Core Insights - Radiant Logistics, Inc. reported strong financial results for the fiscal year ended June 30, 2025, with revenues increasing by 12.5% to $902.7 million compared to $802.5 million in the previous year [8][15] - The company has made significant acquisitions, including USA Logistics Services, USA Carrier Services, Universal Logistics, and an 80% stake in Weport, enhancing its operational capabilities and market presence [3][4][11] - Adjusted net income rose by 36.7% to $30.9 million, reflecting the positive impact of acquisitions and operational efficiencies [8][17] Financial Performance - Revenues for the fiscal year ended June 30, 2025, reached $902.7 million, an increase of $100.2 million or 12.5% from the prior year [8] - Gross profit increased to $226.1 million, up $2.6 million or 1.2% compared to the previous year [8] - Adjusted EBITDA for the fiscal year was $38.8 million, a rise of $7.6 million or 24.4% from $31.2 million in the prior year [8][18] Acquisitions and Growth Strategy - The company completed three green-field acquisitions and three strategic operating partner conversions in fiscal 2025, positioning itself for future growth [11] - The acquisition of Weport is expected to enhance Radiant's footprint in Mexico and support its legacy customers [11] - The company structured its acquisitions to include performance-based payments, aligning incentives for successful integration [5] Stock Buy-Back and Shareholder Value - Radiant Logistics repurchased 145,717 shares at an average cost of $5.48 per share, totaling $0.8 million during the fiscal year [6] - As of June 30, 2025, the company had 47,143,178 shares outstanding, reflecting a commitment to enhancing shareholder value [6] Market Position and Future Outlook - The CEO expressed confidence in the company's durable business model and diverse service offerings, which are expected to navigate through market volatility [10] - The company maintains a strong balance sheet with approximately $22.9 million in cash and only $20 million drawn on its $200 million credit facility [10] - Radiant Logistics anticipates a surge in global trade as tariff disputes are resolved, positioning itself to capitalize on future market opportunities [10]

Market Overview - The S&P 500 and Nasdaq 100 have reached new all-time highs, supported by falling bond yields and expectations of a 25 basis point interest rate cut by the Federal Reserve [2][5] - Major US stock indexes, including the S&P 500, Dow Jones, and Nasdaq 100, continue to post record highs due to expectations of Fed interest rate cuts [5] Economic Indicators - The September Empire manufacturing survey showed a significant decline in general business conditions, falling -20.6 to a three-month low of -8.7, which was weaker than the expected 5.0 [4] - China's August industrial production rose +5.2% year-on-year, below expectations of +5.6%, while retail sales increased +3.4% year-on-year, also weaker than the expected +3.8% [6] Company Performance - Tesla's stock rose more than +5% after Elon Musk purchased nearly $1 billion in shares, leading gains in megacap technology stocks [2][14] - Nvidia's stock fell more than -1% after a ruling from China that the company violated anti-monopoly laws related to its acquisition of Mellanox Technologies [3][18] - Texas Instruments saw a decline of more than -2% following news of an anti-dumping investigation by China targeting its semiconductor products [3][17] Upcoming Economic Events - The FOMC meeting is anticipated to result in a 25 basis point rate cut, with markets pricing in a 100% chance of this outcome [8] - Upcoming economic data includes expected increases in August retail sales and a decline in manufacturing production [7]

Market Overview - The S&P 500 Index closed down -0.05%, the Dow Jones Industrials Index down -0.59%, while the Nasdaq 100 Index closed up +0.42% [1] - Stock indexes settled mixed as higher bond yields led to long liquidation in equities, with the 10-year T-note yield rising +5 basis points to 4.06% [2] - The University of Michigan US September consumer sentiment index fell -2.8 to a 4-month low of 55.4, which weighed on stock prices [5] Economic Indicators - The US consumer sentiment report for September was weaker than expected, contributing to a Fed-friendly outlook for interest rate cuts [3][9] - Markets are pricing in a 100% chance of a -25 basis point rate cut at the upcoming FOMC meeting, with an overall expectation of -70 basis points by year-end [6][9] Company Movements - Warner Bros Discovery (WBD) surged over +16% following reports of a potential acquisition bid from Paramount Skydance [13] - Tesla (TSLA) rose more than +7% after receiving approval for testing autonomous vehicles in Nevada [13] - Micron Technology (MU) increased over +4% on speculation of accelerated growth due to strong demand for AI chips [14] - Oracle (ORCL) fell more than -5% amid reports of insider backing for a competing acquisition bid [17] Sector Performance - Covid vaccine makers, including Moderna (MRNA) and BioNTech SE (BNTX), retreated over -7% following reports linking child deaths to Covid shots [16] - Home builders and suppliers faced declines due to rising T-note yields, with Builders FirstSource (BLDR) and Toll Brothers (TOL) down more than -2% [16]

Group 1 - Radiant Logistics (NYSE: RLGT) has experienced a stock price decline of 12.2% since the last report, indicating the impact of ongoing trade disruptions on the logistics and multimodal transportation services sector [2] - The decline in stock price highlights the vulnerability of freight and logistics companies to external trade factors [2] - The analysis provided by the investing group focuses on identifying investment opportunities within the aerospace, defense, and airline industries, leveraging data-informed insights [2]

Financial Data and Key Metrics Changes - For the third fiscal quarter ended March 31, 2025, the company generated $9,400,000 in adjusted EBITDA, an increase of $4,200,000 or over 80% compared to the prior year period [4] - The net income attributable to Radiant Logistics for the quarter was $2,541,000 on revenues of $214,000,000, representing an improvement of approximately $3,244,000 over the comparable prior year period [9] - Adjusted net income for the quarter was $6,881,000, up approximately 91.9% from $3,586,000 in the same quarter of the previous year [10] Business Line Data and Key Metrics Changes - The legacy US operations contributed $1,500,000 in incremental adjusted EBITDA, while the legacy Canadian operations added $500,000 for the quarter ended March 31 [4] - The company reported an additional $2,000,000 in adjusted EBITDA driven by recent acquisitions, including Cascade Transportation, Foundation Logistics and Services, TCB Transportation, and TransCon Shipping [5] Market Data and Key Metrics Changes - Approximately 25% to 30% of the company's gross margins for March were impacted by recently announced tariffs, indicating a significant exposure to international trade dynamics [5][30] - The company noted that international trade volumes were beginning to slow due to trade tensions, but expressed optimism about a potential surge in global trade once these disputes are resolved [5][18] Company Strategy and Development Direction - The company aims to deliver profitable growth through a combination of organic and acquisition initiatives while maintaining a strong balance sheet [7] - Recent acquisitions and strategic operating partner conversions are part of the company's broader pipeline of opportunities, which includes both greenfield acquisitions and supporting current operating partners [8] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about navigating through a slower freight market, citing a strong balance sheet with approximately $19,000,000 in cash and only $15,000,000 drawn on a $200,000,000 credit facility [7] - The company anticipates some near-term volatility but believes that any slowdown will likely be followed by a surge in demand as supply chains reset [5][18] Other Important Information - The company remains focused on leveraging its technology and extensive network to create value for shareholders and customers [49] - Management highlighted the importance of adapting to changing market conditions and supporting customers through evolving trade dynamics [6][34] Q&A Session Summary Question: What drove the outperformance of the base business this quarter? - Management noted that while there was some slowing in international trade volumes, the business performed better than expected, with broad-based strength contributing to the overall increase [17][20] Question: What trends are seen in bookings out of Asia given the tariff news? - Management indicated that ocean imports from China had come to a standstill but expected this to be short-lived, with ongoing efforts to diversify sourcing strategies [22][24] Question: How was gross margin affected by tariffs? - Management clarified that 25% to 30% of gross margin is associated with international trade, indicating exposure rather than a direct impact on margin percentages [30] Question: What is the outlook for the fourth fiscal quarter? - Management expects the June quarter to be soft due to current uncertainties and does not anticipate it being the second strongest quarter of the year [44]

Financial Data and Key Metrics Changes - The company generated $9,400,000 in adjusted EBITDA for the third fiscal quarter, an increase of $4,200,000 or over 80% compared to the prior year period [4] - Net income attributable to Radiant Logistics for the three months ended March 31, 2025, was $2,541,000 on revenues of $214,000,000, representing an improvement of approximately $3,244,000 over the comparable prior year period [9] - Adjusted net income for the three months ended March 31, 2025, was $6,881,000, an increase of approximately $3,295,000 or about 91.9% compared to the same period in 2024 [10] - For the nine months ended March 31, 2025, net income was $12,384,000 on revenues of $682,100,000, an increase of approximately $9,480,000 or 326.4% compared to the prior year [11] Business Line Data and Key Metrics Changes - Legacy US operations contributed $1,500,000 in incremental adjusted EBITDA, while legacy Canadian operations contributed $500,000 for the quarter ended March 31 [4] - The company reported an additional $2,000,000 in adjusted EBITDA driven by recent acquisitions, including Cascade Transportation, Foundation Logistics, TCB Transportation, and TransCon Shipping [5] Market Data and Key Metrics Changes - Approximately 25% to 30% of the company's gross margins for March were impacted by recently announced tariffs, indicating a significant exposure to international trade dynamics [5][30] - The company noted that international trade volumes were beginning to slow due to trade tensions, but early indications for April suggested better-than-expected performance [17] Company Strategy and Development Direction - The company aims to deliver profitable growth through a combination of organic and acquisition initiatives while maintaining a strong balance sheet [7] - Recent acquisitions and strategic operating partner conversions are part of the company's broader pipeline of opportunities, focusing on both greenfield acquisitions and supporting current operating partners [8] - The company remains optimistic about leveraging its technology and global network to create value for shareholders and customers [48] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about navigating through a slower freight market, citing a strong balance sheet with $19,000,000 in cash and only $15,000,000 drawn on a $200,000,000 credit facility [7] - The company anticipates some near-term volatility but expects a surge in global trade as tariff disputes are resolved [5] - Management indicated that traditional seasonality may not apply in the current environment, expecting softness in the June quarter [43] Other Important Information - The company has a robust customs brokerage capability and a PO management platform to assist customers in navigating trade challenges [32] - The removal of the $800 de minimis rule is expected to create more opportunities for the company as it positions itself to support businesses affected by this change [34] Q&A Session Summary Question: What drove the outperformance of the base business this quarter? - Management noted that while there was some slowing in international trade volumes, early indications for April showed better-than-expected performance, and the company is optimistic about offsetting near-term impacts with future surges in trade [17][18] Question: Can you elaborate on the gross margin impact from tariffs? - Management clarified that 25% to 30% of gross margin is associated with international trade, indicating exposure but also opportunities to engage with customers [30][32] Question: How do you see the impact of currency fluctuations? - Management stated that most of the business is conducted in US dollars, with limited exposure to the Canadian dollar, leaving currency impacts to economists [40] Question: What is the outlook for the fourth fiscal quarter? - Management expects softness in the June quarter and does not anticipate it being the second strongest quarter, citing uncertainty in the operating environment [43]

Financial Data and Key Metrics Changes - For the third fiscal quarter ended March 31, 2025, the company reported adjusted EBITDA of $9,400,000, an increase of $4,200,000 or over 80% compared to the prior year period [4] - Net income attributable to Radiant Logistics for the same quarter was $2,541,000, a significant improvement of approximately $3,244,000 from a net loss of $703,000 in the prior year [9] - Adjusted net income for the quarter was $6,881,000, representing an increase of approximately $3,295,000 or about 91.9% year-over-year [10] - For the nine months ended March 31, 2025, net income was $12,384,000, an increase of approximately $9,480,000 or 326.4% compared to the same period in the previous year [11] Business Line Data and Key Metrics Changes - Legacy US operations contributed $1,500,000 in incremental adjusted EBITDA, while legacy Canadian operations added $500,000 for the quarter ended March 31 [4] - The company also generated an additional $2,000,000 in adjusted EBITDA from recent acquisitions, including Cascade Transportation, Foundation Logistics and Services, TCB Transportation, and TransCon Shipping [5] Market Data and Key Metrics Changes - Approximately 25% to 30% of the company's gross margins for March were impacted by recently announced tariffs, indicating a significant exposure to international trade dynamics [5][28] - The company noted that trade tensions have led to a slowdown in international trade volumes, particularly affecting ocean imports from China [21] Company Strategy and Development Direction - The company aims to deliver profitable growth through a combination of organic growth and acquisition initiatives while maintaining a strong balance sheet [6] - Recent acquisitions and conversions of strategic operating partners are part of the company's strategy to enhance its service offerings and market presence [7] - The company is optimistic about leveraging its technology and global network to create value for shareholders and customers [46] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about navigating through a slower freight market, citing a strong balance sheet with $19,000,000 in cash and only $15,000,000 drawn on its credit facility [6] - The company anticipates some near-term volatility but expects a surge in global trade as tariff disputes are resolved [5] - Management indicated that the upcoming quarter may be soft due to ongoing trade tensions, but they remain confident in long-term growth prospects [41] Other Important Information - The company is focused on strategic operating partner conversions and tuck-in acquisitions to enhance its operational capabilities [6] - The removal of the $800 de minimis rule is expected to create new opportunities for the company in the e-commerce sector [31] Q&A Session Summary Question: What drove the outperformance of the base business this quarter? - Management noted that while there was some slowing in international trade volumes, early indications for April showed better-than-expected performance [17] Question: Any trends seen in bookings out of Asia? - Management indicated that ocean imports from China had come to a standstill but expected this to be short-lived as companies seek alternative sourcing strategies [21] Question: Clarification on gross margin impact from tariffs? - Management clarified that 25% to 30% of gross margin is associated with international trade, not necessarily indicating a direct loss in revenue [28] Question: Outlook for the fourth fiscal quarter? - Management expects softness in the June quarter and does not anticipate it being the second strongest quarter of the year [41]

[PART I. FINANCIAL INFORMATION](index=4&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) [Item 1. Financial Statements (Unaudited)](index=4&type=section&id=Item%201.%20Financial%20Statements%20(Unaudited)) Presents unaudited condensed consolidated financial statements, including Balance Sheets, Income, and Cash Flows, reflecting growth in assets, liabilities, revenue, and net income [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets increased to **$414.5 million** from **$371.2 million**, driven by acquisitions, while total liabilities grew to **$196.2 million** Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | March 31, 2025 (unaudited) | June 30, 2024 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $19,041 | $24,874 | | Accounts receivable, net | $134,730 | $118,016 | | Goodwill | $115,385 | $93,043 | | Intangible assets, net | $47,785 | $34,943 | | **Total assets** | **$414,502** | **$371,185** | | **Liabilities & Equity** | | | | Accounts payable | $74,051 | $73,558 | | Notes payable | $15,000 | $0 | | Contingent consideration (current & long-term) | $19,813 | $5,165 | | **Total liabilities** | **$196,185** | **$161,676** | | **Total equity** | **$218,317** | **$209,509** | [Condensed Consolidated Statements of Comprehensive Income](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income) Q3 2025 net income reached **$2.5 million** on **$214.0 million** revenue, a turnaround from a prior-year loss, with nine-month net income surging to **$12.5 million** Financial Performance Highlights (in thousands, except per share data) | Metric | Q3 2025 | Q3 2024 | 9 Months 2025 | 9 Months 2024 | | :--- | :--- | :--- | :--- | :--- | | Revenues | $214,007 | $184,559 | $682,116 | $596,438 | | Income (loss) from operations | $3,334 | $(906) | $15,860 | $4,419 | | Net income (loss) | $2,572 | $(615) | $12,505 | $3,351 | | Diluted EPS | $0.05 | $(0.02) | $0.25 | $0.06 | [Condensed Consolidated Statements of Cash Flows](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Operating cash flow decreased to **$10.2 million**, while investing activities used **$29.8 million** for acquisitions, and financing provided **$13.9 million** from credit facility proceeds Cash Flow Summary (in thousands) | Activity | Nine Months Ended Mar 31, 2025 | Nine Months Ended Mar 31, 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $10,153 | $15,996 | | Net cash used for investing activities | $(29,792) | $(8,875) | | Net cash provided by (used for) financing activities | $13,937 | $(8,257) | | **Net decrease in cash** | **$(5,833)** | **$(1,236)** | [Notes to the Condensed Consolidated Financial Statements](index=10&type=section&id=Notes%20to%20the%20Condensed%20Consolidated%20Financial%20Statements) Provides detailed accounting policies, revenue recognition, acquisition details, segment performance, credit facility status, and discloses a material weakness in revenue recognition internal controls - The company operates as a third-party logistics provider in the U.S. and Canada, utilizing a network of over 100 operating locations, including independent agents and company-owned sites[17](index=17&type=chunk) - For the nine months ended March 31, 2025, U.S. operations generated **$599.6 million** in revenue, while Canadian operations generated **$82.7 million**[69](index=69&type=chunk) - Goodwill increased from **$93.0 million** to **$115.4 million** due to **$23.3 million** in acquisitions during the nine months ended March 31, 2025[76](index=76&type=chunk) - The company has a **$200 million** syndicated revolving credit facility maturing in August 2027, with **$15.0 million** outstanding as of March 31, 2025[78](index=78&type=chunk)[81](index=81&type=chunk) - During the nine months ended March 31, 2025, the company completed four acquisitions: Foundation Logistics & Services, Focus Logistics, TCB Transportation, and Transcon Shipping[111](index=111&type=chunk)[112](index=112&type=chunk)[113](index=113&type=chunk)[114](index=114&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=35&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses financial performance, highlighting revenue growth from acquisitions and project charters, strong Adjusted EBITDA, and solid liquidity with **$19.0 million** cash and a **$200 million** credit facility [Results of Operations](index=39&type=section&id=Results%20of%20Operations) Q3 2025 revenue grew **16.7%** to **$214.0 million**, with nine-month revenue up **15.6%** to **$682.1 million**, driven by acquisitions and project charters, leading to significant net income increases Q3 Performance Comparison (in millions) | Metric | Q3 2025 | Q3 2024 | Change | | :--- | :--- | :--- | :--- | | Revenues | $214.0 | $184.6 | +16.0% | | Adjusted Gross Profit | $58.2 | $53.1 | +9.5% | | Net Income (Loss) | $2.5 | $(0.7) | N/A | | Adjusted EBITDA | $9.4 | $5.2 | +80.6% | Nine-Month Performance Comparison (in millions) | Metric | 9M 2025 | 9M 2024 | Change | | :--- | :--- | :--- | :--- | | Revenues | $682.1 | $596.4 | +14.4% | | Adjusted Gross Profit | $179.0 | $175.9 | +1.8% | | Net Income | $12.4 | $2.9 | +327.6% | | Adjusted EBITDA | $30.9 | $22.1 | +39.8% | - The decrease in operating partner commissions as a percentage of adjusted gross profit is due to the conversion of strategic operating partners to company-owned locations and a higher percentage of gross profit from these locations[140](index=140&type=chunk)[155](index=155&type=chunk) [Liquidity and Capital Resources](index=44&type=section&id=Liquidity%20and%20Capital%20Resources) Primary liquidity sources are cash from operations and a **$200 million** revolving credit facility, with **$19.0 million** cash and **$15.0 million** outstanding, supporting acquisitions and working capital - Primary liquidity sources are cash from operations and a **$200 million** revolving credit facility[162](index=162&type=chunk)[167](index=167&type=chunk) - As of March 31, 2025, the company had **$19.0 million** in cash and **$15.0 million** outstanding on its credit facility[162](index=162&type=chunk)[170](index=170&type=chunk) - During the nine months ended March 31, 2025, the company used **$25.7 million** for acquisitions and **$0.7 million** for common stock repurchases[164](index=164&type=chunk)[166](index=166&type=chunk) [Item 3. Quantitative and Qualitative Disclosures about Market Risk](index=45&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) The company faces market risks from foreign exchange rate fluctuations, primarily USD/CAD, and interest rate changes on its revolving credit facility, impacting net income and interest expense - The company has foreign exchange risk from its Canadian operations; a **1.0%** change in exchange rates would affect net income by approximately **$0.02 million** for the nine months ended March 31, 2025[171](index=171&type=chunk) - The company is subject to interest rate risk on its Revolving Credit Facility; a **1.0%** increase in interest rates would increase annual interest expense by approximately **$0.01 million** for every **$1.0 million** borrowed[172](index=172&type=chunk) [Item 4. Controls and Procedures](index=45&type=section&id=Item%204.%20Controls%20and%20Procedures) Disclosure controls and procedures were ineffective due to a material weakness in revenue recognition internal controls, with ongoing remediation efforts aiming for resolution in fiscal year 2025 - The CEO and CFO concluded that disclosure controls and procedures were ineffective as of March 31, 2025[174](index=174&type=chunk) - A material weakness exists in internal controls over financial reporting related to the recording and processing of revenues, specifically regarding the completeness and accuracy of revenue[179](index=179&type=chunk) - Management is implementing enhanced controls, including transaction testing, variance analysis, and improved accrual procedures, with the goal of resolving the material weakness in fiscal year 2025[180](index=180&type=chunk)[181](index=181&type=chunk)[184](index=184&type=chunk) [PART II. OTHER INFORMATION](index=49&type=section&id=PART%20II.%20OTHER%20INFORMATION) [Item 1. Legal Proceedings](index=49&type=section&id=Item%201.%20Legal%20Proceedings) The company is not aware of any pending or threatened material legal proceedings outside the ordinary course of business - The company states that it is not involved in any material legal proceedings outside the ordinary course of business[186](index=186&type=chunk) [Item 1A. Risk Factors](index=49&type=section&id=Item%201A.%20Risk%20Factors) Highlights material changes to risk factors, including adverse impacts from U.S. trade policy changes and the unreliability of period-to-period comparisons due to economic volatility and acquisitions - A new risk factor highlights that changes in U.S. trade policy and the imposition of tariffs may have a material adverse effect on the company's business and freight volumes[188](index=188&type=chunk)[189](index=189&type=chunk) - A revised risk factor warns that period-to-period comparisons of operating results are not necessarily meaningful indicators of future performance due to economic volatility, supply chain issues, and the impact of acquisitions[191](index=191&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=51&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) Details the stock repurchase program, noting no shares were repurchased in Q3 2025, with **4,676,592** shares remaining available under the program through December 2025 - The company did not repurchase any common stock during the three months ended March 31, 2025[192](index=192&type=chunk) - As of March 31, 2025, **4,676,592** shares may still be purchased under the current stock repurchase program, which runs through December 31, 2025[192](index=192&type=chunk) [Item 5. Other Information](index=51&type=section&id=Item%205.%20Other%20Information) Reports no directors or officers adopted or terminated Rule 10b5-1 or non-Rule 10b5-1 trading arrangements during Q3 fiscal 2025 - No directors or officers adopted or terminated a Rule 10b5-1 trading plan during the quarter ended March 31, 2025[193](index=193&type=chunk) [Item 6. Exhibits](index=52&type=section&id=Item%206.%20Exhibits) Lists exhibits filed with the Form 10-Q, including CEO and CFO certifications and Inline XBRL data files [Signatures](index=53&type=section&id=Signatures) The report was signed on May 12, 2025, by Bohn H. Crain, CEO, and Todd E. Macomber, CFO - The report is signed by Bohn H. Crain (CEO) and Todd E. Macomber (CFO) on May 12, 2025[198](index=198&type=chunk)

[Financial Highlights and Corporate Developments](index=1&type=section&id=Financial%20Highlights%20and%20Corporate%20Developments) This section details the company's strong Q3 FY2025 financial performance, highlighting revenue and EBITDA growth, and recent strategic acquisitions [Financial Highlights – Third Quarter Fiscal 2025](index=1&type=section&id=Financial%20Highlights%20%E2%80%93%20Three%20Months%20Ended%20March%2031%2C%202025) For the third fiscal quarter ended March 31, 2025, Radiant Logistics reported significant year-over-year growth across key financial metrics Revenue increased by 15.9% to $214.0 million, and net income attributable to the company reversed a prior-year loss to reach $2.5 million Adjusted EBITDA saw a substantial increase of 80.8% to $9.4 million, with the corresponding margin improving by 640 basis points to 16.2% Q3 FY2025 Financial Highlights (vs. Q3 FY2024) | Metric | Q3 FY2025 | Q3 FY2024 | Change | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Revenues | $214.0M | $184.6M | +$29.4M | +15.9% | | Gross Profit | $54.5M | $48.8M | +$5.7M | +11.7% | | Adjusted Gross Profit (Non-GAAP) | $58.2M | $53.1M | +$5.1M | +9.6% | | Net Income (Loss) | $2.5M | ($0.7M) | +$3.2M | +457.1% | | Adjusted Net Income (Non-GAAP) | $6.9M | $3.6M | +$3.3M | +91.7% | | Adjusted EBITDA (Non-GAAP) | $9.4M | $5.2M | +$4.2M | +80.8% | | Adjusted EBITDA Margin (Non-GAAP) | 16.2% | 9.8% | +640 bps | N/A | [Acquisition Update](index=1&type=section&id=Acquisition%20Update) The company has actively pursued its acquisition strategy, completing three key transactions between March and May 2025 These include the acquisition of Transcon Shipping Co., Inc., and the conversion of two long-standing strategic operating partners, USA Logistics Services and Universal Logistics, Inc., into company-owned operations - The company completed the following acquisitions: - **March 1, 2025:** Acquired Transcon Shipping Co., Inc., a California-based ocean and air freight forwarder[3](index=3&type=chunk) - **April 1, 2025:** Acquired USA Logistics Services, Inc. and USA Carrier Services, LLC, a Philadelphia-based partner since 2014[4](index=4&type=chunk) - **May 1, 2025:** Acquired Universal Logistics, Inc., a Texas-based partner since 2001[4](index=4&type=chunk) - These transactions were structured with a portion of the purchase price contingent on achieving certain integration milestones and future performance[5](index=5&type=chunk) [CEO Commentary](index=2&type=section&id=CEO%20Bohn%20Crain%20Comments%20on%20Results) CEO Bohn Crain discusses robust Q3 performance, strategic growth initiatives, and the company's preparedness for market volatility [Performance, Outlook, and Strategy](index=2&type=section&id=Performance%20and%20Outlook) CEO Bohn Crain highlighted the strong Q3 performance, with Adjusted EBITDA up over 80% to $9.4 million, driven by both legacy operations and recent acquisitions While acknowledging potential near-term volatility from U.S. trade tariffs, which could impact 25-30% of gross margins from the March quarter, he emphasized the company's strong balance sheet and commitment to its long-term growth strategy through a mix of organic initiatives, acquisitions, and stock buy-backs - The **$4.2 million** year-over-year increase in Adjusted EBITDA was driven by a combination of factors: - **$1.5 million** from legacy U.S. operations[7](index=7&type=chunk) - **$0.5 million** from legacy Canadian operations[7](index=7&type=chunk) - **$2.0 million** from recent green-field acquisitions and strategic partner conversions[7](index=7&type=chunk) - The company is positioned to navigate market volatility with a strong balance sheet, reporting approximately **$19.0 million** in cash and only **$15.0 million** drawn on its **$200.0 million** credit facility as of March 31, 2025[8](index=8&type=chunk) - Management anticipates near-term volatility due to U.S. trade and tariff negotiations, estimating that **25-30%** of gross margins for the March quarter could have been affected by recently announced tariffs[8](index=8&type=chunk) - The long-term strategy remains focused on delivering profitable growth through organic initiatives, synergistic acquisitions, and re-levering the balance sheet via acquisitions and stock buy-backs[8](index=8&type=chunk) [Detailed Financial Results](index=2&type=section&id=Financial%20Results) This section presents comprehensive financial results for the three and nine months ended March 31, 2025, highlighting improved net income and adjusted EBITDA [Three Months Ended March 31, 2025](index=2&type=section&id=Three%20Months%20Ended%20March%2031%2C%202025%20%E2%80%93%20Financial%20Results) For the third quarter of fiscal 2025, the company reported a significant turnaround, with net income of $2.5 million ($0.05 per share) compared to a net loss of $0.7 million ($0.02 loss per share) in the prior-year period On a non-GAAP basis, adjusted net income was $6.9 million, and adjusted EBITDA reached $9.4 million, up from $3.6 million and $5.2 million respectively Q3 FY2025 vs. Q3 FY2024 Results | Metric | Q3 FY2025 | Q3 FY2024 | | :--- | :--- | :--- | | Revenues | $214.0M | $184.6M | | Net Income (Loss) | $2.5M | ($0.7M) | | Diluted EPS | $0.05 | ($0.02) | | Adjusted Net Income (Non-GAAP) | $6.9M | $3.6M | | Adjusted Diluted EPS (Non-GAAP) | $0.14 | $0.08 | | Adjusted EBITDA (Non-GAAP) | $9.4M | $5.2M | [Nine Months Ended March 31, 2025](index=2&type=section&id=Nine%20Months%20Ended%20March%2031%2C%202025%20%E2%80%93%20Financial%20Results) For the nine months ended March 31, 2025, net income attributable to the company was $12.4 million ($0.25 per diluted share), a substantial increase from $2.9 million ($0.06 per diluted share) in the same period last year Non-GAAP adjusted net income rose to $25.5 million from $15.6 million, and adjusted EBITDA grew to $30.9 million from $22.1 million Nine Months FY2025 vs. FY2024 Results | Metric | Nine Months FY2025 | Nine Months FY2024 | | :--- | :--- | :--- | | Revenues | $682.1M | $596.4M | | Net Income | $12.4M | $2.9M | | Diluted EPS | $0.25 | $0.06 | | Adjusted Net Income (Non-GAAP) | $25.5M | $15.6M | | Adjusted Diluted EPS (Non-GAAP) | $0.52 | $0.32 | | Adjusted EBITDA (Non-GAAP) | $30.9M | $22.1M | [Financial Statements](index=7&type=section&id=Financial%20Statements) This section provides condensed consolidated balance sheets and statements of comprehensive income, detailing asset, liability, equity, and operational performance [Condensed Consolidated Balance Sheets](index=7&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of March 31, 2025, total assets increased to $414.5 million from $371.2 million at June 30, 2024, primarily due to growth in Goodwill and Intangible assets from recent acquisitions Total liabilities also rose to $196.2 million from $161.7 million, reflecting increased contingent consideration and a new $15.0 million draw on notes payable Total equity grew to $218.3 million Balance Sheet Summary (in thousands) | Account | March 31, 2025 | June 30, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $19,041 | $24,874 | | Total current assets | $170,243 | $164,205 | | Goodwill | $115,385 | $93,043 | | Total assets | $414,502 | $371,185 | | Total current liabilities | $114,376 | $110,451 | | Total liabilities | $196,185 | $161,676 | | Total equity | $218,317 | $209,509 | [Condensed Consolidated Statements of Comprehensive Income](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income) For the three months ended March 31, 2025, the company generated revenues of $214.0 million and an operating income of $3.3 million, a significant improvement from an operating loss of $0.9 million in the prior-year quarter For the nine-month period, revenues were $682.1 million with an operating income of $15.9 million, compared to $596.4 million in revenue and $4.4 million in operating income for the same period last year Income Statement Highlights (in thousands) | Metric | Three Months Ended Mar 31, 2025 | Three Months Ended Mar 31, 2024 | Nine Months Ended Mar 31, 2025 | Nine Months Ended Mar 31, 2024 | | :--- | :--- | :--- | :--- | :--- | | Revenues | $214,007 | $184,559 | $682,116 | $596,438 | | Income (loss) from operations | $3,334 | ($906) | $15,860 | $4,419 | | Net income (loss) | $2,572 | ($615) | $12,505 | $3,351 | | Net income (loss) attributable to RLGT | $2,541 | ($703) | $12,384 | $2,904 | | Diluted EPS | $0.05 | ($0.02) | $0.25 | $0.06 | [Reconciliation of Non-GAAP Measures](index=9&type=section&id=Reconciliation%20of%20Non-GAAP%20Measures) This section reconciles GAAP measures to non-GAAP metrics like Adjusted Gross Profit, Adjusted EBITDA, and Adjusted Net Income for core operational insights [Reconciliation of Adjusted Gross Profit](index=9&type=section&id=Reconciliation%20of%20Gross%20Profit%20to%20Adjusted%20Gross%20Profit) Adjusted Gross Profit, a non-GAAP measure excluding depreciation and amortization from cost of services, was $58.2 million for Q3 2025, up from $53.1 million in the prior year For the nine-month period, it increased to $179.0 million from $175.9 million The adjusted gross profit margin was 27.2% for the quarter and 26.2% for the nine months Adjusted Gross Profit Reconciliation (in thousands) | Metric | Three Months Ended Mar 31, 2025 | Three Months Ended Mar 31, 2024 | Nine Months Ended Mar 31, 2025 | Nine Months Ended Mar 31, 2024 | | :--- | :--- | :--- | :--- | :--- | | GAAP gross profit | $54,543 | $48,751 | $168,207 | $165,035 | | Depreciation and amortization | $3,632 | $4,370 | $10,827 | $10,908 | | Adjusted gross profit | $58,175 | $53,121 | $179,034 | $175,943 | [Reconciliation of Adjusted EBITDA and Adjusted Net Income](index=10&type=section&id=Reconciliation%20of%20Net%20Income%20to%20Adjusted%20EBITDA%20and%20Adjusted%20Net%20Income) Adjusted EBITDA for Q3 2025 was $9.4 million, an 80.8% increase from $5.2 million in Q3 2024 Adjusted Net Income for the quarter was $6.9 million, up 91.7% from $3.6 million year-over-year These non-GAAP figures are adjusted for items like amortization, share-based compensation, and acquisition costs to better reflect core operating performance Adjusted EBITDA Reconciliation (in thousands) | Metric | Three Months Ended Mar 31, 2025 | Three Months Ended Mar 31, 2024 | Nine Months Ended Mar 31, 2025 | Nine Months Ended Mar 31, 2024 | | :--- | :--- | :--- | :--- | :--- | | Net income (loss) attributable to RLGT | $2,541 | ($703) | $12,384 | $2,904 | | Adjustments | $6,857 | $5,911 | $18,482 | $19,179 | | Adjusted EBITDA | $9,398 | $5,208 | $30,866 | $22,083 | Adjusted Net Income Reconciliation (in thousands) | Metric | Three Months Ended Mar 31, 2025 | Three Months Ended Mar 31, 2024 | Nine Months Ended Mar 31, 2025 | Nine Months Ended Mar 31, 2024 | | :--- | :--- | :--- | :--- | :--- | | Net income (loss) attributable to RLGT | $2,541 | ($703) | $12,384 | $2,904 | | Pre-tax adjustments | $6,572 | $5,453 | $21,336 | $17,801 | | Provision for income taxes at 24.5% | ($2,232) | ($1,164) | ($8,261) | ($5,073) | | Adjusted Net Income | $6,881 | $3,586 | $25,459 | $15,632 |

Core Viewpoint - Radiant Logistics, Inc. will host a conference call to discuss its financial results for the three and nine months ended March 31, 2025, scheduled for May 12, 2025, at 4:30 PM Eastern [1][2]. Group 1: Conference Call Details - The conference call is open to all interested parties, including individual investors and press, and will be hosted by Bohn Crain, Founder and CEO [2]. - Dial-in details for the conference call include US number (877) 545-0320 and international number (973) 528-0002, with a participant access code of 833610 [3]. - A replay of the call will be available from May 13, 2025, at 9:30 AM Eastern to May 26, 2025, at 4:30 PM Eastern, with US replay number (877) 481-4010 and international number (919) 882-2331, using replay ID number 52436 [3]. Group 2: Webcast Information - The conference call will also be available via webcast on Radiant's website at www.radiantdelivers.com or through a specific webcast link [4]. Group 3: Company Overview - Radiant Logistics operates as a third-party logistics company, providing technology-enabled global transportation and value-added logistics services primarily in the United States and Canada [5]. - The company offers a comprehensive range of services, including domestic and international freight forwarding, truck and rail brokerage services, and value-added logistics services such as warehouse and distribution, customs brokerage, order fulfillment, and inventory management [5].