RXO, Inc. ( (RXO) ) has released its Q1 earnings. Here is a breakdown of the information RXO, Inc. presented to its investors.
RXO, Inc. is a leading provider of asset-light transportation solutions, offering tech-enabled truck brokerage services along with complementary solutions such as managed transportation and last mile delivery across North America. Headquartered in Charlotte, N.C., RXO leverages massive capacity and cutting-edge technology to efficiently move freight through supply chains.
In its latest earnings report for the first quarter of 2025, RXO announced significant progress in its integration of Coyote Logistics into the RXO Connect platform, which is expected to generate over $70 million in cash synergies. The company also reported a notable increase in less-than-truckload brokerage volume and last mile stop growth, indicating strong operational momentum.
Key financial highlights from the report include a substantial rise in revenue to $1.4 billion, up from $913 million in the same quarter of 2024. Despite this growth, RXO reported a GAAP net loss of $31 million, attributed in part to transaction, integration, and restructuring costs. However, adjusted EBITDA showed improvement, reaching $22 million compared to $15 million in the previous year.
The company’s brokerage business experienced a slight decline in overall volume, with a 1% year-over-year decrease, but less-than-truckload volume surged by 26%. Meanwhile, RXO’s complementary services, including last mile and managed transportation, maintained strong gross margins, contributing to the company’s overall performance.
Looking ahead, RXO’s management remains optimistic about the future, expecting adjusted EBITDA for the second quarter of 2025 to be between $30 million and $40 million. The company continues to focus on leveraging its scale and innovative solutions to drive long-term growth and value creation.