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Dec 31, 2023
Expeditors Q4 2023 Earnings Report
Expeditors' Q4 2023 earnings decreased compared to the same quarter of 2022, with EPS at $1.09 and revenue at $2.3 billion.
Key Takeaways
Expeditors International of Washington, Inc. reported a decrease in financial results for Q4 2023 compared to the same quarter of 2022. EPS decreased to $1.09, net earnings attributable to shareholders decreased to $159 million, operating income decreased to $199 million, and revenues decreased to $2.3 billion. The company faced market uncertainty due to global conflicts and cautious shipper demand.
Diluted EPS decreased 21% to $1.09.
Net earnings attributable to shareholders decreased 28% to $159 million.
Operating income decreased 40% to $199 million.
Revenues decreased 34% to $2.3 billion.
Expeditors
Expeditors
Expeditors Revenue by Segment
Revenue by Segment
Airfreight Services Revenue
CapyFin.comOcean Freight Services Revenue
CapyFin.comCustoms & Other Services Revenue
CapyFin.com Forward Guidance
The company is focused on aligning headcount and overhead expenses with lower levels of transactions and volumes. They recognize the need to be prepared when tonnage and volumes eventually begin to trend upward in a rate environment that is less volatile.
Positive Outlook
- Management expects to grow the business.
- Company is focused on further aligning headcount and overhead expenses with lower levels of transactions and volumes.
- Company recognize the need to be prepared when tonnage and volumes eventually begin to trend upward in a rate environment that is less volatile.
- Expeditors generated $1.1 billion in cash flow from operations in 2023
- Returned $1.6 billion to shareholders in share repurchases and dividends.
Challenges Ahead
- Uncertainty in the ocean and air markets due to conflicts in the Middle East and Red Sea.
- New capacity in the marketplace.
- Cautious shipper demand and variable rate stability.
- Expenses are still high when compared to our efficiency target and we are working to bring expenses down further.
- We are not as efficient as we need to be for the current environment of excess capacity, weak demand, soft rates, and economic uncertainty.
Revenue & Expenses
Visualization of income flow from segment revenue to net income