C.H. Robinson Worldwide's Q2 revenue fell 7.6% to $4.14bn, primarily due to the divestiture of its Europe Surface Transportation business and lower pricing in ocean services. The company's truckload services also experienced lower fuel surcharges. Despite the decline, C.H. Robinson remains a leading player in the logistics industry.
C.H. Robinson Worldwide (NASDAQ: CHRW) reported its Q2 2025 financial results, showing a 7.6% decline in total revenue to $4.14 billion, falling short of analysts' expectations by $40 million [2]. The primary drivers of this decline were the divestiture of the company's Europe Surface Transportation business and lower pricing in ocean services, along with lower fuel surcharges in truckload services. Despite these challenges, the company's adjusted gross profit increased by 0.8% to $693.2 million, driven by higher adjusted gross profit per transaction in customs, truckload, and less-than-truckload services.
C.H. Robinson's adjusted earnings per share (EPS) came in at $1.29, beating the consensus estimate of $1.16. The company generated $227.1 million in cash from operations, compared to $166.4 million in the same quarter last year. Additionally, cash returned to shareholders totaled $160.7 million, with $74.9 million in cash dividends and $85.8 million in repurchases of common stock.
CEO Dave Bozeman stated, "Now, with six 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 in all market cycles."
Shares of C.H. Robinson Worldwide were down 1.6% in postmarket trading on Wednesday, following the announcement. The company's peers in the transportation and logistics segment have shown varying results, with FedEx posting flat year-on-year revenue and Saia reporting flat revenue, both beating analysts' expectations [1].
References:
[1] https://finance.yahoo.com/news/c-h-robinson-worldwide-chrw-031817351.html
[2] https://seekingalpha.com/news/4474866-c-h-robinson-worldwide-trades-lower-after-q2-revenue-falls-short-of-expectations
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