Frst look: almost all good news at C.H. Robinson in the third quarter

The third quarter of C.H. Robinson was marked by a combination of highs and lows. During this period, the company announced the acquisition of rival RXO for nearly $6 billion. However, this major move did not impact the company's financial performance, which was robust both compared to the previous quarter and year-over-year. The North American Surface Transport unit, which includes its traditional brokerage operations, saw operating revenues increase by 29.1% from the previous year due to higher pricing and volume in truckload and less-than-truckload (LTL) services.

Volume, a crucial metric for C.H. Robinson, grew by 3.5% year-over-year, in contrast to a slight decline in the Cass Freight Shipment Index. While the company continued to reduce its workforce, the pace of job cuts was slower than in the two preceding quarters, with total headcount decreasing by 2%, the lowest level since the fourth quarter of 2024.

The company attributed improvements in productivity to the transition of manual processes into automated and automated workflows, resulting in higher year-over-year productivity growth in NAST (North American Surface Transportation) and Global Forwarding segments compared to the first half of 2026. Adjusted gross profit per shipment in truckload rose by 17% year-on-year, despite a significant increase in spot market costs, due to disciplined revenue management.

Adjusted diluted earnings per share increased by 28.6% to $1.80 per share, while adjusted gross profits in the North American Surface Transportation segment were up 16.6% from the previous year. Income from operations at NAST rose by 17.9%, with operating margins at 40.3%, a 110 basis point improvement. Although freight rates softened, revenues at NAST declined by 6.16% from the previous quarter, yet adjusted gross profits increased by 10.31%.

Gross profits in truckload were up 10.31%, while LTL adjusted gross profits grew by 8%. C.H. Robinson's pre-market trading was negative, with the stock price down 4.26% or $6.11 to $137.48, despite adjusted gross profits per order increasing by 4% and volume increasing by 3.5%. Despite the Lipe decision putting pressure on C.H. Robinson's stock, pre-market trading showed that the company exceeded earnings estimates with non-GAAP EPS of $180, which was 5 cents better than consensus forecasts, and revenue of $5.36 billion, exceeding estimates by $450 million.