C. H. Robinson (CHRW) Q4 2023 earnings summary

Executive summary

• Q4 revenue fell 16.7% to $4.2B and gross profit fell 20.0% to $609.3M, amid weak freight demand, lower pricing and excess carrier capacity.

• Q4 diluted EPS was $0.26, down 67.5%; adjusted EPS was $0.50, down 52.8%. Full-year adjusted EPS was $3.30, down 56.2%.

Financial highlights

• Q4 operating income decreased 34.5% to $107.4M; net income was $31.0M, down 67.8%.

• Q4 adjusted gross profit declined 19.5% to $618.6M; operating expenses decreased 15.4% to $511.2M, with average headcount down 13.3%.

• FY revenue decreased 28.7% to $17.6B; gross profit fell 27.9% to $2.6B and operating income fell 59.4% to $514.6M.

• FY net income totaled $325.1M, down 65.4%; diluted EPS was $2.72, down 63.2%.

Outlook and guidance

• FY2024 effective tax rate expected at 17%–19%.

• 2024 capital expenditures expected at $85M–$95M.

• Focus remains on productivity, structural cost reduction, customer service and preparing for a freight-market rebound with operating leverage.