$XPO · XPO, Inc.
XPO, Inc. filed its 10-Q for the quarter ended September 30, 2026, reporting Q3 revenue of $2.373B (+12.4% YoY), operating income of $288M (+75.6% YoY), and net income of $181M versus $82M in the prior-year period. Diluted EPS reached $1.53 compared to $0.68 a year ago. For the nine months, operating cash flow was $906M, up from $760M, and the company repurchased $250M in common stock.
- Revenue rose 12.4% YoY to $2.373B in Q3 2026 from $2.111B in Q3 2025.
- Operating income jumped 75.6% to $288M from $164M, with operating margin reaching 12.1%.
- Diluted EPS of $1.53 more than doubled from $0.68 in the prior-year quarter.
- Nine-month operating cash flow surged to $906M from $760M, a 19.2% increase.
- Company repurchased $250M of common stock in the first nine months of 2026, retiring 1.26M shares.
Extended-hours trading shows XPO at $183.01, essentially flat vs the regular-session close of $183.01. The strong Q3 beat — net income more than doubling — appears largely priced in, with the stock already up on the day before the filing.
XPO's Q3 results show the LTL freight recovery accelerating: net income more than doubled, operating income surged 75.6%, and the company deployed $250M in buybacks — all while generating $906M in nine-month operating cash flow.
XPO's 12.4% revenue growth and 75.6% operating income expansion significantly outpace the broader LTL sector, where mid-single-digit tonnage growth has been the norm. The $250M buyback signals management confidence in the freight cycle recovery.
Fuel, operating expenses and supplies rose 20.2% YoY to $488M, outpacing revenue growth and compressing margin expansion potential. Purchased transportation costs also increased to $451M from $424M. The European trade receivables securitization program was fully utilized at its €200M ($227M) cap.