Expeditors International Reports 21% Revenue Growth to $2.67 Billion in Q1 2025

Expeditors International of Washington, Inc. reported significant financial growth in its first quarter of 2025, with total revenues reaching $2.67 billion, a 21% increase from $2.21 billion in the same period of 2024. The company's operating income rose to $265.9 million, up 24% from $214.8 million year-over-year. Net earnings attributable to shareholders also saw a 20% increase, amounting to $203.8 million compared to $169.2 million in the prior year. This growth was driven by strong demand across all service lines, particularly in airfreight and ocean freight services, as importers accelerated shipments in anticipation of higher tariffs.

The company experienced notable increases in its service revenues, with airfreight services generating $901.8 million, a 19% rise, while ocean freight services surged by 37% to $781.7 million. Customs brokerage and other services also contributed significantly, with revenues increasing by 12% to $983 million. Operating expenses rose in tandem, with total operating expenses increasing by 20% to $2.40 billion, primarily due to higher costs associated with increased shipment volumes and elevated buy rates.

In terms of operational metrics, Expeditors reported an 8% increase in ocean containers shipped and a 9% rise in airfreight tonnage compared to the first quarter of 2024. The company’s strategic focus on enhancing its service offerings and expanding its customer base has resulted in a robust operational performance. The total employee headcount increased by 4% year-over-year, reflecting the company's commitment to supporting its growth initiatives.

Looking ahead, Expeditors remains cautious about the potential impacts of ongoing geopolitical tensions and trade policy changes, particularly concerning tariffs and international trade regulations. The company noted that while current demand is strong, fluctuations in trade volumes and pricing volatility could affect future performance. Management anticipates that the global economic environment will continue to be uncertain, which may influence operational results in the coming quarters. Despite these challenges, the company is optimistic about its ability to navigate the evolving landscape and maintain its growth trajectory.