GXO Logistics (GXO) Q4 2025 earnings summary

Executive summary

• Achieved record Q4 and full-year 2025 results with $3.5B in Q4 revenue, $13.2B for the year, and $881M adjusted EBITDA, driven by organic growth and over $1.1B in new business wins.

• Wincanton integration is progressing as planned, targeting $60M in synergies by end of 2026.

• Leadership changes in commercial, operations, and Americas/Asia Pacific are aimed at scaling global standards and expanding U.S. market share.

• Strategic focus on high-growth B2B verticals and deployment of automation, robotics, and AI, with GXO IQ AI-powered warehouse system scaling to over 50 sites in 2026.

• Record new business wins and expansions with major global clients across multiple industries.

Financial highlights

• Full-year 2025 revenue grew 12.5% (3.9% organic) to $13.2B; adjusted EBITDA was $881M; adjusted diluted EPS was $2.51.

• Q4 2025 revenue was $3.5B (up 7.9% year-over-year, 3.5% organic); adjusted EBITDA $255M; net income $43M; adjusted diluted EPS $0.87.

• Free cash flow for 2025 was $259M; Q4 free cash flow was $163M.

• Net leverage ratio at year-end 2025 was 2.5x; net debt was $2.2B.

• Adjusted EBITDA margin for 2025 was 6.7%; Q4 2025 margin was 7.3%.

Outlook and guidance

• 2026 guidance: organic revenue growth of 4%-5%, adjusted EBITDA of $930M-$970M (up 8% at midpoint), adjusted diluted EPS of $2.85-$3.15 (up 20% at midpoint), and adjusted EBITDA to free cash flow conversion of 30%-40%.

• Guidance assumes flat volumes, steady retention, and inflation pass-through similar to 2025.

• Margin expansion of ~20 basis points expected in 2026, with further details on long-term margin targets to be shared at Investor Day.