Expeditors reports strong third-quarter growth amid rising logistics demand
Expeditors International reported substantial growth in revenue and earnings during the third quarter of 2026, supported by higher airfreight and ocean freight volumes, expanding demand for technology-related logistics services and continued growth across its global operations.
The company recorded revenue of US$4.1 billion, an increase of 42% compared with the same period in 2025. Operating income rose 55% to US$445 million, while net earnings attributable to shareholders increased 55% to US$345 million. Diluted earnings per share climbed 62% to US$2.65.
Airfreight tonnage increased 13% year-on-year, while ocean container volumes grew 7%. Expeditors also reported double-digit revenue growth in customs brokerage, Transcon, distribution and order management for the third consecutive quarter.
Airfreight demand supported by AI infrastructure
Expeditors recorded its highest-ever quarterly global airfreight tonnage, driven particularly by increased exports from South Asia. Demand from hyperscale technology companies and suppliers supporting artificial intelligence infrastructure contributed significantly to the expansion.
Airfreight capacity remained constrained by limited fleet growth and delays in new aircraft deliveries. Aircraft redeployments also affected Asia-Europe e-commerce operations, while China-US e-commerce tonnage nearly recovered to levels recorded before the United States ended de minimis treatment for shipments in May 2025.
The combination of strong demand, capacity restrictions and geopolitical developments kept airfreight rates elevated throughout the quarter.
Ocean freight growth despite Asian port disruptions
Ocean freight volumes recovered following a period of relatively flat performance in the second quarter, increasing 7% year-on-year. Growth was particularly strong in September and across Asian export markets.
However, significant congestion at major Asian ports and transshipment hubs disrupted operations. Three consecutive typhoons resulted in temporary port closures and reduced available shipping capacity, creating additional challenges for international supply chains.
Expeditors said its established relationships with ocean carriers helped the company secure capacity and maintain services during the disruptions. Management expects congestion and supply chain challenges to continue through the remainder of 2026.
Growth also extended to customs brokerage, road freight and warehousing operations. Higher customs declaration volumes, new customer contracts and demand from technology companies supported performance across several regions.
Daniel R. Wall, President and Chief Executive Officer of Expeditors, attributed the company’s performance to strong customer demand and continued efforts to diversify its business.
“We continue to gain share, particularly in markets that we have made a strategic focus,” said Daniel R. Wall, President and Chief Executive Officer of Expeditors.
The company is also investing in temperature-controlled facilities, critical logistics services, artificial intelligence and other technology solutions to improve productivity and support future growth.
David A. Hackett, Senior Vice President and Chief Financial Officer, said revenue increased 42% while headcount grew only 1% year-on-year. Operating efficiency reached 36.7%, exceeding the company’s historical target of 30%.
Expeditors returned US$197 million to shareholders through share repurchases during the quarter. Total shareholder distributions through dividends and repurchases reached US$946 million during the first nine months of 2026.
The company is scheduled to hold an Investor Day in New York City on November 18, 2026.
