C.H. Robinson Reports 2025 Third Quarter Results
Third Quarter Highlights:
- Sustained outperformance delivered by disciplined execution of the company's strategic initiatives, generating demonstrable market share gains, gross margin expansion, and higher operating margins
-
Income from operations increased
22.6% to$220.8 million -
Adjusted operating margin(1) increased 680 basis points to
31.3% -
Diluted earnings per share (EPS) increased
67.5% to$1.34 -
Adjusted diluted EPS(1) increased
9.4% to$1.40 -
Cash generated by operations increased by
$167.4 million $275.4 million
(1) Adjusted operating margin and adjusted diluted EPS are non-GAAP financial measures. The same factors described in this release that impacted these non-GAAP measures also impacted the comparable GAAP measures. Refer to pages 11 through 13 for further discussion and GAAP to Non-GAAP Reconciliations. |
"The third quarter of 2025 was marked by a continued soft freight environment, with the Cass Freight Shipment Index declining year-over-year for the 12th consecutive quarter. The
"But this is a new C.H. Robinson, and we don’t use the macro environment as an excuse. We are a fundamentally different company than we were two years ago, illustrated by the company’s consistent outperformance versus the market," Bozeman added. "Our third quarter results provide another proof point of the disciplined execution of our strategy. In NAST, we grew our combined truckload and LTL volume by approximately
"In Global Forwarding, we expanded gross margins by 380 basis points year-over-year through improved revenue management discipline. We also continued to improve our productivity, which has now increased by more than
"With seven consecutive quarters of consistent outperformance through the disciplined execution of the strategy that we shared at our 2024 Investor Day, there is no doubt in our minds that we are on the right path to deliver sustainable outperformance. Our model, with an industry-leading cost to serve, is highly scalable and we expect it will improve further as we harness the evolving power of AI to drive automation across the quote-to-cash lifecycle of a load. We’re still in the early innings of our Lean AI journey - call it third inning in NAST and first inning in Global Forwarding. Lean AI is our unique, disciplined approach to AI innovation that transforms supply chains. By combining the principles of Lean methodology in our Robinson operating model with the power of AI, Lean AI is designed to maximize value and minimize waste for better outcomes. It is uniquely enabled by our leading AI technology, our expert logisticians and our Lean operating model that drives continuous improvement," said Bozeman.
Summary of Third Quarter of 2025 Results Compared to the Third Quarter of 2024
-
Total revenues decreased
10.9% to$4.1 billion -
Gross profits decreased
4.4% to$691.7 million 4.0% to$706.1 million -
Operating expenses decreased
12.6% to$485.2 million 3.4% to$349.3 million 10.8% . Other selling, general and administrative (“SG&A”) expenses decreased29.8% to$135.9 million $57.0 million -
Income from operations totaled
$220.8 million 22.6% due to the decrease in operating expenses, partially offset by the decrease in adjusted gross profit. Adjusted operating margin(1) of31.3% increased 680 basis points. -
Interest and other income/expense, net totaled
$15.6 million $15.8 million $6.3 million -
The effective tax rate in the quarter was
20.6% , compared to32.4% in the third quarter of 2024. The decrease in the third quarter of 2025 was driven by the impact of non-recurring discrete items and the divestiture of our European Surface Transportation business in the prior year and stock-based compensation, partially offset by a reduced benefit fromU.S. tax credits in the current year. -
Net income totaled
$163.0 million 67.6% from a year ago. Diluted EPS of$1.34 67.5% . Adjusted diluted EPS(1) of$1.40 9.4% .
(1) Adjusted gross profits, adjusted operating margin and adjusted diluted EPS are non-GAAP financial measures. The same factors described in this release that impacted these non-GAAP measures also impacted the comparable GAAP measures. Refer to pages 11 through 13 for further discussion and GAAP to Non-GAAP Reconciliations. |
Summary of 2025 Year-to-Date Results Compared to 2024
-
Total revenues decreased
9.0% to$12.3 billion -
Gross profits decreased
0.9% to$2.0 billion 0.4% to$2.1 billion -
Operating expenses decreased
8.5% to$1.5 billion 6.2% to$1.0 billion 10.9% . Other SG&A expenses decreased13.7% to$425.6 million $57.0 million -
Income from operations totaled
$613.6 million 26.4% from last year due to the decrease in operating expenses. Adjusted operating margin(1) of29.6% increased 630 basis points. -
Interest and other income/expense, net totaled
$57.7 million $49.4 million $17.6 million $8.3 million -
The effective tax rate for the nine months ended September 30, 2025 was
18.9% compared to23.0% in the year-ago period. The decrease was driven by the impact of non-recurring discrete items and the divestiture of our European Surface Transportation business in the prior year and stock-based compensation, partially offset by a reduced benefit fromU.S. tax credits in the current year. -
Net income totaled
$450.8 million 42.5% from a year ago. Diluted EPS of$3.71 41.1% . Adjusted diluted EPS(1) of$3.86 17.0% .
(1) Adjusted gross profits, adjusted operating margin and adjusted diluted EPS are non-GAAP financial measures. The same factors described in this release that impacted these non-GAAP measures also impacted the comparable GAAP measures. Refer to pages 11 through 13 for further discussion and GAAP to Non-GAAP Reconciliations. |
North American Surface Transportation (“NAST”) Results
Summarized financial results of our NAST segment are as follows (dollars in thousands):
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||||
|
|
2025 |
|
|
2024 |
|
% change |
|
|
2025 |
|
|
2024 |
|
% change |
||
Total revenues |
$ |
2,965,694 |
|
$ |
2,934,617 |
|
1.1 |
% |
|
$ |
8,752,341 |
|
$ |
8,924,839 |
|
(1.9 |
)% |
Adjusted gross profits(1) |
|
444,139 |
|
|
420,664 |
|
5.6 |
% |
|
|
1,294,711 |
|
|
1,237,431 |
|
4.6 |
% |
Income from operations |
|
172,878 |
|
|
148,767 |
|
16.2 |
% |
|
|
480,540 |
|
|
398,764 |
|
20.5 |
% |
____________________________________________
(1) Adjusted gross profits is a non-GAAP financial measure explained later in this release. The difference between adjusted gross profits and gross profits is not material. |
Third quarter total revenues for the NAST segment totaled
Global Forwarding Results
Summarized financial results of our Global Forwarding segment are as follows (dollars in thousands):
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||||
|
|
2025 |
|
|
2024 |
|
% change |
|
|
2025 |
|
|
2024 |
|
% change |
||
Total revenues |
$ |
786,347 |
|
$ |
1,141,190 |
|
(31.1 |
)% |
|
$ |
2,359,035 |
|
$ |
2,921,050 |
|
(19.2 |
)% |
Adjusted gross profits(1) |
|
191,755 |
|
|
234,636 |
|
(18.3 |
)% |
|
|
563,964 |
|
|
598,748 |
|
(5.8 |
)% |
Income from operations |
|
49,021 |
|
|
88,115 |
|
(44.4 |
)% |
|
|
143,294 |
|
|
160,649 |
|
(10.8 |
)% |
____________________________________________
(1) Adjusted gross profits is a non-GAAP financial measure explained later in this release. The difference between adjusted gross profits and gross profits is not material. |
Third quarter total revenues for the Global Forwarding segment decreased
All Other and Corporate Results
Total revenues and adjusted gross profits for Robinson Fresh, Managed Solutions and Other Surface Transportation are summarized as follows (dollars in thousands):
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||||
|
|
2025 |
|
|
2024 |
|
% change |
|
|
2025 |
|
|
2024 |
|
% change |
||
Total revenues |
$ |
384,805 |
|
$ |
568,834 |
|
(32.4 |
)% |
|
$ |
1,208,753 |
|
$ |
1,694,411 |
|
(28.7 |
)% |
Adjusted gross profits(1): |
|
|
|
|
|
|
|
|
|
|
|
||||||
Robinson Fresh |
$ |
40,195 |
|
$ |
36,708 |
|
9.5 |
% |
|
$ |
122,243 |
|
$ |
110,327 |
|
10.8 |
% |
Managed Solutions |
|
29,988 |
|
|
27,949 |
|
7.3 |
% |
|
|
86,841 |
|
|
85,637 |
|
1.4 |
% |
Other Surface Transportation(2) |
|
— |
|
|
15,296 |
|
(100.0 |
)% |
|
|
4,637 |
|
|
48,248 |
|
(90.4 |
)% |
____________________________________________
(1) Adjusted gross profits is a non-GAAP financial measure explained later in this release. The difference between adjusted gross profits and gross profits is not material. |
(2) Includes our Europe Surface Transportation business, which was divested as of February 1, 2025. |
Third quarter Robinson Fresh adjusted gross profits increased
Other Income Statement Items
Interest and other income/expense, net totaled
The third quarter effective tax rate was
Diluted weighted average shares outstanding in the quarter were up
Cash Flow Generation and Capital Distribution
Cash generated from operations totaled
In the third quarter of 2025, cash returned to shareholders totaled
Capital expenditures totaled
About C.H. Robinson
C.H. Robinson is the global leader in Lean AI supply chains. For more than a century, companies everywhere have looked to us to reimagine how goods move. Now, as we redefine what’s next for the industry, that same drive fuels our commitment to Building Tomorrow’s Supply Chains, Today™. Trusted by 83,000 customers and 450,000 contract carriers, we manage 37 million shipments annually, representing
Except for the historical information contained herein, the matters set forth in this release are forward-looking statements that represent our expectations, beliefs, intentions or strategies concerning future events. These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from our historical experience or our present expectations, including, but not limited to, factors such as changes in economic conditions, including uncertain consumer demand; changes in market demand and pressures on the pricing for our services; fuel price increases or decreases, or fuel shortages; competition and growth rates within the global logistics industry that could adversely impact our profitability and achieving our long-term growth targets; freight levels and increasing costs and availability of truck capacity or alternative means of transporting freight; risks associated with seasonal changes or significant disruptions in the transportation industry; risks associated with identifying and completing suitable acquisitions; our dependence on and changes in relationships with existing contracted truck, rail, ocean, and air carriers; risks associated with the loss of significant customers; risks associated with reliance on technology to operate our business; cyber-security related risks; our ability to staff and retain employees; risks associated with operations outside of the
Any forward-looking statement speaks only as of the date on which such statement is made, and we undertake no obligation to update such statement to reflect events or circumstances arising after such date. All remarks made during our financial results conference call will be current at the time of the call, and we undertake no obligation to update the replay.
Conference Call Information:
C.H. Robinson Worldwide Third Quarter 2025 Earnings Conference Call
Wednesday, October 29, 2025; 5:30 p.m. Eastern Time
Presentation slides and a simultaneous live audio webcast of the conference call may be accessed through the Investor Relations link on C.H. Robinson’s website at chrobinson.com.
To participate in the conference call by telephone, please call ten minutes early by dialing: 877-269-7756
Adjusted Gross Profit by Service Line
(in thousands)
This table of summary results presents our service line adjusted gross profits on an enterprise basis. The service line adjusted gross profits in the table differ from the service line adjusted gross profits discussed within the segments as our segments may have revenues from multiple service lines.
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||||
|
|
2025 |
|
|
2024 |
|
% change |
|
|
2025 |
|
|
2024 |
|
% change |
||
Adjusted gross profits(1): |
|
|
|
|
|
|
|
|
|
|
|
||||||
Transportation |
|
|
|
|
|
|
|
|
|
|
|
||||||
Truckload |
$ |
273,885 |
|
$ |
279,564 |
|
(2.0 |
)% |
|
$ |
804,086 |
|
$ |
811,164 |
|
(0.9 |
)% |
LTL |
|
158,251 |
|
|
143,228 |
|
10.5 |
% |
|
|
458,848 |
|
|
430,187 |
|
6.7 |
% |
Ocean |
|
110,422 |
|
|
163,314 |
|
(32.4 |
)% |
|
|
333,659 |
|
|
392,831 |
|
(15.1 |
)% |
Air |
|
35,515 |
|
|
33,607 |
|
5.7 |
% |
|
|
102,786 |
|
|
95,045 |
|
8.1 |
% |
Customs |
|
36,358 |
|
|
28,266 |
|
28.6 |
% |
|
|
98,376 |
|
|
81,013 |
|
21.4 |
% |
Other logistics services |
|
56,421 |
|
|
54,338 |
|
3.8 |
% |
|
|
167,661 |
|
|
171,216 |
|
(2.1 |
)% |
Total transportation |
|
670,852 |
|
|
702,317 |
|
(4.5 |
)% |
|
|
1,965,416 |
|
|
1,981,456 |
|
(0.8 |
)% |
Sourcing |
|
35,225 |
|
|
32,936 |
|
6.9 |
% |
|
|
106,980 |
|
|
98,935 |
|
8.1 |
% |
Total adjusted gross profits |
$ |
706,077 |
|
$ |
735,253 |
|
(4.0 |
)% |
|
$ |
2,072,396 |
|
$ |
2,080,391 |
|
(0.4 |
)% |
____________________________________________
(1) Adjusted gross profits is a non-GAAP financial measure explained later in this release. The difference between adjusted gross profits and gross profits is not material. |
GAAP to Non-GAAP Reconciliation
(unaudited, in thousands)
Our adjusted gross profit is a non-GAAP financial measure. Adjusted gross profit is calculated as gross profit excluding amortization of internally developed software utilized to directly serve our customers and contracted carriers. We believe adjusted gross profit is a useful measure of our ability to source, add value, and sell services and products that are provided by third parties, and we consider adjusted gross profit to be a primary performance measurement. Accordingly, the discussion of our results of operations often focuses on the changes in our adjusted gross profit. The reconciliation of gross profit to adjusted gross profit is presented below (in thousands):
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||||
|
|
2025 |
|
|
2024 |
|
% change |
|
|
2025 |
|
|
2024 |
|
% change |
||
Revenues: |
|
|
|
|
|
|
|
|
|
|
|
||||||
Transportation |
$ |
3,783,535 |
|
$ |
4,278,300 |
|
(11.6 |
)% |
|
$ |
11,252,110 |
|
$ |
12,482,818 |
|
(9.9 |
)% |
Sourcing |
|
353,311 |
|
|
366,341 |
|
(3.6 |
)% |
|
|
1,068,019 |
|
|
1,057,482 |
|
1.0 |
% |
Total revenues |
|
4,136,846 |
|
|
4,644,641 |
|
(10.9 |
)% |
|
|
12,320,129 |
|
|
13,540,300 |
|
(9.0 |
)% |
Costs and expenses: |
|
|
|
|
|
|
|
|
|
|
|
||||||
Purchased transportation and related services |
|
3,112,683 |
|
|
3,575,983 |
|
(13.0 |
)% |
|
|
9,286,694 |
|
|
10,501,362 |
|
(11.6 |
)% |
Purchased products sourced for resale |
|
318,086 |
|
|
333,405 |
|
(4.6 |
)% |
|
|
961,039 |
|
|
958,547 |
|
0.3 |
% |
Direct internally developed software amortization |
|
14,420 |
|
|
11,441 |
|
26.0 |
% |
|
|
43,767 |
|
|
32,546 |
|
34.5 |
% |
Total direct expenses |
|
3,445,189 |
|
|
3,920,829 |
|
(12.1 |
)% |
|
|
10,291,500 |
|
|
11,492,455 |
|
(10.4 |
)% |
Gross profit |
$ |
691,657 |
|
$ |
723,812 |
|
(4.4 |
)% |
|
$ |
2,028,629 |
|
$ |
2,047,845 |
|
(0.9 |
)% |
Plus: Direct internally developed software amortization |
|
14,420 |
|
|
11,441 |
|
26.0 |
% |
|
|
43,767 |
|
|
32,546 |
|
34.5 |
% |
Adjusted gross profit |
$ |
706,077 |
|
$ |
735,253 |
|
(4.0 |
)% |
|
$ |
2,072,396 |
|
$ |
2,080,391 |
|
(0.4 |
)% |
Our adjusted operating margin is a non-GAAP financial measure calculated as operating income divided by adjusted gross profit. Our adjusted operating margin - excluding restructuring, lease impairment charge and/or loss on divestiture is a similar non-GAAP financial measure as adjusted operating margin, but also excludes the impact of restructuring, lease impairment, and/or losses from divestiture. We believe adjusted operating margin and adjusted operating margin - excluding restructuring, lease impairment charge and/or loss on divestiture are useful measures of our profitability in comparison to our adjusted gross profit, which we consider a primary performance metric as discussed above. The comparisons of operating margin to adjusted operating margin and adjusted operating margin - excluding restructuring, lease impairment charge and/or loss on divestiture are presented below:
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||||||||
|
|
2025 |
|
|
|
2024 |
|
|
% change |
|
|
2025 |
|
|
|
2024 |
|
|
% change |
||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Total revenues |
$ |
4,136,846 |
|
|
$ |
4,644,641 |
|
|
(10.9 |
)% |
|
$ |
12,320,129 |
|
|
$ |
13,540,300 |
|
|
(9.0 |
)% |
Income from operations |
|
220,836 |
|
|
|
180,119 |
|
|
22.6 |
% |
|
|
613,608 |
|
|
|
485,342 |
|
|
26.4 |
% |
Operating margin |
|
5.3 |
% |
|
|
3.9 |
% |
|
140 bps |
|
|
5.0 |
% |
|
|
3.6 |
% |
|
140 bps |
||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted gross profit |
$ |
706,077 |
|
|
$ |
735,253 |
|
|
(4.0 |
)% |
|
$ |
2,072,396 |
|
|
$ |
2,080,391 |
|
|
(0.4 |
)% |
Income from operations |
|
220,836 |
|
|
|
180,119 |
|
|
22.6 |
% |
|
|
613,608 |
|
|
|
485,342 |
|
|
26.4 |
% |
Adjusted operating margin |
|
31.3 |
% |
|
|
24.5 |
% |
|
680 bps |
|
|
29.6 |
% |
|
|
23.3 |
% |
|
630 bps |
||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted gross profit |
$ |
706,077 |
|
|
$ |
735,253 |
|
|
(4.0 |
)% |
|
$ |
2,072,396 |
|
|
$ |
2,080,391 |
|
|
(0.4 |
)% |
Adjusted income from operations |
|
230,590 |
|
|
|
241,584 |
|
|
(4.6 |
)% |
|
|
636,285 |
|
|
|
574,941 |
|
|
10.7 |
% |
Adjusted operating margin - excluding restructuring, lease impairment charge, and/or loss on divestiture |
|
32.7 |
% |
|
|
32.9 |
% |
|
(20) bps |
|
|
30.7 |
% |
|
|
27.6 |
% |
|
310 bps |
||
GAAP to Non-GAAP Reconciliation
(unaudited, in thousands)
Our adjusted income (loss) from operations, adjusted operating margin - excluding restructuring, lease impairment charge and/or loss on divestiture, adjusted net income and adjusted net income per share (diluted) are non-GAAP financial measures. These non-GAAP measures are calculated excluding the impact of restructuring, lease impairment, and/or losses from divestiture. We believe that these measures provide useful information to investors and include them within our internal reporting to our chief operating decision maker. Accordingly, the discussion of our results of operations includes discussion on the changes in our adjusted income (loss) from operations, adjusted operating margin - excluding restructuring, lease impairment charge and/or loss on divestiture, adjusted net income and adjusted net income per share (diluted). The reconciliation of these non-GAAP measures are presented below (in thousands except per share data):
Non-GAAP Reconciliation: |
NAST |
|
Global Forwarding |
|
All Other and Corporate |
|
Consolidated |
||||||||
Three Months Ended September 30, 2025 |
|
|
|
|
|
|
|
||||||||
Income (loss) from operations |
$ |
172,878 |
|
|
$ |
49,021 |
|
|
$ |
(1,063 |
) |
|
$ |
220,836 |
|
Severance and other personnel expenses |
|
1,199 |
|
|
|
8,403 |
|
|
|
126 |
|
|
|
9,728 |
|
Other selling, general, and administrative expenses |
|
75 |
|
|
|
127 |
|
|
|
(176 |
) |
|
|
26 |
|
Total adjustments to income (loss) from operations(1) |
|
1,274 |
|
|
|
8,530 |
|
|
|
(50 |
) |
|
|
9,754 |
|
Adjusted income (loss) from operations |
$ |
174,152 |
|
|
$ |
57,551 |
|
|
$ |
(1,113 |
) |
|
$ |
230,590 |
|
|
|
|
|
|
|
|
|
||||||||
Adjusted gross profit |
$ |
444,139 |
|
|
$ |
191,755 |
|
|
$ |
70,183 |
|
|
$ |
706,077 |
|
Adjusted income (loss) from operations |
|
174,152 |
|
|
|
57,551 |
|
|
|
(1,113 |
) |
|
|
230,590 |
|
Adjusted operating margin - excluding restructuring and loss on divestiture |
|
39.2 |
% |
|
|
30.0 |
% |
|
|
N/M |
|
|
|
32.7 |
% |
|
|
|
|
|
|
|
|
||||||||
|
NAST |
|
Global Forwarding |
|
All Other and Corporate |
|
Consolidated |
||||||||
Nine Months Ended September 30, 2025 |
|
|
|
|
|
|
|
||||||||
Income (loss) from operations |
$ |
480,540 |
|
|
$ |
143,294 |
|
|
$ |
(10,226 |
) |
|
$ |
613,608 |
|
Severance and other personnel expenses |
|
1,876 |
|
|
|
10,979 |
|
|
|
1,948 |
|
|
|
14,803 |
|
Other selling, general, and administrative expenses |
|
75 |
|
|
|
127 |
|
|
|
7,672 |
|
|
|
7,874 |
|
Total adjustments to income (loss) from operations(2) |
|
1,951 |
|
|
|
11,106 |
|
|
|
9,620 |
|
|
|
22,677 |
|
Adjusted income (loss) from operations |
$ |
482,491 |
|
|
$ |
154,400 |
|
|
$ |
(606 |
) |
|
$ |
636,285 |
|
|
|
|
|
|
|
|
|
||||||||
Adjusted gross profit |
$ |
1,294,711 |
|
|
$ |
563,964 |
|
|
$ |
213,721 |
|
|
$ |
2,072,396 |
|
Adjusted income (loss) from operations |
|
482,491 |
|
|
|
154,400 |
|
|
|
(606 |
) |
|
|
636,285 |
|
Adjusted operating margin - excluding lease impairment charge, restructuring, and loss on divestiture |
|
37.3 |
% |
|
|
27.4 |
% |
|
|
N/M |
|
|
|
30.7 |
% |
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
$ in 000's |
|
per share |
|
$ in 000's |
|
per share |
||||||||
Net income and per share (diluted) |
$ |
162,987 |
|
|
$ |
1.34 |
|
|
$ |
450,760 |
|
|
$ |
3.71 |
|
Lease impairment charge, pre-tax |
|
— |
|
|
|
— |
|
|
|
6,259 |
|
|
|
0.05 |
|
Restructuring and related costs, pre-tax |
|
9,930 |
|
|
|
0.07 |
|
|
|
13,811 |
|
|
|
0.11 |
|
(Gain) loss on divestiture, pre-tax |
|
(176 |
) |
|
|
— |
|
|
|
2,607 |
|
|
|
0.02 |
|
Tax effect of adjustments |
|
(2,449 |
) |
|
|
(0.01 |
) |
|
|
(4,480 |
) |
|
|
(0.03 |
) |
Adjusted net income and per share (diluted) |
$ |
170,292 |
|
|
$ |
1.40 |
|
|
$ |
468,957 |
|
|
$ |
3.86 |
|
____________________________________________
(1) The three months ended September 30, 2025 includes severance and other personnel expenses of |
(2) The nine months ended September 30, 2025 includes severance and other personnel expenses of |
Non-GAAP Reconciliation: |
NAST |
|
Global Forwarding |
|
All Other and Corporate |
|
Consolidated |
||||||||
Three Months Ended September 30, 2024 |
|
|
|
|
|
|
|
||||||||
Income (loss) from operations |
$ |
148,767 |
|
|
$ |
88,115 |
|
|
$ |
(56,763 |
) |
|
$ |
180,119 |
|
Severance and other personnel expenses |
|
1,238 |
|
|
|
461 |
|
|
|
1,221 |
|
|
|
2,920 |
|
Other selling, general, and administrative expenses |
|
560 |
|
|
|
855 |
|
|
|
57,130 |
|
|
|
58,545 |
|
Total adjustments to income (loss) from operations(1) |
|
1,798 |
|
|
|
1,316 |
|
|
|
58,351 |
|
|
|
61,465 |
|
Adjusted income from operations |
$ |
150,565 |
|
|
$ |
89,431 |
|
|
$ |
1,588 |
|
|
$ |
241,584 |
|
|
|
|
|
|
|
|
|
||||||||
Adjusted gross profit |
$ |
420,664 |
|
|
$ |
234,636 |
|
|
$ |
79,953 |
|
|
$ |
735,253 |
|
Adjusted income from operations |
|
150,565 |
|
|
|
89,431 |
|
|
|
1,588 |
|
|
|
241,584 |
|
Adjusted operating margin - excluding restructuring and loss on divestiture |
|
35.8 |
% |
|
|
38.1 |
% |
|
|
2.0 |
% |
|
|
32.9 |
% |
|
|
|
|
|
|
|
|
||||||||
|
NAST |
|
Global Forwarding |
|
All Other and Corporate |
|
Consolidated |
||||||||
Nine Months Ended September 30, 2024 |
|
|
|
|
|
|
|
||||||||
Income (loss) from operations |
$ |
398,764 |
|
|
$ |
160,649 |
|
|
$ |
(74,071 |
) |
|
$ |
485,342 |
|
Severance and other personnel expenses |
|
9,022 |
|
|
|
5,855 |
|
|
|
5,430 |
|
|
|
20,307 |
|
Other selling, general, and administrative expenses |
|
6,214 |
|
|
|
2,448 |
|
|
|
60,630 |
|
|
|
69,292 |
|
Total adjustments to income (loss) from operations(2) |
|
15,236 |
|
|
|
8,303 |
|
|
|
66,060 |
|
|
|
89,599 |
|
Adjusted income (loss) from operations |
$ |
414,000 |
|
|
$ |
168,952 |
|
|
$ |
(8,011 |
) |
|
$ |
574,941 |
|
|
|
|
|
|
|
|
|
||||||||
Adjusted gross profit |
$ |
1,237,431 |
|
|
$ |
598,748 |
|
|
$ |
244,212 |
|
|
$ |
2,080,391 |
|
Adjusted income (loss) from operations |
|
414,000 |
|
|
|
168,952 |
|
|
|
(8,011 |
) |
|
|
574,941 |
|
Adjusted operating margin - excluding restructuring and loss on divestiture |
|
33.5 |
% |
|
|
28.2 |
% |
|
|
N/M |
|
|
27.6 |
% |
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
$ in 000's |
|
per share |
|
$ in 000's |
|
per share |
||||||||
Net income and per share (diluted) |
$ |
97,229 |
|
|
$ |
0.80 |
|
|
$ |
316,384 |
|
|
$ |
2.63 |
|
Restructuring and related costs, pre-tax |
|
4,429 |
|
|
|
0.04 |
|
|
|
32,563 |
|
|
|
0.28 |
|
Loss on divestiture, pre-tax |
|
57,036 |
|
|
|
0.47 |
|
|
|
57,036 |
|
|
|
0.47 |
|
Tax effect of adjustments |
|
(3,176 |
) |
|
|
(0.03 |
) |
|
|
(9,922 |
) |
|
|
(0.08 |
) |
Adjusted net income and per share (diluted) |
$ |
155,518 |
|
|
$ |
1.28 |
|
|
$ |
396,061 |
|
|
$ |
3.30 |
|
____________________________________________
(1) The three months ended September 30, 2024 includes severance and other personnel expenses of |
(2) The nine months ended September 30, 2024 includes severance and other personnel expenses of |
Condensed Consolidated Statements of Income |
|||||||||||||||||||||
(unaudited, in thousands, except per share data) |
|||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||||||||
|
|
2025 |
|
|
|
2024 |
|
|
% change |
|
|
2025 |
|
|
|
2024 |
|
|
% change |
||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Revenues: |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Transportation |
$ |
3,783,535 |
|
|
$ |
4,278,300 |
|
|
(11.6 |
)% |
|
$ |
11,252,110 |
|
|
$ |
12,482,818 |
|
|
(9.9 |
)% |
Sourcing |
|
353,311 |
|
|
|
366,341 |
|
|
(3.6 |
)% |
|
|
1,068,019 |
|
|
|
1,057,482 |
|
|
1.0 |
% |
Total revenues |
|
4,136,846 |
|
|
|
4,644,641 |
|
|
(10.9 |
)% |
|
|
12,320,129 |
|
|
|
13,540,300 |
|
|
(9.0 |
)% |
Costs and expenses: |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Purchased transportation and related services |
|
3,112,683 |
|
|
|
3,575,983 |
|
|
(13.0 |
)% |
|
|
9,286,694 |
|
|
|
10,501,362 |
|
|
(11.6 |
)% |
Purchased products sourced for resale |
|
318,086 |
|
|
|
333,405 |
|
|
(4.6 |
)% |
|
|
961,039 |
|
|
|
958,547 |
|
|
0.3 |
% |
Personnel expenses |
|
349,302 |
|
|
|
361,559 |
|
|
(3.4 |
)% |
|
|
1,033,177 |
|
|
|
1,101,868 |
|
|
(6.2 |
)% |
Other selling, general, and administrative expenses |
|
135,939 |
|
|
|
193,575 |
|
|
(29.8 |
)% |
|
|
425,611 |
|
|
|
493,181 |
|
|
(13.7 |
)% |
Total costs and expenses |
|
3,916,010 |
|
|
|
4,464,522 |
|
|
(12.3 |
)% |
|
|
11,706,521 |
|
|
|
13,054,958 |
|
|
(10.3 |
)% |
Income from operations |
|
220,836 |
|
|
|
180,119 |
|
|
22.6 |
% |
|
|
613,608 |
|
|
|
485,342 |
|
|
26.4 |
% |
Interest and other income/expense, net |
|
(15,602 |
) |
|
|
(36,282 |
) |
|
(57.0 |
)% |
|
|
(57,679 |
) |
|
|
(74,587 |
) |
|
(22.7 |
)% |
Income before provision for income taxes |
|
205,234 |
|
|
|
143,837 |
|
|
42.7 |
% |
|
|
555,929 |
|
|
|
410,755 |
|
|
35.3 |
% |
Provision for income taxes |
|
42,247 |
|
|
|
46,608 |
|
|
(9.4 |
)% |
|
|
105,169 |
|
|
|
94,371 |
|
|
11.4 |
% |
Net income |
$ |
162,987 |
|
|
$ |
97,229 |
|
|
67.6 |
% |
|
$ |
450,760 |
|
|
$ |
316,384 |
|
|
42.5 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net income per share (basic) |
$ |
1.36 |
|
|
$ |
0.81 |
|
|
67.9 |
% |
|
$ |
3.75 |
|
|
$ |
2.65 |
|
|
41.5 |
% |
Net income per share (diluted) |
$ |
1.34 |
|
|
$ |
0.80 |
|
|
67.5 |
% |
|
$ |
3.71 |
|
|
$ |
2.63 |
|
|
41.1 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Weighted average shares outstanding (basic) |
|
119,887 |
|
|
|
119,860 |
|
|
— |
% |
|
|
120,363 |
|
|
|
119,542 |
|
|
0.7 |
% |
Weighted average shares outstanding (diluted) |
|
121,349 |
|
|
|
121,179 |
|
|
0.1 |
% |
|
|
121,413 |
|
|
|
120,155 |
|
|
1.0 |
% |
Business Segment Information |
|||||||||||||
(unaudited, in thousands, except average employee headcount) |
|||||||||||||
|
|
NAST |
|
Global Forwarding |
|
All Other and Corporate |
|
Consolidated |
|||||
Three Months Ended September 30, 2025 |
|
|
|
|
|
|
|
|
|||||
Total revenues |
|
$ |
2,965,694 |
|
$ |
786,347 |
|
$ |
384,805 |
|
|
$ |
4,136,846 |
Adjusted gross profits(1) |
|
|
444,139 |
|
|
191,755 |
|
|
70,183 |
|
|
|
706,077 |
Income (loss) from operations |
|
|
172,878 |
|
|
49,021 |
|
|
(1,063 |
) |
|
|
220,836 |
Depreciation and amortization |
|
|
4,874 |
|
|
2,250 |
|
|
18,705 |
|
|
|
25,829 |
Total assets(2) |
|
|
2,978,317 |
|
|
1,233,692 |
|
|
1,015,845 |
|
|
|
5,227,854 |
Average employee headcount |
|
|
5,187 |
|
|
4,245 |
|
|
3,127 |
|
|
|
12,559 |
|
|
|
|
|
|
|
|
|
|||||
|
|
NAST |
|
Global Forwarding |
|
All Other and Corporate |
|
Consolidated |
|||||
Three Months Ended September 30, 2024 |
|
|
|
|
|
|
|
|
|||||
Total revenues |
|
$ |
2,934,617 |
|
$ |
1,141,190 |
|
$ |
568,834 |
|
|
$ |
4,644,641 |
Adjusted gross profits(1) |
|
|
420,664 |
|
|
234,636 |
|
|
79,953 |
|
|
|
735,253 |
Income (loss) from operations |
|
|
148,767 |
|
|
88,115 |
|
|
(56,763 |
) |
|
|
180,119 |
Depreciation and amortization |
|
|
4,904 |
|
|
2,608 |
|
|
16,436 |
|
|
|
23,948 |
Total assets(2) |
|
|
3,026,031 |
|
|
1,566,427 |
|
|
1,020,897 |
|
|
|
5,613,355 |
Average employee headcount |
|
|
5,595 |
|
|
4,552 |
|
|
3,938 |
|
|
|
14,085 |
|
|
NAST |
|
Global Forwarding |
|
All Other and Corporate |
|
Consolidated |
|||||
Nine Months Ended September 30, 2025 |
|
|
|
|
|
|
|
|
|||||
Total revenues |
|
$ |
8,752,341 |
|
$ |
2,359,035 |
|
$ |
1,208,753 |
|
|
$ |
12,320,129 |
Adjusted gross profits(1) |
|
|
1,294,711 |
|
|
563,964 |
|
|
213,721 |
|
|
|
2,072,396 |
Income (loss) from operations |
|
|
480,540 |
|
|
143,294 |
|
|
(10,226 |
) |
|
|
613,608 |
Depreciation and amortization |
|
|
14,498 |
|
|
6,577 |
|
|
55,262 |
|
|
|
76,337 |
Total assets(2) |
|
|
2,978,317 |
|
|
1,233,692 |
|
|
1,015,845 |
|
|
|
5,227,854 |
Average employee headcount |
|
|
5,234 |
|
|
4,380 |
|
|
3,339 |
|
|
|
12,953 |
|
|
|
|
|
|
|
|
|
|||||
|
|
NAST |
|
Global Forwarding |
|
All Other and Corporate |
|
Consolidated |
|||||
Nine Months Ended September 30, 2024 |
|
|
|
|
|
|
|
|
|||||
Total revenues |
|
$ |
8,924,839 |
|
$ |
2,921,050 |
|
$ |
1,694,411 |
|
|
$ |
13,540,300 |
Adjusted gross profits(1) |
|
|
1,237,431 |
|
|
598,748 |
|
|
244,212 |
|
|
|
2,080,391 |
Income (loss) from operations |
|
|
398,764 |
|
|
160,649 |
|
|
(74,071 |
) |
|
|
485,342 |
Depreciation and amortization |
|
|
15,779 |
|
|
8,245 |
|
|
48,856 |
|
|
|
72,880 |
Total assets(2) |
|
|
3,026,031 |
|
|
1,566,427 |
|
|
1,020,897 |
|
|
|
5,613,355 |
Average employee headcount |
|
|
5,800 |
|
|
4,714 |
|
|
4,023 |
|
|
|
14,537 |
____________________________________________
(1) Adjusted gross profits is a non-GAAP financial measure explained above. The difference between adjusted gross profits and gross profits is not material. |
(2) All cash and cash equivalents are included in All Other and Corporate. |
Condensed Consolidated Balance Sheets |
|||||
(unaudited, in thousands) |
|||||
|
September 30, 2025 |
|
December 31, 2024 |
||
Assets |
|
|
|
||
Current assets: |
|
|
|
||
Cash and cash equivalents |
$ |
136,837 |
|
$ |
145,762 |
Receivables, net of allowance for credit loss |
|
2,542,704 |
|
|
2,383,709 |
Contract assets, net of allowance for credit loss |
|
177,623 |
|
|
200,332 |
Prepaid expenses and other |
|
129,326 |
|
|
102,166 |
Assets held for sale |
|
— |
|
|
137,634 |
Total current assets |
|
2,986,490 |
|
|
2,969,603 |
|
|
|
|
||
Property and equipment, net of accumulated depreciation and amortization |
|
120,733 |
|
|
127,189 |
Right-of-use lease assets |
|
291,051 |
|
|
334,738 |
Intangible and other assets, net of accumulated amortization |
|
1,829,580 |
|
|
1,866,396 |
Total assets |
$ |
5,227,854 |
|
$ |
5,297,926 |
|
|
|
|
||
Liabilities and stockholders’ investment |
|
|
|
||
Current liabilities: |
|
|
|
||
Accounts payable and outstanding checks |
$ |
1,307,766 |
|
$ |
1,212,132 |
Accrued expenses: |
|
|
|
||
Compensation |
|
172,356 |
|
|
180,801 |
Transportation expense |
|
139,180 |
|
|
153,274 |
Income taxes |
|
24,108 |
|
|
9,326 |
Other accrued liabilities |
|
168,458 |
|
|
173,318 |
Current lease liabilities |
|
72,200 |
|
|
72,842 |
Current portion of debt |
|
— |
|
|
455,792 |
Liabilities held for sale |
|
— |
|
|
67,413 |
Total current liabilities |
|
1,884,068 |
|
|
2,324,898 |
|
|
|
|
||
Long-term debt |
|
1,183,150 |
|
|
921,857 |
Noncurrent lease liabilities |
|
247,068 |
|
|
290,641 |
Noncurrent income taxes payable |
|
42,776 |
|
|
23,472 |
Deferred tax liabilities |
|
9,717 |
|
|
12,565 |
Other long-term liabilities |
|
4,034 |
|
|
2,442 |
Total liabilities |
|
3,370,813 |
|
|
3,575,875 |
|
|
|
|
||
Total stockholders’ investment |
|
1,857,041 |
|
|
1,722,051 |
Total liabilities and stockholders’ investment |
$ |
5,227,854 |
|
$ |
5,297,926 |
Condensed Consolidated Statements of Cash Flow |
|||||||
(unaudited, in thousands, except operational data) |
|||||||
|
Nine Months Ended September 30, |
||||||
Operating activities: |
|
2025 |
|
|
|
2024 |
|
|
|
|
|
||||
Net income |
$ |
450,760 |
|
|
$ |
316,384 |
|
Adjustments to reconcile net income to net cash provided by (used for) operating activities: |
|
|
|
||||
Depreciation and amortization |
|
76,337 |
|
|
|
72,880 |
|
Provision for credit losses |
|
6,571 |
|
|
|
3,755 |
|
Stock-based compensation |
|
62,774 |
|
|
|
64,249 |
|
Deferred income taxes |
|
30,564 |
|
|
|
(7,033 |
) |
Excess tax benefit on stock-based compensation |
|
(15,621 |
) |
|
|
(5,509 |
) |
Change in loss on disposal group |
|
(569 |
) |
|
|
48,232 |
|
Other operating activities |
|
7,172 |
|
|
|
11,845 |
|
Changes in operating elements: |
|
|
|
||||
Receivables |
|
(89,325 |
) |
|
|
(398,059 |
) |
Contract assets |
|
23,035 |
|
|
|
(88,171 |
) |
Prepaid expenses and other |
|
(26,521 |
) |
|
|
24,588 |
|
Right of use asset |
|
42,475 |
|
|
|
5,884 |
|
Accounts payable and outstanding checks |
|
79,171 |
|
|
|
77,397 |
|
Accrued compensation |
|
(9,903 |
) |
|
|
33,921 |
|
Accrued transportation expenses |
|
(14,094 |
) |
|
|
68,588 |
|
Accrued income taxes |
|
49,418 |
|
|
|
10,634 |
|
Other accrued liabilities |
|
(16,168 |
) |
|
|
4,809 |
|
Lease liability |
|
(49,701 |
) |
|
|
(5,917 |
) |
Other assets and liabilities |
|
2,730 |
|
|
|
2,677 |
|
Net cash provided by operating activities |
|
609,105 |
|
|
|
241,154 |
|
Investing activities: |
|
|
|
||||
Purchases of property and equipment |
|
(16,615 |
) |
|
|
(19,977 |
) |
Purchases and development of software |
|
(38,246 |
) |
|
|
(39,122 |
) |
Proceeds from divestiture |
|
27,737 |
|
|
|
— |
|
Net cash used for investing activities |
|
(27,124 |
) |
|
|
(59,099 |
) |
Financing activities: |
|
|
|
||||
Proceeds from stock issued for employee benefit plans |
|
112,076 |
|
|
|
79,914 |
|
Stock tendered for payment of withholding taxes |
|
(57,982 |
) |
|
|
(23,902 |
) |
Repurchase of common stock |
|
(240,257 |
) |
|
|
— |
|
Cash dividends |
|
(227,053 |
) |
|
|
(220,256 |
) |
Proceeds from long-term borrowings |
|
344,000 |
|
|
|
— |
|
Payments on long-term borrowings |
|
(512,000 |
) |
|
|
(10,000 |
) |
Proceeds from short-term borrowings |
|
1,548,800 |
|
|
|
2,461,500 |
|
Payments on short-term borrowings |
|
(1,575,800 |
) |
|
|
(2,471,500 |
) |
Net cash used for financing activities |
|
(608,216 |
) |
|
|
(184,244 |
) |
Effect of exchange rates on cash and cash equivalents |
|
6,534 |
|
|
|
(653 |
) |
Net change in cash and cash equivalents, including cash and cash equivalents classified within assets held for sale |
|
(19,701 |
) |
|
|
(2,842 |
) |
Plus: net decrease (increase) in cash and cash equivalents within assets held for sale |
|
10,776 |
|
|
|
(10,978 |
) |
Cash and cash equivalents, beginning of period |
|
145,762 |
|
|
|
145,524 |
|
Cash and cash equivalents, end of period |
$ |
136,837 |
|
|
$ |
131,704 |
|
|
As of September 30, |
||||||
Operational Data: |
|
2025 |
|
|
|
2024 |
|
Employees |
|
12,314 |
|
|
|
13,956 |
|
CHRW-IR
View source version on businesswire.com: https://www.businesswire.com/news/home/20251029089022/en/
FOR INQUIRIES, CONTACT:
Chuck Ives, Senior Director of Investor Relations
Email: chuck.ives@chrobinson.com
Source: C.H. Robinson
