GXO's Second-Quarter Revenue Growth Cools
GXO Logistics booked $3.4 billion of second-quarter revenue, with organic growth of 3.4% and $410 million of new business wins.
GXO Logistics, Inc. (GXO) reported second-quarter 2026 revenue of $3.4 billion, up 4.3% from a year earlier, with organic revenue growth of 3.4%. That year-over-year pace slowed from 10.8% in the first quarter, when organic growth was 4.1%. Chief Executive Patrick Kelleher said the quarter marked five years since the company became an independent public company and that all three regions grew organically.
The contract logistics provider said new business wins were $410 million, up 34% year over year, with about 40% in aerospace and defense, technology, industrial, and life sciences. Wins in the first half of the year in North America increased 85% versus the same period last year, Kelleher said. Incremental 2026 revenue already secured was approximately $1 billion, up 29% year over year, and $353 million of incremental 2027 revenue was in hand. The commercial pipeline stood at $2.3 billion at quarter-end and expanded to approximately $2.7 billion in July.
Adjusted EBITDA was $219 million, compared with $212 million a year earlier, and the adjusted EBITDA margin held at 6.4%. Adjusted diluted earnings per share were $0.59. Operating income was $77 million, and the operating margin compressed to 2.2% from 2.7%. Net income was $27 million, and diluted earnings per share were $0.22.
Cash flow from operations was $76 million, versus $3 million a year earlier. Free cash flow generated was $12 million, versus $43 million used. Capital expenditures were $65 million. Cash and cash equivalents excluding restricted cash were $769 million as of June 30, 2026. Total debt was $3.2 billion and net debt was $2.4 billion, with net leverage of 2.6 times trailing-twelve-month adjusted EBITDA.
United Kingdom revenue was $1,684 million, the largest geography. United States revenue was $782 million, Netherlands revenue was $256 million, France revenue was $213 million, Spain revenue was $181 million, Italy revenue was $112 million, and other markets revenue was $213 million. By industry, omnichannel retail was $1,637 million, technology and consumer electronics was $439 million, industrial and manufacturing was $408 million, consumer packaged goods was $331 million, food and beverage was $341 million, and other was $285 million.
The company updated full-year 2026 guidance for adjusted EBITDA to $945 million to $965 million, from $935 million to $975 million after a first-quarter raise, and for adjusted diluted EPS to $2.95 to $3.15, from $2.90 to $3.20. Organic revenue growth guidance of 4% to 5% and free cash flow conversion of 30% to 40% were maintained. Kelleher said three priorities are powering the path forward: sharpening the commercial strategy, strengthening execution through the GXO Way, and leading in AI and next-generation automation through GXO IQ. GXO IQ moved from platform launch to scaled deployment.
GXO will host its 2026 Investor Day on November 16, 2026, at the New York Stock Exchange, where management will discuss long-term strategy, financial framework, and value-creation opportunities.
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