US-based transport and logistics company, XPO Logistics, has published its third quarter 2021 results.
Revenue increased to $3.27 billion USD for the third quarter, compared with $2.68 billion USD for the same period in 2020.
Net income from continuing operations attributable to common shareholders was $21 million USD for the third quarter, compared with $28 million USD for the same period in 2020.
Operating income was $112 million USD for the third quarter, compared with $138 million USD for the same period in 2020. Income from continuing operations was $21 million USD, compared with $37 million USD in prior year quarter. Diluted earnings from continuing operations per share was $0.19 USD for the third quarter, compared with $0.27 USD for the same period in 2020.
Adjusted net income from continuing operations attributable to common shareholders, a non-GAAP financial measure, was $109 million USD for the third quarter, compared with $44 million USD for the same period in 2020. Adjusted diluted earnings from continuing operations per share, a non-GAAP financial measure, was $0.94 for the third quarter, compared with $0.42 for the same period in 2020.
Adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA), a non-GAAP financial measure, increased to $307 million USD for the third quarter, compared with $268 million USD for the same period in 2020.
For the third quarter 2021, the company generated $250 million USD of cash flow from operating activities of continuing operations and $185 million USD of free cash flow, a non-GAAP financial measure.
Reconciliations of non-GAAP financial measures used in this release are provided in the attached financial tables.
“Company-wide we had an excellent third quarter, with record revenue and a solid beat on the bottom line,” said XPO Logistics Chairman and CEO, Brad Jacobs.
“Our truck brokerage business had another phenomenal quarter, while our less-than-truckload results were mixed.
“In North American truck brokerage, every major metric was up year-over-year by large double-digits. We grew third quarter gross and net revenue in truck brokerage by 62 per cent, on a 37 per cent increase in load count per day. Our top 20 customers increased their total volume with us by 45 per cent, and our share of wallet is trending up with key customers. These gains are being driven by our massive brokered capacity, robust digital capabilities and customer trust in our experienced brokerage leaders. We’ve tripled the number of customers on our XPO Connect digital platform from a year ago, and carrier usage is up over 100 per cent. More than 550,000 drivers have downloaded the app to date.
“In North American LTL, we had our strongest yield growth yet, up 6.0 per cent excluding fuel year-over-year. However, our operating ratio was negatively impacted by our decision to continue insourcing purchased transportation in the midst of driver and equipment constraints. We took actions that are gaining rapid traction — our yield growth accelerated again in October, and our network is more balanced now than it was a few weeks ago. We’re still targeting at least $1 billion of adjusted EBITDA in LTL in 2022. And over the next 12 to 24 months, we plan to invest more capital to expand our North American LTL door count by approximately 6.0 per cent in key metros, following the 264-door Chicago Heights terminal we just opened.
“We raised our 2021 guidance for full year adjusted EBITDA to $1.228 billion to $1.233 billion, including a fourth quarter adjusted EBITDA increase to $300 million to $305 million. This reflects our third quarter results and our confidence in delivering a strong finish to the year across our business.”