NYSE$EXPD

Expeditors International of Washington · Q4 2019 earnings

Q4 2019 earnings · · Investor relations

Briefing

Expeditors' Q4 2019 earnings decreased compared to Q4 2018.

Expeditors International of Washington, Inc. reported a decrease in fourth quarter 2019 financial results compared to the same quarter of 2018. EPS decreased 23% to $0.79, net earnings decreased 23% to $137 million, operating income decreased 17% to $180 million, and revenues decreased 9% to $2.0 billion. Airfreight tonnage volume decreased 6% and ocean container volume decreased 13%.

  • Diluted EPS decreased 23% to $0.79.
  • Net earnings attributable to shareholders decreased 23% to $137 million.
  • Operating income decreased 17% to $180 million.
  • Revenues decreased 9% to $2.0 billion.

Headline financials

Total Revenue

$2.05B

Previous: $2.24B-8.5%
EPS (adj)

$0.79

Previous: $1.02-22.5%
Airfreight Tonnage Growth

-6.0%

No prior period
Ocean Container Volume Growth

-13.0%

No prior period
Net Income

$137M

Previous: $179M-23.4%
Operating Income

$180M

Previous: $217M-16.9%
Gross Profit

$239M

Previous: $277M-13.6%
Cash & Equivalents

$1.23B

Previous: $924M+33.2%
Total Assets

$3.69B

Previous: $3.31B+11.4%
Stock-Based Comp

$12.2M

Previous: $13M-6.1%

Revenue & EPS history

Expeditors · Revenue · Quarterly

$2.05B

Q4 2019-8.5%vs Q4 2018
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

Expeditors · $2.04B total across 3 segments · Q4 2019

  • Customs Brokerage and Other Services
    $767M
  • Airfreight Services
    $758M
  • Ocean Freight and Services
    $520M

Forward guidance

The company expects a significant impact on freight volumes in Q1 due to extended closures of factories in China in support of containing the Novel Coronavirus (COVID-19).

Tailwinds

  • The company remains steadfastly optimistic that when the marketplace does return to normal, they are in an excellent position to take advantage of what could be a sharp rebound in trade.

Headwinds

  • There remains a great deal of uncertainty as to when factories will return to full production.
  • Those delays will have a significant impact on freight volumes moved in Q1.
  • This may have a further impact to global supply chains through potential shortages of raw materials, parts and supplies.
  • Manufacturing capability has been shut-down or severely hampered to such an extent, so it is difficult to predict how this will play out.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2019

Historical avgQ4 2019

+0.4%

Avg return

Earnings day

+1.4%

Avg return

5 days after

+2.2%

Avg return

30 days after

54%

39 / 72 earnings

Positive

+10.9%

Q3 2025

Best reaction

-8.3%

Q2 2014

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+9.6%+11.9%+12.4%
Q4 2025-4.5%-3.1%-4.7%
Q3 2025+10.9%+12.2%+22.9%
Q1 2025-5.1%-2.4%-0.6%
Q4 2024+3.9%+2.4%+1.8%
Q3 2024-0.8%-0.3%+0.0%
Q2 2024-3.6%-1.8%+1.0%
Q1 2024+1.0%+2.3%+8.5%
Q4 2023-5.0%-3.2%-2.1%
Q3 2023+1.5%+3.5%+7.7%
Q2 2023-6.0%-6.3%-7.5%
Q1 2023+1.1%+1.0%-4.3%
Q4 2022-5.6%-3.8%-6.1%
Q3 2022+9.5%+16.9%+12.7%
Q2 2022-3.5%-2.8%-2.5%
Q1 2022+10.8%+8.0%+9.0%
Q4 2021-4.2%-0.8%-2.2%
Q3 2021+1.5%-0.5%-2.6%
Q2 2021-0.8%-1.9%-2.0%
Q1 2021+0.4%+4.9%+9.7%
Q4 2020-2.2%-3.3%+7.4%
Q3 2020+0.6%+0.5%+3.6%
Q2 2020-2.0%-0.4%+3.2%
Q1 2020+1.8%+4.8%+8.7%
Q4 2019+3.8%+2.8%-21.0%
Q3 2019+3.1%+3.4%-2.1%
Q2 2019+4.1%+3.7%+4.1%
Q1 2019-4.8%-6.2%-8.8%
Q4 2018+2.6%+2.9%+3.1%
Q3 2018+6.5%+4.1%+7.8%
Q2 2018-5.3%-5.7%-2.6%
Q1 2018+10.3%+13.1%+18.9%
Q4 2017-0.2%+2.2%-2.6%
Q3 2017+5.2%+4.1%+11.6%
Q2 2017-5.8%-7.8%-4.2%
Q1 2017-3.4%-2.9%-3.3%
Q4 2016+0.2%+0.4%-1.1%
Q3 2016-4.6%-2.5%+8.4%
Q2 2016+2.9%+3.2%+3.2%
Q1 2016-5.3%
Q4 2015-2.7%
Q3 2015-3.4%
Q2 2015+3.1%
Q1 2015+3.0%
Q4 2014+5.9%
Q3 2014+1.8%
Q2 2014-8.3%
Q1 2014+5.3%
Q4 2013-7.1%
Q3 2013-7.9%
Q2 2013+2.2%
Q1 2013+3.1%
Q4 2012-4.4%
Q3 2012+0.1%
Q2 2012+1.1%
Q1 2012-1.5%
Q4 2011+1.3%
Q3 2011+3.8%
Q2 2011-4.9%
Q1 2011+2.0%
Q4 2010-1.5%
Q3 2010-2.6%
Q2 2010-0.8%
Q1 2009+5.5%
Q1 2010-1.0%
Q4 2007-0.7%
Q4 2009-0.7%
Q3 2009+1.7%
Q3 2008+1.7%
Q2 2009+5.1%
Q2 2008+5.1%
Q4 2008+5.1%

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