NYSE$XPO

XPO Logistics Inc · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Reported solid revenue growth and strong year-over-year increases in adjusted EBITDA, adjusted EPS and free cash flow.

XPO Logistics announced its Q4 2022 financial results, reporting revenue of $1.83 billion. The company's North American LTL business achieved a 26% increase in operating income and a 20% increase in adjusted EBITDA. The company reported a net loss from continuing operations attributable to common shareholders of $36 million, or a diluted loss from continuing operations per share of $0.31.

  • Revenue was $1.83 billion, compared to $1.77 billion for the same period in 2021.
  • Net loss from continuing operations was $36 million, or a diluted loss per share of $0.31.
  • Adjusted EPS increased to $0.98, compared to $0.64 for the same period in 2021.
  • Free cash flow was $107 million for the quarter.

Headline financials

Total Revenue

$1.83B

Previous: $3.36B-45.5%
EPS (adj)

$0.98

Previous: $1.34-26.9%
Capital Expenditures

$127M

Previous: $101M+25.7%
Free Cash Flow

$107M

Previous: $57M+87.7%
Net Income

-$36M

Previous: $126M-128.6%
Operating Income

$172M

Previous: $174M-1.1%
Gross Profit

$300M

Previous: $509M-41.1%
Cash & Equivalents

$460M

Previous: $260M+76.9%
Total Assets

$6.27B

Previous: $8.72B-28.1%
Stock-Based Comp

$51M

Previous: $8M+537.5%

Revenue & EPS history

XPO Logistics · Revenue · Quarterly

$1.83B

Q4 2022-45.5%vs Q4 2021
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Revenue by segment

XPO Logistics · $1.87B total across 2 segments · Q4 2022

  • North American LTL Segment
    $1.83B+113.8%
  • European Transportation Segment
    $39M

Forward guidance

XPO is confident that they will achieve their long-term LTL outlook and deliver superior shareholder value.

Tailwinds

  • Growth plan for LTL is to invest in capacity ahead of demand and earn market share by providing best-in-class service.
  • Grew tonnage and shipment count year-over-year at a time when the industry saw these metrics decline.
  • Strategic change in channel mix will be a tailwind for both volume and yield as freight demand improves.
  • Tonnage was up year-over-year and trended better than typical seasonality in January.
  • Employee satisfaction was up sharply to the highest rating in more than a decade.

Headwinds

  • Net loss from continuing operations attributable to common shareholders of $36 million for the fourth quarter 2022
  • Net loss includes a $64 million non-cash goodwill impairment charge related to European Transportation
  • $42 million of transaction and integration costs
  • $35 million of restructuring charges
  • Yield came in at the low end of our outlook

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 2022

Historical avgQ4 2022

+0.9%

Avg return

Earnings day

+4.0%

Avg return

5 days after

+5.8%

Avg return

30 days after

52%

34 / 65 earnings

Positive

+20.4%

Q4 2023

Best reaction

-35.9%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.5%-4.2%-1.3%
Q4 2025+3.4%+11.5%+5.1%
Q3 2025+9.2%+12.8%+13.9%
Q1 2025+8.9%+12.2%+16.8%
Q4 2024+7.8%+8.6%-20.5%
Q3 2024+8.5%+11.0%+26.7%
Q2 2024-3.4%-3.3%-0.2%
Q1 2024+1.7%+2.8%-1.8%
Q4 2023+20.4%+20.0%+24.9%
Q3 2023+12.6%+18.1%+27.7%
Q2 2023+5.6%+7.7%+11.2%
Q1 2023+7.9%+6.5%+11.6%
Q4 2022-14.2%-17.4%-21.5%
Q3 2022-35.9%+11.7%+28.3%
Q2 2022-1.1%-9.0%-13.3%
Q1 2022-1.3%-1.5%-0.6%
Q4 2021+9.6%+4.9%+13.9%
Q3 2021-7.8%-9.6%-14.3%
Q2 2021+1.6%+3.9%+9.4%
Q1 2021+1.7%+5.7%+5.3%
Q4 2020-3.3%-0.3%+2.7%
Q3 2020+1.9%+7.7%+26.8%
Q2 2020-10.8%-7.6%+7.4%
Q1 2020+7.1%+6.3%+26.2%
Q4 2019-1.0%+2.1%-35.8%
Q3 2019+2.1%-0.4%+5.7%
Q2 2019+6.7%+1.0%+5.0%
Q1 2019-5.8%-3.8%-23.5%
Q4 2018-12.9%-8.4%-16.8%
Q3 2018+0.1%-2.9%-12.7%
Q2 2018+0.7%+4.1%+6.8%
Q1 2018+4.6%+9.2%+11.7%
Q4 2017-5.7%+0.1%+15.7%
Q3 2017+3.2%+6.5%+12.5%
Q2 2017-1.3%-1.4%+5.2%
Q1 2017+4.9%+7.7%+8.5%
Q4 2016-0.4%+2.4%-5.0%
Q3 2016+7.8%+13.7%+39.8%
Q2 2016+15.0%+29.0%+24.7%
Q1 2016-10.6%
Q4 2015-3.7%
Q3 2015+10.2%
Q2 2015-3.1%
Q1 2015-0.5%
Q4 2014-1.4%
Q3 2014-1.6%
Q2 2014+15.6%
Q1 2014-2.5%
Q4 2013+10.7%
Q3 2013+4.0%
Q2 2013-0.9%
Q1 2013-3.0%
Q4 2012-0.6%
Q3 2012+0.4%
Q2 2012+1.3%
Q1 2011+2.7%
Q1 2012+1.7%
Q4 2011+9.4%
Q3 2011-0.7%
Q3 2010-0.7%
Q2 2011-4.6%
Q2 2010-4.6%
Q4 2010-4.6%
Q4 2009-4.6%
Q1 2010+2.6%

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