• ITVI.USA
    12,549.870
    42.280
    0.3%
  • OTLT.USA
    2.858
    0.002
    0.1%
  • OTRI.USA
    8.400
    -0.060
    -0.7%
  • OTVI.USA
    12,606.440
    42.640
    0.3%
  • TSTOPVRPM.ATLPHL
    2.780
    -0.050
    -1.8%
  • TSTOPVRPM.CHIATL
    2.390
    -0.270
    -10.2%
  • TSTOPVRPM.DALLAX
    1.800
    -0.040
    -2.2%
  • TSTOPVRPM.LAXDAL
    2.160
    -0.030
    -1.4%
  • TSTOPVRPM.PHLCHI
    1.990
    -0.020
    -1%
  • TSTOPVRPM.LAXSEA
    2.880
    -0.060
    -2%
  • WAIT.USA
    125.000
    6.000
    5%
  • ITVI.USA
    12,549.870
    42.280
    0.3%
  • OTLT.USA
    2.858
    0.002
    0.1%
  • OTRI.USA
    8.400
    -0.060
    -0.7%
  • OTVI.USA
    12,606.440
    42.640
    0.3%
  • TSTOPVRPM.ATLPHL
    2.780
    -0.050
    -1.8%
  • TSTOPVRPM.CHIATL
    2.390
    -0.270
    -10.2%
  • TSTOPVRPM.DALLAX
    1.800
    -0.040
    -2.2%
  • TSTOPVRPM.LAXDAL
    2.160
    -0.030
    -1.4%
  • TSTOPVRPM.PHLCHI
    1.990
    -0.020
    -1%
  • TSTOPVRPM.LAXSEA
    2.880
    -0.060
    -2%
  • WAIT.USA
    125.000
    6.000
    5%
Company earningsE-commerce & FulfillmentLogisticsLogistics/Supply ChainsModern ShipperNewsTop StoriesWarehouse

GXO beats Q1 estimates, raises full-year guidance

Contract logistics firm guides higher on revenue, expects significant EPS growth

Contract logistics provider GXO Logistics Inc. reported better-than-expected first-quarter results late Wednesday and raised revenue and income guidance for its first full year of operations.

The Greenwich, Connecticut-based company (NYSE: GXO), which was spun off by XPO Logistics Inc. (NYSE: XPO) last summer, reported 59 cents per share in adjusted diluted earnings, above consensus estimates of 50 to 52 cents per share and well above the 37 cents per share in the 2021 quarter, when it was still part of XPO. 

Adjusted net income hit $68 million, up from $42 million in the year-earlier quarter. Revenue rose 14% to just under $2.1 billion.

For the year, GXO said it expects adjusted diluted earnings per share to fall within a range of $2.70 to $2.90. The guidance translates into EPS growth of between 29% and 39%, GXO said. Revenue will grow by 11% to 15%, up from the prior range of 8% to 12%, the company said.

GXO said that its 2022 targets exclude the impact of its proposed $1.3 billion cash and stock acquisition of U.K. firm Clipper Logistics plc.

GXO shares, which traded 3% higher during the regular Wednesday session, rose more than 4.5% in the first hour of after-hours trading. Shares traded as high as $105 in mid-November but had recently fallen into the high-$50-a-share range.

Malcolm Wilson, GXO’s CEO, said the company experienced solid volume growth across all of its vertical industries during the quarter. GXO also benefited from what Wilson called “accelerated demand for first-time outsourcing, especially from e-commerce and omnichannel customers.”

More than half of GXO’s first-quarter revenue came from the e-commerce, omnichannel retail and consumer technology vertical. Geographically, most of its revenue came from the U.S. and the U.K.

The FREIGHTWAVES TOP 500 For-Hire Carriers list includes XPO Logistics (No. 8).

Mark Solomon

Formerly the Executive Editor at DC Velocity, Mark Solomon joined FreightWaves as Managing Editor of Freight Markets. Solomon began his journalistic career in 1982 at Traffic World magazine, ran his own public relations firm (Media Based Solutions) from 1994 to 2008, and has been at DC Velocity since then. Over the course of his career, Solomon has covered nearly the whole gamut of the transportation and logistics industry, including trucking, railroads, maritime, 3PLs, and regulatory issues. Solomon witnessed and narrated the rise of Amazon and XPO Logistics and the shift of the U.S. Postal Service from a mail-focused service to parcel, as well as the exponential, e-commerce-driven growth of warehouse square footage and omnichannel fulfillment.