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BUSINESS SEGMENTS AND DISAGGREGATED REVENUE
 4 Months Ended
Sep. 30, 2026
Segment Reporting [Abstract]  
BUSINESS SEGMENTS AND DISAGGREGATED REVENUE BUSINESS SEGMENTS AND DISAGGREGATED REVENUE
FedEx has two reportable segments: Express U.S. Domestic and Express International, which together operate under Federal Express Corporation, the world’s largest express transportation company and a leading North American provider of small-package ground delivery services. Our remaining businesses are reported as Corporate, other, and eliminations.
Our Chief Executive Officer is our chief operating decision maker (“CODM”). The CODM is responsible for the company’s operating strategy, growth, and profitability and reviews financial information for our two reportable segments. The CODM uses operating income as the primary measure of segment performance because it reflects the underlying business performance and provides the CODM with a basis for making resource allocation decisions. Operating income is defined as income before other (expense) income, interest, net, and provision for income taxes. Our CODM also utilizes operating income in the annual budget and monthly forecasting processes and considers forecast-to-actual variances on a monthly basis when making resource allocation decisions. Our CODM evaluates assets and capital expenditures at a global network level. As such, these are not reviewed by segment when evaluating performance or making resource allocation decisions and are therefore not disclosed below.
Other segment items are primarily comprised of salaries and employee benefits, purchased transportation, rentals and landing fees, fuel, depreciation and amortization, maintenance and repairs, and other expenses. These items are managed on a consolidated basis and are not regularly provided to the CODM.
The U.S. Domestic segment operates combined sales, marketing, administrative, and information-technology functions in shared service operations for U.S. customers of our major business units and certain back-office support to our other operating segments which allows us to obtain synergies from the combination of these functions. We allocate the net operating costs of these services to reflect the full cost of operating our businesses in the results of those segments. We review and evaluate the performance of our other operating segments based on operating income inclusive of these allocations.
Certain FedEx operating companies provide transportation and related services for other FedEx companies outside their reportable segment in order to optimize our resources. Billings for such services are based on negotiated rates and are reflected as revenue of the billing segment. These rates are adjusted from time to time based on market conditions. Such intersegment revenue and expenses are eliminated in our consolidated results and are not separately identified in the following segment information because the amounts are not material.
The following tables present segment information for the periods ended September 30, 2026 and 2025 (in millions):
Three Months EndedFour Months Ended
September 30, 2026September 30, 2025September 30, 2026September 30, 2025
Express U.S. Domestic segment:
Revenue$14,710 $13,392 $19,748 $17,596 
Other segment items13,764 12,508 18,348 16,508 
Operating income
$946 $884 $1,400 $1,088 
Express International segment:
Revenue$7,465 $6,363 $9,994 $8,398 
Other segment items7,245 6,171 9,595 8,179 
Operating income$220 $192 $399 $219 
Reconciliation of segment operating income to income before income taxes:
Total Express U.S. Domestic and Express International operating income$1,166 $1,076 $1,799 $1,307 
Other operating loss(1)
(99)(104)(188)(178)
Operating income$1,067 $972 $1,611 $1,129 
Other (expense) income:
Gain (loss) on short-term investment(1,238)— 3,254 — 
Interest, net(66)(125)(89)(166)
Other non-operating, net661 67 860 82 
Total other (expense) income(643)(58)4,025 (84)
Income before income taxes$424 $914 $5,636 $1,045 
(1)Revenue and operating income (loss) from segments below the quantitative thresholds are attributable to operating segments contained within “Corporate, other, and eliminations.” These operating segments include FedEx Corporate, FedEx Office, FedEx Supply Chain and FedEx Dataworks.
Three Months EndedFour Months Ended
September 30, 2026September 30, 2025September 30, 2026September 30, 2025
Depreciation and amortization
Express U.S. Domestic segment$647 

$656 $863 $879 
Express International segment294 

292 392 

392 
Other depreciation and amortization(1)
26 24 35 31 
Consolidated Depreciation and Amortization$967 $972 $1,290 $1,302 
(1)Depreciation and amortization from segments below the quantitative thresholds are attributable to operating segments contained within “Corporate, other, and eliminations.” These operating segments include FedEx Corporate, FedEx Office, FedEx Supply Chain and FedEx Dataworks.

The following table presents revenue by service type for the periods ended September 30, 2026 and 2025 (in millions):
Three Months EndedFour Months Ended
September 30, 2026September 30, 2025September 30, 2026September 30, 2025
Revenue by service type
Express U.S. Domestic segment:
U.S. Package:


U.S. priority
$3,142 

$2,826 $4,199 

$3,710 
U.S. deferred
1,406 

1,302 1,887 1,708 
U.S. ground
9,545 

8,748 12,844 11,526 
Total package revenue
14,093 

12,876 18,930 16,944 
U.S. Freight
366 

315 486 409 
Other
251 

201 332 243 
Total revenue
14,710 13,392 19,748 17,596 
Express International segment:
Intl Package:
International priority
2,677 

2,325 3,595 3,049 
International economy
1,680 

1,403 2,232 1,845 
International domestic(1)
1,156 

1,166 1,561 1,547 
Total package revenue
5,513 

4,894 7,388 6,441 
Freight:
International priority
784 

588 1,045 791 
International economy
658 

538 876 714 
Total freight revenue
1,442 

1,126 1,921 1,505 
Other
510 343 685 452 
Total revenue
7,465 6,363 9,994 8,398 
Other and eliminations(2)
680 677 900 900 
Consolidated Revenue$22,855 $20,432 $30,642 $26,894 
(1)International domestic revenue relates to our intra-country operations.
(2)Includes FedEx Office, FedEx Supply Chain, and FedEx Dataworks operating segments.