Welcome to our dedicated page for XPO news (Ticker: XPO), a resource for investors and traders seeking the latest updates and insights on XPO stock.
XPO, Inc. (NYSE: XPO) is a leading provider of asset-based less-than-truckload (LTL) freight transportation in North America. Headquartered in Greenwich, Connecticut, XPO efficiently moves goods across its network using proprietary technology. The company serves approximately 52,000 customers with a vast network of 610 locations and 39,000 employees across North America and Europe.
XPO is rapidly evolving, particularly following the spinoff of its contract logistics division, GXO, in 2021, and its freight brokerage operations, RXO, in 2022. Today, XPO is focused on becoming a pure-play asset-based LTL carrier, with LTL shipping making up around 60% of total revenue. The company also has significant involvement in European trucking, which they plan to divest when the right opportunity arises.
Recent achievements include strong financial performance in a challenging market, highlighted by a 6% year-over-year revenue growth and a 37% increase in adjusted EBITDA for Q1 2024. XPO's LTL segment outperformed with a 50% increase in adjusted operating income and a 390-basis-point improvement in adjusted operating ratio. Notably, the company continues to achieve record-low damage claims ratios, reflecting their commitment to quality service.
XPO has been proactive in expanding its footprint, opening multiple new freight transportation centers, such as in Las Vegas and Sherman, Texas. These expansions are geared towards enhancing service quality, increasing capacity, and providing specialized services such as trade show shipping.
In addition to its operational success, XPO is dedicated to corporate responsibility. The company recently extended its partnership with Truckers Against Trafficking, training nearly 5,000 drivers to combat human trafficking. This initiative underscores XPO's commitment to safety and community welfare.
With a strong foundation, innovative technology, and a customer-focused approach, XPO continues to solidify its position as a leader in the LTL transportation sector.
XPO Logistics, Inc. (NYSE: XPO) anticipates third quarter 2022 revenue of approximately $3.04 billion and operating income between $181 million to $185 million. The company estimates adjusted EBITDA to be $348 million to $352 million. Key highlights include a 7% increase in revenue per hundredweight in its North American LTL segment and an expected operating ratio of 85.1%. The planned spin-off of RXO on November 1, 2022, aims for long-term adjusted EBITDA growth at 11% to 13% CAGR. A conference call will occur on October 31, 2022.
XPO Logistics (NYSE: XPO) announced the appointment of Jason Kerr as the chief accounting officer for RXO, its planned spin-off of the brokered transportation platform, effective immediately. Kerr brings over two decades of experience, having previously served as chief accounting officer at BWX Technologies. The spin-off is expected to complete on November 1, 2022, and RXO will trade under the symbol 'RXO'. XPO anticipates RXO will be the fourth largest truckload broker in the U.S., unlocking significant value for stakeholders.
XPO Logistics announced a $355 million note offering set to close around October 25, 2022. The notes, maturing in 2027 with a 7.5% interest rate, will be used for cash distribution to XPO, fund spin-off expenses, and provide working capital for RXO, XPO's wholly owned subsidiary. The spin-off will create RXO as an independent company on November 1, 2022, positioning it as one of the largest freight brokers in the U.S.
XPO Logistics announced the launch of an offering of notes due 2027 by its subsidiary RXO in connection with RXO's spin-off into an independent public company. The notes will be issued by XPO Escrow Sub, LLC, and will become RXO's direct obligations after the merger. Offered exclusively to qualified institutional buyers, the notes will not be registered under the Securities Act. The spin-off is poised to create RXO, which will rank as the fourth largest broker of full truckload freight transportation in the U.S., enhancing XPO's financial prospects.
XPO Logistics, Inc. has appointed Carl Anderson as their new chief financial officer, effective November 8, 2022. He succeeds Ravi Tulsyan, who will assist in the transition. Anderson brings over 25 years of experience in the transportation sector, previously serving as CFO of Meritor, Inc. CEO Brad Jacobs highlighted Anderson's valuable experience in B2B finance and the commercial vehicle sector, which aligns with XPO's operations. Tulsyan played a critical role during the transition to GXO and RXO.
XPO Logistics announced the finalization of its board of directors post-spin-off of its subsidiary, RXO. This spin-off will create two distinct companies, with RXO positioned as the fourth largest full truckload freight broker in the U.S. Trading of RXO shares is set to begin on November 1, 2022. XPO's new board includes independent directors, with Brad Jacobs continuing as executive chairman and Mario Harik assuming the role of CEO after the separation. Shareholders will receive 1 RXO share for every XPO share held as of October 20, 2022.
XPO Logistics, based in Greenwich, Conn., will hold its third quarter conference call on October 31, 2022, at 8:30 AM ET. The results will be released earlier that morning and can be accessed on www.xpo.com. Investors can join the call via a toll-free number or listen to a live webcast at www.xpo.com/investors. A replay will be available until December 1, 2022. XPO, a leader in freight transportation services with approximately 749 locations and serving 50,000 shippers globally, utilizes proprietary technology to optimize supply chain efficiency.
XPO Logistics announced that Heidi Ratti will be the chief human resources officer of RXO, which is the planned spin-off of its tech-enabled brokered transportation platform. Ratti, currently senior VP of HR for XPO’s North American less-than-truckload business, brings over 16 years of HR experience in transportation. The spin-off, expected in Q4 2022, aims to create RXO as a major player in full truckload freight, leveraging a proprietary digital freight marketplace. The spin-off's success hinges on several conditions, including board approval and regulatory requirements.
XPO Logistics (NYSE: XPO) has filed a Form 10 registration statement with the U.S. SEC for the spin-off of RXO, its tech-enabled brokered transportation platform, slated for Q4 2022. RXO is expected to become the fourth largest truckload broker in the U.S., while XPO will focus on less-than-truckload services in North America and divest its European operations. Financial advisors BofA Securities, Goldman Sachs, and Morgan Stanley are assisting in the spin-off process. The transaction is subject to several conditions including SEC approval and debt financing for RXO.
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