GXO Logistics revenue rises 5.7% to $3.6 billion in third quarter
Key Facts
GXO Logistics reported third-quarter 2026 results on November 3, with revenue of $3.6 billion, up 5.7% year over year, and organic growth of 6.4%, the highest in more than three years. Net income rose to $65 million from $60 million in the same period of 2025. Diluted earnings per share were $0.56, compared with $0.51 a year earlier. Adjusted EBITDA was unchanged at $251 million from the third quarter of 2025. The company said new business wins reached $375 million during the quarter, up 34% year over year.
New business results reflected continued contract growth, with GXO saying third-quarter wins rose more than 30% for the second consecutive quarter. Year to date, new business wins exceeded $1 billion. The sales pipeline reached a record $3.1 billion, up more than 30% year over year. The company said about 40% of new contracts year to date came from strategic growth sectors, including aerospace and defense, technology, industrials and life sciences. These figures point to a broadening base of opportunities and contracts underpinning the company’s business, while the pipeline remains a measure of potential business rather than realized revenue.
By contrast, cash flow from operations fell to $156 million in the third quarter from $232 million a year earlier. Free cash flow declined to $85 million from $187 million in the year-earlier period. This came as adjusted EBITDA held steady at $251 million, despite year-over-year increases in net income and diluted earnings per share. The divergence places revenue and new-contract growth alongside lower cash flows in the quarter’s results. Diluted earnings per share were $0.56, compared with $0.51 in the third quarter of 2025.
GXO shares fell 2.6% after the results were announced on November 4, despite earnings per share exceeding analysts’ estimates, according to Investing.com. The stock had closed at $52.03 in the November 3 session, according to EL7 data. The decline followed results showing growth in revenue and net income, alongside lower cash flow from operations and free cash flow compared with a year earlier. Adjusted EBITDA also remained at the prior-year level. The stock’s move after the announcement shows investors weighed the results in a broader context than earnings per share alone.
GXO is scheduled to hold its investor day on November 16, 2026, at the New York Stock Exchange. The company said the meeting will present its long-term strategy, financial framework and value-creation opportunities. The event follows the third-quarter results and new business wins that exceeded $1 billion year to date. It also comes as the sales pipeline reached a record $3.1 billion. Investor day will give management an opportunity to present its financial and strategic direction to investors.