RXO reported higher third-quarter revenue and profit, with its brokerage business leading the improvement as truckload activity and spot-market exposure increased. The company also said C.H. Robinson has agreed to acquire it in a transaction expected to close in the first half of 2027.
- Companywide results: Revenue rose to $1.9 billion from $1.4 billion a year earlier. Gross margin narrowed to 14.6% from 16.5%.
- Profitability improved: RXO recorded GAAP net income of $3 million, compared with a $14 million loss in the third quarter of 2025. Adjusted net income was $16 million, versus $2 million a year earlier. Adjusted EBITDA increased to $51 million from $32 million, and its margin rose to 2.7% from 2.3%.
- Costs affected reported earnings: Third-quarter GAAP net income included $7 million in transaction, integration, restructuring and other costs. RXO reported diluted GAAP earnings of $0.02 per share and adjusted diluted earnings of $0.09. The company said transaction-related costs and amortization of intangibles reduced GAAP earnings per share by $0.07, net of tax.
- Brokerage activity strengthened: Brokerage volume grew 2% year over year. Truckload volume rose 3%, improving each month during the quarter, while less-than-truckload volume increased 2%.
- More business moved through the spot market: Spot loads made up 51% of truckload volume, up from 42% in the second quarter and 29% a year earlier. RXO said gross profit per load increased 31% sequentially—the strongest sequential improvement in more than four years. Brokerage gross margin was 12.6%.
- Complementary services also grew: Last Mile stops increased 5% year over year. Managed Transportation was awarded about $140 million in freight under management.
- Acquisition remains pending: C.H. Robinson has agreed to purchase RXO, with closing expected in the first half of 2027. The announcement provided no further transaction terms in the results materials. RXO said it would maintain its focus on customers and service as it moves toward the acquisition.
The quarter showed a sharp improvement in adjusted earnings and stronger brokerage performance, alongside a lower companywide gross margin than a year earlier. The pending acquisition would change RXO’s ownership if completed; it had not yet closed.