C.H. Robinson Worldwide (NASDAQ:CHRW) Posts Quarterly Earnings Results, Beats Expectations By $0.05 EPS

C.H. Robinson Worldwide (NASDAQ:CHRW) issued its quarterly earnings data on Wednesday. The transportation company reported $1.80 earnings per share for the quarter, topping the consensus estimate of $1.75 by $0.05, Zacks reports. The business had revenue of $5.36 billion during the quarter, compared to the consensus estimate of $4.92 billion. C.H. Robinson Worldwide’s revenue for the quarter was up 29.5% on a year-over-year basis. During the same quarter last year, the company earned $1.40 EPS.

Here are the key takeaways from C.H. Robinson Worldwide’s conference call:

• Positive Sentiment: C. H. Robinson reported another quarter of double-digit earnings growth, with total revenue up 29.5% and adjusted gross profit up 14.5% year over year. NAST operating margin reached 40.3%, while Global Forwarding margin rose to 36.6%.
• Positive Sentiment: NAST volume grew 3.5% year over year versus a 0.3% decline in the Cass Freight Shipment Index, marking the 14th consecutive quarter of market outperformance. Truckload adjusted gross profit per load increased 17% as the company repriced contractual business and captured higher-margin spot volume.
• Positive Sentiment: Management said its Lean AI strategy continues to improve productivity and operating leverage, with NAST shipments per person per day up more than 15% year over year and more than 65% since the end of 2022. The company sees substantial additional opportunity to automate quote-to-cash workflows, particularly in Global Forwarding.
• Positive Sentiment: Management remains highly confident in the planned RXO acquisition, citing limited customer overlap, healthy RXO gross margins, and $300 million in expected net synergies. Robinson plans to apply its operating model and technology to improve RXO’s cost structure while preserving customer-facing talent and relationships.
• Negative Sentiment: C. H. Robinson raised its full-year SG&A expense outlook to $585 million-$590 million, primarily reflecting higher claims and real-estate impairment charges. It has also paused share repurchases as leverage is expected to rise after the RXO deal, with management prioritizing deleveraging through 2028; 2027 insurance costs remain pending final renewal negotiations.

C.H. Robinson Worldwide Stock Performance

Shares of NASDAQ CHRW traded down $14.29 during midday trading on Wednesday, reaching $129.30. The stock had a trading volume of 1,133,407 shares, compared to its average volume of 1,954,731. The stock has a 50-day moving average of $146.34 and a 200-day moving average of $170.22. C.H. Robinson Worldwide has a 12-month low of $126.14 and a 12-month high of $210.33.

C.H. Robinson Worldwide Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, October 2nd. Shareholders of record on Friday, September 4th were paid a dividend of $0.63 per share. The ex-dividend date was Friday, September 4th. This represents a $2.52 dividend on an annualized basis and a yield of 1.9%.

Wall Street Analyst Weigh In

Several brokerages recently issued reports on CHRW. Deutsche Bank Aktiengesellschaft lowered shares of C.H. Robinson Worldwide from a “buy” rating to a “hold” rating and set a $153.00 target price for the company. in a research report on Monday, October 12th. Truist Financial decreased their price target on shares of C.H. Robinson Worldwide from $215.00 to $200.00 and set a “buy” rating on the stock in a research report on Wednesday, October 7th. Sanford C. Bernstein reiterated a “market perform” rating on shares of C.H. Robinson Worldwide in a research note on Tuesday, October 6th. Weiss Ratings downgraded shares of C.H. Robinson Worldwide from a “hold (c+)” rating to a “hold (c)” rating in a research report on Tuesday, September 1st. Finally, Citizens Jmp began coverage on shares of C.H. Robinson Worldwide in a research report on Wednesday, July 15th. They set a “market perform” rating and a $235.00 price objective for the company. One equities research analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $190.00.

About C.H. Robinson Worldwide

C.H. Robinson Worldwide, Inc is a global third-party logistics provider that connects shippers with transportation carriers and other supply-chain resources. The company arranges the movement of freight by truckload, less-than-truckload, intermodal, ocean and air transportation, serving businesses across a range of industries.

Its services include freight brokerage, transportation management, logistics consulting, customs and trade support, shipment tracking, and technology-enabled supply-chain solutions.