--- title: "Expeditors | 8-K: FY2026 Q1 Revenue Beats Estimate at USD 2.783 B" type: "News" locale: "en" url: "https://longbridge.com/en/news/285229650.md" datetime: "2026-05-05T15:08:03.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/285229650.md) - [en](https://longbridge.com/en/news/285229650.md) - [zh-HK](https://longbridge.com/zh-HK/news/285229650.md) --- # Expeditors | 8-K: FY2026 Q1 Revenue Beats Estimate at USD 2.783 B Revenue: As of FY2026 Q1, the actual value is USD 2.783 B, beating the estimate of USD 2.617 B. EPS: As of FY2026 Q1, the actual value is USD 1.71, beating the estimate of USD 1.3383. EBIT: As of FY2026 Q1, the actual value is USD 286.19 M. #### Q1 2026 Financial Performance Overview Expeditors International of Washington, Inc. reported a 4% increase in revenues to $2.78 billion for the first quarter of 2026, reaching $2,782,962 thousand, up from $2,666,419 thousand in Q1 2025. Net earnings attributable to shareholders increased by 13% to $229,610 thousand, from $203,795 thousand in Q1 2025. Operating income saw an 11% increase, reaching $294,828 thousand in Q1 2026 from $265,858 thousand in Q1 2025. #### Segment Revenues and Operating Expenses - **Airfreight Services:** Revenues for airfreight services were $1,030,863 thousand in Q1 2026, up from $901,760 thousand in Q1 2025. Operating expenses for this segment were $769,483 thousand in Q1 2026, compared to $648,494 thousand in Q1 2025. Airfreight gross margins increased sequentially from Q4 2025 due to higher per-kilo profitability, resulting from higher rates and a more stable balance between sell and buy pricing for the first two months of the quarter. - **Ocean Freight and Ocean Services:** Revenues decreased to $598,884 thousand in Q1 2026 from $781,665 thousand in Q1 2025. The decline was attributed to decreases in both pricing and volume compared to Q1 2025, primarily on exports from Asia, impacted by lower average profitability per-container and volume. Operating expenses for ocean freight and ocean services were $416,021 thousand in Q1 2026, down from $573,901 thousand in Q1 2025. - **Customs Brokerage and Other Services:** This segment saw revenues increase to $1,153,215 thousand in Q1 2026 from $982,994 thousand in Q1 2025. Operating expenses were $625,647 thousand in Q1 2026, compared to $554,280 thousand in Q1 2025. Higher entry volumes, complexity, and tariff-related activity drove revenue increases, along with double-digit growth and profitability in other products, particularly from technology customers. #### Operational Costs Directly related cost of transportation and other expenses increased by 2% to $1,811,151 thousand in Q1 2026 from $1,776,675 thousand in Q1 2025. Salaries and other operating expenses rose by 9% to $676,983 thousand in Q1 2026 from $623,886 thousand in Q1 2025. #### Cash Flow and Shareholder Returns Net cash from operating activities was $309,234 thousand in Q1 2026, a decrease from $342,622 thousand in Q1 2025. Expeditors International of Washington, Inc. returned $288 million to shareholders via share repurchases during the first quarter of 2026, repurchasing 2.0 million shares at an average price of $145.90. In Q1 2025, the company repurchased 1.5 million shares at an average price of $117.29 per share. #### Operational Metrics Airfreight tonnage increased by 5% in Q1 2026, while ocean container volume decreased by 4%. Customs, Transcon, Distribution, and Order Management services each achieved double-digit revenue growth. Employee full-time equivalents totaled 20,361 as of March 31, 2026, up from 19,203 as of March 31, 2025. #### Outlook Expeditors International of Washington, Inc. anticipates the freight environment will remain highly unpredictable due to global events and macroeconomic concerns. The air market may experience continued rapid shifts in capacity, routing, pricing, and potential fuel shortages, while the ocean market is expected to remain impacted by abundant capacity and weak pricing. However, the company expects robust demand for its customs brokerage services due to elevated tariff-driven complexity and global trade dynamics, supported by a strong pipeline of new business. ### Related Stocks - [EXPD.US](https://longbridge.com/en/quote/EXPD.US.md) ## Related News & Research - [FedEx says FY2026 Form 10-K report available](https://longbridge.com/en/news/293947978.md) - [SocGen reports 750,900,671 shares outstanding, 834,887,878 gross voting rights as of July 27, 2026](https://longbridge.com/en/news/294230319.md) - [UPS beat Q2 revenue, adjusted EPS estimates, raises FY outlook](https://longbridge.com/en/news/294046920.md) - [CPKC Q2 revenue beats estimates on improved freight demand](https://longbridge.com/en/news/294258837.md) - [Shengfeng Development shareholder Q&A addresses Nasdaq listing concerns ahead of Aug. 25 vote](https://longbridge.com/en/news/294341125.md)