XPO Logistics Announces Second Quarter 2017 Results
(Thomson Reuters ONE) -
Reports record quarterly revenue, net income and adjusted EBITDA
Closes $1.43 billion of new business in the first six months, up 62% year-over-
year
Raises full year 2017 and 2018 EBITDA guidance
GREENWICH, Conn. - August 2, 2017 - XPO Logistics, Inc. (NYSE: XPO) today
announced financial results for the second quarter 2017. Revenue was $3.76
billion for the quarter, compared with $3.68 billion for the same period in
2016. Revenue increased year-over-year by $210.4 million, excluding the second
quarter 2016 revenue from the North American truckload unit divested in October
2016. Net income attributable to common shareholders was $47.6 million for the
quarter, or earnings of $0.38 per diluted share, compared with net income
attributable to common shareholders of $42.6 million, or earnings of $0.35 per
diluted share, for the same period in 2016.
Adjusted net income attributable to common shareholders, a non-GAAP financial
measure, was $75.0 million, or adjusted earnings of $0.60 per diluted share for
the second quarter of 2017. This compares with adjusted net income attributable
to common shareholders of $50.4 million, or adjusted earnings of $0.42 per
diluted share, for the same period in 2016. The adjusted net income attributable
to common shareholders for the second quarter 2017 excludes: $19.9 million, or
$12.8 million after-tax, of integration and rebranding costs; $27.2 million, or
$17.6 million after-tax, from non-cash unrealized losses on foreign currency
contracts; and a loss on the conversion of convertible notes of $0.4 million, or
$0.3 million net of tax. Reconciliations of non-GAAP financial measures used in
this release are provided in the attached financial tables.
Adjusted earnings before interest, taxes, depreciation and amortization
("adjusted EBITDA"), a non-GAAP financial measure, improved to $370.8 million
for the quarter, excluding $19.9 million of integration and rebranding costs.
This compares with $354.9 million of adjusted EBITDA for the same period in
2016, which included the North American truckload unit.
The company generated $216.0 million of cash flow from operations and $98.1
million of free cash flow in the quarter.
Raises Financial Guidance
The company raised its full year targets for adjusted EBITDA to at least $1.365
billion in 2017 and at least $1.6 billion in 2018.
The company reaffirmed its 2017-2018 cumulative free cash flow target of
approximately $900 million, including at least $350 million of free cash flow
generated in 2017.
CEO Comments
Bradley Jacobs, chairman and chief executive officer of XPO Logistics, said,
"Our strong start to the year accelerated in the second quarter, with record
results for revenue, net income and adjusted EBITDA. The most notable growth
came in last mile and contract logistics - two fast-growing parts of the supply
chain where we hold leading positions in e-commerce. Importantly, we're
continuing to grow adjusted EBITDA faster than revenue in both transportation
and logistics. In North American less-than-truckload, we increased volume while
improving the adjusted operating ratio to 84.6%. This is the best quarterly
adjusted operating ratio for our LTL business in at least two decades."
Jacobs continued, "The investments we're making in sales and technology have
already yielded a record $1.43 billion of new business through June, which is
62% higher than last year. Our global pipeline stands at over $3.3 billion, our
cost initiatives have substantial runway, and the operating environment is
favorable. Given these strong fundamentals, we raised our two-year guidance. Our
new targets are for adjusted EBITDA of at least $1.365 billion in 2017 and $1.6
billion in 2018."
Second Quarter 2017 Results by Segment
* Transportation: The company's transportation segment generated revenue
of $2.41 billion in the quarter. This compares with $2.42 billion for the
same period in 2016, which included $133.4 million of revenue from the North
American truckload unit divested on October 27, 2016. Segment revenue was
led by increases in truck brokerage and last mile, partially offset by a
decrease in global forwarding revenue and unfavorable foreign exchange
rates.
Operating income for the transportation segment increased to $160.0 million in
the quarter, compared with $153.2 million a year ago. Adjusted EBITDA for the
segment was $282.7 million. This compares with $275.7 million a year ago, which
included the truckload unit. The increases in operating income and adjusted
EBITDA were primarily due to an improvement in adjusted operating ratio in the
North American less-than-truckload unit, to 84.6%, partially offset by higher
purchased transportation costs in truck brokerage and intermodal.
* Logistics: The company's logistics segment generated revenue of $1.40
billion for the quarter, compared with $1.33 billion for the same period in
2016. The year-over-year increase in revenue was primarily due to strong
demand for contract logistics in both Europe and North America, partially
offset by a decline in managed transportation revenue and unfavorable
foreign exchange rates. In Europe, contract logistics growth was led by e-
commerce and cold chain contracts in the UK and the Netherlands. In North
America, the largest gains came from the e-commerce and industrial sectors.
Operating income for the logistics segment increased to $64.3 million, compared
with $51.1 million a year ago. Adjusted EBITDA for the segment improved to
$123.0 million, compared with $106.9 million a year ago. The increases in
operating income and adjusted EBITDA were primarily due to revenue growth,
productivity improvements and SG&A cost reduction.
* Corporate: Corporate SG&A expense was $39.3 million for the quarter,
compared with $34.0 million for the same period in 2016. The increase in
corporate expense primarily reflects an increase in share-based compensation
expense tied to the increase in the share price of XPO stock.
Six Months 2017 Financial Results
For the six months ended June 30, 2017, the company reported total revenue of
$7.3 billion, a 1.0% increase from the same period in 2016. Revenue increased
year-over-year by $333.0 million, excluding the six-month 2016 revenue from the
North American truckload unit divested in October 2016. Net income attributable
to common shareholders was $67.1 million, or $0.54 per diluted share, for the
first six months of 2017, compared with $22.0 million, or $0.19 per diluted
share, for the same period in 2016.
Adjusted net income attributable to common shareholders, a non-GAAP measure, was
$112.6 million, or $0.90 per diluted share for the first six months of 2017,
excluding the items detailed below. This compares with adjusted net income
attributable to common shareholders of $42.1 million, or $0.35 per diluted
share, for the same period in 2016. Adjusted net income for the first six months
of 2017 excludes $40.9 million, or $26.1 million after-tax, of one-time
integration and rebranding costs; $39.1 million, or $25.0 million after-tax,
from non-cash unrealized losses on foreign currency contracts; $9.0 million, or
$5.7 million after-tax, of debt extinguishment costs related to the refinancing
of an existing term loan; and a loss of $0.4 million, or $0.3 million after-tax,
on the conversion of convertible notes.
Adjusted EBITDA for the first six months of 2017, a non-GAAP measure, improved
to $660.8 million, compared with $604.2 million for the same period in 2016,
which included the North American truckload unit. Adjusted EBITDA for the first
six months of 2017 excludes $40.9 million of one-time integration and rebranding
costs.
Completion of Common Share Offering
On July 25, 2017, the company completed a public offering of 11,000,000 shares
of its common stock at $60.50 per share. Of the 11,000,000 shares, 5,000,000
were sold directly by XPO to the underwriters at closing, and 6,000,000 are
subject to forward sale agreements.
Conference Call
The company will hold a conference call on Thursday, August 3, 2017, at 8:30
a.m. Eastern Time. Participants can call toll-free (from U.S./Canada)
1-877-269-7756; international callers dial +1-201-689-7817. A live webcast of
the conference will be available on the investor relations area of the company's
website, www.xpo.com/investors. The conference will be archived until September
3, 2017. To access the replay by phone, call US +1-201-612-7415. Use participant
passcode 13665089.
About XPO Logistics
XPO Logistics, Inc. (NYSE: XPO) is a top ten global logistics provider of
cutting-edge supply chain solutions to the most successful companies in the
world. The company operates as a highly integrated network of people, technology
and physical assets in 31 countries, with over 90,000 employees and 1,435
locations. XPO uses its network to help more than 50,000 customers manage their
goods more efficiently throughout their supply chains. The company has two
reporting segments: transportation and logistics, and within these segments, its
business is well diversified by geographies, verticals and types of service.
XPO's corporate headquarters is in Greenwich, Conn., USA, and its European
headquarters is in Lyon, France. www.xpo.com
Non-GAAP Financial Measures
This document contains certain non-GAAP financial measures as defined under the
rules of the Securities and Exchange Commission ("SEC"), including earnings
before interest, taxes, depreciation and amortization ("EBITDA") and adjusted
EBITDA for the three and six-month periods ended June 30, 2016, and June
30, 2017, on a consolidated basis and for our transportation and logistics
segments; free cash flow for the three and six-month periods ended June
30, 2016 and June 30, 2017; adjusted net income attributable to common
shareholders and adjusted earnings per share (basic and diluted) ("adjusted
EPS") for the three and six-month periods ended June 30, 2016, and June
30, 2017; net revenue for the three and six-month periods ended June 30, 2016
and June 30, 2017 for our transportation and logistics segments; and adjusted
operating income for our North American less-than-truckload business for the
three and six-month periods ended June 30, 2016 and June 30, 2017.
We believe that the above adjusted financial measures facilitate analysis of our
ongoing business operations because they exclude items that may not be
reflective of, or are unrelated to, XPO and its business segments' core
operating performance, and may assist investors with comparisons to prior
periods and assessing trends in our underlying businesses. In particular,
adjusted EBITDA, adjusted net income and adjusted EPS include adjustments for
acquisition costs and related integration, transformation and rebranding
initiatives as well as other adjustments that management has determined are not
reflective of its business segments' core operating activities. Transaction and
integration adjustments are generally incremental costs that result from an
acquisition and include transaction costs, restructuring costs, acquisition and
integration consulting fees, internal salaries and wages (to the extent the
individuals are assigned full-time to integration and transformation activities)
and certain costs related to integrating and converging IT systems. Rebranding
adjustments relate primarily to the rebranding of the XPO Logistics name on our
truck fleet and buildings. These adjustments are consistent with how management
views our businesses. Management uses these non-GAAP financial measures in
making financial, operating and planning decisions and evaluating XPO's and each
business segment's ongoing performance.
Accordingly, we believe that free cash flow is an important measure of our
ability to repay maturing debt or fund other uses of capital that we believe
will enhance stockholder value. We believe that EBITDA and adjusted EBITDA
improve comparability from period to period by removing the impact of our
capital structure (interest and financing expenses), asset base (depreciation
and amortization), tax impacts and other adjustments as set out in the attached
tables that management has determined are not reflective of normalized operating
activities.
We believe that adjusted net income attributable to common shareholders and
adjusted EPS improve the comparability of our operating results from period to
period by removing the impact of certain costs and gains that management has
determined are not reflective of our core operating activities. We believe that
net revenue improves the comparability of our operating results from period to
period by removing the cost of transportation and services, in particular the
cost of fuel, incurred in the reporting period as set out in the attached
tables. We believe that adjusted operating income for our North American less-
than-truckload business improves the comparability of our operating results from
period to period by removing the impact of certain transaction, integration and
rebranding costs and amortization and depreciation expenses incurred in the
reporting period as set out in the attached tables.
Other companies may calculate EBITDA and adjusted EBITDA differently, and
therefore our measure may not be comparable to similarly titled measures of
other companies. Free cash flow, EBITDA, adjusted EBITDA, adjusted net income
attributable to common shareholders, adjusted EPS, net revenue and adjusted
operating income for our North American less-than-truckload business are not
measures of financial performance or liquidity under GAAP and should not be
considered in isolation or as an alternative to revenue, net income, operating
income for our North American less-than-truckload business, cash flows provided
(used) by operating activities and other measures determined in accordance with
GAAP. Items excluded from EBITDA and adjusted EBITDA are significant and
necessary components of the operations of our business, and, therefore, EBITDA
and adjusted EBITDA should only be used as a supplemental measure of our
operating performance.
As required by SEC rules, we provide reconciliations of these historical
measures to the most directly comparable measure under United States generally
accepted accounting principles ("GAAP"), which are set forth in the financial
tables attached to this document. With respect to our 2017 and 2018 financial
targets of adjusted EBITDA and our 2017 and 2017-2018 cumulative targets for
free cash flow, each of which is a non-GAAP measure, a reconciliation of the
non-GAAP measure to the corresponding GAAP measure is not available without
unreasonable effort due to the variability and complexity of the reconciling
items described below that we exclude from the non-GAAP target measure. The
variability of these items may have a significant impact on our future GAAP
financial results and, as a result, we are unable to prepare the forward-looking
balance sheet, statement of income and statement of cash flow, prepared in
accordance with GAAP that would be required to produce such a reconciliation.
Forward-looking Statements
This document includes forward-looking statements within the meaning of Section
27A of the Securities Act of 1933, as amended, and Section 21E of the Securities
Exchange Act of 1934, as amended, including our financial targets. All
statements other than statements of historical fact are, or may be deemed to be,
forward-looking statements. In some cases, forward-looking statements can be
identified by the use of forward-looking terms such as "anticipate," "estimate,"
"believe," "continue," "could," "intend," "may," "plan," "potential," "predict,"
"should," "will," "expect," "objective," "projection," "forecast," "goal,"
"guidance," "outlook," "effort," "target," "trajectory" or the negative of these
terms or other comparable terms. However, the absence of these words does not
mean that the statements are not forward-looking. These forward-looking
statements are based on certain assumptions and analyses made by us in light of
our experience and our perception of historical trends, current conditions and
expected future developments, as well as other factors we believe are
appropriate in the circumstances.
These forward-looking statements are subject to known and unknown risks,
uncertainties and assumptions that may cause actual results, levels of activity,
performance or achievements to be materially different from any future results,
levels of activity, performance or achievements expressed or implied by such
forward-looking statements. Factors that might cause or contribute to a material
difference include the risks discussed in our filings with the SEC and the
following: economic conditions generally; competition and pricing pressures; our
ability to align our investments in capital assets, including equipment, service
centers and warehouses, to our customers' demands; our ability to successfully
integrate and realize anticipated synergies, cost savings and profit improvement
opportunities with respect to acquired companies; our ability to develop and
implement suitable information technology systems and prevent failures in or
breaches of such systems; our substantial indebtedness; our ability to raise
debt and equity capital; our ability to maintain positive relationships with our
network of third-party transportation providers; our ability to attract and
retain qualified drivers; litigation, including litigation related to alleged
misclassification of independent contractors; labor matters, including our
ability to manage our subcontractors, and risks associated with labor disputes
at our customers and efforts by labor organizations to organize our employees;
risks associated with our self-insured claims; risks associated with defined
benefit plans for our current and former employees; fluctuations in currency
exchange rates; fluctuations in fixed and floating interest rates; our ability
to execute our growth strategy through acquisitions; fuel price and fuel
surcharge changes; issues related to our intellectual property rights;
governmental regulation, including trade compliance laws; and governmental or
political actions, including the United Kingdom's likely exit from the European
Union. All forward-looking statements set forth in this document are qualified
by these cautionary statements and there can be no assurance that the actual
results or developments anticipated by us will be realized or, even if
substantially realized, that they will have the expected consequences to or
effects on us or our business or operations. Forward-looking statements set
forth in this document speak only as of the date hereof, and we do not undertake
any obligation to update forward-looking statements to reflect subsequent events
or circumstances, changes in expectations or the occurrence of unanticipated
events, except to the extent required by law.
Investor Contact:
XPO Logistics, Inc.
Tavio Headley, +1-203-930-1602
tavio.headley(at)xpo.com
Media Contact:
XPO Logistics, Inc.
Erin Kurtz, +1-203-489-1586
erin.kurtz(at)xpo.com
XPO Logistics, Inc.
Condensed Consolidated Statements of Operations
(Unaudited)
(In millions, except per share data)
Three Months Ended Six Months Ended
June 30, June 30,
------------------------------- --------------------------
2017 2016 2017 2016
---------------- -------------- ------------- ------------
Revenue $ 3,760.3 $ 3,683.3 $ 7,299.8 $ 7,229.0
Operating expenses
Cost of
transportation and
services 1,969.6 1,973.3 3,856.9 3,918.4
Direct operating
expense 1,194.2 1,130.2 2,331.9 2,236.4
Sales, general and
administrative
expense 411.5 409.5 812.4 841.5
---------------- -------------- ------------- ------------
Total operating
expenses 3,575.3 3,513.0 7,001.2 6,996.3
---------------- -------------- ------------- ------------
Operating income 185.0 170.3 298.6 232.7
---------------- -------------- ------------- ------------
Other (income)
expense (2.6) (4.4) 0.7 (5.6)
Foreign currency
loss (income) 28.3 (3.4) 38.9 2.1
Debt
extinguishment loss - - 9.0 -
Interest expense 74.3 94.7 149.9 187.8
---------------- -------------- ------------- ------------
Income before income
tax provision 85.0 83.4 100.1 48.4
Income tax
provision 27.8 33.0 18.0 17.3
---------------- -------------- ------------- ------------
Net income 57.2 50.4 82.1 31.1
Net income
attributable to
noncontrolling
interests (5.3) (3.8) (8.9) (7.0)
---------------- -------------- ------------- ------------
Net income
attributable to XPO $ 51.9 $ 46.6 $ 73.2 $ 24.1
---------------- -------------- ------------- ------------
Net income
attributable to
common shareholders
* ([1]) $ 47.6 $ 42.6 $ 67.1 $ 22.0
Basic earnings per
share ([1]) $ 0.43 $ 0.39 $ 0.60 $ 0.20
Diluted earnings per
share ([1]) $ 0.38 $ 0.35 $ 0.54 $ 0.19
Weighted-average
common shares
outstanding
Basic weighted-
average common
shares outstanding 111.8 110.0 111.6 109.8
Diluted weighted-
average common
shares outstanding 124.7 122.3 124.6 118.9
* Net income attributable to common
shareholders includes the following
items:
Non-cash
allocation of
undistributed
earnings $ 3.6 $ 3.3 $ 4.7 $ 0.6
Preferred
dividends 0.7 0.7 1.4 1.5
[1] The sum of quarterly net income attributable to common shareholders and
earnings per share may not equal year-to-date amounts due to differences in the
weighted-average number of shares outstanding during the respective periods and
the impact of the two-class method of calculating earning per share.
XPO Logistics, Inc.
Condensed Consolidated Balance Sheets
(In millions, except per share data)
June 30, December 31,
2017 2016
-------------- -------------
ASSETS (Unaudited)
Current assets:
Cash and cash equivalents $ 291.4 $ 373.4
Accounts receivable, net of allowances of $36.2
and $26.3, respectively 2,481.9 2,313.3
Other current assets 485.0 386.9
-------------- -------------
Total current assets 3,258.3 3,073.6
-------------- -------------
Property and equipment, net of $846.6 and $589.9
in accumulated depreciation, respectively 2,542.2 2,537.4
Goodwill 4,466.7 4,325.8
Identifiable intangible assets, net of $469.7
and $377.1 in accumulated amortization,
respectively 1,490.7 1,534.7
Deferred tax asset 3.1 2.7
Other long-term assets 170.9 224.2
-------------- -------------
Total long-term assets 8,673.6 8,624.8
-------------- -------------
Total assets $ 11,931.9 $ 11,698.4
-------------- -------------
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $ 1,077.7 $ 1,056.3
Accrued expenses 1,395.5 1,382.1
Current maturities of long-term debt 117.0 136.5
Other current liabilities 143.5 156.7
-------------- -------------
Total current liabilities 2,733.7 2,731.6
-------------- -------------
Long-term debt 4,754.3 4,731.5
Deferred tax liability 547.0 572.4
Employee benefit obligations 227.6 251.4
Other long-term liabilities 419.5 373.9
-------------- -------------
Total long-term liabilities 5,948.4 5,929.2
-------------- -------------
Stockholders' equity:
Convertible perpetual preferred stock, $.001 par
value; 10.0 shares authorized;
0.07 of Series A shares issued and outstanding
at June 30, 2017 and
December 31, 2016 41.2 41.6
Common stock, $.001 par value; 300.0 shares
authorized; 112.5
and 111.1 shares issued and outstanding at June
30, 2017 and
December 31, 2016, respectively 0.1 0.1
Additional paid-in capital 3,255.1 3,244.9
Accumulated deficit (321.7) (392.9)
Accumulated other comprehensive loss (94.5) (193.7)
-------------- -------------
Total stockholders' equity before noncontrolling
interest 2,880.2 2,700.0
-------------- -------------
Noncontrolling interests 369.6 337.6
-------------- -------------
Total equity 3,249.8 3,037.6
-------------- -------------
Total liabilities and equity $ 11,931.9 $ 11,698.4
-------------- -------------
XPO Logistics, Inc.
Condensed Consolidated Statements of Cash Flows
(Unaudited)
(In millions)
Six Months Ended June 30,
--------------------------
2017 2016
------------- ------------
Operating activities
Net income $ 82.1 $ 31.1
Adjustments to reconcile net income to net cash from
operating activities
Depreciation and amortization 321.8 323.6
Stock compensation expense 33.5 20.5
Accretion of debt 9.7 8.0
Deferred tax (benefit) expense (11.0) 2.7
Loss on extinguishment of debt 9.0 -
Unrealized loss (gain) on foreign currency option
and forward contracts 40.4 (2.6)
Other 5.5 0.8
Changes in assets and liabilities:
Accounts receivable (112.5) 5.5
Other assets (31.7) (52.8)
Accounts payable (11.6) (78.4)
Accrued expenses and other liabilities (104.2) 9.2
------------- ------------
Cash flows provided by operating activities 231.0 267.6
------------- ------------
Investing activities
Payment for purchases of property and equipment (262.0) (224.0)
Proceeds from sale of assets 42.2 35.6
Other - 8.3
------------- ------------
Cash flows used by investing activities (219.8) (180.1)
------------- ------------
Financing activities
Proceeds from borrowings on term loan facility 523.5 -
Repayment of borrowings on term loan facility (511.4) -
Proceeds from borrowings on ABL facility 320.0 260.0
Repayment of borrowings on ABL facility (350.0) (160.0)
Repayment of long-term debt and capital leases (60.3) (90.0)
Payment for debt issuance costs (8.9) -
Change in bank overdrafts 3.4 (10.9)
Payment for tax withholdings for restricted shares (14.2) -
Dividends paid (1.7) (1.5)
Other 1.1 2.2
------------- ------------
Cash flows used by financing activities (98.5) (0.2)
------------- ------------
Effect of exchange rates on cash 5.3 0.7
Net (decrease) increase in cash (82.0) 88.0
Cash and cash equivalents, beginning of period 373.4 289.8
------------- ------------
Cash and cash equivalents, end of period $ 291.4 $ 377.8
------------- ------------
Transportation
Summary Financial Table
(Unaudited)
(In millions)
Three Months Ended June 30, Six Months Ended June 30,
------------------------------------------- -------------------------------------------
$ Change $ Change
2017 2016 Variance % 2017 2016 Variance %
----------- ----------- ---------- -------- ----------- ----------- ----------- -------
Revenue $ 2,405.2 $ 2,418.9 $ (13.7) -0.6% $ 4,682.4 $ 4,716.3 $ (33.9) -0.7%
Cost of
transportation
and services 1,701.7 1,715.9 (14.2) -0.8% 3,342.9 3,363.0 (20.1) -0.6%
----------- ----------- ---------- -------- ----------- ----------- ----------- -------
Net revenue
[a] 703.5 703.0 0.5 0.1% 1,339.5 1,353.3 (13.8) -1.0%
----------- ----------- ---------- -------- ----------- ----------- ----------- -------
Direct
operating
expense 293.7 297.8 (4.1) -1.4% 584.1 610.2 (26.1) -4.3%
SG&A expense
Salaries &
benefits 131.3 142.7 (11.4) -8.0% 261.5 290.0 (28.5) -9.8%
Other SG&A
expense 46.0 30.6 15.4 50.3% 88.1 67.6 20.5 30.3%
Purchased
services 30.7 37.1 (6.4) -17.3% 62.8 77.0 (14.2) -18.4%
Depreciation
& amortization 41.8 41.6 0.2 0.5% 82.2 79.9 2.3 2.9%
----------- ----------- ---------- -------- ----------- ----------- ----------- -------
Total SG&A
expense 249.8 252.0 (2.2) -0.9% 494.6 514.5 (19.9) -3.9%
----------- ----------- ---------- -------- ----------- ----------- ----------- -------
Operating
income $ 160.0 $ 153.2 $ 6.8 4.4% $ 260.8 $ 228.6 $ 32.2 14.1%
----------- ----------- ---------- -------- ----------- ----------- ----------- -------
Total
depreciation &
amortization 111.4 112.5 (1.1) -1.0% 217.6 227.1 (9.5) -4.2%
----------- ----------- ---------- -------- ----------- ----------- ----------- -------
EBITDA [a] $ 271.4 $ 265.7 $ 5.7 2.1% $ 478.4 $ 455.7 $ 22.7 5.0%
----------- ----------- ---------- -------- ----------- ----------- ----------- -------
Transaction &
integration
costs 5.8 7.5 (1.7) -22.7% 10.4 10.3 0.1 1.0%
Rebranding
costs 5.5 2.5 3.0 120.0% 16.2 5.9 10.3 174.6%
----------- ----------- ---------- -------- ----------- ----------- ----------- -------
Adjusted
EBITDA [a] * $ 282.7 $ 275.7 $ 7.0 2.5% $ 505.0 $ 471.9 $ 33.1 7.0%
----------- ----------- ---------- -------- ----------- ----------- ----------- -------
[a] Net revenue is a non-GAAP measure calculated as total revenue less the cost
of transportation and services. Net revenue is one of the primary operational
and financial measures used by management to evaluate the business. See the
"Non-GAAP Financial Measures" section of the Press Release.
* For purposes of the summary financial table, adjusted EBITDA is reconciled to
operating income and excludes gains and losses below operating income in the
condensed consolidated statements of operations.
Transportation
Key Data by Service Offering
(Unaudited)
(In millions)
Three Months Ended June
30, Six Months Ended June 30,
--------------------------- ----------------------------
2017 2016 2017 2016
------------- ------------- -------------- -------------
Revenue by Service
Offering
North America
Freight Brokerage $ 572.3 $ 519.1 $ 1,120.3 $ 1,031.8
Less-Than-Truckload 946.1 877.5 1,825.3 1,708.0
Last Mile 230.4 200.7 437.4 379.6
Full Truckload - 133.4 - 262.2
------------- ------------- -------------- -------------
Total North America 1,748.8 1,730.7 3,383.0 3,381.6
Europe
Full Truckload 402.0 427.5 789.0 820.4
Less-Than-Truckload 212.7 220.2 424.8 422.6
------------- ------------- -------------- -------------
Total Europe 614.7 647.7 1,213.8 1,243.0
Global Forwarding 72.5 79.2 144.1 162.0
Eliminations (30.8) (38.7) (58.5) (70.3)
------------- ------------- -------------- -------------
Total Revenue $ 2,405.2 $ 2,418.9 $ 4,682.4 $ 4,716.3
------------- ------------- -------------- -------------
Net Revenue by Service
Offering
North America
Freight Brokerage $ 83.8 $ 88.1 $ 169.7 $ 179.6
Less-Than-Truckload 395.2 370.9 734.0 695.1
Last Mile 69.6 62.5 131.1 115.9
Full Truckload - 16.0 - 43.7
------------- ------------- -------------- -------------
Total North America 548.6 537.5 1,034.8 1,034.3
Europe 142.4 151.1 279.9 290.1
Global Forwarding 12.5 14.4 24.8 28.9
------------- ------------- -------------- -------------
Total Net Revenue [a] $ 703.5 $ 703.0 $ 1,339.5 $ 1,353.3
------------- ------------- -------------- -------------
Net Revenue % by
Service Offering
North America
Freight Brokerage 14.6% 17.0% 15.1% 17.4%
Less-Than-Truckload 41.8% 42.3% 40.2% 40.7%
Last Mile 30.2% 31.1% 30.0% 30.5%
Full Truckload - 12.0% - 16.7%
------------- ------------- -------------- -------------
Total North America 31.4% 31.1% 30.6% 30.6%
Europe 23.2% 23.3% 23.1% 23.3%
Global Forwarding 17.2% 18.2% 17.2% 17.8%
------------- ------------- -------------- -------------
Overall Net Revenue % 29.2% 29.1% 28.6% 28.7%
------------- ------------- -------------- -------------
Direct Operating
Expense by Service
Offering
North America
Freight Brokerage $ 22.1 $ 22.4 $ 43.6 $ 46.3
Less-Than-Truckload 168.5 168.0 335.8 351.0
Last Mile 15.1 13.4 30.2 27.3
------------- ------------- -------------- -------------
Total North America 205.7 203.8 409.6 424.6
Europe 84.9 89.3 167.5 176.3
Global Forwarding 3.1 4.7 7.0 9.3
------------- ------------- -------------- -------------
Total Direct Operating
Expense $ 293.7 $ 297.8 $ 584.1 $ 610.2
------------- ------------- -------------- -------------
[a] Net revenue is a non-GAAP measure calculated as total revenue less the cost
of transportation and services. Net revenue is one of the primary operational
and financial measures used by management to evaluate the business. See the
"Non-GAAP Financial Measures" section of the Press Release.
Less-Than-Truckload revenue is before intercompany eliminations and includes
revenue from the Company's trailer manufacturing business.
Full Truckload revenue is before intercompany eliminations.
XPO Logistics North American Less-Than-Truckload
Summary Data Table
(Unaudited)
Three Months Ended June
30,
-------------------------
2017 2016
------------ ------------
Number of Working Days 63.5 64.0
Lbs. per Day (Thousands) 78,646 73,448
% Change in Lbs. per Day** 7.1% -7.4%
Shipments per Day 56,926 55,166
% Change in Shipments per Day** 3.2% -6.0%
Avg. Weight per Shipment (in pounds) 1,382 1,331
% Change in Weight per Shipment** 3.8% -1.5%
Gross Revenue per Shipment $ 267.32 $ 254.91
Gross Revenue per CWT (including fuel surcharges) $ 19.35 $ 19.15
Gross Revenue per CWT (excluding fuel surcharges) $ 17.09 $ 17.15
% Change in Gross Revenue per CWT**
Including fuel surcharges 1.1% 2.6%
Excluding fuel surcharges -0.3% 5.5%
Average Length of Haul 803.8 805.0
Total Average Load Factor 23,043 22,521
Average Age of Tractor Fleet (Years) 5.42 5.71
**Compared with the same quarter of the previous year
XPO Logistics North American Less-Than-Truckload
Adjusted Operating Ratio
(Unaudited)
(In millions)
Three Months Ended June 30, Six Months Ended June 30,
--------------------------------------- --------------------------------------------
$ Change $ Change
2017 2016 Variance % 2017 2016 Variance %
--------- --------- ---------- -------- ------------ ----------- ---------- --------
Revenue
(excluding
fuel surcharge
revenue) $ 821.2 $ 772.5 $ 48.7 6.3% $ 1,584.0 $ 1,510.5 $ 73.5 4.9%
Fuel surcharge
revenue 112.9 94.0 18.9 20.1% 219.3 175.9 43.4 24.7%
--------- --------- ---------- -------- ------------ ----------- ---------- --------
Revenue 934.1 866.5 67.6 7.8% 1,803.3 1,686.4 116.9 6.9%
Salaries,
wages and
employee
benefits 428.2 412.0 16.2 3.9% 840.0 823.8 16.2 2.0%
Purchased
transportation 109.5 111.3 (1.8) -1.6% 216.0 221.1 (5.1) -2.3%
Fuel and fuel-
related taxes 55.5 47.2 8.3 17.6% 113.3 89.7 23.6 26.3%
Depreciation
and
amortization 60.5 49.3 11.2 22.7% 117.3 98.4 18.9 19.2%
Other
operating
expenses 109.7 95.6 14.1 14.7% 223.9 213.9 10.0 4.7%
Maintenance 26.7 23.8 2.9 12.2% 56.6 46.5 10.1 21.7%
Rents and
leases 10.2 10.2 - 0.0% 21.1 20.8 0.3 1.4%
Purchased
labor 3.0 1.6 1.4 87.5% 6.1 4.2 1.9 45.2%
--------- --------- ---------- -------- ------------ ----------- ---------- --------
Operating
income 130.8 115.5 15.3 13.2% 209.0 168.0 41.0 24.4%
--------- --------- ---------- -------- ------------ ----------- ---------- --------
Operating
ratio 86.0% 86.7% 88.4% 90.0%
--------- --------- ------------ -----------
Transaction,
integration
and rebranding
costs 5.0 1.5 3.5 233.3% 13.9 3.3 10.6 321.2%
Amortization
expense 8.5 8.9 (0.4) -4.5% 16.9 14.7 2.2 15.0%
Depreciation
adjustment
from updated
purchase price
allocation
of acquired
assets - - - 0.0% - (1.8) 1.8 -100.0%
--------- --------- ---------- ------------ ----------- ----------
Adjusted
operating
income $ 144.3 $ 125.9 18.4 14.6% $ 239.8 $ 184.2 55.6 30.2%
--------- --------- ---------- ------------ ----------- ----------
Adjusted
operating
ratio 84.6% 85.5% 86.7% 89.1%
--------- --------- ------------ -----------
Logistics
Summary Financial Table
(Unaudited)
(In millions)
Three Months Ended June 30, Six Months Ended June 30,
------------------------------------------- ------------------------------------------
$ Change $ Change
2017 2016 Variance % 2017 2016 Variance %
----------- ----------- ---------- -------- ----------- ----------- ---------- -------
Revenue $ 1,395.2 $ 1,332.0 $ 63.2 4.7% $ 2,695.3 $ 2,592.7 $ 102.6 4.0%
Cost of
transportation
and services 307.0 323.2 (16.2) -5.0% 589.5 633.4 (43.9) -6.9%
----------- ----------- ---------- -------- ----------- ----------- ---------- -------
Net revenue
[a] 1,088.2 1,008.8 79.4 7.9% 2,105.8 1,959.3 146.5 7.5%
----------- ----------- ---------- -------- ----------- ----------- ---------- -------
Direct
operating
expense 892.4 832.8 59.6 7.2% 1,747.0 1,626.6 120.4 7.4%
SG&A expense
Salaries &
benefits 63.7 54.6 9.1 16.7% 123.9 123.8 0.1 0.1%
Other SG&A
expense 20.8 24.5 (3.7) -15.1% 37.3 36.7 0.6 1.6%
Purchased
services 26.2 23.5 2.7 11.5% 44.7 45.2 (0.5) -1.1%
Depreciation
& amortization 20.8 22.3 (1.5) -6.7% 41.4 44.0 (2.6) -5.9%
----------- ----------- ---------- -------- ----------- ----------- ---------- -------
Total SG&A
expense 131.5 124.9 6.6 5.3% 247.3 249.7 (2.4) -1.0%
----------- ----------- ---------- -------- ----------- ----------- ---------- -------
Operating
income $ 64.3 $ 51.1 $ 13.2 25.8% $ 111.5 $ 83.0 $ 28.5 34.3%
----------- ----------- ---------- -------- ----------- ----------- ---------- -------
Total
depreciation &
amortization 51.5 48.6 2.9 6.0% 100.2 95.7 4.5 4.7%
----------- ----------- ---------- -------- ----------- ----------- ---------- -------
EBITDA [a] $ 115.8 $ 99.7 $ 16.1 16.1% $ 211.7 $ 178.7 $ 33.0 18.5%
----------- ----------- ---------- -------- ----------- ----------- ---------- -------
Transaction
& integration
costs 7.0 7.0 - 0.0% 9.5 15.6 (6.1) -39.1%
Rebranding
costs 0.2 0.2 - 0.0% 0.6 0.4 0.2 50.0%
----------- ----------- ---------- -------- ----------- ----------- ---------- -------
Adjusted
EBITDA [a] * $ 123.0 $ 106.9 $ 16.1 15.1% $ 221.8 $ 194.7 $ 27.1 13.9%
----------- ----------- ---------- -------- ----------- ----------- ---------- -------
[a] Net revenue is a non-GAAP measure calculated as total revenue less the cost
of transportation and services. Net revenue is one of the primary operational
and financial measures used by management to evaluate the business. See the
"Non-GAAP Financial Measures" section of the Press Release.
* For purposes of the summary financial table, adjusted EBITDA is reconciled to
operating income and excludes gains and losses below operating income in the
condensed consolidated statements of operations.
Logistics
Key Data by Service Offering
(Unaudited)
(In millions)
Three Months Ended June
30, Six Months Ended June 30,
--------------------------- ----------------------------
2017 2016 2017 2016
------------- ------------- -------------- -------------
Revenue by Service
Offering
North America $ 658.1 $ 633.3 $ 1,284.9 $ 1,252.1
Europe 737.1 698.7 1,410.4 1,340.6
------------- ------------- -------------- -------------
Total Revenue $ 1,395.2 $ 1,332.0 $ 2,695.3 $ 2,592.7
------------- ------------- -------------- -------------
Net Revenue by Service
Offering
North America $ 539.3 $ 484.6 $ 1,051.1 $ 954.9
Europe 548.9 524.2 1,054.7 1,004.4
------------- ------------- -------------- -------------
Total Net Revenue [a] $ 1,088.2 $ 1,008.8 $ 2,105.8 $ 1,959.3
------------- ------------- -------------- -------------
Direct Operating
Expense by Service
Offering
North America $ 461.0 $ 406.0 $ 901.7 $ 806.0
Europe 431.4 426.8 845.3 820.6
------------- ------------- -------------- -------------
Total Direct Operating
Expense $ 892.4 $ 832.8 $ 1,747.0 $ 1,626.6
------------- ------------- -------------- -------------
Gross Margin by
Service Offering
North America $ 78.3 $ 78.6 $ 149.4 $ 148.9
Europe 117.5 97.4 209.4 183.8
------------- ------------- -------------- -------------
Total Gross Margin $ 195.8 $ 176.0 $ 358.8 $ 332.7
------------- ------------- -------------- -------------
Gross Margin % by
Service Offering
North America 11.9% 12.4% 11.6% 11.9%
Europe 15.9% 13.9% 14.8% 13.7%
------------- ------------- -------------- -------------
Total Gross Margin % 14.0% 13.2% 13.3% 12.8%
------------- ------------- -------------- -------------
[a] Net revenue is a non-GAAP measure calculated as total revenue less the cost
of transportation and services. Net revenue is one of the primary operational
and financial measures used by management to evaluate the business. See the
"Non-GAAP Financial Measures" section of the Press Release.
XPO Corporate
Summary of Sales, General & Administrative Expense
(Unaudited)
(In millions)
Three Months Ended June 30, Six Months Ended June 30,
------------------------------------- ------------------------------------
$ Change $ Change
2017 2016 Variance % 2017 2016 Variance %
-------- -------- ---------- -------- -------- -------- ---------- -------
SG&A expense
Salaries &
benefits $ 19.4 $ 15.9 $ 3.5 22.0% $ 35.4 $ 32.0 $ 3.4 10.6%
Other SG&A
expense 6.4 3.8 2.6 68.4% 6.9 13.7 (6.8) -49.6%
Purchased
services 12.0 13.9 (1.9) -13.7% 27.4 32.4 (5.0) -15.4%
Depreciation
&
amortization 1.5 0.4 1.1 275.0% 4.0 0.8 3.2 400.0%
-------- -------- ---------- -------- -------- -------- ---------- -------
Total SG&A
expense $ 39.3 $ 34.0 $ 5.3 15.6% $ 73.7 $ 78.9 $ (5.2) -6.6%
-------- -------- ---------- -------- -------- -------- ---------- -------
Intersegment Eliminations
Summary Financial Table
(Unaudited)
(In millions)
Three Months Ended June 30, Six Months Ended June 30,
------------------------------------------- -----------------------------------------
$ $ Change
2017 2016 Variance Change % 2017 2016 Variance %
---------- ---------- ---------- ---------- ---------- ---------- ---------- --------
Revenue $ (40.1) $ (67.6) $ 27.5 -40.7% $ (77.9) $ (80.0) $ 2.1 -2.6%
Cost of
transportation
and services (39.1) (65.8) 26.7 -40.6% (75.5) (78.0) 2.5 -3.2%
---------- ---------- ---------- ---------- ---------- ---------- ---------- --------
Net revenue
[a] (1.0) (1.8) 0.8 -44.4% (2.4) (2.0) (0.4) 20.0%
---------- ---------- ---------- ---------- ---------- ---------- ---------- --------
Direct
operating
expense 8.1 (0.4) 8.5 -2125.0% 0.8 (0.4) 1.2 -300.0%
SG&A expense
Salaries &
benefits (6.2) (7.1) 0.9 -12.7% (2.2) (6.9) 4.7 -68.1%
Other SG&A
expense (1.6) 5.8 (7.4) -127.6% (0.6) 5.6 (6.2) -110.7%
Purchased
services (1.3) (0.2) (1.1) 550.0% (0.4) (0.3) (0.1) 33.3%
Depreciation
& amortization - 0.1 (0.1) -100.0% - - - 0.0%
---------- ---------- ---------- ---------- ---------- ---------- ---------- --------
Total SG&A
expense (9.1) (1.4) (7.7) 550.0% (3.2) (1.6) (1.6) 100.0%
---------- ---------- ---------- ---------- ---------- ---------- ---------- --------
Operating
income $ - $ - $ - - $ - $ - $ - -
---------- ---------- ---------- ---------- ---------- ---------- ---------- --------
Note: Intersegment eliminations represent intercompany activity between the
Company's reportable segments that is eliminated upon consolidation. The
difference between operating income component line items in the Condensed
Consolidated Statements of Operations and the sum of the respective line items
from the Transportation and Logistics Summary Financial Tables and Corporate
Summary of Sales, General & Administrative Expense above represents intercompany
eliminations between our reportable segments. The table above summarizes the
intersegment eliminations by line item.
[a] Net revenue is a non-GAAP measure calculated as total revenue less the cost
of transportation and services. Net revenue is one of the primary operational
and financial measures used by management to evaluate the business. See the
"Non-GAAP Financial Measures" section of the Press Release.<
Unternehmensinformation / Kurzprofil:
Datum: 02.08.2017 - 22:15 Uhr
Sprache: Deutsch
News-ID 555125
Anzahl Zeichen: 65620
contact information:
Town:
Greenwich
Kategorie:
Business News
Diese Pressemitteilung wurde bisher 173 mal aufgerufen.
Die Pressemitteilung mit dem Titel:
"XPO Logistics Announces Second Quarter 2017 Results"
steht unter der journalistisch-redaktionellen Verantwortung von
XPO Logistics, Inc. (Nachricht senden)
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