Expeditors announce 9.1% increase in operating income

Expeditors reported Q2 2021 financial results, showing a revenue increase of 50% Y-o-Y, up to $3.6bn, from $2.4bn in Q2 2020.

Expeditors has continued its strong start to 2018 after posting solid Q2 financial results. Its revenue increase was roughly in line with Q1, up 17.1% year-over-year. Operating income growth dipped a little, but still increased 9.1% year-over-year.

Its Airfreight services division posted growth of 19.3% to $801.8m. Volumes increased by 4%, however related operating expenses also increased, up 18.8%.

Customs brokerage and other services also posted a healthy increase in revenues, up 32.6% year-over-year. Related operating expenses were 62.7% higher year-over-year.

Ocean container volumes increased by just 1%, but net revenues fell 5% as, according to President and CEO Jeffrey S Musser, “carriers took steps to mitigate the impact of volatile pricing, excess capacity and higher fuel costs”.

Musser also commented, “We continued to add profitable growth from new and existing customers during the quarter, particularly in air and some of our differentiated, best-in-class services, such as brokerage, Transcon and order management. Similar to the first quarter of this year, we remained disciplined on pricing in this strong economy.”

On a regional basis, operating income was higher in Latin America, North Asia, South Asia, Europe and the Middle East & North Africa, but lower in the US and Other North America.

Source: Expeditors