Question · Q4 2025
Kevin Ganey asked about GXO's perspective on North American expansion as an organic growth opportunity versus acquisition, and if it represents the most significant organic growth opportunity for the company. He also inquired about the confidence in raising the cash flow conversion guidance and the drivers behind it.
Answer
Patrick Kelleher (CEO, GXO) stated that North America is a priority for organic growth and will be the primary driver, seeing it as a significant opportunity where GXO is underrepresented. He clarified that M&A is selective, focused on North America and strategic verticals, but not in the short-term agenda, with capital allocation prioritizing organic growth and deleveraging. Baris Oran (CFO, GXO) attributed improved cash flow conversion to lower M&A transaction costs in 2026 and opportunities to improve working capital management, with CapEx as a percentage of revenue remaining stable.
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