67 WALL STREET, New York - October 8, 2013 - The Wall Street Transcript has just published its Transportation and Logistics Report offering a timely review of the sector to serious investors and industry executives. This special feature contains expert industry commentary through in-depth interviews with public company CEOs and Equity Analysts. The full issue is available by calling (212) 952-7433 or via The Wall Street Transcript Online.
Topics covered: Regulatory Issues in the Trucking Industry - Trucking Pricing & Capacity Dynamics - Truckload, LTL, Parcel, Rail and Intermodal - Technology Adoption and Infrastructure Investments
Companies include: XPO Logistics (XPO) and many more.
In the following excerpt from the Transportation and Logistics Report, the CEO and Chairman of XPO Logistics, Inc. (XPO) discusses company strategy and the outlook for this vital industry:
TWST: Let's begin with a brief history and overview of XPO Logistics.
Mr. Jacobs: I took control of the company in September of 2011, when it was called Express-1 Expedited Solutions. That's when we changed the brand to XPO Logistics. Express-1 proved to be a great platform. The company already had a long track record in nonasset logistics going back to 1989. It started out as a pure play provider of expedited transportation logistics. Then its owners acquired a modest position in the freight-forwarding sector, and later they established a toehold in freight brokerage with a cold start in Indiana. That was in 2008.
Around the same time, I was looking at a lot of different industries to build my next business. The transportation logistics industry had all the right dynamics. It's large, it's fragmented, and it's growing at two to three times GDP. So in 2011, I invested up to $150 million in what is now XPO Logistics, and we set our sights on building XPO into a multibillion dollar business. At that time, the company had $177 million in annual revenue. Two years later, we're at an annual revenue run rate of about $900 million, so we're moving fast, and we're on track with our plan.
TWST: For those who are not familiar, what specifically are your core business lines and their values looking forward?
Mr. Jacobs: Our core business is nonasset freight brokerage. We've invested heavily in technology and salespeople, and we've grown to be one of the largest truckload brokers in a short period of time. The other logistics services we offer are complementary to brokerage. For example, we have a division devoted to both domestic and international intermodal, and we're a top-five provider of expedited transportation in ....
For more of this interview and many others visit the Wall Street Transcript - a unique service for investors and industry researchers - providing fresh commentary and insight through verbatim interviews with CEOs, portfolio managers and research analysts. This special issue is available by calling (212) 952-7433 or via The Wall Street Transcript Online.