XPO Logistics Loss Widens Despite Huge Jump in Revenue
November 05, 2013
XPO Logistics, which provides freight brokerage, expedited transportation and logistics services, has announced financial results for the third quarter showing total revenue was $194 million, a 173.3% increase from the same period in 2012.
Despite the big upturn in business, the Connecticut-based company reported a net loss of $6 million, compared with a net loss of $3.1 million for the same period in 2012.
“In the third quarter, we drove 42% organic revenue growth on a year-over-year basis company-wide,” said Bradley Jacobs, chairman and chief executive officer of XPO Logistics. “We also achieved significant increases in gross margin percentage in every business unit. We delivered 146% organic revenue growth in our freight brokerage division, and improved our truckload brokerage gross margin percentage by 100 basis points.”
He said the expedite division operated more efficiently, resulting in year-over-year improvements in revenue and margin performance while the company’s freight forwarding division continued to generate double-digit growth.
The company has rebranded its formerly named Concert Group Logistics division as XPO Global Logistics
The company's freight brokerage business generated total revenue of $152.6 million for the quarter, a 374.4% increase from the same period in 2012 while its expedited transportation business generated total revenue of $25.1 million for the quarter, a 5.7% increase during the same time. The company’s freight forwarding business generated total revenue of $19.1 million for the quarter, a 10.5% increase.
For the nine months ended September 30, XPO Logistics reported total revenue of $445.1 million, a 161.7% increase from the first nine months of 2012 while having a net loss of $37.9 million compared with one of $11 million for the same period last year.
More details are on the XPO Logistics website.