XPO Logistics Inc reported a 10 percent jump in its quarterly revenue, driven by strong demand from e-commerce customers.
XPO Logistics Inc reported a 10 percent jump in its quarterly revenue, driven by strong demand from e-commerce customers. The company, which has grown through a number of deals over the last few years, also said its acquisition of trucking company Con-way in 2015 boosted its two main businesses.Sales at its logistics business, under which the company offers services such as warehousing and distribution, rose 8.6 percent to $1.38 billion in the fourth quarter ended Dec. 31.
Revenue from the company’s transportation business rose 10.8 percent to $2.33 billion. The unit includes truck brokerage and its less-than-truckload services.”The prospect of lowering taxes and decreasing government regulations is giving optimism, particularly in our less-than-truckload and truck brokerage businesses,” Chief Executive Bradley Jacobs told Reuters.
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The company sold its truckload shipping business, acquired as part of its $3 billion Con-way deal, to Canadian trucking company TransForce Inc for $558 million in October.Net income attributable to shareholders was $27.3 million, or 22 cents per share, in the latest quarter, compared with a loss of $62.8 million, or 58 cents per share, a year earlier.
Excluding items, the company earned 24 cents per share.Revenue rose to $3.68 billion from $3.34 billion.Greenwich, Connecticut-based XPO also reaffirmed its full year target for adjusted EBITDA of at least $1.35 billion for 2017 and $1.58 billion for 2018. The company’s customers include General Motors Co, Kellogg Co and Home Depot Inc among others.