Is the business good?
How good a business is GXO?
GXO Logistics, Inc. earns 4.8% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
4.8%
Return on invested capital · cost of capital 9.0% · 4.2 points below what the capital costs: growth destroys value
- Operating margin
- 2.4%
Operating margin · Integrated Freight & Logistics median 6.1% · 12 months to Q2 2026
- Cash conversion
- 1.37×
Cash conversion · 1.48× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- +0.58%
Share count, year on year · flat: no meaningful dilution
| Year | Operating margin |
|---|---|
| FY2020 | 0.26% |
| FY2021 | 1.9% |
| FY2022 | 2.7% |
| FY2023 | 3.3% |
| FY2024 | 1.9% |
| FY2025 | 1.9% |
Details›
- Gross margin12 months to Q2 2026
- 15%
- Operating margin12 months to Q2 2026
- 2.4%
- Net margin12 months to Q2 2026
- 0.96%
- Free cash flow margin
- 1.3%
- Revenue, trailing twelve months
- $13.6B
- Free cash flow, trailing twelve months
- $180M
- Net income, trailing twelve months
- $131M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 4.8%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Integrated Freight & Logistics
Ranks #8 of 10 by Smart Score