In addition to the other information set forth in this Quarterly Report, you should carefully consider the factors disclosed in Part I, Item 1A. Risk Factors in our Annual Report on Form 10-K for the year ended December 31, 2023, which could materially affect our business, financial condition, or future results. There have not been material changes in our risk factors set forth in the company's 2023 Annual Report on Form 10-K. The risks described in our Annual Report on Form 10-K are not the only risks faci ...

C.H. Robinson Worldwide, Inc. (CHRW) first-quarter 2024 earnings of 86 cents per share outpaced the Zacks Consensus Estimate of 60 cents but declined year over year. Total revenues of $4,412.31 million beat the Zacks Consensus Estimate of $4,209.1 million but declined 4.3% year over year owing to lowerpricing in the company’s truckload services, partially offset by higher pricing and increased volume in its ocean services.Operating expenses grew 1.1% year over year to $530.6 million.Adjusted gross profits f ...

The company easily beat expectations despite a difficult operating environment.Freight logistics company C.H. Robinson Worldwide (CHRW 14.77%) delivered a standout earnings performance in a difficult environment for transportation companies.Investors are taking notice, sending C.H. Robinson shares up 17% as of 10:45 a.m. ET.Getting lean at just the right timeC.H. Robinson is an asset-light logistics company, connecting its more than 90,000 customers to contract carriers and helping those customers coordinat ...

Financial Data and Key Metrics - Q1 total revenues were $4.4 billion, with adjusted gross profit (AGP) of $658 million, down 4% YoY, driven by a 7% decline in NAST and partially offset by a 1% increase in Global Forwarding [48] - Q1 cash flow used by operations was $33 million, compared to $255 million generated in Q1 of last year, primarily due to changes in net operating working capital [24] - Q1 personnel expenses were $379.1 million, including $7.9 million of restructuring charges, down 2.2% YoY excluding restructuring charges [49] - Q1 SG&A expenses were $151.5 million, including $5 million of restructuring charges, up 3.6% YoY excluding restructuring charges [19] - Q1 adjusted EPS was $0.86, excluding $12.9 million of restructuring charges and a $3.1 million tax provision benefit [53] Business Line Data and Key Metrics - NAST truckload volume declined 0.5% YoY, but outpaced market indices, with AGP per load improving sequentially [36] - LTL shipments were up 3% YoY and 1% sequentially, with AGP per order improving within the quarter [39] - Global Forwarding AGP increased by 2.5% YoY, driven by a 7% increase in shipments, partially offset by a 4% decrease in AGP per shipment [106] - Ocean Forwarding AGP increased by 2.5% YoY, with AGP per shipment increasing 13.5% sequentially [106] Market Data and Key Metrics - Ocean rates increased sharply in Q1 on several trade lanes, including Asia to Europe and Asia to North America, but have come down from the February peak [3] - The Red Sea disruption continues, with no clear timeline for resolution, impacting global ocean capacity and transit times [105] - The Panama Canal crossings are currently at 27 per day, compared to the normal 36 per day, due to water level issues [14] Company Strategy and Industry Competition - The company is implementing a new Lean-based operating model to improve execution, discipline, and accountability [2][34] - The company is focused on productivity improvements, with targets of 15% in NAST and 10% in Global Forwarding for 2024 [18][107] - The company is leveraging Generative AI to automate tasks, improve productivity, and enhance customer service [21][46][83] - The company is gaining market share by providing differentiated solutions and customer service, and leveraging investments in technology and talent [3] Management Commentary on Operating Environment and Future Outlook - The company is optimistic about its ability to improve execution regardless of the market environment, despite an elongated freight recession and oversupply of capacity [34] - The company expects Q2 volumes to be sequentially up versus Q1, driven by seasonal factors such as the produce and beverage markets [5][130] - The company is focused on delivering compounded cost structure benefits through productivity improvements and technology investments [18][114] Other Important Information - The company's average Q1 headcount was down 11.3% YoY, with ending headcount down 10.2% to 14,734 [22] - The company returned $91 million of cash to shareholders in Q1, primarily through dividends [113] - The company's net debt to EBITDA leverage at the end of Q1 was 2.73 times, up from 2.34 times at the end of Q4 [120] Q&A Session Summary Question: Can you provide more details on the new operating model and its impact on results? [118] - The new operating model focuses on driving discipline, accountability, and responsibility, with a shift from output-based to input-based decision-making [126][127] - The model has led to improved execution, with AGP per day improving from down 3% in February to up 7% in March [129] Question: How is the company managing working capital given the increase in ocean rates? [10] - The company expects to absorb cash as ocean rates increase, but historically has seen positive cash flows through the cycle [7][65] Question: What are the productivity drivers for the 15% improvement target in NAST? [145] - The company is focusing on balancing volume and margin expectations, leveraging technology to reduce manual tasks, and improving productivity through Generative AI [132][141] Question: How is the competitive landscape impacting the company's market share gains? [151] - The company attributes its market share gains to disciplined execution and the exit of smaller brokers from the market, rather than just industry-wide capacity adjustments [88][92] Question: What are the trends in April, and what is driving them? [149] - The company expects Q2 to show sequential strength, driven by seasonal factors such as the produce and beverage markets, with typical strength in the back half of Q2 [150]

1 Except for the historical information contained herein, the matters set forth in this presentation and the accompanying earnings release are forward-looking statements that represent our expectations, beliefs, intentions or strategies concerning future events. These forwardlooking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from our historical experience or our present expectations, including, but not limited to factors such as changes in ...

C.H. Robinson Worldwide (CHRW) reported $4.41 billion in revenue for the quarter ended March 2024, representing a year-over-year decline of 4.3%. EPS of $0.86 for the same period compares to $0.98 a year ago.The reported revenue represents a surprise of +4.83% over the Zacks Consensus Estimate of $4.21 billion. With the consensus EPS estimate being $0.60, the EPS surprise was +43.33%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to ...

C.H. Robinson Worldwide (CHRW) came out with quarterly earnings of $0.86 per share, beating the Zacks Consensus Estimate of $0.60 per share. This compares to earnings of $0.98 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 43.33%. A quarter ago, it was expected that this trucking company would post earnings of $0.80 per share when it actually produced earnings of $0.50, delivering a surprise of -37.50%.Over the last four quar ...

Financial Performance - Adjusted gross profits decreased 4.1% to $657.7 million, primarily driven by lower adjusted gross profit per transaction in truckload[14]. - Total revenues decreased 4.3% to $4.4 billion, primarily due to lower pricing in truckload services[25]. - Income from operations decreased 21.1% year-over-year to $127.1 million[11]. - Diluted earnings per share (EPS) decreased 18.8% to $0.78, while adjusted EPS decreased 14.0% to $0.86[16][22]. - Net income for the quarter was $92,904, representing a 19.1% decrease from $114,891 in the same quarter of 2023[42]. - Adjusted income from operations was $140,076, down 15.0% from $164,755 in the prior year[42]. - Adjusted operating margin was 19.3%, a decline of 420 basis points from 23.5% in the previous year[42]. Revenue Breakdown - NAST segment total revenues for the first quarter were $3.0 billion, a decrease of 9.2% year-over-year[18]. - Transportation revenues decreased by 5.7% to $4,082,588, while sourcing revenues increased by 16.2% to $329,723[42]. - Total revenues for the three months ended March 31, 2024, were $4,412,311, a decrease of 4.3% compared to $4,611,670 in the same period of 2023[42]. - Total revenues for the Global Forwarding segment were $3,000,313 for the three months ended March 31, 2024[67]. - Total revenues for the three months ended March 31, 2024, were $4,412,311, an increase of 8.7% compared to $4,061,670 for the same period in 2023[54]. Operating Expenses and Cash Flow - Operating expenses increased 1.1% to $530.6 million, with personnel expenses decreasing 1.0%[26]. - Cash used by operations totaled $33.3 million, a significant decline from $254.5 million generated in the first quarter of 2023[49]. - The company reported a net cash used for operating activities of $(33,323) for the three months ended March 31, 2024, compared to $254,544 in the same period last year[65]. Shareholder Returns - Cash returned to shareholders totaled $90.7 million, including $74.6 million in cash dividends and $16.1 million in stock repurchases[5]. Tax and Liabilities - The effective tax rate increased to 15.8%, up from 13.5% in the prior year[27]. - Current liabilities increased to $2,274,286 as of March 31, 2024, from $2,051,993 at the end of the previous year[58]. Capital Expenditures and Assets - Capital expenditures for the quarter were $22.5 million, with expectations for 2024 to be between $85 million and $95 million[50]. - Total assets as of March 31, 2024, amounted to $5,472,088, an increase from $5,225,280 as of December 31, 2023[58]. Employee Metrics - Average employee headcount for the three months ended March 31, 2024, was 14,990, compared to 16,902 in the same period last year[67]. Strategic Initiatives - The company is implementing a new Lean-based operating model to improve execution and accountability[12][13]. Market Risks - The company continues to face risks related to economic conditions, competition, and regulatory changes that could impact future performance[52].

C.H. Robinson Worldwide (CHRW) is scheduled to report first-quarter 2024 results on May 1, after market close.C.H. Robinson lagged the Zacks Consensus Estimate in two of the preceding four quarters, the average miss being 9.51%. CHRW has outpaced the Zacks Consensus Estimate in one of the remaining quarters and met the mark in another quarter.Let’s see how things have shaped up for C.H. Robinson this earnings season.Q1 ExpectationsThe Zacks Consensus Estimate for C.H. Robinson’s first-quarter 2024 revenues ...

C.H. Robinson Worldwide’s (CHRW) top line suffers from lower pricing in ocean and truckload services amid ongoing challenges in a soft freight market. Increased competition, driven by weak demand, high inventories and excess capacity, further affects transportation rates.Let’s delve deeper.Southward Earnings Estimate Revision: The Zacks Consensus Estimate for current-quarter earnings has been revised 4.71% downward over the past 60 days. For the current year, the consensus mark for earnings has moved 0.89% ...