RADIANT LOGISTICS ANNOUNCES RESULTS FOR THE SECOND FISCAL QUARTER ENDED DECEMBER 31, 2025
Well positioned with low leverage and acquisition and organic growth drivers;
Advancing digital transformation with Navegate platform; and
Launch of Company's first AI Agent, "Ray", to streamline international operations
Financial Highlights – Three Months Ended
- Revenues of
$232.1 million for the second fiscal quarter endedDecember 31, 2025 , down$32.4 million or 12.2%, compared to revenues of$264.5 million for the comparable prior year period. The comparable year ago period included$64.8 million in revenues for air charters to bring approximately 8 million units of IV fluid to theU.S. as a result of the national shortages resulting from Hurricane Milton (the "Milton Project "). Excluding this$64.8 million in revenues from theMilton Project in the comparable year ago period, revenues for the second fiscal quarter endedDecember 31, 2025 , were up$32.4 million or 16.2%, compared to revenues of$199.7 million for the second fiscal quarter endedDecember 31, 2024 . - Gross profit of
$61.0 million for the second fiscal quarter endedDecember 31, 2025 , up$1.4 million or 2.3%, compared to gross profit of$59.6 million for the comparable prior year period. Excluding$7.0 million in gross profit from theMilton Project in the comparable year ago period, gross profit for the second fiscal quarter endedDecember 31, 2025 , was up$8.4 million or 16.0%, compared to gross profit of$52.6 million for the second fiscal quarter endedDecember 31, 2024 . - Adjusted gross profit, a non-GAAP financial measure, of
$63.5 million for the second fiscal quarter endedDecember 31, 2025 , up$0.2 million or 0.3%, compared to adjusted gross profit of$63.3 million for the comparable prior year period. Excluding$7.0 million in adjusted gross profit from theMilton Project in the comparable prior year period, adjusted gross profit for the second fiscal quarter endedDecember 31, 2025 , was up$7.2 million or 12.8%, compared to adjusted gross profit of$56.3 million for the second fiscal quarter endedDecember 31, 2024 . - Net income attributable to
Radiant Logistics, Inc. of$5.3 million , or$0.11 per basic and fully diluted share for the second fiscal quarter endedDecember 31, 2025 , compared to$6.5 million , or$0.14 per basic and$0.13 per fully diluted share for the comparable prior year period. - Adjusted net income, a non-GAAP financial measure, of
$8.1 million , or$0.17 per basic and fully diluted share for the second fiscal quarter endedDecember 31, 2025 , down$2.6 million or 24.3%, compared to adjusted net income of$10.7 million , or$0.23 per basic and$0.22 per fully diluted share for the comparable prior year period. Excluding$4.5 million in adjusted net income from theMilton Project in the comparable year ago period, adjusted net income for the second fiscal quarter endedDecember 31, 2025 , was up$1.9 million or 30.6%, compared to adjusted net income of$6.2 million for the second fiscal quarter endedDecember 31, 2024 . Adjusted net income is calculated by applying a normalized tax rate of 24.5% and excludes costs unrelated to our core operations. - Adjusted EBITDA, a non-GAAP financial measure, of
$11.8 million for the second fiscal quarter endedDecember 31, 2025 , down$0.2 million or 1.7%, compared to adjusted EBITDA of$12.0 million for the comparable prior year period. Excluding$5.9 million in adjusted EBITDA from theMilton Project in the comparable year ago period, adjusted EBITDA for the second fiscal quarter endedDecember 31, 2025 , was up$5.7 million or 93.4%, compared to adjusted EBITDA of$6.1 million for the second fiscal quarter endedDecember 31, 2024 . - Adjusted EBITDA margin (adjusted EBITDA expressed as a percentage of adjusted gross profit), a non-GAAP financial measure, of 18.6% or 40 basis points, for the second fiscal quarter ended
December 31, 2025 , compared to adjusted EBITDA margin of 19.0% for the comparable prior year period. Excluding$5.9 million in adjusted EBITDA from theMilton Project in the comparable year ago period, adjusted EBITDA margin for the second fiscal quarter endedDecember 31, 2025 of 18.6% up 780 basis points when compared to the 10.8% adjusted EBITDA margin for the second fiscal quarter endedDecember 31, 2024 .
Stock Buy-Back
We purchased 445,058 shares of our common stock at an average cost of
As of
CEO Bohn Crain Comments on Results
"With the benefit of our diversified service offering we delivered another quarter of solid financial results generating
And while still very early in our journey, we continue to be encouraged about the prospects of Navegate, our proprietary global trade management and collaboration platform. Navegate represents a meaningful differentiator for us in the marketplace and supports both domestic and international shipments by aggregating and organizing supply-chain data to deliver enhanced visibility, automation and faster decision making. With streamlined deployment measured in weeks – not months or years – our customers can quickly reduce costs, optimize routing and improve buying and routing decisions. We believe this speed to market and ease of deployment represent a clear competitive advantage and that Navegate will serve as a meaningful catalyst for organic growth as we introduce the technology to our current and prospective customers in coming quarters.
We are also pleased to announce the launch of 'Ray', our first AI-powered agent, which is initially focused on streamlining the administration of quote requests from our international agents around the world. Ray represents an important step in our ongoing digital transformation journey and complements our Navegate platform by further automating and accelerating key workflows. By leveraging artificial intelligence to handle routine quote administration tasks, we expect Ray to improve response times for our global network of agents, enhance service quality for our customers, and drive additional operational efficiencies across our organization. We look forward to expanding Ray's capabilities and introducing additional AI-powered solutions in the coming quarters."
Second Fiscal Quarter Ended
For the three months ended
For the three months ended
For the three months ended
Six Months Ended
For the six months ended
For the Six Months Ended
For the six months ended
Earnings Call and Webcast Access Information
Conference Call Details
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DATE/TIME: |
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DIAL-IN |
US (888) 506-0062; Intl. (973) 528-0011 (Participant Access Code: 209811) |
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REPLAY |
Intl. (919) 882-2331 (Replay ID number: 53602) |
Webcast Details
This call is also being webcast and may be accessed via Radiant's web site at www.radiantdelivers.com or at https://www.webcaster5.com/Webcast/Page/2191/53602
About
This press release contains "forward-looking statements" within the meaning set forth in
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Consolidated Balance Sheets (unaudited) |
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(In thousands, except share and per share data) |
2025 |
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2025 |
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(unaudited) |
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ASSETS |
|
|
|
|
||
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Current assets: |
|
|
|
|
||
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Cash and cash equivalents |
$ |
31,884 |
|
|
$ |
22,942 |
|
Accounts receivable, net of allowance of |
|
139,947 |
|
|
|
134,911 |
|
Contract assets |
|
6,477 |
|
|
|
6,904 |
|
Income tax receivable |
|
1,887 |
|
|
|
2,194 |
|
Prepaid expenses and other current assets |
|
11,196 |
|
|
|
12,299 |
|
Total current assets |
|
191,391 |
|
|
|
179,250 |
|
|
|
|
|
|
||
|
Property, technology, and equipment, net |
|
21,944 |
|
|
|
23,489 |
|
|
|
|
|
|
||
|
|
|
121,146 |
|
|
|
117,637 |
|
Intangible assets, net |
|
48,290 |
|
|
|
49,123 |
|
Operating lease right-of-use assets |
|
54,669 |
|
|
|
55,066 |
|
Deposits and other assets |
|
2,007 |
|
|
|
2,209 |
|
Total other long-term assets |
|
226,112 |
|
|
|
224,035 |
|
Total assets |
$ |
439,447 |
|
|
$ |
426,774 |
|
|
|
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LIABILITIES AND EQUITY |
|
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Current liabilities: |
|
|
|
|
||
|
Accounts payable |
$ |
74,124 |
|
|
$ |
74,411 |
|
Operating partner commissions payable |
|
10,469 |
|
|
|
10,541 |
|
Accrued expenses |
|
11,959 |
|
|
|
10,637 |
|
Current portion of operating lease liabilities |
|
13,445 |
|
|
|
12,741 |
|
Current portion of finance lease liabilities |
|
263 |
|
|
|
282 |
|
Current portion of contingent consideration |
|
9,170 |
|
|
|
6,050 |
|
Other current liabilities |
|
806 |
|
|
|
483 |
|
Total current liabilities |
|
120,236 |
|
|
|
115,145 |
|
|
|
|
|
|
||
|
Notes payable |
|
30,000 |
|
|
|
20,000 |
|
Operating lease liabilities, net of current portion |
|
47,568 |
|
|
|
49,245 |
|
Finance lease liabilities, net of current portion |
|
846 |
|
|
|
969 |
|
Contingent consideration, net of current portion |
|
7,130 |
|
|
|
13,300 |
|
Deferred tax liabilities |
|
2,400 |
|
|
|
1,782 |
|
Other long-term liabilities |
|
10 |
|
|
|
248 |
|
Total long-term liabilities |
|
87,954 |
|
|
|
85,544 |
|
Total liabilities |
|
208,190 |
|
|
|
200,689 |
|
|
|
|
|
|
||
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Redeemable noncontrolling interest |
|
1,321 |
|
|
|
— |
|
|
|
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Equity: |
|
|
|
|
||
|
Common stock, |
|
34 |
|
|
|
34 |
|
Additional paid-in capital |
|
111,388 |
|
|
|
110,588 |
|
|
|
(35,457) |
|
|
|
(31,964) |
|
Retained earnings |
|
157,167 |
|
|
|
150,569 |
|
Accumulated other comprehensive loss |
|
(3,304) |
|
|
|
(3,211) |
|
|
|
229,828 |
|
|
|
226,016 |
|
Noncontrolling interest |
|
108 |
|
|
|
69 |
|
Total equity |
|
229,936 |
|
|
|
226,085 |
|
Total liabilities and equity |
$ |
439,447 |
|
|
$ |
426,774 |
|
Consolidated Statements of Comprehensive Income (unaudited) |
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Three Months Ended |
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Six Months Ended |
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(In thousands, except share and per share data) |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
||||
|
Revenues |
$ |
232,130 |
|
|
$ |
264,544 |
|
|
$ |
458,785 |
|
|
$ |
468,109 |
|
|
|
|
|
|
|
|
|
|
|
|
||||
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Operating expenses: |
|
|
|
|
|
|
|
|
|
|
||||
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Cost of transportation and other services |
|
168,669 |
|
|
|
201,239 |
|
|
|
335,871 |
|
|
|
347,250 |
|
Operating partner commissions |
|
20,307 |
|
|
|
19,291 |
|
|
|
40,303 |
|
|
|
38,092 |
|
Personnel costs |
|
22,589 |
|
|
|
19,554 |
|
|
|
44,160 |
|
|
|
39,177 |
|
Selling, general and administrative expenses |
|
9,609 |
|
|
|
12,000 |
|
|
|
21,683 |
|
|
|
22,321 |
|
Depreciation and amortization |
|
3,566 |
|
|
|
5,038 |
|
|
|
7,092 |
|
|
|
9,843 |
|
Change in fair value of contingent consideration |
|
(90) |
|
|
|
(1,300) |
|
|
|
110 |
|
|
|
(1,100) |
|
Total operating expenses |
|
224,650 |
|
|
|
255,822 |
|
|
|
449,219 |
|
|
|
455,583 |
|
|
|
|
|
|
|
|
|
|
|
|
||||
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Income from operations |
|
7,480 |
|
|
|
8,722 |
|
|
|
9,566 |
|
|
|
12,526 |
|
|
|
|
|
|
|
|
|
|
|
|
||||
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Other income (expense): |
|
|
|
|
|
|
|
|
|
|
||||
|
Interest income |
|
36 |
|
|
|
367 |
|
|
|
80 |
|
|
|
832 |
|
Interest expense |
|
(625) |
|
|
|
(311) |
|
|
|
(1,230) |
|
|
|
(548) |
|
Foreign currency transaction gain (loss) |
|
(120) |
|
|
|
181 |
|
|
|
(116) |
|
|
|
119 |
|
Change in fair value of interest rate swap contracts |
|
— |
|
|
|
(301) |
|
|
|
— |
|
|
|
(741) |
|
Other |
|
174 |
|
|
|
14 |
|
|
|
259 |
|
|
|
1,053 |
|
Total other income (expense) |
|
(535) |
|
|
|
(50) |
|
|
|
(1,007) |
|
|
|
715 |
|
|
|
|
|
|
|
|
|
|
|
|
||||
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Income before income taxes |
|
6,945 |
|
|
|
8,672 |
|
|
|
8,559 |
|
|
|
13,241 |
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Income tax expense |
|
(1,725) |
|
|
|
(2,163) |
|
|
|
(2,064) |
|
|
|
(3,308) |
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Net income |
|
5,220 |
|
|
|
6,509 |
|
|
|
6,495 |
|
|
|
9,933 |
|
Net loss (income) attributable to noncontrolling interest |
|
85 |
|
|
|
(42) |
|
|
|
103 |
|
|
|
(90) |
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Net income attributable to |
$ |
5,305 |
|
|
$ |
6,467 |
|
|
$ |
6,598 |
|
|
$ |
9,843 |
|
|
|
|
|
|
|
|
|
|
|
|
||||
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Other Comprehensive income attributable to |
|
|
|
|
|
|
|
|
|
|
||||
|
Foreign currency translation gain (loss) |
|
869 |
|
|
|
(2,911) |
|
|
|
(93) |
|
|
|
(2,271) |
|
Comprehensive loss attributable to noncontrolling interest |
|
40 |
|
|
|
— |
|
|
|
53 |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Comprehensive income attributable to |
$ |
6,129 |
|
|
$ |
3,598 |
|
|
$ |
6,455 |
|
|
$ |
7,662 |
|
|
|
|
|
|
|
|
|
|
|
|
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Income per share: |
|
|
|
|
|
|
|
|
|
|
||||
|
Basic |
$ |
0.11 |
|
|
$ |
0.14 |
|
|
$ |
0.14 |
|
|
$ |
0.21 |
|
Diluted |
$ |
0.11 |
|
|
$ |
0.13 |
|
|
$ |
0.14 |
|
|
$ |
0.20 |
|
|
|
|
|
|
|
|
|
|
|
|
||||
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Weighted average common shares outstanding: |
|
|
|
|
|
|
|
|
|
|
||||
|
Basic |
|
46,912,966 |
|
|
|
46,942,639 |
|
|
|
47,039,566 |
|
|
|
46,831,938 |
|
Diluted |
|
48,665,202 |
|
|
|
48,983,153 |
|
|
|
48,701,899 |
|
|
|
48,784,482 |
Reconciliation of Non-GAAP Measures
Reconciliation of Gross Profit to Adjusted Gross Profit, Net Income Attributable to
to Adjusted Net Income, EBITDA, Adjusted EBITDA, and Adjusted EBITDA Margin
(unaudited)
As used in this report adjusted gross profit, adjusted net income, EBITDA, adjusted EBITDA, and adjusted EBITDA margin are not measures of financial performance or liquidity under United States Generally Accepted Accounting Principles ("GAAP"). Adjusted gross profit, adjusted net income, EBITDA, adjusted EBITDA, and adjusted EBITDA margin are presented herein because they are important metrics used by management to evaluate and understand the performance of the ongoing operations of Radiant's business. For adjusted net income, management uses a 24.5% tax rate to calculate the provision for income taxes to normalize Radiant's tax rate to that of its competitors and to compare Radiant's reporting periods with different effective tax rates. In addition, in arriving at adjusted net income, the Company adjusts for certain non-cash charges and significant items that are not part of regular operating activities. These adjustments include income taxes, depreciation and amortization, costs unrelated to our core operations, and other non-cash charges.
We commonly refer to the term "adjusted gross profit" when commenting about our Company and the results of operations. Adjusted gross profit is a non-GAAP measure calculated as revenues less directly related operations and expenses attributed to the Company's services. Adjusted gross profit is calculated as GAAP gross profit exclusive of depreciation and amortization, which are reported separately. We believe adjusted gross profit is a better measurement than are total revenues when analyzing and discussing the effectiveness of our business and is used as a portion of a key metric the Company uses to discuss its progress.
EBITDA is a non-GAAP financial measure of income and does not include the effects of interest, income taxes, and the "non-cash" effects of depreciation and amortization on long-term assets. Companies have some discretion as to which elements of depreciation and amortization are excluded in the EBITDA calculation. We exclude all depreciation charges related to property, technology, and equipment and all amortization charges (including amortization of leasehold improvements). We then further adjust EBITDA to exclude share-based compensation, costs unrelated to our core operations (primarily acquisition and litigation costs), allocation of earnings attributable to noncontrolling interests in subsidiaries, and other non-cash charges. While management considers EBITDA and adjusted EBITDA useful in analyzing our results, it is not intended to replace any presentation included in our consolidated financial statements.
We believe that these non-GAAP financial measures, as presented, represent a useful method of assessing the performance of our operating activities, as they reflect our earnings trends without the impact of certain non-cash charges and other non-recurring charges. These non-GAAP financial measures are intended to supplement the GAAP financial information by providing additional insight regarding results of operations to allow a comparison to other companies, many of whom use similar non-GAAP financial measures to supplement their GAAP results. However, these non-GAAP financial measures will not be defined in the same manner by all companies and may not be comparable to other companies. Adjusted gross profit, adjusted net income, EBITDA, adjusted EBITDA, and adjusted EBITDA margin should not be considered in isolation or as a substitute for any of the consolidated statements of comprehensive income prepared in accordance with GAAP, or as an indication of Radiant's operating performance or liquidity.
|
(In thousands) |
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
Reconciliation of adjusted gross profit to GAAP gross profit |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
|
Revenues |
$ |
232,130 |
|
|
$ |
264,544 |
|
|
$ |
458,785 |
|
|
$ |
468,109 |
|
|
Cost of transportation and other services (exclusive of |
|
(168,669) |
|
|
|
(201,239) |
|
|
|
(335,871) |
|
|
|
(347,250) |
|
|
Depreciation and amortization |
|
(2,445) |
|
|
|
(3,707) |
|
|
|
(4,784) |
|
|
|
(7,195) |
|
|
GAAP gross profit |
$ |
61,016 |
|
|
$ |
59,598 |
|
|
$ |
118,130 |
|
|
$ |
113,664 |
|
|
Depreciation and amortization |
|
2,445 |
|
|
|
3,707 |
|
|
|
4,784 |
|
|
|
7,195 |
|
|
Adjusted gross profit |
$ |
63,461 |
|
|
$ |
63,305 |
|
|
$ |
122,914 |
|
|
$ |
120,859 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
GAAP gross profit percentage |
|
26.3 |
% |
|
|
22.5 |
% |
|
|
25.7 |
% |
|
|
24.3 |
% |
|
Adjusted gross profit percentage |
|
27.3 |
% |
|
|
23.9 |
% |
|
|
26.8 |
% |
|
|
25.8 |
% |
|
|
|||||||||||||||
|
|
|
||||||||||||||
|
Reconciliation of GAAP net income to adjusted EBITDA |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
|
Net income attributable to |
$ |
5,305 |
|
|
$ |
6,467 |
|
|
$ |
6,598 |
|
|
$ |
9,843 |
|
|
Income tax expense |
|
1,725 |
|
|
|
2,163 |
|
|
|
2,064 |
|
|
|
3,308 |
|
|
Depreciation and amortization (1) |
|
3,566 |
|
|
|
5,038 |
|
|
|
7,092 |
|
|
|
9,957 |
|
|
Net interest expense |
|
589 |
|
|
|
(56) |
|
|
|
1,150 |
|
|
|
(284) |
|
|
Share-based compensation |
|
508 |
|
|
|
(1,813) |
|
|
|
932 |
|
|
|
(1,650) |
|
|
Change in fair value of contingent consideration |
|
(90) |
|
|
|
(1,300) |
|
|
|
110 |
|
|
|
(1,100) |
|
|
Lease termination costs |
|
54 |
|
|
|
1,166 |
|
|
|
162 |
|
|
|
1,166 |
|
|
Change in fair value of interest rate swap contracts |
|
— |
|
|
|
301 |
|
|
|
— |
|
|
|
741 |
|
|
Other (2) |
|
117 |
|
|
|
50 |
|
|
|
463 |
|
|
|
(513) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Adjusted EBITDA |
|
11,774 |
|
|
|
12,016 |
|
|
|
18,571 |
|
|
|
21,468 |
|
|
Adjusted EBITDA as a % of adjusted gross profit (3) |
|
18.6 |
% |
|
|
19.0 |
% |
|
|
15.1 |
% |
|
|
17.8 |
% |
|
|
|
|
(1) |
Depreciation and amortization for the purposes of calculating adjusted EBITDA, a non-GAAP financial measure, includes depreciation expenses recognized on certain computer software as a service. |
|
(2) |
Other includes costs unrelated to our core operations (primarily acquisition and litigation costs), and other non-cash charges. |
|
(3) |
Adjusted gross profit is revenues less the cost of transportation and other services. |
|
(In thousands, except share and per share data) |
Three Months Ended |
|
|
Six Months Ended |
||||||||||
|
Reconciliation of GAAP net income to adjusted net income |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
||||
|
GAAP net income attributable to |
$ |
5,305 |
|
|
$ |
6,467 |
|
|
$ |
6,598 |
|
|
$ |
9,843 |
|
Adjustments to net income: |
|
|
|
|
|
|
|
|
|
|
||||
|
Income tax expense |
|
1,725 |
|
|
|
2,163 |
|
|
|
2,064 |
|
|
|
3,308 |
|
Depreciation and amortization |
|
3,566 |
|
|
|
5,038 |
|
|
|
7,092 |
|
|
|
9,843 |
|
Change in fair value of contingent consideration |
|
(90) |
|
|
|
(1,300) |
|
|
|
110 |
|
|
|
(1,100) |
|
Lease termination costs |
|
54 |
|
|
|
1,166 |
|
|
|
162 |
|
|
|
1,166 |
|
Change in fair value of interest rate swap contracts |
|
— |
|
|
|
301 |
|
|
|
— |
|
|
|
741 |
|
Other |
|
137 |
|
|
|
332 |
|
|
|
587 |
|
|
|
806 |
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Adjusted net income before income taxes |
|
10,697 |
|
|
|
14,167 |
|
|
|
16,613 |
|
|
|
24,607 |
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Provision for income taxes at 24.5% |
|
(2,621) |
|
|
|
(3,471) |
|
|
|
(4,070) |
|
|
|
(6,029) |
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Adjusted net income |
$ |
8,076 |
|
|
$ |
10,696 |
|
|
$ |
12,543 |
|
|
$ |
18,578 |
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Adjusted net income per common share: |
|
|
|
|
|
|
|
|
|
|
||||
|
Basic |
$ |
0.17 |
|
|
$ |
0.23 |
|
|
$ |
0.27 |
|
|
$ |
0.40 |
|
Diluted |
$ |
0.17 |
|
|
$ |
0.22 |
|
|
$ |
0.26 |
|
|
$ |
0.38 |
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Weighted average common shares outstanding: |
|
|
|
|
|
|
|
|
|
|
||||
|
Basic |
|
46,912,966 |
|
|
|
46,942,639 |
|
|
|
47,039,566 |
|
|
|
46,831,938 |
|
Diluted |
|
48,665,202 |
|
|
|
48,983,153 |
|
|
|
48,701,899 |
|
|
|
48,784,482 |
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