Xpo, Inc. · NYSE:XPO
Xpo — XPO Logistics — Investor Presentation (October 2019)
76 slides from Xpo's investor presentation, Oct 28, 2019
Slide 1: Investor Presentation October 2019
INVESTOR PRESENTATION OCTOBER 2019 v OCTOBER 2019 Investor Presentation Exhibit 99.2
Slide 2: Disclaimers
INVESTOR PRESENTATION OCTOBER 2019 Disclaimers 2 NON - GAAP FINANCIAL MEASURES . As required by the rules of the Securities and Exchange Commission ("SEC"), we provide reconciliations of the non - GAAP financial measures contained in this presentation to the most directly comparable measure under GA
Slide 3: Investor highlights: Key factors driving growth and returns
INVESTOR PRESENTATION OCTOBER 2019 Investor highlights: Key factors driving growth and returns 3 1 Leading positions in the fastest growing sectors of transportation and logistics ▪ Top three industry positions across all major business units ▪ Over 60% of XPO’s revenues are in industry sectors that
Slide 4: Top three transportation and logistics player across all major business units
INVESTOR PRESENTATION OCTOBER 2019 Top three transportation and logistics player across all major business units 4 ▪ Highly engineered and customized solutions ▪ E - commerce fulfillment ▪ Reverse logistics ▪ High - value - add warehousing ▪ Factory and aftermarket support ▪ Integrated manufacturing
Slide 5: Global provider of significant capacity for customers
INVESTOR PRESENTATION OCTOBER 2019 Global provider of significant capacity for customers 5 GROUND TRANSPORTATION ASSETS NON - ASSET TRANSPORTATION NETWORK FACILITY ASSETS 10,000 trucks contracted via independent owner - operators 1,000,000+ brokered trucks 480 cross - docks 787 contract logistics fa
Slide 6: Key metrics
INVESTOR PRESENTATION OCTOBER 2019 Key metrics 6 US 59% France 13% UK 12% Spain 5% Other 11% REVENUE BY MIX 1 Asset - Based 30% Asset - Light 70% Total Revenue 2018: $17.3 billion REVENUE BY GEOGRAPHY 1 1 Geographic and mix data as of FY2018; key statistics as of September 30, 2019 CUSTOMERS Over 50
Slide 7: Integrated, end-to-end supply chain solutions in massive addressable markets
INVESTOR PRESENTATION OCTOBER 2019 Integrated, end - to - end supply chain solutions in massive addressable markets 7 1 Includes only North American and European markets. Sources include: Armstrong and Associates, Norbridge , Inc., EVE Partners LLC, FTR Associates, SJ Consulting Group, Inc., Bureau
Slide 8: Superior platform to capitalize on high growth e-commerce tailwinds
INVESTOR PRESENTATION OCTOBER 2019 Superior platform to capitalize on high growth e - commerce tailwinds 8 Expertise developing customized e - commerce solutions ▪ Unique provider of combined, customized solutions: warehouse management, carrier management and reverse logistics for e - commerce and o
Slide 9: Less than 2% current share of $1 trillion addressable opportunity
INVESTOR PRESENTATION OCTOBER 2019 Less than 2% current share of $1 trillion addressable opportunity 9 Strategic account teams in North America and Europe focus on winning large, incremental opportunities with new and existing customers ▪ 90 of XPO’s top 100 customers use two or more service lines ▪
Slide 10: ~$700 million to $1 billion of potential profit growth opportunity by 2022
INVESTOR PRESENTATION OCTOBER 2019 ~$700 million to $1 billion of potential profit growth opportunity by 2022 10 Pricing benefits 20% New business initiatives 20% Cost initiatives 60% XPO carefully analyzes all opportunities to ensure that resources are focused on endeavors that potentially can retu
Slide 11: Technology blueprint: Differentiation in four areas of innovation
INVESTOR PRESENTATION OCTOBER 2019 Technology blueprint: Differentiation in four areas of innovation 11 Singular technology platform propels customer and company efficiencies Digital freight marketplace ▪ Automated capacity management ▪ Customer self - service, multimodal flexibility ▪ Connectivity
Slide 12: Company-wide innovation drives comprehensive supply chain solutions
INVESTOR PRESENTATION OCTOBER 2019 Company - wide innovation drives comprehensive supply chain solutions 12 Customers trust us with 160,000 ground shipments and more than 7 billion inventory units daily LTL LAST MILE FREIGHT BROKERAGE CONTRACT LOGISTICS ▪ Proprietary warehouse platform manages compl
Slide 13: Cloud-based springboard for multiple profit improvements
INVESTOR PRESENTATION OCTOBER 2019 Cloud - based springboard for multiple profit improvements 13 LABOR AND CAPACITY OPTIMIZATION Cohesive suite of proprietary technology products focus on the most critical supply chain disciplines, leveraging machine learning to provide mode - agnostic, intelligent
Slide 14: XPO is at the forefront of supply chain innovation
INVESTOR PRESENTATION OCTOBER 2019 XPO is at the forefront of supply chain innovation 14 Moving from relationship - based industry to automated, data - centric space ▪ XPO Connect TM leverages XPO’s breadth of transportation services to offer a multimodal experience with zero - touch automation capa
Slide 15: Highly skilled management team
INVESTOR PRESENTATION OCTOBER 2019 Highly skilled management team 15 Bradley Jacobs Chief Executive Officer United Rentals, United Waste Josephine Berisha Senior Vice President, Global Compensation and Benefits Morgan Stanley Tony Brooks President, Less - Than - Truckload – North America Sysco, Peps
Slide 16: Highly skilled management team (cont.)
INVESTOR PRESENTATION OCTOBER 2019 Highly skilled management team (cont.) 16 Tavio Headley Senior Director, Investor Relations Jefferies, American Trucking Associations Meghan Henson Chief Human Resources Officer Chubb, PepsiCo Erin Kurtz Senior Vice President, Communications Thomson Reuters, AOL Ka
Slide 17: Financial highlights and key metrics
INVESTOR PRESENTATION OCTOBER 2019 Financial highlights and key metrics
Slide 18: Industry-leading growth in revenue and adjusted EBITDA
INVESTOR PRESENTATION OCTOBER 2019 Industry - leading growth in revenue and adjusted EBITDA 18 7,533 14,188 15,381 17,279 16,600 – 16,850 0 4,000 8,000 12,000 16,000 20,000 2015 2016 2017 2018 2019F 474 1,168 1,367 1,562 1,675 – 1,725 0 250 500 750 1,000 1,250 1,500 1,750 2,000 2015 2016 2017 2018 2
Slide 19: Optimal asset / non-asset business mix
INVESTOR PRESENTATION OCTOBER 2019 Optimal asset / non - asset business mix 19 % 1 Net capex is defined as payment for purchases of property and equipment less proceeds from sale of assets 2 Brokers include CH Robinson, Echo Global Logistics and Expeditors International; LTL includes Old Dominion Fr
Slide 20: Strong free cash flow generation
INVESTOR PRESENTATION OCTOBER 2019 Strong free cash flow generation 20 $ in millions 1 2018 free cash flow includes an incremental benefit of approximately $200 million from trade receivables programs 2 2019F free cash flow reflects: 1) the company’s adjusted EBITDA target of $1.675 billion to $1.72
Slide 21: Operating flexibility across all economic environments
INVESTOR PRESENTATION OCTOBER 2019 Operating flexibility across all economic environments 21 ▪ Blended model of owned, contracted and brokered capacity for truck transportation o Non - asset portion is predominantly variable - cost and includes brokerage operations, as well as contracted capacity wi
Slide 22: Full-year 2019 financial targets
INVESTOR PRESENTATION OCTOBER 2019 Full - year 2019 financial targets 22 REVENUE Revenue of (2.5%) to ( 4.0%) year - over - year, from (1%) to 1% previously; which translates to organic revenue growth of flat to 1.0%, from 2.5% to 4.5% previously ADJUSTED EBITDA FREE CASH FLOW NET CAPEX DEPRECIATION
Slide 23: Q3 2019 results, compared with Q3 2018
INVESTOR PRESENTATION OCTOBER 2019 Q3 2019 results, compared with Q3 2018 YOY 23 REVENUE $4.15 billion of revenue, down 4% ORGANIC REVENUE (0.5%) organic revenue NET INCOME 1 $117 million of net income, up 16% DILUTED EPS $1.14 diluted earnings per share, up 54% ADJUSTED NET INCOME 1 ADJUSTED DILUTE
Slide 24: $2.5 billion share repurchase program
INVESTOR PRESENTATION OCTOBER 2019 $2.5 billion share repurchase program 24 As of September 30, 2019, XPO had approximately 92 million shares of common stock outstanding, compared with 127 million shares outstanding on September 30, 2018. From December 14, 2018 through September 30, 2019, the compan
Slide 25: Business overview: Global logistics
INVESTOR PRESENTATION OCTOBER 2019 Business overview: Global logistics
Slide 26: Capitalizing on fast-growing areas of logistics through technology
INVESTOR PRESENTATION OCTOBER 2019 Capitalizing on fast - growing areas of logistics through technology 26 Comprehensive, end - to - end service range with high - value - add solutions ▪ Diverse, customized logistics and distribution services, including highly engineered and tech - enabled solutions
Slide 27: Second largest provider of contract logistics worldwide
INVESTOR PRESENTATION OCTOBER 2019 Second largest provider of contract logistics worldwide Industry size ~$120 billion 2018 revenue as % of total XPO revenue 35% Locations 787 Facility space 195 million sq. ft. (92 million sq. ft. in North America) Employees ~56,000 Average contract length ~5 years
Slide 28: Strong value proposition of scale, technology and operational expertise
INVESTOR PRESENTATION OCTOBER 2019 Strong value proposition of scale, technology and operational expertise 28 North America 92 million sq.ft . of warehouse space Europe 95 million sq.ft . of warehouse space Asia 8 million sq.ft . of warehouse space ▪ Strong moat of blue - chip supply chain professio
Slide 29: Contract logistics service offerings
INVESTOR PRESENTATION OCTOBER 2019 ▪ Multichannel services ▪ Pick, pack and dispatch services ▪ Inventory management with web portals ▪ Quality assurance ▪ Courier management ▪ Peak activity management ▪ Flow optimization ▪ Space maximization ▪ Replenishment automation ▪ Inventory regulation through
Slide 30: Warehouse automation and intelligent machines
INVESTOR PRESENTATION OCTOBER 2019 Warehouse automation and intelligent machines 30 ▪ Superior visibility and control of advanced automation on proprietary warehouse management platform ▪ Data is transmitted consistently to multiple systems, eliminating data silos ▪ Robots work cooperatively with hu
Slide 31: XPO Smart logistics management tools
INVESTOR PRESENTATION OCTOBER 2019 31 ▪ Labor planning and analytics, slotting, order analytics, forecasting and inventory control ▪ Business intelligence to drive productivity and operational effectiveness ▪ Online access from anywhere in the world via Office365 login ▪ Rapid and real - time inform
Slide 32: Proprietary warehouse platform enhances productivity, visibility and control
INVESTOR PRESENTATION OCTOBER 2019 32 Warehouse managemen t Manages all distribution processes within the warehouse walls Order managemen t Centralizes customer order data, enables real - time visibility Connection management Integrates customer systems with XPO product suite Business analytics XPO
Slide 33: XPO Direct: Flexible, shared-space distribution for B2C and B2B customers
INVESTOR PRESENTATION OCTOBER 2019 XPO Direct TM : Flexible, shared - space distribution for B2C and B2B customers 33 Network utilizes strategically placed XPO stockholding sites, cross - docks and last mile hubs ▪ Variable - cost model solves challenges of seasonal peaks and fluid demand ▪ Improves
Slide 34: XPO Direct: Compelling, nationwide solution for retail distribution
INVESTOR PRESENTATION OCTOBER 2019 XPO Direct TM : Compelling, nationwide solution for retail distribution 34 Order XPO distribution center Regional hub LTL dock Consumer’s home Parcel optimized Large goods curb - side Threshold or white glove Scale and proximity Speeds up store replenishment and ho
Slide 35: Business overview: North American Transportation
INVESTOR PRESENTATION OCTOBER 2019 Business overview: North American Transportation ▪ Less - than - truckload ▪ Truck brokerage ▪ Last mile ▪ Intermodal and drayage ▪ Managed transportation ▪ Freight forwarding
Slide 36: Less-than-truckload: Clear path to at least $1 billion EBITDA in 2021
INVESTOR PRESENTATION OCTOBER 2019 Less - than - truckload (LTL): Clear path to at least $1 billion EBITDA in 2021 36 Favorable long - term industry fundamentals ▪ Rational pricing dynamics ▪ Rapid growth of e - commerce driving retail shipments to LTL carriers National coverage offers advantages of
Slide 37: LTL: Top three provider in North America
INVESTOR PRESENTATION OCTOBER 2019 LTL: Top three provider in North America 37 TOP LTL PROVIDERS BY REVENUE 2018 1 XPO KEY METRICS $1,237 $1,654 $1,692 $2,128 $2,706 $2,787 $3,153 $3,830 $3,983 $7,352 Southeastern Freight Lines FedEx Freight Old Dominion Freight Line YRC Freight Estes Express Lines
Slide 38: LTL: Opportunity to serve customers with additional XPO services
INVESTOR PRESENTATION OCTOBER 2019 LTL: Opportunity to serve customers with additional XPO services 38 LTL CUSTOMERS LEVERAGE MULTIPLE XPO SERVICES 1 NUMBER OF XPO SERVICES USED BY TOP 100 LTL CUSTOMERS 74% 26% LTL customers that use more than one XPO service globally LTL - only customers 3 8 17 15
Slide 39: LTL: National coverage is a major advantage over regional players
INVESTOR PRESENTATION OCTOBER 2019 LTL: National coverage is a major advantage over regional players 39 DELIVERS MORE VALUE FOR CUSTOMERS THAN REGIONAL LTL PROVIDERS PROPRIETARY TECHNOLOGY PROPELS FUTURE UPSIDE ▪ Comprehensive services for customers with delivery needs in multiple markets ▪ Diverse
Slide 40: LTL: Targeting three areas of continuous network improvement
INVESTOR PRESENTATION OCTOBER 2019 LTL: Targeting three areas of continuous network improvement operations 40 DYNAMIC ROUTE OPTIMIZATION INTELLIGENT LOAD - BUILDING ADVANCED PRICING OPTIMIZATION Proprietary technology becomes continually smarter at automating LTL operations for optimal results Intel
Slide 41: XPO Smart: Workforce productivity to drive profit improvement
INVESTOR PRESENTATION OCTOBER 2019 XPO Smart TM : Workforce productivity to drive profit improvement 41 ▪ Averaging 5%+ reduction in labor cost in logistics sites, with some sites much higher ▪ Analytics provide deep visibility into scheduled versus active workers by role in real time ▪ Analyzes fac
Slide 42: Truck brokerage: Broad opportunity to cross-sell vast carrier capacity
INVESTOR PRESENTATION OCTOBER 2019 Truck brokerage: Broad opportunity to cross - sell vast carrier capacity 42 KEY METRICS Industry size 1 ~$375 billion 2018 revenue as % of total XPO revenue 2 11% Locations 19 Employees ~1,300 Carrier relationships 38,000 Accessible trucks Over 1,000,000 Source: Co
Slide 43: Steady increase in brokerage penetration across cycles
INVESTOR PRESENTATION OCTOBER 2019 Steady increase in brokerage penetration across cycles 43 6% 7% 7% 7% 8% 9% 10% 10% 10% 11% 11% 12% 12% 13% 14% 14% 16% 17% 19% 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 US FREIGHT BROKERAGE INDUSTRY PENETRATION
Slide 44: Drives efficiency, volume, and margin expansion
INVESTOR PRESENTATION OCTOBER 2019 Drives efficiency, volume, and margin expansion MODE - AGNOSTIC – Shows shippers and carriers supply and demand in real time across truck, rail and ocean OPERATIONAL SYNERGIES – Provides full visibility of customer relationships to facilitate up - sell and cross -
Slide 45: XPO Connect and Drive XPO app functionality
INVESTOR PRESENTATION OCTOBER 2019 45 COMPREHENSIVE FUNCTIONALITY FROM THE ROAD Preview XPO’s freight opportunities using the guest access feature and sign up to start booking DRIVER ENGAGEMENT AND RECRUITMENT Search for available loads, place bids and immediately purchase loads to keep moving LOAD
Slide 46: Last mile: Superior service and national brand protection
INVESTOR PRESENTATION OCTOBER 2019 Last mile: Superior service and national brand protection 46 Industry size ~$13 billion 2018 revenue as % of total XPO revenue 1 6% Locations 85 Employees ~2,200 Annual deliveries Over 10 million Average tenure of top five customers 15 years ▪ National footprint pr
Slide 47: Last mile: Best-in-class performance supported by decades of experience
INVESTOR PRESENTATION OCTOBER 2019 XPO 8% J.B.Hunt 4% Ryder 2% CEVA 1% Insourced, small and medium providers 85% Last mile: Best - in - class performance supported by decades of experience 47 ▪ Last mile for heavy goods is a complex service, making it difficult for new entrants to perform well ▪ Fea
Slide 48: Connect LM last mile technology
INVESTOR PRESENTATION OCTOBER 2019 ▪ Connect LM, XPO’s technology for last mile service, manages key levers that enhance the consumer experience: o 69% of eligible orders now consumer self - scheduled via the web, Alexa or automated call o 30% reduction in calls per delivery driven by automation and
Slide 49: Last mile: End-to-end visibility ties directly to consumer satisfaction
INVESTOR PRESENTATION OCTOBER 2019 Last mile: End - to - end visibility ties directly to consumer satisfaction 49 ▪ XPO Connect TM provides one last mile tracking number and one tracking portal, providing customers with total visibility from order to delivery ▪ Point - of - sale appointment engine e
Slide 50: Intermodal: Third largest provider in North America
INVESTOR PRESENTATION OCTOBER 2019 Intermodal: Third largest provider in North America 50 Competitive advantage: 30 - year rail partners, national drayage and technology ▪ Contracts with railroads to provide the long - haul portion of the shipment of containerized freight ▪ Provides container capaci
Slide 51: Intermodal: Superior value proposition enabled by proprietary technology
INVESTOR PRESENTATION OCTOBER 2019 Intermodal: Superior value proposition enabled by proprietary technology 51 ▪ Coverage at every key ramp and port ▪ Intermodal rail ramp drayage, TWIC - compliant port drayage ▪ Ocean drayage management services ▪ Decades of experience managing cross - border freig
Slide 52: Managed transportation: Optimized solutions and capacity procurement
INVESTOR PRESENTATION OCTOBER 2019 Managed transportation: Optimized solutions and capacity procurement 52 Leading integrated technology platform ▪ Commercially developed TMS ▪ Proprietary tracking and visibility tool ▪ Worry - free set - up and disaster recovery Onsite control tower ▪ Account manag
Slide 53: Freight forwarding: Worldwide network of local market experts
INVESTOR PRESENTATION OCTOBER 2019 Freight forwarding: Worldwide network of local market experts 53 Strong technology capabilities Integration with XPO Connect™ enhances visibility and efficiency Centralized control Global reach for customers, with rigorous oversight of pickup, delivery and freight
Slide 54: Business overview: European transportation
INVESTOR PRESENTATION OCTOBER 2019 Business overview: European transportation
Slide 55: Large opportunity to cross-sell to multinational customers in Europe
INVESTOR PRESENTATION OCTOBER 2019 Large opportunity to cross - sell to multinational customers in Europe 55 Strong positions in key European transportation markets ▪ Leading provider of LTL and truck brokerage services in Western Europe ▪ Network of over 100 locations in Europe serving countries in
Slide 56: Leading provider of truck brokerage and LTL transportation in Europe
INVESTOR PRESENTATION OCTOBER 2019 Leading provider of truck brokerage and LTL transportation in Europe 1 Includes truckload and brokerage Source: Bain 56 COMPETITIVE ADVANTAGES: EXTENSIVE CAPACITY, TECHNOLOGY AND MULTINATIONAL SERVICES ▪ Balanced non - asset and asset - based model, with one of Eur
Slide 57: Broad network coverage across Europe
INVESTOR PRESENTATION OCTOBER 2019 Broad network coverage across Europe 57 ▪ Over 100 locations serving countries inside and outside the eurozone ▪ Transportation capabilities from a single pallet to full truckloads ▪ 50,000 pallets delivered daily over domestic networks ▪ 9,800 pallets delivered da
Slide 58: Business strategy tailored for key markets
INVESTOR PRESENTATION OCTOBER 2019 Business strategy tailored for key markets 58 FRANCE UNITED KINGDOM AND IRELAND SPAIN AND PORTUGAL 24% 17% 48% ▪ Uses blended model of XPO - owned trucks and contracted independent carriers for less - than - truckload ▪ Established last mile as a subcontracted mode
Slide 59: Strategic plan to grow European revenue and expand margin
INVESTOR PRESENTATION OCTOBER 2019 Strategic plan to grow European revenue and expand margin EXPAND EXISTING PLATFORM COLLABORATE ACROSS NETWORK BUILD STRONG CUSTOMER RELATIONSHIPS INCREASE PRODUCTIVITY ▪ Take advantage of fragmented market to drive outsized growth ▪ Increase scale in last mile and
Slide 60: Sharing growth drivers between North America and Europe
INVESTOR PRESENTATION OCTOBER 2019 Sharing growth drivers between North America and Europe 60 NORTH AMERICAN TECHNOLOGY DEPLOYED IN EUROPE EUROPEAN BEST PRACTICES DEPLOYED IN NORTH AMERICA ▪ XPO Connect™ o Successfully implemented customer portal across Europe in 2019 ▪ Drive XPO™ o App currently in
Slide 61: Summary of key factors driving growth and returns
INVESTOR PRESENTATION OCTOBER 2019 Summary of key factors driving growth and returns 61 1 Leading positions in the fastest growing sectors of transportation and logistics ▪ Top three industry positions across all major business units ▪ Over 60% of XPO’s revenues are in industry sectors that are grow
Slide 62: Supplemental materials
INVESTOR PRESENTATION OCTOBER 2019 Supplemental materials
Slide 63: XPO is widely recognized for performance and culture
INVESTOR PRESENTATION OCTOBER 2019 XPO is widely recognized for performance and culture 63 ▪ Named one of the World’s Most Admired Companies by Fortune, 2018, 2019 ▪ Recognized by Ford Motor Company with World Excellence Award for expedite innovation, 2019 ▪ Named a Leader in the Magic Quadrant for
Slide 64: Highlights of XPO's inaugural sustainability report
INVESTOR PRESENTATION OCTOBER 2019 Highlights of XPO’s inaugural sustainability report 64 ▪ US warehouse employees received an average annual wage increase of 8%, with over 30% receiving an increase of 10% or more ▪ XPO partnered with a leading healthcare network for women and families to offer supp
Slide 65: Highlights of XPO's inaugural sustainability report (cont.)
INVESTOR PRESENTATION OCTOBER 2019 Highlights of XPO’s inaugural sustainability report (cont.) 65 ▪ Any XPO employee, male or female, receives up to six weeks of 100% paid postnatal leave as the infant’s primary caregiver ▪ Women receive up to 20 days of 100% paid prenatal leave for health and welln
Slide 66: Strongly committed to sustainability in transportation and logistics
INVESTOR PRESENTATION OCTOBER 2019 Strongly committed to sustainability in transportation and logistics 66 ▪ Named a Top 75 Green Supply Chain Partner by Inbound Logistics for 2016, 2017, 2018, 2019 ▪ Honored for excellence in environmental improvement by SmartWay ® ▪ Awarded the label “Objectif CO
Slide 67: Strongly committed to sustainability in transportation and logistics (cont.)
INVESTOR PRESENTATION OCTOBER 2019 Strongly committed to sustainability in transportation and logistics (cont.) 67 ▪ Numerous XPO facilities are ISO14001 - certified to high standards for environmental management ▪ Nestlé’s warehouse of the future in the UK will be sited on man - made plateaus, with
Slide 68: Business glossary
INVESTOR PRESENTATION OCTOBER 2019 Business glossary 68 ▪ Contract Logistics: An asset - light, technology - enabled business characterized by long - term contractual relationships with high renewal rates, low cyclicality and a high - value - add component that minimizes commoditization. Contracts a
Slide 69: Business glossary (cont.)
INVESTOR PRESENTATION OCTOBER 2019 Business glossary (cont.) 69 ▪ Intermodal: An asset - light business that facilitates the movement of long - haul, containerized freight by rail, often with a drayage (trucking) component at either end. Intermodal is a variable cost business, with revenue generated
Slide 70: Business glossary (cont.)
INVESTOR PRESENTATION OCTOBER 2019 Business glossary (cont.) 70 ▪ XPO Connect™: XPO’s fully automated, self - learning digital freight marketplace connects shippers and carriers directly, as well as through company operations. XPO Connect™ gives customers comprehensive visibility across multiple tra
Slide 71: Financial reconciliations
INVESTOR PRESENTATION OCTOBER 2019 Financial reconciliations 71 The following table reconciles XPO’s net income attributable to common shareholders for the periods ended September 30, 2019 and 2018 to EBITDA and adjusted EBITDA for the same periods. Notes: The sum of quarterly net income attributabl
Slide 72: Financial reconciliations (cont.)
INVESTOR PRESENTATION OCTOBER 2019 Financial reconciliations (cont.) 72 Note: Refer to the “Non - GAAP Financial Measures” section on page 2 of this document Reconciliation of Non-GAAP Measures XPO Logistics, Inc. Consolidated Reconciliation of GAAP Net Income and Net Income Per Share to Adjusted Ne
Slide 73: Financial reconciliations (cont.)
INVESTOR PRESENTATION OCTOBER 2019 Financial reconciliations (cont.) 73 Notes: 2016 and 2017 data have been recast to reflect the impact of Accounting Standards Update 2016 - 18 Refer to the “Non - GAAP Financial Measures” section on page 2 of this document Net cash provided by operating activities
Slide 74: Financial reconciliations (cont.)
INVESTOR PRESENTATION OCTOBER 2019 Financial reconciliations (cont.) 74 Note: Refer to the “Non - GAAP Financial Measures” section on page 2 of this document XPO Logistics North American Less-Than-Truckload Adjusted Operating Ratio (Unaudited) (In millions) Change % Change % Revenue (excluding fuel
Slide 75: Financial reconciliations (cont.)
INVESTOR PRESENTATION OCTOBER 2019 Financial reconciliations (cont.) 75 Notes: Adjusted EBITDA was prepared assuming 100% ownership of XPO Logistics Europe Refer to the “Non - GAAP Financial Measures” section on page 2 of this document Net income (loss) attributable to common shareholders $ 390 $ 31
Slide 76: Financial reconciliations (cont.)
INVESTOR PRESENTATION OCTOBER 2019 Financial reconciliations (cont.) 76 Note: Refer to the “Non - GAAP Financial Measures” section on page 2 of this document Reconciliation of Non-GAAP Measures XPO Logistics, Inc. Reconciliation of GAAP Revenue to Organic Revenue (Unaudited) (In millions) Revenue $