Adj. EBITDA ForecastAdj. EBITDA commentary is approximately 20% below consensus in 1Q, partially due to weather impacts on the supply chain.
Earnings DeclineConcerns stem from the speed and magnitude of decline in Legacy RXO/Coyote earnings and prolonged freight market weakness.
Gross Margin PerformanceGross margins were slightly worse, with RXO posting a gross margin of 15.5%, down year-over-year.