XPO Q2 Earnings Call Highlights

XPO posted record results in the second quarter, driven by stronger performance in its North American less-than-truckload (LTL) unit, improved pricing, and productivity gains tied to technology. The company expects further margin improvement, faster free-cash-flow growth, and continued volume momentum in the second half of 2026. Total revenue rose 13% year over year to $2.4 billion, while LTL revenue increased 15% to $1.4 billion. Adjusted EBITDA was $434 million, and excluding $9 million of real estate gains, adjusted EBITDA grew 25% to $425 million. Operating income climbed 37% to $271 million and net income was $162 million, or $1.36 per diluted share. CFO Kyle Wismans said adjusted diluted EPS was $1.70, and adjusted EPS excluding real estate gains increased 56%. In LTL, adjusted operating income rose 36% to $287 million, and adjusted EBITDA margin improved 310 basis points to 27.3%. XPO’s LTL adjusted operating ratio hit a record 79.9%.