C.H. Robinson reported that it hit its mid-cycle operating margin targets even as the freight market remains in a trough, while the company continued to reduce headcount. Adjusted operating margin rose 360 basis points year-over-year to 34.7%, and adjusted gross profit increased 6.5% to $738 million. Total revenue jumped 19.3% to $4.9 billion, driven by higher pricing in truckload, less-than-truckload, air, and ocean services, but adjusted gross profit rose only 2.4% to $1.4 billion. Truckload adjusted gross profits fell 1.4%, while LTL surged 21.8% and air climbed 22.9%. CEO Dave Bozeman attributed ongoing job reductions to the company's Lean AI strategy, which has delivered over 60% productivity improvements since the end of 2022. Non-GAAP earnings per share of $1.61 beat consensus estimates by 9 cents, and revenue of $4.93 billion exceeded forecasts by $580 million.
CH Robinson Worldwide IncBeat earnings and revenue estimates, margins improved, and mid-cycle margin target achieved.