We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Expeditors International (EXPD) International Revenue Performance Explored
Read MoreHide Full Article
Did you analyze how Expeditors International (EXPD - Free Report) fared in its international operations for the quarter ending March 2024? Given the widespread global presence of this logistics services provider, scrutinizing the trends in international revenues becomes imperative to assess its financial strength and future growth possibilities.
In today's increasingly interconnected global economy, a company's ability to tap into international markets can be a pivotal factor in shaping its overall financial health and growth trajectory. For investors, understanding a company's reliance on overseas markets has become increasingly crucial, as it offers insights into the company's sustainability of earnings, ability to tap into diverse economic cycles and overall growth potential.
Being present in international markets serves as a counterbalance to domestic economic challenges while offering chances to engage with more rapidly evolving economies. However, this kind of diversification introduces challenges like currency fluctuations, geopolitical uncertainties and varying market trends.
Our review of EXPD's last quarterly performance uncovered some notable trends in the revenue contributions from its international markets, which are commonly analyzed and tracked by Wall Street experts.
The recent quarter saw the company's total revenue reaching $2.21 billion, marking a decline of 14.9% from the prior-year quarter. Next, we'll examine the breakdown of EXPD's revenue from abroad to comprehend the significance of its international presence.
Unveiling Trends in EXPD's International Revenues
Latin America accounted for 2.0% of the company's total revenue during the quarter, translating to $44.49 million. Revenues from this region represented a surprise of +0.8%, with Wall Street analysts collectively expecting $44.14 million. When compared to the preceding quarter and the same quarter in the previous year, Latin America contributed $45.35 million (2%) and $54.7 million (2.1%) to the total revenue, respectively.
Other North America generated $106.85 million in revenues for the company in the last quarter, constituting 4.8% of the total. This represented a surprise of +9.12% compared to the $97.92 million projected by Wall Street analysts. Comparatively, in the previous quarter, Other North America accounted for $109.93 million (4.8%), and in the year-ago quarter, it contributed $109.85 million (4.2%) to the total revenue.
During the quarter, Europe contributed $398.32 million in revenue, making up 18.1% of the total revenue. When compared to the consensus estimate of $403.36 million, this meant a surprise of -1.25%. Looking back, Europe contributed $422.34 million, or 18.5%, in the previous quarter, and $534.46 million, or 20.6%, in the same quarter of the previous year.
Of the total revenue, $134.11 million came from Middle East, Africa and India during the last fiscal quarter, accounting for 6.1%. This represented a surprise of -13.28% as analysts had expected the region to contribute $154.64 million to the total revenue. In comparison, the region contributed $118.67 million, or 5.2%, and $142.7 million, or 5.5%, to total revenue in the previous and year-ago quarters, respectively.
During the quarter, North Asia contributed $544.94 million in revenue, making up 24.7% of the total revenue. When compared to the consensus estimate of $488.18 million, this meant a surprise of +11.63%. Looking back, North Asia contributed $573.02 million, or 25.2%, in the previous quarter, and $582.42 million, or 22.5%, in the same quarter of the previous year.
South Asia accounted for 10.3% of the company's total revenue during the quarter, translating to $227.72 million. Revenues from this region represented a surprise of +17.44%, with Wall Street analysts collectively expecting $193.9 million. When compared to the preceding quarter and the same quarter in the previous year, South Asia contributed $234.26 million (10.3%) and $224.13 million (8.6%) to the total revenue, respectively.
Prospective Revenues in International Markets
Wall Street analysts expect Expeditors International to report $2.12 billion in total revenue for the current fiscal quarter, indicating a decline of 5.5% from the year-ago quarter. Latin America, Other North America, Europe, Middle East, Africa and India, North Asia and South Asia are expected to contribute 2% ($41.44 million), 4.5% ($94.09 million), 17.6% ($372.19 million), 5.5% ($115.44 million), 21.9% ($462.57 million) and 8.7% ($185.08 million) to the total revenue, respectively.
Analysts expect the company to report a total annual revenue of $8.7 billion for the full year, marking a decrease of 6.5% compared to last year. The expected revenue contributions from Latin America, Other North America, Europe, Middle East, Africa and India, North Asia and South Asia are projected to be 2% ($171.91 million), 4.5% ($389.91 million), 17.9% ($1.56 billion), 6% ($520.86 million), 22.3% ($1.94 billion) and 8.9% ($777.53 million) of the total revenue, in that order.
Final Thoughts
Expeditors International's reliance on international markets for revenues offers both opportunities and risks. Hence, keeping an eye on its international revenue trends could significantly help forecast the company's prospects.
With the increasing intricacies of global interdependence and geopolitical strife, Wall Street analysts meticulously observe these patterns, especially for companies with an international footprint, to tweak their forecasts of earnings. Importantly, several additional factors, such as a company's domestic market status, also impact these earnings forecasts.
We at Zacks strongly focus on the dynamic earnings forecast of companies, given that empirical studies have demonstrated its potent impact on the immediate price movement of stocks. Invariably, there's a positive relationship -- upward earnings predictions often result in an increase in stock prices.
Boasting a remarkable track record that's been externally verified, the Zacks Rank, our unique stock rating system, leverages changes in earnings projections to function as a reliable gauge for predicting short-term stock price movements.
A Look at Expeditors International's Recent Stock Price Performance
Over the past month, the stock has seen an increase of 0.6% in its value, whereas the Zacks S&P 500 composite has posted an increase of 1.3%. The Zacks Transportation sector, Expeditors International's industry group, has ascended 0.3% over the identical span. In the past three months, there's been a decline of 4.7% in the company's stock price, against a rise of 4.3% in the S&P 500 index. The broader sector has declined by 2.2% during this interval.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Expeditors International (EXPD) International Revenue Performance Explored
Did you analyze how Expeditors International (EXPD - Free Report) fared in its international operations for the quarter ending March 2024? Given the widespread global presence of this logistics services provider, scrutinizing the trends in international revenues becomes imperative to assess its financial strength and future growth possibilities.
In today's increasingly interconnected global economy, a company's ability to tap into international markets can be a pivotal factor in shaping its overall financial health and growth trajectory. For investors, understanding a company's reliance on overseas markets has become increasingly crucial, as it offers insights into the company's sustainability of earnings, ability to tap into diverse economic cycles and overall growth potential.
Being present in international markets serves as a counterbalance to domestic economic challenges while offering chances to engage with more rapidly evolving economies. However, this kind of diversification introduces challenges like currency fluctuations, geopolitical uncertainties and varying market trends.
Our review of EXPD's last quarterly performance uncovered some notable trends in the revenue contributions from its international markets, which are commonly analyzed and tracked by Wall Street experts.
The recent quarter saw the company's total revenue reaching $2.21 billion, marking a decline of 14.9% from the prior-year quarter. Next, we'll examine the breakdown of EXPD's revenue from abroad to comprehend the significance of its international presence.
Unveiling Trends in EXPD's International Revenues
Latin America accounted for 2.0% of the company's total revenue during the quarter, translating to $44.49 million. Revenues from this region represented a surprise of +0.8%, with Wall Street analysts collectively expecting $44.14 million. When compared to the preceding quarter and the same quarter in the previous year, Latin America contributed $45.35 million (2%) and $54.7 million (2.1%) to the total revenue, respectively.
Other North America generated $106.85 million in revenues for the company in the last quarter, constituting 4.8% of the total. This represented a surprise of +9.12% compared to the $97.92 million projected by Wall Street analysts. Comparatively, in the previous quarter, Other North America accounted for $109.93 million (4.8%), and in the year-ago quarter, it contributed $109.85 million (4.2%) to the total revenue.
During the quarter, Europe contributed $398.32 million in revenue, making up 18.1% of the total revenue. When compared to the consensus estimate of $403.36 million, this meant a surprise of -1.25%. Looking back, Europe contributed $422.34 million, or 18.5%, in the previous quarter, and $534.46 million, or 20.6%, in the same quarter of the previous year.
Of the total revenue, $134.11 million came from Middle East, Africa and India during the last fiscal quarter, accounting for 6.1%. This represented a surprise of -13.28% as analysts had expected the region to contribute $154.64 million to the total revenue. In comparison, the region contributed $118.67 million, or 5.2%, and $142.7 million, or 5.5%, to total revenue in the previous and year-ago quarters, respectively.
During the quarter, North Asia contributed $544.94 million in revenue, making up 24.7% of the total revenue. When compared to the consensus estimate of $488.18 million, this meant a surprise of +11.63%. Looking back, North Asia contributed $573.02 million, or 25.2%, in the previous quarter, and $582.42 million, or 22.5%, in the same quarter of the previous year.
South Asia accounted for 10.3% of the company's total revenue during the quarter, translating to $227.72 million. Revenues from this region represented a surprise of +17.44%, with Wall Street analysts collectively expecting $193.9 million. When compared to the preceding quarter and the same quarter in the previous year, South Asia contributed $234.26 million (10.3%) and $224.13 million (8.6%) to the total revenue, respectively.
Prospective Revenues in International Markets
Wall Street analysts expect Expeditors International to report $2.12 billion in total revenue for the current fiscal quarter, indicating a decline of 5.5% from the year-ago quarter. Latin America, Other North America, Europe, Middle East, Africa and India, North Asia and South Asia are expected to contribute 2% ($41.44 million), 4.5% ($94.09 million), 17.6% ($372.19 million), 5.5% ($115.44 million), 21.9% ($462.57 million) and 8.7% ($185.08 million) to the total revenue, respectively.
Analysts expect the company to report a total annual revenue of $8.7 billion for the full year, marking a decrease of 6.5% compared to last year. The expected revenue contributions from Latin America, Other North America, Europe, Middle East, Africa and India, North Asia and South Asia are projected to be 2% ($171.91 million), 4.5% ($389.91 million), 17.9% ($1.56 billion), 6% ($520.86 million), 22.3% ($1.94 billion) and 8.9% ($777.53 million) of the total revenue, in that order.
Final Thoughts
Expeditors International's reliance on international markets for revenues offers both opportunities and risks. Hence, keeping an eye on its international revenue trends could significantly help forecast the company's prospects.
With the increasing intricacies of global interdependence and geopolitical strife, Wall Street analysts meticulously observe these patterns, especially for companies with an international footprint, to tweak their forecasts of earnings. Importantly, several additional factors, such as a company's domestic market status, also impact these earnings forecasts.
We at Zacks strongly focus on the dynamic earnings forecast of companies, given that empirical studies have demonstrated its potent impact on the immediate price movement of stocks. Invariably, there's a positive relationship -- upward earnings predictions often result in an increase in stock prices.
Boasting a remarkable track record that's been externally verified, the Zacks Rank, our unique stock rating system, leverages changes in earnings projections to function as a reliable gauge for predicting short-term stock price movements.
Expeditors International, bearing a Zacks Rank #3 (Hold), is expected to mirror the broader market's movements in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
A Look at Expeditors International's Recent Stock Price Performance
Over the past month, the stock has seen an increase of 0.6% in its value, whereas the Zacks S&P 500 composite has posted an increase of 1.3%. The Zacks Transportation sector, Expeditors International's industry group, has ascended 0.3% over the identical span. In the past three months, there's been a decline of 4.7% in the company's stock price, against a rise of 4.3% in the S&P 500 index. The broader sector has declined by 2.2% during this interval.