Expeditors Reports Strong Q1 2025 Results Amid Industry Uncertainty
Expeditors International of Washington delivered a solid first quarter in 2025, with financial metrics reflecting resilience despite a challenging global trade environment. The company posted an operating income of $266 million, a 24% increase from $214.8 million a year earlier, and net earnings of $203.8 million, or $1.47 per diluted share—up 20% from last year. Revenue reached $2.7 billion, a 21% rise over the same quarter in 2024, driven by growth across multiple segments.
Notably, the company’s EBITDA improved significantly, with a loss of just $7 million—its smallest loss since the third quarter of 2022 when it nearly broke even. This marked a major turnaround from previous periods when EBITDA losses were as high as $23 million. The better performance came amid a largely unpredictable trade landscape, with ongoing tariffs, geopolitical tensions, and shifting regulations impacting global supply chains.
CEO Daniel Wall highlighted that Expeditors has effectively navigated the turbulence by leveraging its expertise and operational agility. The company has increased airfreight tonnage by 9% and ocean freight volume by 8%, with importers front-loading shipments to mitigate tariff impacts. The company also experienced growth in customs clearance services, warehousing, and distribution, particularly in North America.
Despite the positive results, Wall acknowledged the short- and long-term outlook remains highly uncertain. The end of the de minimis exemption, potential new tariffs, and declining China-to-U.S. ocean volumes—partly driven by customers seeking to mitigate tariff exposure—are creating volatility. While carriers have shown capacity management, the environment is so unsettled that rates could continue to decline if consumer resilience weakens.
Expeditors continues to focus on strategic investments and operational excellence. The company grew headcount carefully to support volume growth and invested heavily in cybersecurity and technology upgrades, maintaining a strong financial position. Cash flow from operations was $343 million, and the company returned $177 million to shareholders through stock repurchases.
With a global network spanning 172 offices across six continents, Expeditors remains well-positioned to adapt to ongoing trade disruptions, offering a broad suite of logistics services—including air and ocean freight forwarding, customs brokerage, warehousing, and supply chain solutions. The company’s emphasis on talent, technology, and flexible operations aims to sustain its growth and profitability amid an unpredictable industry landscape.
