XPO Announces Financial Results for Second Quarter

August 2, 2026  by Karen Parrish in Business Strategy, Industry   

Mario Harik, chairman and chief executive officer of XPO, said, “We accelerated our performance significantly in the second quarter, delivering 56% year-over-year growth in adjusted diluted EPS and 25% growth in adjusted EBITDA, excluding real estate gains.

“In North American LTL, we increased adjusted operating income by 36% year-over-year and expanded our adjusted operating ratio by 300 basis points to a record 79.9%, strongly outperforming seasonality. Both yield and revenue per shipment, excluding fuel, improved sequentially and year-over-year, while our profitable market share gains ramped volume growth through the quarter. Underpinning these achievements is our service quality for customers, as we delivered a company-best damage claims ratio below 0.2%. On the cost side, we continued to improve labor productivity above target by implementing new AI capabilities across the network, enhancing efficiency.”

Harik continued, “A consistently superior customer experience remains our foundation for value creation as we continue to grow the business and expand our margins. Our world-class service, combined with the investments we've made in our network, fleet and people are driving outperformance and accelerating free cash flow generation as freight demand strengthens.”

Second Quarter Highlights

For the second quarter 2026, the company generated revenue of $2.36 billion, compared with $2.08 billion for the same period in 2025.

Operating income was $271 million for the second quarter, compared with $198 million for the same period in 2025. Net income was $162 million for the second quarter, compared with $106 million for the same period in 2025. Diluted earnings per share was $1.36 for the second quarter, compared with $0.89 for the same period in 2025.

Adjusted net income, a non-GAAP financial measure, was $201 million for the second quarter, compared with $125 million for the same period in 2025. Adjusted diluted EPS, a non-GAAP financial measure, was $1.70 for the second quarter, compared with $1.05 for the same period in 2025.

Adjusted earnings before interest, taxes, depreciation and amortization (“adjusted EBITDA”), a non-GAAP financial measure, was $434 million for the second quarter, compared with $340 million for the same period in 2025.

The company generated $308 million of cash flow from operating activities in the second quarter and ended the quarter with $298 million of cash and cash equivalents on hand, after completing $101 million of net capital expenditures, $70 million of common stock repurchases and $70 million of term loan repayments.

Results by Business Segment

North American Less-Than-Truckload (LTL): The segment grew revenue to $1.43 billion for the second quarter 2026, compared with $1.24 billion for the same period in 2025. On a year-over-year basis, yield, excluding fuel, increased 4.4%, shipments per day increased 2.8%, and tonnage per day increased 1.0%.

Operating income increased to $285 million for the second quarter, compared with $199 million for the same period in 2025. Adjusted operating income, a non-GAAP financial measure, increased to $287 million for the second quarter, compared with $211 million for the same period in 2025. Adjusted operating ratio, a non-GAAP financial measure, was 79.9%, reflecting a year-over-year improvement of 300 basis points.

Adjusted EBITDA for the second quarter was $390 million, compared with $300 million for the same period in 2025. The increase in adjusted EBITDA reflects yield growth, higher tonnage per day, productivity improvements and higher fuel surcharge revenue, partially offset by higher fuel costs and wage inflation.

European Transportation: The segment grew revenue to $927 million for the second quarter 2026, compared with $841 million for the same period in 2025. Operating income was a loss of $6 million for the second quarter, compared with income of $11 million for the same period in 2025, due primarily to restructuring.

Adjusted EBITDA was $48 million for the second quarter, compared with $44 million for the same period in 2025.

Corporate: The segment generated an operating loss of $9 million for the second quarter 2026, compared with a loss of $11 million for the same period in 2025.

Adjusted EBITDA was a loss of $4 million for the second quarter, consistent with the same period in 2025.

Conference Call
A live webcast of the conference will be available on the investor relations area of the company’s website, xpo.com/investors. The conference will be archived until August 29, 2026. To access the replay by phone, call toll-free (from US/Canada) 1-877-660-6853; international callers dial +1-201-612-7415. Use participant passcode 13761453.