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FedEx FDX Operating margin

Operating margin at other companies

Old Dominion Freight Line logo
Old Dominion Freight LineODFL
24.6%-1.5pp
Amazon logo
AmazonAMZN
11.5%+0.5pp
United Parcel Service, Inc. logo
United Parcel Service, Inc.UPS
8.5%-0.9pp
XPO
XPOXPO
8.2%-0.2pp
Expeditors International of Washington logo
Expeditors International of WashingtonEXPD
9.7%-0.2pp
JB Hunt Transport Services logo
JB Hunt Transport ServicesJBHT
7.4%+0.6pp

Other financials

Income statement

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Revenue$24.0B+8.3%
Operating income$1.3B+4.3%
Net income$1.1B+16.2%
EPS (diluted)$4.41+17.3%

Balance sheet

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Cash & equivalents$8.0B+56.0%
Total debt$43.2B+14.9%
Total equity$29.8B+11.6%
Total assets$94.7B+11.4%

Cash flow

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Operating cash flow$2.0B-0.9%
CapEx$955.0M-4.2%
Free cash flow$1.0B+2.3%

Valuation

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Market cap$77.77B+43.7%
Enterprise value$112.96B+31.7%
P/E17.3×+3.5×
P/S0.9×+0.2×

Profitability

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Gross margin76%
Net margin4.9%+0.4pp

Returns & leverage

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Return on equity15.9%+1.1pp
Debt / equity1.4×0.0×
Current ratio1.5×+0.2×

Where this comes from

Calculated from FedEx’s reported figures.

Based on trailing twelve months.

The official record: FedEx’s 10-Q, filed March 19, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is FedEx's operating margin?
FedEx (FDX) reported operating margin of 6.2% in Q4 2025.
How has FedEx's operating margin changed year-over-year?
FedEx's operating margin increased by 9.4% year-over-year, from 5.7% to 6.2%.
What is the long-term trend for FedEx's operating margin?
Over 4 years (2021 to 2025), FedEx's operating margin has grown at a 1.0% compound annual growth rate (CAGR), from 22.2% to 23.1%.
What does operating margin mean?
The profit left from core operations for every dollar of sales, before interest and taxes.
How do you interpret operating margin?
Expanding operating margin shows operating leverage — revenue growing faster than the cost base. Compression points to rising overhead, pricing pressure, or investment ahead of revenue.
How does operating margin compare across companies?
Strong cross-company signal within a sector. Capital-light businesses sustain higher operating margins than capital-intensive ones.