RXO Inc. finds a silver lining in its LTL business amid a struggling freight market. Quarterly earnings report shows 1% overall brokerage volume growth, with LTL volume up by 45% year-on-year. CEO Drew Wilkerson emphasizes the strategic importance of expanding LTL operations for stable EBITDA and strong margins.

Investing in cutting-edge technology, RXO prioritizes making LTL shipping easy for customers. CEO Wilkerson highlights the company’s relationships with major LTL providers in North America and the significant growth in LTL activities, making up 32% of all brokerage volume in the second quarter.

RXO’s LTL growth strategy pays off, with LTL brokerage volume soaring. The company’s commitment to LTL operations leads to stable EBITDA and strong margins across market cycles. CEO Wilkerson envisions LTL becoming over 50% of overall brokerage volume in the future, emphasizing the stability and profitability of LTL business.

Efficiencies from merging technologies with Coyote Logistics drive growth at RXO. Despite a decline in truckload brokerage volume, the company sees improvements in truckload gross margin and gross profit per load. RXO strategically focuses on LTL expansion for stable EBITDA and profitability.

LTL proves to be a big growth engine for RXO, with a significant increase in LTL brokerage volume. The company’s emphasis on technology enhancements and productivity gains drives improvements in gross profit per load. Strategic investments in LTL operations position RXO for long-term success and stability in the freight market.

Read more at Yahoo Finance: LTL proving to be big growth engine at RXO