Nasdaq:CHRW
C. H. ROBINSON WORLDWIDE, INC.
A premier third-party logistics provider offering comprehensive supply chain management and freight brokerage services globally.
Key Metrics
Investment Thesis
Bull Case
Strong balance sheet with $160.9M in cash and equivalents allows for strategic investments or share repurchases; improving profitability trends with net income growing from $325.1M to $587.1M over two years; diversified logistics portfolio provides resilience against sector-specific downturns.
Bear Case
Significant year-over-year revenue contraction from $24.70B in 2022 to $16.23B raises concerns about demand sustainability; high debt levels with $1.09B in long-term debt and substantial debt repayments of $1.21B may strain liquidity; large retained earnings deficit of $6.07B indicates historical financial stress.
About C. H. ROBINSON WORLDWIDE, INC.
C.H. Robinson Worldwide Inc. is a leading North American transportation management company providing global logistics solutions including freight forwarding, truck brokerage, and warehousing services to diverse industries.
Analysis
Management Discussion
Recent financial performance shows a revenue decline from $24.70B in 2022 to $16.23B in the latest period, while net income improved from $325.1M in 2023 to $587.1M. This suggests improving operational efficiency despite lower top-line revenue, with strong operating profit of $795.0M and healthy free cash flow generation.
Industry Overview
The transportation management industry is cyclical and highly competitive, heavily influenced by global trade volumes, fuel costs, and economic conditions. Companies in this sector face pressure from technology disruption requiring continuous investment while maintaining extensive carrier networks.
Financial Statements
Income Statement
Balance Sheet
Cash Flow
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Revenue | $24.70B | $17.60B | $17.72B | $16.23B |
| Cost of Revenue | $0 | $0 | $0 | $0 |
| Gross Profit | $24.70B | $17.60B | $17.72B | $16.23B |
| Operating Expenses | $23.43B | $17.08B | $17.06B | $15.44B |
| Operating Income | $1.27B | $514.6M | $669.1M | $795.0M |
| Stock-Based Comp | $90.7M | $58.2M | $84.6M | $80.1M |
| D&A | $92.8M | $99.0M | $97.2M | $102.8M |
| Depreciation | $38.1M | $39.6M | $36.0M | $32.5M |
| Amortization | $23.4M | $20.6M | $12.2M | $10.3M |
| Non-Operating Income | $-100.0M | $-105.4M | $-89.9M | $-72.5M |
| Pre-Tax Income | $1.17B | $409.2M | $579.2M | $722.5M |
| Income Tax | $226.2M | $84.1M | $113.5M | $135.4M |
| Continuing Ops | $940.5M | $325.1M | $465.7M | $587.1M |
| Discontinued Ops | $0 | $0 | $0 | $0 |
| Net Income | $940.5M | $325.1M | $465.7M | $587.1M |
| Minority Interest | $0 | $0 | $0 | $0 |
| Net to Common | $940.5M | $325.1M | $465.7M | $587.1M |
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Current Assets | $3.59B | $2.88B | $2.97B | $2.80B |
| Cash & Equivalents | $217.5M | $145.5M | $145.8M | $160.9M |
| Prepaid Expenses | $122.4M | $163.3M | $102.2M | $120.4M |
| Other Current Assets | $3.25B | $2.57B | $2.72B | $2.52B |
| Long-Term Assets | $2.37B | $2.34B | $2.33B | $2.26B |
| PP&E (Net) | $159.4M | $144.7M | $127.2M | $116.4M |
| Intangibles | $64.0M | $43.7M | $28.2M | $18.2M |
| Goodwill | $1.47B | $1.47B | $1.43B | $1.46B |
| Operating Leases | $372.1M | $353.9M | $334.7M | $278.3M |
| Other LT Assets | $298.9M | $328.7M | $409.2M | $389.0M |
| Total Assets | $5.95B | $5.23B | $5.30B | $5.06B |
| Current Liabilities | $3.32B | $2.05B | $2.32B | $1.83B |
| Accounts Payable | $1.47B | $1.30B | $1.18B | $1.21B |
| Current Debt | $1.05B | $160.0M | $455.8M | $0 |
| Current Leases | $73.7M | $74.5M | $72.8M | $72.2M |
| Taxes Payable | $15.2M | $4.7M | $9.3M | $33.7M |
| Other Current Liab | $713.3M | $508.8M | $608.6M | $515.5M |
| Long-Term Liabilities | $1.28B | $1.75B | $1.25B | $1.38B |
| Long-Term Debt | $920.0M | $1.42B | $921.9M | $1.09B |
| LT Operating Leases | $313.7M | $297.6M | $290.6M | $233.8M |
| Other LT Liab | $16.2M | $15.3M | $15.0M | $23.0M |
| Total Liabilities | $4.60B | $3.81B | $3.58B | $3.21B |
| Shareholders' Equity | $1.35B | $1.42B | $1.72B | $1.85B |
| Retained Earnings | $5.59B | $5.62B | $5.79B | $6.07B |
| AOCI | $-88.9M | $-80.9M | $-110.4M | $-77.7M |
| Treasury Stock | $4.90B | $4.89B | $4.74B | $4.89B |
| Total L&E | $5.95B | $5.23B | $5.30B | $5.06B |
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Net Income (CFO) | $940.5M | $325.1M | $465.7M | $587.1M |
| Non-Cash Adjustments | $2.13B | $1.40B | $-72.8M | $453.0M |
| Working Capital Changes | $-1.42B | $-992.9M | $116.2M | $-125.5M |
| Cash from Operations | $1.65B | $731.9M | $509.1M | $914.5M |
| Capital Expenditures | $61.9M | $30.0M | $22.7M | $19.6M |
| Cash from Investing | $-64.9M | $-82.8M | $-74.3M | $-54.7M |
| Debt Issuances | $200.0M | $0 | $10.0M | $949.0M |
| Debt Repayments | $0 | $0 | $10.0M | $1.21B |
| Share Buybacks | $1.46B | $63.9M | $0 | $354.7M |
| Dividends Paid | $285.3M | $291.6M | $294.8M | $301.4M |
| Cash from Financing | $-1.62B | $-717.8M | $-416.1M | $-862.7M |
| FX Effect | $-5.6M | $-3.3M | $-8.2M | $7.2M |
| Net Change in Cash | $-39.9M | $-72.0M | $10.5M | $4.3M |
| Beginning Cash | $257.4M | $217.5M | $145.5M | $145.8M |
| Ending Cash | $217.5M | $145.5M | $145.8M | $160.9M |
Frequently Asked Questions
How does C. H. ROBINSON WORLDWIDE, INC. make money?
The company's revenue is primarily driven by its Transportation Management segment which includes truck brokerage, ocean freight forwarding, air freight forwarding, and intermodal solutions. Additional segments include Warehousing and Distribution services as well as Technology Solutions that support its clients' supply chain optimization needs.
What are the main risks for CHRW?
Fluctuations in global trade volumes and economic downturns impacting shipping demand; volatility in fuel prices affecting operating margins; cybersecurity threats targeting sensitive logistics data and client information; regulatory changes in international trade policies and transportation laws.
What is CHRW's competitive advantage?
Robust proprietary technology platform enabling real-time visibility and control over global supply chains; extensive network of relationships with carriers and shippers creating high switching costs; diversified service offerings reducing reliance on single freight modes or sectors.
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Not financial advice. All content is for informational purposes only. Data may contain errors. Consult a qualified financial advisor before making investment decisions.