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XPO Logistics Announces Q4 and Full Year 2015 Results

February 25, 2016 By: Trucking News Staff Tags: Fleet Management, News

XPO Logistics Inc. on Wednesday announced financial results for the fourth quarter and full year of 2015. For the fourth quarter of 2015, total gross revenue increased 302.3 percent year-over-year to $3.3 billion, and net revenue increased 419.8 percent to $1.6 billion.

On a GAAP basis, the company reported a net loss of $63.1 million for the quarter, compared with a net loss of $9.9 million for the same period in 2014. The net loss attributable to common shareholders was $62.8 million, or a loss of $0.58 per diluted share, compared with a net loss attributable to common shareholders of $51.5 million, or a loss of $0.77 per diluted share, for the same period in 2014.

The fourth quarter 2015 GAAP net loss includes $64.7 million of one-time after-tax transaction-related costs net of non-controlling interests, and a $42.7 million non-cash after-tax amortization charges.

For the full year 2015, the company reported total revenue of $7.6 billion — a 223.5 percent increase from 2014.

On a GAAP basis, the company reported a net loss of $191.6 million for the full year 2015, compared with a net loss of $63.6 million last year. The net loss attributable to common shareholders was $245.9 million, or a loss of $2.65 per diluted share, compared with a net loss of $107.4 million, or a loss of $2.00 per diluted share, for 2014.

As of Dec. 31, 2015, the company had approximately $290 million of cash and cash equivalents, and a $1 billion asset-backed revolver. Approximately 72 percent of the company’s debt will mature in 2021 or later.

Bradley Jacobs, chairman and chief executive officer of XPO Logistics, said, “In the fourth quarter, we delivered organic adjusted EBITDA growth of 33 percent, and organic revenue growth of 8.4 percent ex-fuel. EBITDA growth in our transportation segment was led by our asset-light freight brokerage business, which continues to improve productivity through technology and the increasing tenure of our sales force.

“We completed the Con-way transaction one month into the quarter. The integration is going extremely well, and we’ve already taken out over $50 million of costs in annual savings in the first three months, while improving customer service levels. We’re on track with our plan to deliver $170 million to $210 million of profit improvement within two years.”

Jacobs continued, “Looking at 2016, we have a high-impact agenda that includes accelerated cross-selling, the strategic sourcing of nearly $3 billion of spend, the optimization of our purchased transportation, and the global integration of corporate services. These and other major initiatives give us the ability to grow the business across a range of economic conditions.”