RXO Reports 10% Increase in Truckload Gross Profit

By Hao Liu • Wednesday, September 09 10:53 • Permanent Link

RXO said truckload gross profit per load rose more than 10% in August versus July, topping its prior outlook and extending a stronger-than-expected start to the third quarter.

The brokerage company said spot freight made up about 50% of full-truckload volume in the first two months of the quarter, while it continued to phase in higher contract rates. RXO said that combination, along with more effective transportation purchasing, helped lift profitability per load.

The company reiterated that third-quarter truckload volume is expected to rise by a low* to mid-single-digit percentage year over year, even as freight demand remains soft.

Chief Executive Drew Wilkerson said RXO is “on pace for a strong third quarter,” pointing to the brokerage platform, customer relationships and execution in a dynamic freight market. Following these announcements, the company's shares moved 2.41%, and are now trading at a price of $20.40. For more information, read the company's full 8-K submission here.

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