GXO Logistics (GXO) Q2 2026 earnings summary

Executive summary

• Revenue for Q2 2026 increased 4.3% year-over-year to $3.4 billion, with organic revenue growth of 3.4% and strong commercial momentum, including $410 million in new business wins, up over 30% year-over-year, and over $1 billion incremental revenue secured for 2026.

• Net income for Q2 2026 was $27 million, compared to $28 million in Q2 2025.

• Commercial momentum was especially strong in North America, with first-half wins up 85% year-over-year and 40% of new business wins in strategic growth verticals.

• Significant investments in leadership, operational discipline, and technology, including AI and automation, are fueling growth and margin expansion.

• Operating income improved due to higher revenues, a $30 million net benefit from a real estate transaction, and the absence of a prior-year regulatory charge.

Financial highlights

• Q2 2026 revenue reached $3.4 billion, up 4% year-over-year and 3.4% organically.

• Adjusted EBITDA was $233 million, up from $227 million in Q2 2025, with a margin of 6.4%.

• Adjusted EPS was $0.59 for the quarter, up from $0.57 in Q2 2025.

• Operating cash flow was $76 million and free cash flow was $12 million, reflecting improved working capital discipline.

• Cash and cash equivalents at June 30, 2026, were $769 million, with net debt at $2.4 billion.

Outlook and guidance

• Full-year 2026 guidance: organic revenue growth of 4–5%, adjusted EBITDA of $945–$965 million, adjusted EPS of $2.95–$3.15, and free cash flow conversion of 30–40%.

• Over $1 billion of incremental revenue already secured for 2026, with $353 million secured for 2027.

• Expecting margin improvement in the back half of 2026 and accelerating organic growth into 2027.

• Management expects sufficient liquidity for at least the next 12 months, supported by cash on hand, operating cash flows, and available credit.