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Jun 30, 2024

Expeditors Q2 2024 Earnings Report

Expeditors' financial performance decreased in Q2 2024, with EPS of $1.24.

Key Takeaways

Expeditors International of Washington reported a 9% increase in revenue to $2.4 billion for Q2 2024. However, net earnings attributable to shareholders decreased by 11% to $175 million, and operating income decreased by 10% to $224 million. Diluted EPS decreased by 5% to $1.24. Airfreight tonnage volume increased by 15%, while ocean container volume decreased by 3%.

Revenue increased by 9% to $2.4 billion.

Net earnings attributable to shareholders decreased by 11% to $175 million.

Operating income decreased by 10% to $224 million.

Diluted EPS decreased by 5% to $1.24.

Total Revenue
$2.44B
Previous year: $2.24B
+8.9%
EPS
$1.24
Previous year: $1.3
-4.6%
Airfreight tonnage
15%
Previous year: -15%
-200.0%
Ocean container volume
-3%
Previous year: -13%
-76.9%
Gross Profit
$358M
Previous year: $318M
+12.5%
Cash and Equivalents
$1.27B
Previous year: $1.7B
-25.1%
Free Cash Flow
$119M
Total Assets
$4.79B
Previous year: $4.56B
+4.9%

Expeditors

Expeditors

Expeditors Revenue by Segment

Forward Guidance

The company faces uncertainty regarding demand, capacity, and pricing, along with unpredictable events impacting global shipping.

Positive Outlook

  • Focus on alignment of shipment activity with headcount.
  • Continuing investments in people, processes, and technology.
  • Strategic efforts to explore new areas for profitable growth.
  • Customer-focused dedication of the workforce.
  • Readiness to pivot for new challenges.

Challenges Ahead

  • Erratic market conditions impacted by rapid changes and imbalances in buy versus sell rates.
  • Air market capacity constrained by e-commerce demand.
  • Ocean routing significantly disrupted by geopolitical events in the Red Sea.
  • High expenses compared to efficiency target.
  • Uncertainty with regard to demand, capacity, and pricing.

Revenue & Expenses

Visualization of income flow from segment revenue to net income