Radiant Logistics (RLGT) Q3 2025 earnings summary

Executive summary

• Q3 FY2025 revenue was $214.0 million, up 15.9% year-over-year, driven by acquisitions, project charter revenues, and base business improvements.

• Net income for Q3 FY2025 was $2.54 million, compared to a net loss of $0.7 million in Q3 FY2024.

• Adjusted EBITDA for Q3 FY2025 was $9.4 million, up over 80% year-over-year, fueled by organic growth and recent acquisitions.

• Four acquisitions were completed in Q3 FY2025, expanding U.S. operations and service offerings.

• A material weakness in internal controls over revenue recognition remains, with remediation efforts ongoing.

Financial highlights

• Q3 FY2025 revenue increased to $214.0 million from $184.6 million year-over-year; nine-month revenue rose to $682.1 million from $596.4 million.

• Adjusted net income for Q3 FY2025 was $6.9 million, up 91.7% year-over-year.

• Adjusted EBITDA for the nine months ended March 31, 2025 was $30.87 million, up from $22.1 million year-over-year.

• Adjusted gross profit for Q3 FY2025 was $58.2 million (27.2% margin), compared to $53.1 million (28.8% margin) in Q3 FY2024.

• Cash flow from operations for the nine months was $10.2 million, down from $16.0 million year-over-year, mainly due to working capital changes.

Outlook and guidance

• Management anticipates near-term volatility due to U.S. trade and tariff negotiations, with 25-30% of gross margin potentially impacted.

• Expects a potential surge in global trade as tariff disputes resolve and remains focused on nimble response to market changes.

• Expects softness in the June quarter, with potential to recapture lost business in fiscal 2026.

• Management remains focused on integrating recent acquisitions and driving productivity improvements.

• External risks such as tariffs, inflation, and supply chain disruptions may impact future results.