C.H. Robinson Reports 2025 Second Quarter Results

About this update from C.h. Robinson Worldwide, Inc.

EDEN PRAIRIE, Minn. --(BUSINESS WIRE)-- C.H. Robinson Worldwide, Inc. (“C.H. Robinson”) (Nasdaq: CHRW) today reported financial results for the quarter ended June 30, 2025 . Second Quarter Highlights : Sustained outperformance delivered by disciplined execution of the company's strategic initiatives, generating market share gains, gross margin expansion and higher operating margins Gross profits increased 0.4% to $679.6 million Income from operations increased 21.2% to $215.9 million Adjusted operating margin(1) increased 520 basis points to 31.1% Diluted earnings per share (EPS) increased 20.0% to $1.26 Adjusted diluted EPS(1) increased 12.2% to $1.29 Cash generated by operations increased by $60.7 million to $227.1 million (1) Adjusted operating margin and adjusted diluted EPS are non-GAAP financial measures. The same factors described in this release that impacted these non-GAAP measures also impacted the comparable GAAP measures. Refer to pages 11 through 14 for further discussion and GAAP to Non-GAAP Reconciliations. "When the current transformation of C.H. Robinson began in early 2024 with the implementation of a new Lean operating model, we recognize that some people had doubts and didn’t understand how this would enable the company to change its trajectory. Now, with six consecutive quarters of consistent outperformance through the disciplined execution of the strategy that we shared at our 2024 Investor Day, there is no doubt in our minds that we are on the right path to deliver sustainable outperformance in all market cycles," said President and Chief Executive Officer, Dave Bozeman . "I’m proud of the Robinson team for embracing our new operating model and the discipline needed to improve our say-do ratio and to generate higher highs and higher lows across market cycles. Our people consistently demonstrate that they are the industry’s best logisticians with the value that they bring to our customers and carriers, and they are excited about the transformation happening at Robinson and the momentum that we have." "We are not waiting for a market recovery to improve our financial results, and the strategies that our Robinson team is executing are not only working, but they are built to be effective in any market environment," Bozeman added. "We’re still in the early innings of our transformation journey, but we have demonstrated our ability to responsibly grow market share and expand margins at the same time. This has enabled us to approach our mid-cycle operating margin targets despite operating in an elongated trough of the freight cycle." "We are accelerating our progress, by harnessing and scaling the evolving power of artificial intelligence to drive automation across the full lifecycle of a load. Our industry-leading innovations not only enhance the service and value we deliver to our customers but also improve our operational performance by automating tasks that free up our talented people to focus on more strategic, high-value work. We are pioneering new ways to eliminate tasks, augment our capabilities and supercharge our talented people with industry-leading technology that materially elevates the customer and carrier experience, and our Lean operating model enables us to do this in a disciplined way that delivers the most value to all stakeholders. You can expect the next chapters of this company’s evolution to be just as exciting as the last 18 months." "In the second quarter, NAST outgrew the market again in both truckload and LTL while expanding gross margins and improving productivity year-over-year and sequentially. In Global Forwarding , we continued to win new business and improve the yield of our portfolio by implementing the revenue management disciplines that we’ve been utilizing in NAST for over a year. We also optimized our Global Forwarding expenses through further increases in productivity. Overall, we delivered a 21% year-over-year increase in our enterprise’s second quarter income from operations, and we will continue to lean into the self-help initiatives that enabled our market share growth and margin expansion," said Bozeman. Summary of Second Quarter of 2025 Results Compared to the Second Quarter of 2024 Total revenues decreased 7.7% to $4.1 billion , primarily driven by the divestiture of our Europe Surface Transportation business, in addition to lower pricing in our ocean services and lower fuel surcharges in our truckload services. Gross profits increased 0.4% to $679.6 million . Adjusted gross profits increased 0.8% to $693.2 million , primarily driven by higher adjusted gross profit per transaction in our customs, truckload, and less than truckload ("LTL") services. This was partially offset by the divestiture of our Europe Surface Transportation business and lower volume in our ocean services. Operating expenses decreased 6.3% to $477.3 million . Personnel expenses decreased 7.2% to $335.3 million , primarily due to cost optimization efforts and productivity improvements, the divestiture of our Europe Surface Transportation business, a non-recurring benefit from certain actions taken within the current quarter, and lower restructuring charges related to workforce reductions. Average employee headcount declined 11.2%. Other selling, general and administrative (“SG&A”) expenses decreased 4.1% to $142.0 million , primarily due to restructuring charges in the prior year related to reducing our facilities footprint including early termination or abandonment of office buildings under operating leases. Income from operations totaled $215.9 million , up 21.2% due to both the increase in adjusted gross profit and the decrease in operating expenses. Adjusted operating margin (1) of 31.1% increased 520 basis points. Interest and other income/expense, net totaled $22.0 million of expense, consisting primarily of $16.8 million of interest expense, which decreased $6.1 million versus last year due to a lower average debt balance and lower variable interest rates, and a $4.9 million net loss from foreign currency revaluation and realized foreign currency gains and losses. The effective tax rate in the quarter was 21.4%, compared to 19.4% in the second quarter of 2024. The higher rate in the second quarter of 2025 was driven by the impact of higher pre-tax income and lower benefit from U.S. tax credits and incentives, partially offset by a lower foreign tax rate. Net income totaled $152.5 million , up 20.8% from a year ago. Diluted EPS of $1.26 increased 20.0%. Adjusted diluted EPS (1) of $1.29 increased 12.2%. (1) Adjusted operating margin and adjusted diluted EPS are non-GAAP financial measures. The same factors described in this release that impacted these non-GAAP measures also impacted the comparable GAAP measures. Refer to pages 11 through 14 for further discussion and GAAP to Non-GAAP Reconciliations. Summary of 2025 Year-to-Date Results Compared to 2024 Total revenues decreased 8.0% to $8.2 billion , primarily driven by the divestiture of our Europe Surface Transportation business, in addition to lower pricing in our ocean services and lower fuel surcharges in our truckload services. Gross profits increased 1.0% to $1.3 billion . Adjusted gross profits increased 1.6% to $1.4 billion , primarily driven by higher adjusted gross profit per transaction in our truckload, LTL and customs services, which was partially offset by the divestiture of our Europe Surface Transportation business and lower volume in our truckload and ocean services. Operating expenses decreased 6.4% to $973.5 million . Personnel expenses decreased 7.6% to $683.9 million , primarily due to cost optimization efforts and productivity improvements, the divestiture of our Europe Surface Transportation business, and prior year restructuring charges related to workforce reductions. Average employee headcount declined 10.6%. Other SG&A expenses decreased 3.3% to $289.7 million primarily due to the divestiture of our Europe Surface Transportation business. Income from operations totaled $392.8 million , up 28.7% from last year, due to both the increase in adjusted gross profit and the decrease in operating expenses. Adjusted operating margin (1) of 28.7% increased 600 basis points. Interest and other income/expense, net totaled $42.1 million of expense, primarily consisting of $33.6 million of interest expense, which decreased $11.4 million versus last year, due to a lower average debt balance and lower variable interest rates. The year-to-date results also include an $8.3 million net loss from foreign currency revaluation and realized foreign currency gains and losses. The effective tax rate for the six months ended June 30, 2025 was 17.9% compared to 17.9% in the year-ago period. Net income totaled $287.8 million , up 31.3% from a year ago. Diluted EPS of $2.37 increased 29.5%. Adjusted diluted EPS (1) of $2.46 increased 22.4%. (1) Adjusted operating margin and adjusted diluted EPS are non-GAAP financial measures. The same factors described in this release that impacted these non-GAAP measures also impacted the comparable GAAP measures. Refer to pages 11 through 14 for further discussion and GAAP to Non-GAAP Reconciliations. North American Surface Transportation (“NAST”) Results Summarized financial results of our NAST segment are as follows (dollars in thousands): Three Months Ended June 30 , Six Months Ended June 30 , 2025 2024 % change 2025 2024 % change Total revenues $ 2,918,227 $ 2,989,909 (2.4 )% $ 5,786,647 $ 5,990,222 (3.4 )% Adjusted gross profits(1) 432,248 419,657 3.0 % 850,572 816,767 4.1 % Income from operations 163,991 141,102 16.2 % 307,662 249,997 23.1 % ____________________________________________ (1) Adjusted gross profits is a non-GAAP financial measure explained later in this release. The difference between adjusted gross profits and gross profits is not material. Second quarter total revenues for the NAST segment totaled $2.9 billion , a decrease of 2.4% over the prior year, primarily driven by lower fuel surcharges in our truckload service. NAST adjusted gross profits increased 3.0% in the quarter to $432.2 million . Adjusted gross profits in truckload increased 2.6% due to a 2.5% increase in adjusted gross profit per shipment. Our average truckload linehaul rate per mile charged to our customers, which excludes fuel surcharges, increased approximately 3.5% in the quarter compared to the prior year, while truckload linehaul cost per mile, excluding fuel surcharges, increased 3.5%, resulting in an 1.5% increase in truckload adjusted gross profit per mile. LTL adjusted gross profits increased 4.4% versus the year-ago period, driven by a 3.0% increase in adjusted gross profit per order and a 1.5% increase in LTL volume. NAST overall volume increased 1.0% for the quarter and outpaced the market indices. Operating expenses decreased 3.7%, primarily due to cost optimization efforts and productivity improvements and prior year restructuring charges related to both workforce reductions and reducing our facilities footprint including early termination or abandonment of office buildings under operating leases. Second quarter average employee headcount was down 10.0% year-over-year. Income from operations increased 16.2% to $164.0 million , and adjusted operating margin expanded 430 basis points to 37.9%. Global Forwarding Results Summarized financial results of our Global Forwarding segment are as follows (dollars in thousands): Three Months Ended June 30 , Six Months Ended June 30 , 2025 2024 % change 2025 2024 % change Total revenues $ 797,800 $ 921,223 (13.4 )% $ 1,572,688 $ 1,779,860 (11.6 )% Adjusted gross profits(1) 187,581 184,067 1.9 % 372,209 364,112 2.2 % Income from operations 51,330 40,982 25.3 % 94,273 72,534 30.0 % ____________________________________________ (1) Adjusted gross profits is a non-GAAP financial measure explained later in this release. The difference between adjusted gross profits and gross profits is not material. Second quarter total revenues for the Global Forwarding segment decreased 13.4% to $797.8 million , primarily driven by lower pricing in our ocean services. Adjusted gross profits increased 1.9% in the quarter to $187.6 million . Ocean adjusted gross profits decreased 7.5%, driven by a 4.0% decline in shipments and a 3.5% decrease in adjusted gross profit per shipment. Air adjusted gross profits increased 11.5%, driven by a 27.5% increase in adjusted gross profit per metric ton shipped, partially offset by a 12.5% decline in metric tons shipped. Customs adjusted gross profits increased 31.7%, driven by a 31.0% increase in adjusted gross profit per transaction and a 0.5% increase in transaction volume. Operating expenses decreased 4.8% with reductions across several expense categories. Second quarter average employee headcount decreased 4.6% year-over-year. Income from operations increased 25.3% to $51.3 million , and adjusted operating margin expanded 510 basis points to 27.4% in the quarter. All Other and Corporate Results Total revenues and adjusted gross profits for Robinson Fresh , Managed Solutions and Other Surface Transportation are summarized as follows (dollars in thousands): Three Months Ended June 30 , Six Months Ended June 30 , 2025 2024 % change 2025 2024 % change Total revenues $ 420,516 $ 572,216 (26.5 )% $ 823,948 $ 1,125,577 (26.8 )% Adjusted gross profits(1): Robinson Fresh $ 44,395 $ 39,883 11.3 % $ 82,048 $ 73,619 11.4 % Managed Solutions 29,007 28,752 0.9 % 56,853 57,688 (1.4 )% Other Surface Transportation(2) — 15,050 (100.0 )% 4,637 32,952 (85.9 )% ____________________________________________ (1) Adjusted gross profits is a non-GAAP financial measure explained later in this release. The difference between adjusted gross profits and gross profits is not material. (2) Includes our Europe Surface Transportation business, which was divested as of February 1, 2025 . Second quarter Robinson Fresh adjusted gross profits increased 11.3% to $44.4 million due to an increase in integrated supply chain solutions for retail and foodservice customers. Managed Solutions adjusted gross profits increased 0.9%. Other Income Statement Items Interest and other income/expense, net totaled $22.0 million of expense, consisting primarily of $16.8 million of interest expense, which decreased $6.1 million versus the second quarter of 2024 due to a lower average debt balance and lower variable interest rates, and a $4.9 million net loss from foreign currency revaluation and realized foreign currency gains and losses. The second quarter effective tax rate was 21.4%, up from 19.4% in the second quarter of 2024. The higher rate in the second quarter of 2025 was driven by the impact of higher pre-tax income and lower benefit from U.S. tax credits and incentives, partially offset by a lower foreign tax rate. For 2025, we expect our full-year effective tax rate to be 18% to 20%. Diluted weighted average shares outstanding in the quarter were up 0.9% year-over-year. Cash Flow Generation and Capital Distribution Cash generated from operations totaled $227.1 million in the second quarter, compared to $166.4 million in the second quarter of 2024. The $60.7 million increase in cash flow from operations was primarily related to a $26.2 million increase in net income and a $57.7 million decrease in cash used by changes in net operating working capital, due to a $30.9 million sequential decrease in net operating working capital in the second quarter of 2025 compared to a $26.8 million sequential increase in the second quarter of 2024. In the second quarter of 2025, cash returned to shareholders totaled $160.7 million , with $74.9 million in cash dividends and $85.8 million in repurchases of common stock. Capital expenditures totaled $20.2 million in the quarter. Capital expenditures for 2025 are expected to be $65 million to $75 million . About C.H. Robinson C.H. Robinson delivers logistics like no one else™. Companies around the world look to us to reimagine supply chains, advance freight technology, and solve logistics challenges—from the simple to the most complex. 83,000 customers and 450,000 contract carriers in our network trust us to manage 37 million shipments and $23 billion in freight annually. Through our unmatched expertise, unrivaled scale, and tailored solutions, we ensure the seamless delivery of goods across industries and continents via truckload, less-than-truckload, ocean, air, and beyond. As a responsible global citizen, we make supply chains more sustainable and proudly contribute millions to the causes that matter most to our employees. For more information, visit us at chrobinson.com (Nasdaq: CHRW). Except for the historical information contained herein, the matters set forth in this release are forward-looking statements that represent our expectations, beliefs, intentions or strategies concerning future events. These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from our historical experience or our present expectations, including, but not limited to, factors such as changes in economic conditions, including uncertain consumer demand; changes in market demand and pressures on the pricing for our services; fuel price increases or decreases, or fuel shortages; competition and growth rates within the global logistics industry that could adversely impact our profitability and achieving our long-term growth targets; freight levels and increasing costs and availability of truck capacity or alternative means of transporting freight; risks associated with seasonal changes or significant disruptions in the transportation industry; risks associated with identifying and completing suitable acquisitions; our dependence on and changes in relationships with existing contracted truck, rail, ocean, and air carriers; risks associated with the loss of significant customers; risks associated with reliance on technology to operate our business; cyber-security related risks; our ability to staff and retain employees; risks associated with operations outside of the U.S. ; our ability to successfully integrate the operations of acquired companies with our historic operations or efficiently managing divestitures; climate change related risks; risks associated with our indebtedness; risks associated with interest rates; risks associated with litigation, including contingent auto liability and insurance coverage; risks associated with the potential impact of changes in government regulations including environmental-related regulations; risks associated with the changes to income tax regulations; risks associated with the produce industry, including food safety and contamination issues; the impact of changes in political and governmental conditions; changes to our capital structure; changes due to catastrophic events; risks associated with the usage of artificial intelligence technologies; risks associated with cybersecurity events; and other risks and uncertainties detailed in our Annual and Quarterly Reports. Any forward-looking statement speaks only as of the date on which such statement is made, and we undertake no obligation to update such statement to reflect events or circumstances arising after such date. All remarks made during our financial results conference call will be current at the time of the call, and we undertake no obligation to update the replay. Conference Call Information: C.H. Robinson Worldwide Second Quarter 2025 Earnings Conference Call Wednesday, July 30, 2025 ; 5:00 p.m. Eastern Time Presentation slides and a simultaneous live audio webcast of the conference call may be accessed through the Investor Relations link on C.H. Robinson’s website at chrobinson.com . To participate in the conference call by telephone, please call ten minutes early by dialing: 877-269-7756 Adjusted Gross Profit by Service Line (in thousands) This table of summary results presents our service line adjusted gross profits on an enterprise basis. The service line adjusted gross profits in the table differ from the service line adjusted gross profits discussed within the segments as our segments may have revenues from multiple service lines. Three Months Ended June 30 , Six Months Ended June 30 , 2025 2024 % change 2025 2024 % change Adjusted gross profits(1): Transportation Truckload $ 267,913 $ 274,187 (2.3 )% $ 530,201 $ 531,600 (0.3 )% LTL 152,186 145,823 4.4 % 300,597 286,959 4.8 % Ocean 107,902 116,659 (7.5 )% 223,237 229,517 (2.7 )% Air 34,461 30,906 11.5 % 67,271 61,438 9.5 % Customs 35,098 26,652 31.7 % 62,018 52,747 17.6 % Other logistics services 56,459 57,320 (1.5 )% 111,240 116,878 (4.8 )% Total transportation 654,019 651,547 0.4 % 1,294,564 1,279,139 1.2 % Sourcing 39,212 35,862 9.3 % 71,755 65,999 8.7 % Total adjusted gross profits $ 693,231 $ 687,409 0.8 % $ 1,366,319 $ 1,345,138 1.6 % ____________________________________________ (1) Adjusted gross profits is a non-GAAP financial measure explained later in this release. The difference between adjusted gross profits and gross profits is not material. GAAP to Non-GAAP Reconciliation (unaudited, in thousands) Our adjusted gross profit is a non-GAAP financial measure. Adjusted gross profit is calculated as gross profit excluding amortization of internally developed software utilized to directly serve our customers and contracted carriers. We believe adjusted gross profit is a useful measure of our ability to source, add value, and sell services and products that are provided by third parties, and we consider adjusted gross profit to be a primary performance measurement. Accordingly, the discussion of our results of operations often focuses on the changes in our adjusted gross profit. The reconciliation of gross profit to adjusted gross profit is presented below (in thousands): Three Months Ended June 30 , Six Months Ended June 30 , 2025 2024 % change 2025 2024 % change Revenues: Transportation $ 3,746,660 $ 4,121,930 (9.1 )% $ 7,468,575 $ 8,204,518 (9.0 )% Sourcing 389,883 361,418 7.9 % 714,708 691,141 3.4 % Total revenues 4,136,543 4,483,348 (7.7 )% 8,183,283 8,895,659 (8.0 )% Costs and expenses: Purchased transportation and related services 3,092,641 3,470,383 (10.9 )% 6,174,011 6,925,379 (10.8 )% Purchased products sourced for resale 350,671 325,556 7.7 % 642,953 625,142 2.8 % Direct internally developed software amortization 13,681 10,883 25.7 % 29,347 21,105 39.1 % Total direct expenses 3,456,993 3,806,822 (9.2 )% 6,846,311 7,571,626 (9.6 )% Gross profit $ 679,550 $ 676,526 0.4 % $ 1,336,972 $ 1,324,033 1.0 % Plus: Direct internally developed software amortization 13,681 10,883 25.7 % 29,347 21,105 39.1 % Adjusted gross profit $ 693,231 $ 687,409 0.8 % $ 1,366,319 $ 1,345,138 1.6 % Our adjusted operating margin is a non-GAAP financial measure calculated as operating income divided by adjusted gross profit. Our adjusted operating margin - excluding restructuring, lease impairment charge and/or loss on divestiture is a similar non-GAAP financial measure as adjusted operating margin, but also excludes the impact of restructuring, lease impairment, and/or losses from divestiture. We believe adjusted operating margin and adjusted operating margin - excluding restructuring, lease impairment charge and/or loss on divestiture are useful measures of our profitability in comparison to our adjusted gross profit, which we consider a primary performance metric as discussed above. The comparisons of operating margin to adjusted operating margin and adjusted operating margin - excluding restructuring, lease impairment charge and/or loss on divestiture are presented below: Three Months Ended June 30 , Six Months Ended June 30 , 2025 2024 % change 2025 2024 % change Total revenues $ 4,136,543 $ 4,483,348 (7.7 %) $ 8,183,283 $ 8,895,659 (8.0 %) Income from operations 215,919 178,090 21.2 % 392,772 305,223 28.7 % Operating margin 5.2 % 4.0 % 120 bps 4.8 % 3.4 % 140 bps Adjusted gross profit $ 693,231 $ 687,409 0.8 % $ 1,366,319 $ 1,345,138 1.6 % Income from operations 215,919 178,090 21.2 % 392,772 305,223 28.7 % Adjusted operating margin 31.1 % 25.9 % 520 bps 28.7 % 22.7 % 600 bps Adjusted gross profit $ 693,231 $ 687,409 0.8 % $ 1,366,319 $ 1,345,138 1.6 % Adjusted income from operations 220,229 193,279 13.9 % 405,695 333,355 21.7 % Adjusted operating margin - excluding restructuring, lease impairment charge, and/or loss on divestiture 31.8 % 28.1 % 370 bps 29.7 % 24.8 % 490 bps GAAP to Non-GAAP Reconciliation (unaudited, in thousands) Our adjusted income (loss) from operations, adjusted operating margin - excluding restructuring, lease impairment charge and/or loss on divestiture, adjusted net income and adjusted net income per share (diluted) are non-GAAP financial measures. These non-GAAP measures are calculated excluding the impact of restructuring, lease impairment, and/or losses from divestiture. We believe that these measures provide useful information to investors and include them within our internal reporting to our chief operating decision maker. Accordingly, the discussion of our results of operations includes discussion on the changes in our adjusted income (loss) from operations, adjusted operating margin - excluding restructuring, lease impairment charge and/or loss on divestiture, adjusted net income and adjusted net income per share (diluted). The reconciliation of these non-GAAP measures are presented below (in thousands except per share data): Non-GAAP Reconciliation: NAST Global Forwarding All Other and Corporate Consolidated Three Months Ended June 30, 2025 Income from operations $ 163,991 $ 51,330 $ 598 $ 215,919 Severance and other personnel expenses 677 2,576 635 3,888 Other selling, general, and administrative expenses — — 422 422 Total adjustments to income from operations(1) 677 2,576 1,057 4,310 Adjusted income from operations $ 164,668 $ 53,906 $ 1,655 $ 220,229 Adjusted gross profit $ 432,248 $ 187,581 $ 73,402 $ 693,231 Adjusted income from operations 164,668 53,906 1,655 220,229 Adjusted operating margin - excluding restructuring and loss on divestiture 38.1 % 28.7 % N/M 31.8 % NAST Global Forwarding All Other and Corporate Consolidated Six Months Ended June 30, 2025 Income (loss) from operations $ 307,662 $ 94,273 $ (9,163 ) $ 392,772 Severance and other personnel expenses 677 2,576 1,822 5,075 Other selling, general, and administrative expenses — — 7,848 7,848 Total adjustments to income from operations(2) 677 2,576 9,670 12,923 Adjusted income from operations $ 308,339 $ 96,849 $ 507 $ 405,695 Adjusted gross profit $ 850,572 $ 372,209 $ 143,538 $ 1,366,319 Adjusted income from operations 308,339 96,849 507 405,695 Adjusted operating margin - excluding lease impairment charge, restructuring, and loss on divestiture 36.3 % 26.0 % N/M 29.7 % Three Months Ended June 30, 2025 Six Months Ended June 30, 2025 $ in 000's per share $ in 000's per share Net income and per share (diluted) $ 152,471 $ 1.26 $ 287,773 $ 2.37 Lease impairment charge, pre-tax — — 6,259 0.05 Restructuring and related costs, pre-tax 3,881 0.04 3,881 0.03 Loss on divestiture, pre-tax 429 — 2,783 0.02 Tax effect of adjustments (1,005 ) (0.01 ) (2,031 ) (0.01 ) Adjusted net income and per share (diluted) $ 155,776 $ 1.29 $ 298,665 $ 2.46 ____________________________________________ (1) The three months ended June 30, 2025 includes severance and other personnel expenses of $3.9 million related to workforce reductions and $0.4 million of other charges. (2) The six months ended June 30, 2025 includes severance and other personnel expenses of $5.1 million primarily related to workforce reductions and $7.8 million of other charges, which include a $6.3 million impairment charge on our Kansas City regional center lease resulting from the execution of a sublease agreement on a portion of the building. Non-GAAP Reconciliation: NAST Global Forwarding All Other and Corporate Consolidated Three Months Ended June 30, 2024 Income (loss) from operations $ 141,102 $ 40,982 $ (3,994 ) $ 178,090 Severance and other personnel expenses 4,758 2,179 2,508 9,445 Other selling, general, and administrative expenses 3,776 1,331 637 5,744 Total adjustments to income (loss) from operations(1) 8,534 3,510 3,145 15,189 Adjusted income (loss) from operations $ 149,636 $ 44,492 $ (849 ) $ 193,279 Adjusted gross profit $ 419,657 $ 184,067 $ 83,685 $ 687,409 Adjusted income (loss) from operations 149,636 44,492 (849 ) 193,279 Adjusted operating margin - excluding restructuring 35.7 % 24.2 % N/M 28.1 % NAST Global Forwarding All Other and Corporate Consolidated Six Months Ended June 30, 2024 Income (loss) from operations $ 249,997 $ 72,534 $ (17,308 ) $ 305,223 Severance and other personnel expenses 7,784 5,394 4,209 17,387 Other selling, general, and administrative expenses 5,654 1,592 3,499 10,745 Total adjustments to income (loss) from operations(2) 13,438 6,986 7,708 28,132 Adjusted income (loss) from operations $ 263,435 $ 79,520 $ (9,600 ) $ 333,355 Adjusted gross profit $ 816,767 $ 364,112 $ 164,259 $ 1,345,138 Adjusted income (loss) from operations 263,435 79,520 (9,600 ) 333,355 Adjusted operating margin - excluding restructuring 32.3 % 21.8 % N/M 24.8 % Three Months Ended June 30, 2024 Six Months Ended June 30, 2024 $ in 000's per share $ in 000's per share Net income and per share (diluted) $ 126,251 $ 1.05 $ 219,155 $ 1.83 Restructuring and related costs, pre-tax 15,189 0.13 28,132 0.24 Tax effect of adjustments (3,645 ) (0.03 ) (6,746 ) (0.06 ) Adjusted net income and per share (diluted) $ 137,795 $ 1.15 $ 240,541 $ 2.01 ____________________________________________ (1) The three months ended June 30, 2024 includes severance and other personnel expenses of $9.4 million related to workforce reductions and $5.7 million of other charges, primarily related to reducing our facilities footprint including early termination or abandonment of office buildings under operating leases. (2) The six months ended June 30, 2024 includes severance and other personnel expenses of $17.4 million related to workforce reductions and $10.7 million of other charges, primarily related to an impairment of internally developed software and charges related to reducing our facilities footprint including early termination or abandonment of office buildings under operating leases. Condensed Consolidated Statements of Income (unaudited, in thousands, except per share data) Three Months Ended June 30 , Six Months Ended June 30 , 2025 2024 % change 2025 2024 % change Revenues: Transportation $ 3,746,660 $ 4,121,930 (9.1 )% $ 7,468,575 $ 8,204,518 (9.0 )% Sourcing 389,883 361,418 7.9 % 714,708 691,141 3.4 % Total revenues 4,136,543 4,483,348 (7.7 )% 8,183,283 8,895,659 (8.0 )% Costs and expenses: Purchased transportation and related services 3,092,641 3,470,383 (10.9 )% 6,174,011 6,925,379 (10.8 )% Purchased products sourced for resale 350,671 325,556 7.7 % 642,953 625,142 2.8 % Personnel expenses 335,322 361,222 (7.2 )% 683,875 740,309 (7.6 )% Other selling, general, and administrative expenses 141,990 148,097 (4.1 )% 289,672 299,606 (3.3 )% Total costs and expenses 3,920,624 4,305,258 (8.9 )% 7,790,511 8,590,436 (9.3 )% Income from operations 215,919 178,090 21.2 % 392,772 305,223 28.7 % Interest and other income/expense, net (22,026 ) (21,525 ) 2.3 % (42,077 ) (38,305 ) 9.8 % Income before provision for income taxes 193,893 156,565 23.8 % 350,695 266,918 31.4 % Provision for income taxes 41,422 30,314 36.6 % 62,922 47,763 31.7 % Net income $ 152,471 $ 126,251 20.8 % $ 287,773 $ 219,155 31.3 % Net income per share (basic) $ 1.27 $ 1.06 19.8 % $ 2.39 $ 1.84 29.9 % Net income per share (diluted) $ 1.26 $ 1.05 20.0 % $ 2.37 $ 1.83 29.5 % Weighted average shares outstanding (basic) 120,244 119,418 0.7 % 120,605 119,381 1.0 % Weighted average shares outstanding (diluted) 121,025 119,920 0.9 % 121,442 119,732 1.4 % Business Segment Information (unaudited, in thousands, except average employee headcount) NAST Global Forwarding All Other and Corporate Consolidated Three Months Ended June 30, 2025 Total revenues $ 2,918,227 $ 797,800 $ 420,516 $ 4,136,543 Adjusted gross profits(1) 432,248 187,581 73,402 693,231 Income from operations 163,991 51,330 598 215,919 Depreciation and amortization 4,815 2,188 17,863 24,866 Total assets(2) 2,971,926 1,332,889 1,017,096 5,321,911 Average employee headcount 5,283 4,436 3,139 12,858 NAST Global Forwarding All Other and Corporate Consolidated Three Months Ended June 30, 2024 Total revenues $ 2,989,909 $ 921,223 $ 572,216 $ 4,483,348 Adjusted gross profits(1) 419,657 184,067 83,685 687,409 Income (loss) from operations 141,102 40,982 (3,994 ) 178,090 Depreciation and amortization 5,525 2,793 16,736 25,054 Total assets(2) 3,053,769 1,306,075 1,152,502 5,512,346 Average employee headcount 5,868 4,652 3,954 14,474 ____________________________________________ (1) Adjusted gross profits is a non-GAAP financial measure explained above. The difference between adjusted gross profits and gross profits is not material. (2) All cash and cash equivalents are included in All Other and Corporate. Business Segment Information (unaudited, in thousands, except average employee headcount) NAST Global Forwarding All Other and Corporate Consolidated Six Months Ended June 30, 2025 Total revenues $ 5,786,647 $ 1,572,688 $ 823,948 $ 8,183,283 Adjusted gross profits(1) 850,572 372,209 143,538 1,366,319 Income (loss) from operations 307,662 94,273 (9,163 ) 392,772 Depreciation and amortization 9,624 4,327 36,557 50,508 Total assets(2) 2,971,926 1,332,889 1,017,096 5,321,911 Average employee headcount 5,283 4,469 3,414 13,166 NAST Global Forwarding All Other and Corporate Consolidated Six Months Ended June 30, 2024 Total revenues $ 5,990,222 $ 1,779,860 $ 1,125,577 $ 8,895,659 Adjusted gross profits(1) 816,767 364,112 164,259 1,345,138 Income (loss) from operations 249,997 72,534 (17,308 ) 305,223 Depreciation and amortization 10,875 5,637 32,420 48,932 Total assets(2) 3,053,769 1,306,075 1,152,502 5,512,346 Average employee headcount 5,929 4,770 4,032 14,731 ____________________________________________ (1) Adjusted gross profits is a non-GAAP financial measure explained above. The difference between adjusted gross profits and gross profits is not material. (2) All cash and cash equivalents are included in All Other and Corporate. Condensed Consolidated Balance Sheets (unaudited, in thousands) June 30, 2025 December 31, 2024 Assets Current assets: Cash and cash equivalents $ 155,993 $ 145,762 Receivables, net of allowance for credit loss 2,538,082 2,383,709 Contract assets, net of allowance for credit loss 188,897 200,332 Prepaid expenses and other 130,742 102,166 Assets held for sale — 137,634 Total current assets 3,013,714 2,969,603 Property and equipment, net of accumulated depreciation and amortization 122,954 127,189 Right-of-use lease assets 309,299 334,738 Intangible and other assets, net of accumulated amortization 1,875,944 1,866,396 Total assets $ 5,321,911 $ 5,297,926 Liabilities and stockholders’ investment Current liabilities: Accounts payable and outstanding checks $ 1,348,156 $ 1,212,132 Accrued expenses: Compensation 117,603 180,801 Transportation expense 148,218 153,274 Income taxes 14,519 9,326 Other accrued liabilities 162,733 173,318 Current lease liabilities 72,693 72,842 Current portion of debt 431,917 455,792 Liabilities held for sale — 67,413 Total current liabilities 2,295,839 2,324,898 Long-term debt 922,318 921,857 Noncurrent lease liabilities 264,797 290,641 Noncurrent income taxes payable 41,326 23,472 Deferred tax liabilities 9,939 12,565 Other long-term liabilities 3,305 2,442 Total liabilities 3,537,524 3,575,875 Total stockholders’ investment 1,784,387 1,722,051 Total liabilities and stockholders’ investment $ 5,321,911 $ 5,297,926 Condensed Consolidated Statements of Cash Flow (unaudited, in thousands, except operational data) Six Months Ended June 30 , Operating activities: 2025 2024 Net income $ 287,773 $ 219,155 Adjustments to reconcile net income to net cash provided by (used for) operating activities: Depreciation and amortization 50,508 48,932 Provision for credit losses 6,605 4,298 Stock-based compensation 44,028 42,245 Deferred income taxes 15,419 (13,392 ) Excess tax benefit on stock-based compensation (8,155 ) (2,274 ) Change in loss on disposal group (569 ) — Other operating activities 7,254 10,841 Changes in operating elements: Receivables (108,002 ) (290,042 ) Contract assets 11,595 (70,514 ) Prepaid expenses and other (27,934 ) 8,034 Right of use asset 24,704 (3,093 ) Accounts payable and outstanding checks 121,249 122,404 Accrued compensation (64,607 ) (13,276 ) Accrued transportation expenses (5,056 ) 63,389 Accrued income taxes 30,866 (60 ) Other accrued liabilities (20,779 ) 1,108 Lease liability (31,844 ) 3,248 Other assets and liabilities 604 2,096 Net cash provided by operating activities 333,659 133,099 Investing activities: Purchases of property and equipment (10,640 ) (15,238 ) Purchases and development of software (25,601 ) (26,573 ) Proceeds from divestiture 27,737 — Net cash used for investing activities (8,504 ) (41,811 ) Financing activities: Proceeds from stock issued for employee benefit plans 27,026 19,026 Stock tendered for payment of withholding taxes (54,589 ) (19,808 ) Repurchase of common stock (128,767 ) — Cash dividends (152,355 ) (147,283 ) Proceeds from short-term borrowings 1,240,800 1,653,000 Payments on short-term borrowings (1,264,800 ) (1,625,000 ) Net cash used for financing activities (332,685 ) (120,065 ) Effect of exchange rates on cash and cash equivalents 6,985 (3,581 ) Net change in cash and cash equivalents, including cash and cash equivalents classified within assets held for sale (545 ) (32,358 ) Plus: net decrease in cash and cash equivalents within assets held for sale 10,776 — Cash and cash equivalents, beginning of period 145,762 145,524 Cash and cash equivalents, end of period $ 155,993 $ 113,166 As of June 30 , Operational Data: 2025 2024 Employees 12,803 14,213 CHRW-IR View source version on businesswire.com : https://www.businesswire.com/news/home/20250730799048/en/ FOR INQUIRIES, CONTACT: Chuck Ives , Senior Director of Investor Relations Email: [email protected] Source: C.H. Robinson

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