | 85,826,000 | 85,994,000 | 84,108,000 | 84,247,000 | 82,048,000 | 82,777,000 | 82,793,000 | 81,156,000 | 77,648,000 |
| ROA | 3.17% | 4.61% | 4.55% | 4.67% | 4.98% | 5.10% | 4.87% | 4.77% | 4.56% | 3.49% | 3.89% | 4.18% | 4.45% | 6.11% | 5.84% | 6.21% | 6.32% | 3.66% | 3.02% | 2.30% |
May 31, 2025 calculation
ROA = Net income (ttm) ÷ Total assets
= $4,092,000K ÷ $129,102,000K
= 3.17%
The analysis of FedEx Corporation's return on assets (ROA) over the specified period reveals notable fluctuations and underlying trends. Starting from August 2020, the ROA was 2.30%, indicating relatively low profitability relative to total assets during that time. Subsequently, a marked improvement was observed, reaching a peak of 6.32% in May 2021, which likely reflects enhanced operational efficiency or favorable market conditions during that period.
Following this peak, the ROA experienced a slight decline to 6.21% in August 2021 and continued to decrease gradually to 5.84% in November 2021 and then to 6.11% in February 2022. Despite these declines, the ROA remained above the 4.4% threshold through most of 2022, with values such as 4.45% in May 2022 and 4.18% in August 2022, indicating moderate profitability levels.
A more pronounced downward trend emerged in late 2022, with the ROA falling to 3.89% in November 2022 and further decreasing to 3.49% by February 2023. Nonetheless, starting from May 2023, there was an upward recovery, with the ROA rising to 4.56% in May 2023, reaching 4.77% in August 2023, and slightly increasing to 4.87% in November 2023. The most recent data point, February 29, 2024, shows a continued improvement at 5.10%.
Looking forward into 2024 and 2025, the ROA exhibits some variability, with values such as 4.98% in May 2024, followed by a slight decrease to 4.67% in August 2024 and 4.55% in November 2024. The data indicates a marginal decline to 4.61% in February 2025, before a sharp drop to 3.17% in May 2025.
Overall, FedEx's ROA demonstrates periods of significant growth, peaking in mid-2021, followed by periods of decline and subsequent recovery. The fluctuations could be attributable to changing market conditions, operational adjustments, or strategic initiatives impacting profitability relative to total assets. The recent trend suggests a partial recovery from earlier lows, though the forthcoming data indicates potential volatility and the need for continued analysis to understand underlying drivers.