XPO Builds Momentum Heading Into Spin-Off
If there was any question that XPO Logistics' (NYSE: XPO) planned spin-off was coming out of weakness rather than strength, the company's fourth-quarter earnings report put those doubts to rest.
The transportation and logistics company posted 13% year-over-year revenue growth to $4.67 billion in the quarter, well ahead of the analyst consensus of $4.25 billion. Both its transportation segment, which is focused around its less-than-truckload (LTL) and truck brokerage businesses, and its logistics segment, which is based on a global network of hundreds of warehouses, delivered double-digit-percentage growth rates.
Truck brokerage was a particular bright spot for the company as revenue jumped 75.5% in the segment to $616 million, benefiting from the surge in e-commerce during the pandemic and the success of XPO Connect, a digital platform that allows shippers to easily find carriers through a mobile app. That app, Drive XPO, has now reached more than 300,000 downloads, adding 100,000 in just three months, and the platform now has more than 75,000 individual carriers, according to the company.
Source Fool.com
