**RXO Reports Second-Quarter 2024 Financial Results**

**RXO Reports Second-Quarter 2024 Financial Results** **Overview** RXO (NYSE: RXO) announced its financial results for the second quarter of 2024. **Key Financial Metrics** | Metric | Q2 2024 | Q2 2023 | YoY Change | Consensus Estimates | Performance vs. Estimates | |--------------------------|----------|----------|------------|---------------------|---------------------------| | Total Revenue | $930M | $963M | -3.4% | $934.15M | Below | | Gross Margin | 19.0% | 18.6% | +0.4% | N/A | N/A | | GAAP Net Income (Loss) | -$7M | $3M | N/A | N/A | N/A | | Adjusted Net Income | $4M | $10M | -60% | N/A | N/A | | Adjusted EBITDA | $28M | $38M | -26.3% | N/A | N/A | | Adjusted EBITDA Margin | 3.0% | 3.9% | -0.9% | N/A | N/A | | GAAP Diluted EPS | -$0.06 | N/A | N/A | $0.02 | Below | | Adjusted Diluted EPS | $0.03 | N/A | N/A | N/A | N/A | RXO's financial performance showed a decline in revenue and profitability year-over-year. The company reported a decrease in total revenue and adjusted EBITDA, missing the consensus revenue estimates but slightly exceeding consensus earnings per share. **Segment Performance** | Segment | Q2 2024 | YoY Change | |---------------------------|----------|------------| | Brokerage Volume Growth | 4% | N/A | | Less-Than-Truckload Volume| +40% | N/A | | Full Truckload Volume | -2% | N/A | | Last Mile Stops Growth | +7% | N/A | | Managed Transportation | $200M | N/A | RXO achieved significant volume growth in its Brokerage and Last Mile segments, with a notable 40% increase in less-than-truckload volume. The Managed Transportation segment also secured over $200 million in new freight under management. **Comments from Company's Officers** CEO Drew Wilkerson remarked, "In the second quarter, RXO continued to execute well, including achieving 4% Brokerage volume growth despite the prolonged soft freight market. We focused on effectively managing our cost of purchased transportation and achieved Brokerage gross margin of 14.7%. Our complementary services were also a significant contributor to our performance." **Forward Guidance** RXO expects third-quarter 2024 companywide Adjusted EBITDA to be between $28 million and $34 million. The company also anticipates Brokerage gross margin to range between 13% to 15% for the third quarter. **Stock Price Movement** Following the earnings release, RXO's stock price fell by approximately 4.57%. **Summary** RXO's second-quarter 2024 results reflected challenges in the freight market with declines in revenue and profitability. NULLtheless, key segments such as Brokerage and Managed Transportation showed resilience and growth. Despite a slight revenue miss against consensus, the company remains optimistic about future performance, driven by strategic investments and cost management efforts.