Trimble's transportation and logistics business posted higher revenue and recurring revenue in the second quarter as CEO Rob Painter said the company is beginning to see signs that the prolonged freight downturn may finally be easing. The technology company also disclosed Wednesday that it has received unsolicited interest from multiple parties in its transportation and logistics business, prompting Trimble's board and management to launch a strategic review of the unit. Trimble's transportation and logistics segment generated $141 million in second-quarter revenue, up 5% organically year over year, while annualized recurring revenue increased 7% to $533 million. The segment's operating margin reached 24%, an improvement of 240 basis points from a year earlier. Painter pointed to rising spot rates and tender rejection rates as indications that freight supply and demand are beginning to rebalance, and Trimble also reported healthy quarterly bookings in transportation and logistics.
Trimble IncTransportation revenue up 5% and signs of freight recovery indicate improving end-customer demand.
