C.H. Robinson Reports Strong Q3 2025 Earnings Results, and Increased 2026 Targets, Fueled by Its Lean AI Transformation

Amid a prolonged freight recession and shifting global trade patterns, C.H. Robinson delivered another strong quarter of earnings, showcasing disciplined execution of its strategic initiatives and the growing impact of its Lean AI transformation.

Consistent Outperformance and Disciplined Execution

During the company's third-quarter earnings call, President and Chief Executive Officer Dave Bozeman highlighted how this sustained outperformance has translated into tangible results-including market share gains, gross margin expansion, and higher operating margins.

"With seven consecutive quarters of consistent outperformance through the disciplined execution of the strategy that we shared at our 2024 Investor Day, there is no doubt in our minds that we are on the right path to deliver sustainable outperformance," said Bozeman. "Our model, with an industry-leading cost to serve, is highly scalable and we expect it will improve further as we harness the evolving power of AI to drive automation across the quote-to-cash lifecycle of a load."

Third Quarter Highlights

• Income from operations increased 22.6% to $220.8 million
• Adjusted operating margin increased 680 basis points to 31.3%
• Diluted earnings per share (EPS) increased 67.5% to $1.34
• Adjusted diluted EPS increased 9.4% to $1.40
• Cash generated by operations increased by $167.4 million to $275.4 million
• The company raised its 2026 operating income target from $953 million to $1.05 billion

Lean AI: Powering a New Era of Supply Chain Performance

At the core of C.H. Robinson's transformation is Lean AI, the company's unique, disciplined approach to AI innovation. By combining the principles of Lean methodology in the Robinson operating model with the power of artificial intelligence, Lean AI is designed to maximize value and minimize waste for smarter, faster, and better outcomes.

It is uniquely enabled by C.H. Robinson's leading AI technology, expert logisticians, and Lean operating model that drives continuous improvement.

While others are still experimenting with automation, C.H. Robinson is already applying AI at scale through Lean AI, leading the next era of logistics with Agentic Supply Chains. With Lean AI as its foundation, C.H. Robinson will continue driving operational excellence and financial performance, delivering greater efficiency, cost savings, and long-term value for customers, carriers, and shareholders.

Investor Confidence and Market Resilience

C.H. Robinson's strong performance came despite a difficult freight environment marked by ongoing softness in demand, low truckload spot rates, and global trade disruptions that weighed on international shipping. These dynamics have created headwinds across the transportation industry, but are challenges C.H. Robinson is continuing to navigate with discipline and focus.

"This is a new C.H. Robinson, and we don't use the macro environment as an excuse. We are a fundamentally different company than we were two years ago, illustrated by the company's consistent outperformance versus the market," Bozeman said.

Outlook

Looking ahead, C.H. Robinson remains focused on delivering best-in-class service to customers and carriers while continuing to advance its Lean AI strategy, with Lean as the engine and AI as the accelerator. By streamlining processes, reducing waste, and optimizing costs, the company expects to further expand margins and drive sustainable growth in 2026 no matter the market conditions.

For more information and insights, be sure to check out the official Q3 2025 results on our investor relations website.