FedEx Corp. (NYSE: FDX) is the conglomerate holding company for the collection of time-definite delivery services offered under the “FedEx” brand. The company is the second-largest parcel delivery service provider in its domestic US market with around 33% revenue. It was originally formed in 1971 and expanded domestically in the US and later internationally. Its most notable acquisition was that of TNT Express in 2016, significantly expanding its footprint across international markets. FedEx generated USD 90 billion in revenue in FY2023 (ending May 31).
FedEx operates through three core segments and two support segments. The FedEx Express segment (47% of FY2023 revenue) provides a range of time-sensitive domestic and international deliveries of packages and freight to business and individual clients, including overnight delivery and delivery within one to three days. It also includes international freight and delivery of items requiring added handling care. The FedEx Ground segment (37%) provides low-cost delivery options for packages up to 150 lbs in the US and Canada. FedEx Freight (11%) focuses on less-than-truckload (LTL) freight services across North America (the US and Canada). Meanwhile, FedEx Services and Corporate and other segments offer back-office and support services.
FedEx's largest market is the US (72% of its FY2023 revenue), with international markets accounting for the remaining 28%. In April 2023, the company announced a restructuring to consolidate its various businesses into a unified, integrated air-ground network under the FedEx banner. The company expects to conclude this initiative by June 2024, which is expected to unlock up to USD 6 billion in cost savings by 2027. It also plans to achieve carbon-neutral status by 2040, aided by its fleet modernization and electrification initiatives.
By using this site, you agree to allow SPEEDA Edge and our partners to use cookies for analytics and personalization. Visit our privacy policy for more information about our data collection practices.