RXO (RXO) Company Report

On February 20, 2026, RXO, Inc. closed an offering of $400,000,000 in aggregate principal amount of its 6.375% Senior Notes due 2031.
These Notes are senior unsecured obligations maturing on May 15, 2031, with semi-annual interest payments beginning November 15, 2026.
The company has optional redemption rights starting May 15, 2028, with redemption prices ranging from 103.188% to 100.000% of the principal amount depending on the redemption year.
Concurrently, RXO, Inc. completed the redemption of all its outstanding 7.500% Notes due 2027 at a price of 101.875% of the principal amount, utilizing proceeds from the new Notes offering.

8 days ago

8-K

RXO Discusses Freight Market Dynamics and Q1 2026 Outlook

RXO

Demand Weakening

Guidance Update

Revenue Acceleration/Inflection

The freight market is experiencing soft demand, being in a freight recession for three and a half years, while the supply side is tightening due to new regulations, evidenced by tender rejections more than doubling to 14% in mid-February.
RXO projects Q1 2026 volume to be down 5%-10% year-over-year and anticipates Adjusted EBITDA in the range of $5 million-$12 million, primarily due to a squeeze on brokerage gross margins caused by a 15% increase in industry-wide spot rates from November to December.
Despite current pressures, RXO's late-stage sales pipeline in brokerage is up more than 50% year-over-year, and the company aims for at least 5%-6% EBITDA margins mid-cycle, supported by $155 million in cost reductions over the last three years post-spin from XPO.
The company expects significant free cash flow generation, with cash outflows of approximately $30 million for interest expense and $50 million for CapEx, targeting a free cash flow conversion of 40%-60%.

Feb 19, 2026, 7:40 PM

Transcript

RXO Provides Q1 2026 Outlook and Strategic Update at Conference

RXO

Guidance Update

Demand Weakening

New Projects/Investments

RXO projects Q1 2026 adjusted EBITDA in the range of $5 million-$12 million and anticipates a 5%-10% year-over-year decline in overall volume, attributing this to persistent tight market conditions and squeezed brokerage gross margins.
Despite current market pressures, RXO is in growth mode, with its late-stage sales pipeline in brokerage up more than 50% year-over-year, and expects to resume outperformance versus the broader market as early as mid-2026, supported by the materially complete Coyote integration and over $155 million in cost reductions.
The company aims for at least 5%-6% EBITDA margins in a mid-cycle environment and highlights strong free cash flow generation potential, having achieved 43% adjusted free cash flow in 2025.
RXO recently refinanced its notes and secured a new ABL facility, positioning it for 2026 and beyond.

Feb 19, 2026, 7:40 PM

Transcript

RXO Discusses Q1 Outlook, Growth Initiatives, and Capital Structure

RXO

Guidance Update

New Projects/Investments

Debt Issuance

RXO anticipates Q1 Adjusted EBITDA between $5 million and $12 million, attributing this to persistent tight market conditions from late Q4 2025, which saw brokerage gross margins squeezed by a 15% increase in spot rates from November to December.
The company is in growth mode, with its pipeline up more than 50% year-on-year, primarily in full truckload, and expects to resume outperformance against the broader market from Q2 2026 onwards.
RXO recently replaced its unsecured revolver with a new secured ABL facility, increasing availability to $450 million (almost 2x the prior amount), eliminating maintenance covenants, and saving approximately 35 basis points in interest expense.
The company has achieved over $155 million in cost reductions and views the $400 billion market opportunity, coupled with its position as the number 3 player and materially completed Coyote integration, as setting it up for growth in 2026 and beyond.

Feb 19, 2026, 7:40 PM

Transcript

RXO Provides Q1 Outlook and Integration Update at Barclays Conference

RXO

Guidance Update

Demand Weakening

M&A

RXO forecasts Q1 adjusted EBITDA between $5 million and $12 million, attributing this to a significant 15% month-on-month increase in industry-wide buy rates from November to December, which is impacting brokerage gross margins.
The company expects Q1 volumes to decrease by 5%-10% year-over-year, with truckload volumes projected to be down low double digits, while LTL volumes are anticipated to be up approximately 5% year-over-year.
RXO aims to resume truckload outperformance against the market by mid-2026, bolstered by a late-stage brokerage sales pipeline that has grown over 50% year-over-year.
The integration of Coyote is substantially complete, with $60 million in operating expense synergies fully realized for 2026, and an additional $30 million in operating expenses expected to be fully realized in 2026.
Management characterizes the market as "extremely fragile," citing 14% tender rejections in mid-February due to capacity removal, and anticipates 2026 contract rates to increase by low- to mid-single digits year-over-year.

Feb 18, 2026, 4:00 PM

Transcript

RXO Updates on Q1 Outlook, Coyote Integration, and Growth Pipeline

RXO

Guidance Update

M&A

Revenue Acceleration/Inflection

RXO provided a Q1 adjusted EBITDA outlook of $5 million-$12 million and anticipates Q1 volumes to be down 5%-10% year-over-year. This is attributed to a significant market squeeze, with industry-wide buy rates increasing 15% month-on-month from November to December, impacting brokerage gross margins.
The integration of Coyote is materially complete, with $70 million in total synergies realized and an additional $30 million in operating expense synergies expected to be fully realized in 2026.
The company's late-stage brokerage sales pipeline is up more than 50% year-over-year, and RXO expects to resume truckload outperformance versus the market as early as the middle of the year.
Capital expenditure for last year was $57 million, below the guided range, and is projected to further decrease to $50 million-$55 million this year, with a through-cycle expectation of $50 million.

Feb 18, 2026, 4:00 PM

Transcript

RXO Discusses Q1 2026 Outlook, Coyote Integration, and Market Dynamics

RXO

Guidance Update

M&A

Demand Weakening

RXO projects Q1 2026 adjusted EBITDA between $5 million and $12 million and anticipates overall volumes to decrease by 5%-10% year-over-year, though LTL volumes are expected to rise by approximately 5% year-over-year.
The company's late-stage brokerage sales pipeline has increased by over 50% year-over-year, leading to expectations of resuming truckload outperformance against the broader market by as early as mid-2026.
The Coyote integration is largely complete, with $60 million in operating expense synergies fully realized for 2026, and an additional $30 million in operating expense opportunities expected to be fully realized in 2026.
RXO notes a "fragile" supply-demand balance, with industry-wide buy rates increasing 15% month-on-month from November to December and tender rejections reaching 14% as of February 18, 2026, despite muted demand.
Capital expenditures for 2025 were $57 million, below the guided range, and are projected to be $50 million-$55 million for 2026, with a through-cycle expectation of $50 million.

Feb 18, 2026, 4:00 PM

Transcript

RXO Prices Senior Notes Offering

RXO

Debt Issuance

RXO, Inc. announced the pricing of its offering of $400 million aggregate principal amount of 6.375% Senior Notes due 2031.
The notes were priced at an issue price of 100.00%.
The company intends to use the net proceeds primarily to repurchase or redeem all of its outstanding 7.500% Notes due 2027, as well as for related fees and general corporate purposes.

Feb 11, 2026, 10:43 PM

8-K

RXO Discusses Market Cycle, AI Investments, and Strategic Growth at Conference

RXO

New Projects/Investments

M&A

Guidance Update

Trucking supply is tightening due to regulatory changes, with tender rejections reaching double digits even before recent weather impacts, compared to mid-single digits a few months prior.
RXO observes early signs of demand recovery, including encouraging news from home building and an ISM new orders component hitting 57 (highest since 2022). Automotive volumes, a headwind in 2025, are expected to no longer be a year-on-year headwind in 2026.
The company is making transformational investments in AI, which have already led to a 19% increase in productivity (loads per person per day) over the last 12 months and are expected to drive significant incremental margins by decoupling volume growth from headcount growth.
RXO has implemented over $155 million in cost reductions over the past three years, with the full run-rate impact expected in 2026, and is strategically growing its LTL business (aiming for 50-60% of volume from current 30%) and managed transportation, with a pipeline of over $1.5 billion.

Feb 10, 2026, 6:20 PM

Transcript

RXO Discusses Market Dynamics, Coyote Integration, and AI Investments at Stifel Conference

RXO

Demand Weakening

M&A

New Projects/Investments

Regulatory changes are significantly impacting trucking supply, causing tender rejections to rise from mid-single digits to double digits, with an estimated 20-25% of the market potentially at risk due to new regulations.
The integration of Coyote saw an initial volume pullback, but 99 of the top 100 customers have been retained, and volume is now returning following intentional pricing adjustments.
RXO is making transformational investments in AI to enhance profitability, reporting a 19% increase in productivity (loads per person per day) over the last 12 months and aiming for 80% incremental margins in brokerage by decoupling volume growth from headcount.
The company is targeting growth in its LTL business (from 30% to 50-60% of overall volume) and managed transportation, which has a pipeline exceeding $1.5 billion, while also realizing the full $155 million in cost reductions in 2026.

Feb 10, 2026, 6:20 PM

Transcript

Earnings Transcripts

Quarterly earnings call transcripts for RXO.

Q4 2025

Feb 6, 2026

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Q3 2025

Nov 6, 2025

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Q2 2025

Aug 7, 2025

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RXO (RXO)

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Executives

Drew Wilkerson

Jamie Harris

Jeff Firestone

Board Members

Adrian Kingshott

Christine Breves

Mary Kissel

Michelle Nettles

Stephen Renna

Thomas Szlosek

Troy Cooper

Analyst Coverage

Ken Hoexter

Scott Group

Stephanie Moore

Christian Wetherbee

Jordan Alliger

Ravi Shanker

Tom Wadewitz

Brian Ossenbeck

David Zazula

Scott Schneeberger

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Ari Rosa

Brandon Oglenski

Daniel Imbro

Jason Seidl

J. Bruce Chan

Jeffrey Kauffman

Matt Milask

Ravi Shankar

David Hicks

Joe Hoffman

Joseph Lawrence Hafling

Lucas Cervera

Lucas de Servera

Lucas Severa

Thomas Wadewitz

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