XPO Logistics Posts Loss; Sets Executive Appointments
XPO Logistics posted a third-quarter loss, named seven new senior executives and said it was targeting multiple acquisitions in the logistics and freight brokerage field.
The $44.4 million loss was tied to dividends and preferred stock issued after investor Bradley Jacobs took over the CEO position earlier this year after providing $150 million in capital to the former Express-1 Expedited Solutions.
Excluding the charge, net income was $190,000, an 89% decline from the 2010 quarter. Revenue climbed 6.6% to $47.8 million, the company said Monday.
“While our overall operating results in the quarter were mixed, we’re encouraged by the opportunities to enhance the earnings power of all three of our business units,” Jacobs said in a statement.
“We have an extensive plan in place to expand XPO through acquisitions, organic growth and the optimization of our operations. We plan to grow super fast,” he said.
Expedited shipment group Express 1’s 9.4% to $23.4 million, but net revenue, or revenue less purchased transport costs, fell to $5 million, to $5.3 million.
Freight forwarder Concert Group Logistics’ revenue fell 9% in revenue, while net revenue dipped modestly to $1.85 million from $1.89 million.
Truck brokerage Bounce Logistics’ revenue rose 45% to $8.2 million, while net revenue rose 44% to $1.36 million.
XPO also announced several executive appointments., including Sean Fernandez, named chief operating officer; J. Thomas Connolly and Richard Metzler, senior vice presidents-acquisitions; Gregory Ritter, SVP-brokerage; Troy Cooper, VP-finance; Gordon Devens, VP general counsel; and Mario Harik, chief information officer.
