Summary
This 10-K filing for FedEx Corporation, covering the fiscal year ending May 31, 2019, highlights the company's robust strategy focused on leveraging its integrated global transportation, e-commerce, and business services portfolio. FedEx operates under a 'compete collectively, operate independently, manage collaboratively' model, aiming for long-term enterprise value by making strategic investments across its segments, including FedEx Express, FedEx Ground, and FedEx Freight. The company is actively investing in modernizing its fleet, expanding its ground operations to meet e-commerce demand, and integrating acquired businesses like TNT Express. Key initiatives detailed include expanding FedEx Ground's operations to a six-day week with a move to seven-day residential delivery, significant IT transitions to cloud-based systems, and continued investment in technology such as the development of the FedEx SameDay Bot. FedEx also emphasizes its commitment to corporate responsibility, its people, and the environment, as evidenced by numerous reputation awards, community engagement programs, and environmental sustainability goals, including fleet modernization for improved fuel efficiency. The filing also outlines ongoing integration efforts with TNT Express and addresses regulatory environments and potential risks.
Financial Highlights
50 data points| Revenue | $69.69B |
| Cost of Revenue | $16.65B |
| Gross Profit | $53.04B |
| Operating Expenses | $65.23B |
| Operating Income | $4.47B |
| Interest Expense | $588.00M |
| Net Income | $540.00M |
| EPS (Basic) | $2.06 |
| EPS (Diluted) | $2.03 |
| Shares Outstanding (Basic) | 262.00M |
| Shares Outstanding (Diluted) | 265.00M |
Key Highlights
- 1FedEx continues to execute its 'compete collectively, operate independently, manage collaboratively' strategy to optimize long-term returns on capital.
- 2Significant investments are being made to expand FedEx Ground's capacity and efficiency, including a move to seven-day residential delivery, to capitalize on e-commerce growth.
- 3The integration of TNT Express is progressing, with key milestones achieved in combining networks and sales forces, although European integration remains complex.
- 4The company is modernizing its aircraft fleet with more fuel-efficient models and investing in new sort systems and automation across its hubs to enhance operations.
- 5FedEx is undergoing a major information technology transition from mainframe to cloud-based systems to improve flexibility, security, and speed to market.
- 6The company is committed to corporate responsibility, employee well-being, and environmental sustainability, with ongoing initiatives in these areas.
- 7FedEx is actively expanding its retail presence through partnerships with companies like Walgreens and Walmart to increase customer accessibility.