What did XPO report for third quarter 2024 results?

The presentation shows third quarter 2024 revenue of $2.05 billion, up 4% year over year, operating income of $176 million, adjusted EBITDA of $333 million, and adjusted diluted EPS of $1.02. Net income was $95 million, or $0.79 per diluted share.

How is the North American LTL segment performing?

The LTL segment generated $1.25 billion of revenue and $284 million of adjusted EBITDA in the quarter, with an adjusted operating ratio of 84.2%, improved by 200 bps year over year. LTL yield excluding fuel rose 6.7% year over year, and the presentation describes this as the fourth consecutive quarter of significant year-over-year improvement in the adjusted operating ratio.

What are XPO's long-term LTL targets?

For 2021 through 2027, the company targets LTL revenue CAGR of 6% to 8%, adjusted EBITDA CAGR of 11% to 13%, and an adjusted operating ratio improvement of at least 600 bps. The presentation notes these targets are forward-looking and subject to the risks described in the cautionary statements.

What does XPO expect for full-year 2024 capital spending and interest expense?

The company expects full-year 2024 gross capex of $700 million to $800 million and interest expense of $225 million to $230 million. It also expects pension income of approximately $25 million and a diluted share count of 120 million.

Did one-time items affect the quarter's reported results?

Yes. Net income, diluted EPS, adjusted net income, adjusted EPS, and adjusted EBITDA include a $9 million gain ($7 million after tax, or $0.06 per share) on a past private company investment that was sold in the quarter. Adjusted measures also exclude items such as transaction and integration costs and restructuring costs.

XPO 8-K: Regulation FD — Oct 30, 2024

01—Abstract

Summary

Summary of the 8-K filed October 30, 2024. Cited figures are marked; the original filing is the authoritative source.

XPO, Inc. furnished an Investor Overview slide presentation dated October 30, 2024 under Item 7.01 (Regulation FD Disclosure) as Exhibit 99.1.

The presentation is intended for use in future investor presentations and is to be read together with the company's SEC filings, including its Form 10-Q for the quarter ended September 30, 2024. The information is furnished, not filed, for purposes of Section 18 of the Exchange Act. The presentation reports third quarter 2024 revenue of $2.05 billion^a, up 4% year over year, operating income of $176 million, up 14%, adjusted EBITDA of $333 million, up 20%, and adjusted diluted EPS of $1.02, up 16%.

Net income was $95 million^b, or $0.79 per diluted share. North American LTL revenue was $1.25 billion, with an adjusted operating ratio of 84.2%, improved by 200 bps year over year, and LTL yield excluding fuel up 6.7%. The presentation notes a $9 million gain on a past private company investment included in net income and adjusted results.

The company restated its LTL strategic targets for 2021 through 2027, including revenue CAGR of 6% to 8%, adjusted EBITDA CAGR of 11% to 13%, and an adjusted operating ratio improvement of at least 600 bps. Full-year 2024 expectations include gross capex of $700 million to $800 million^c, interest expense of $225 million to $230 million, and a diluted share count of 120 million.

02—Key points

Key Highlights

Q3 2024 revenue of $2.05 billion, up 4% YoY; operating income of $176 million, up 14% YoY
Adjusted EBITDA of $333 million, up 20% YoY; adjusted diluted EPS of $1.02, up 16% YoY
North American LTL adjusted operating ratio of 84.2%, improved by 200 bps YoY; LTL adjusted operating income of $198 million, up 17% YoY
LTL yield excluding fuel up 6.7% YoY; LTL damage claims ratio of 0.2%
Net income of $95 million ($0.79 diluted EPS) includes a $9 million gain ($0.06 per share) on a past private company investment
LTL growth targets for 2021 to 2027: revenue CAGR of 6% to 8%, adjusted EBITDA CAGR of 11% to 13%, adjusted operating ratio improvement of at least 600 bps
Full-year 2024 outlook: gross capex of $700 million to $800 million, interest expense of $225 million to $230 million, adjusted effective tax rate of 24.0% to 25.0%

03—Questions

Frequently Asked Questions

What did XPO report for third quarter 2024 results?
The presentation shows third quarter 2024 revenue of $2.05 billion, up 4% year over year, operating income of $176 million, adjusted EBITDA of $333 million, and adjusted diluted EPS of $1.02. Net income was $95 million, or $0.79 per diluted share.
How is the North American LTL segment performing?
The LTL segment generated $1.25 billion of revenue and $284 million of adjusted EBITDA in the quarter, with an adjusted operating ratio of 84.2%, improved by 200 bps year over year. LTL yield excluding fuel rose 6.7% year over year, and the presentation describes this as the fourth consecutive quarter of significant year-over-year improvement in the adjusted operating ratio.
What are XPO's long-term LTL targets?
For 2021 through 2027, the company targets LTL revenue CAGR of 6% to 8%, adjusted EBITDA CAGR of 11% to 13%, and an adjusted operating ratio improvement of at least 600 bps. The presentation notes these targets are forward-looking and subject to the risks described in the cautionary statements.
What does XPO expect for full-year 2024 capital spending and interest expense?
The company expects full-year 2024 gross capex of $700 million to $800 million and interest expense of $225 million to $230 million. It also expects pension income of approximately $25 million and a diluted share count of 120 million.
Did one-time items affect the quarter's reported results?
Yes. Net income, diluted EPS, adjusted net income, adjusted EPS, and adjusted EBITDA include a $9 million gain ($7 million after tax, or $0.06 per share) on a past private company investment that was sold in the quarter. Adjusted measures also exclude items such as transaction and integration costs and restructuring costs.

04—Continue

← View all 8-K filings