Latest news with #Wincanton
Yahoo
3 hours ago
- Business
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Why GXO Stock Is Soaring Today
GXO won final U.K. approval to integrate its 2024 purchase of Wincanton. The company also named a new CEO, answering two of the biggest questions that have weighed on the stock of late. 10 stocks we like better than GXO Logistics › GXO (NYSE: GXO) named a new leader and won regulatory approval to integrate a big acquisition. Investors are celebrating the developments, sending shares of the contract logistics provider up 11% as of 2 p.m. ET. GXO operates warehouses and supply chain networks for large corporate and government customers. Last year, the company acquired Wincanton for $962 million to boost its European capabilities, but it has been barred from fully integrating the deal due to United Kingdom Competition and Markets Authority (CMA) concerns. On Thursday, GXO announced that the CMA has cleared it to integrate "the vast majority" of Wincanton subject to the divestment of "a small number" of grocery contracts. Integration is expected to begin in the third quarter, with collaboration on aerospace deals allowed to begin immediately. The company also announced Patrick Kelleher, who has more than 30 years of global supply chain experience, as its new CEO. GXO has been looking for a new leader since December when current CEO Malcolm Wilson announced his intention to retire. GXO raised its full-year revenue, adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA), and adjusted earnings per share (EPS) guidance as well. GXO stock has lost to the market since being spun out of XPO in 2021. Thursday's announcements could be the first step in reversing those declines. The company has great potential capitalizing on the growing need to manage increasingly complex supply chains but has been held back by headwinds, including uncertainty about the Wincanton integration and over who will be the new CEO. Kelleher's U.S. experience could also help drive sales increases in North America, shifting GXO's European-heavy portfolio. GXO's recent performance has been disappointing, but the potential is there. The market's enthusiasm seems justified. Before you buy stock in GXO Logistics, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and GXO Logistics wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $659,171!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $891,722!* Now, it's worth noting Stock Advisor's total average return is 995% — a market-crushing outperformance compared to 172% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 Lou Whiteman has positions in GXO Logistics and XPO. The Motley Fool recommends GXO Logistics and XPO. The Motley Fool has a disclosure policy. Why GXO Stock Is Soaring Today was originally published by The Motley Fool Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
5 hours ago
- Business
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Why GXO Logistics (GXO) Stock Is Up Today
Shares of contract logistics company GXO (NYSE:GXO) jumped 11.3% in the afternoon session after the company provided impressive preliminary financial forecasts and raised its full-year 2025 guidance for organic revenue growth, adjusted EBITDA, and adjusted diluted EPS. This upward revision reflects better-than-expected performance (volumes and accelerated productivity gains) and anticipated gains from the Wincanton acquisition. GXO confirmed that the UK Competition and Markets Authority (CMA) cleared its acquisition of Wincanton, a major UK logistics company, subject to the condition of divesting a small number of grocery contracts. This regulatory clearance removes a key hurdle for the acquisition, allowing integration to begin in Q3 2025. Lastly, the company announced the appointment of seasoned supply chain leader Patrick Kelleher as its new chief executive officer, effective August 19, 2025. Kelleher has 33 years of global supply chain experience, having held senior executive roles at DHL Supply Chain, a division of Deutsche Post DHL Group. Most recently, he served as CEO of DHL North America, where he led significant growth and operational enhancements across the business. These updates suggest a clearer path for GXO in the eyes of investors, which is spurring buying of the stock. If it's one thing the markets shy from, it's uncertainty. Is now the time to buy GXO Logistics? Access our full analysis report here, it's free. GXO Logistics's shares are somewhat volatile and have had 13 moves greater than 5% over the last year. But moves this big are rare even for GXO Logistics and indicate this news significantly impacted the market's perception of the business. The biggest move we wrote about over the last year was 4 months ago when the stock dropped 15.8% on the news that the company reported weak fourth quarter results. Its full-year EPS and EBITDA guidance fell short of Wall Street's estimates. In addition, while GXO Logistics narrowly topped analysts' revenue expectations this quarter, its organic revenue missed. Overall, this was a weaker quarter. GXO Logistics is up 10.6% since the beginning of the year, but at $47.58 per share, it is still trading 24.5% below its 52-week high of $63.01 from October 2024. Investors who bought $1,000 worth of GXO Logistics's shares at the IPO in July 2021 would now be looking at an investment worth $874.40. Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
6 hours ago
- Business
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GXO Logistics taps new CEO, clears acquisition of Wincanton
GXO Logistics Inc. recently announced two significant developments focused on shaping its future growth trajectory. The company has appointed a new chief executive officer and received clearance from the United Kingdom Competition and Markets Authority (CMA) for its acquisition of Wincanton. Patrick Kelleher was named CEO on Friday. He will begin his tenure on Aug. 19 and will be based at the company's Greenwich, Connecticut. GXO Logistics (NYSE: GXO) is one of the largest pure-play contract logistics providers in the world. It has more than 150,000 team members across more than 1,000 facilities totaling more than 200 million square feet. 'Patrick is a world-class operator with the relevant experience to lead GXO through its next phase of growth,' Brad Jacobs, chairman of GXO's board of directors, said in a news release. Kelleher will bring 33 years of global supply chain experience to GXO, having held senior executive roles at DHL Supply Chain. Most recently, he served as CEO for North America at DHL. GXO Logistics also announced that the CMA has cleared the company's acquisition of Wincanton. The approval comes with specific conditions, requiring the divestment of a small number of Wincanton grocery contracts in the UK, according to a news release. GXO is acquiring Wincanton for about $1 billion. Wincanton is a major logistics and supply chain operator in the U.K. and Ireland. GXO and Wincanton's integration is expected to begin in the third quarter. The company also updated its full-year 2025 guidance: Organic revenue growth of 3.5% to 6.5% (up from 3% to 6%) Adjusted earnings before interest, taxes, depreciation, and amortization of $860 million to $880 million (up from $840 million to $860 million) Adjusted earnings per share of of $2.43 to $2.63 (up from $2.40 to $2.60) The post GXO Logistics taps new CEO, clears acquisition of Wincanton appeared first on FreightWaves. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
7 hours ago
- Business
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GXO Cleared to Acquire Wincanton, Taps DHL Vet as New CEO
GXO got the green light to complete its acquisition of fellow logistics services provider Wincanton, but it will have to sell off the U.K.-based company's dedicated grocery warehousing unit to do so. In a final report issued Thursday, the U.K.'s Competition and Markets Authority (CMA) cleared the $965 million transaction after a yearlong probe into the deal. As part of the clearance, GXO says it will divest 'a small number' of Wincanton grocery contracts in the U.K. More from Sourcing Journal Chain Reaction: Michael Goldman of Caru Containers on Why 'Sourcing Diversity is Paramount' $10B Trump-Approved 'Green Corridors' Project to Drive Efficiency in US-Mexico Trade Forward Air Chairman Ousted, Potential Sale Appears in View A day after the CMA approval, GXO unveiled it found its next CEO to succeed chief executive Malcolm Wilson, who is retiring later this year. Patrick Kelleher, who most recently served as CEO for top competitor DHL Supply Chain North America, will take on the role starting Aug. 19. Kelleher had worked his way up through DHL Group's ranks since joining the company in 1992, before assuming his leading role at the North American supply chain division last July. During his time at the contract logistics provider, Kelleher had led strategic initiatives spanning transportation and supply chain planning, oversaw DHL's deployment of advanced robotics throughout the warehouse, including the Boston Dynamics Stretch robot and the Locus Robotics LocusBots. Kelleher also presided over four M&A transactions in the past year alone, including May's acquisition of retail logistics specialist IDS Fulfillment and the deal to acquire the reverse logistics division of Inmar Intelligence. 'Patrick is a world-class operator with the relevant experience to lead GXO through its next phase of growth,' said Brad Jacobs, chairman of GXO's board of directors, in a statement. 'His proven track record and deep expertise in engineered solutions, automation, and cutting-edge contract logistics make him uniquely qualified to drive value for our customers and shareholders. We're thrilled to welcome him as our new CEO.' In February, at the Manifest supply chain and logistics conference in Las Vegas, Kelleher told Sourcing Journal that he believed the contract logistics market is primed for growth, namely due to the ongoing demand for warehouse space. 'It's about being thoughtful around decisions that are made in standing up additional warehousing capacity. That is an inflexible asset in terms of being able to move from one location to another,' Kelleher said. 'We need to be picking the right location, making sure that is data informed, working with the breadth of customers that we have to have a good view of the different markets that we're participating in, or should be participating in—to make those long-term investments.' The logistics provider also raised its 2025 guidance on Thursday, including expected synergies of the Wincanton deal, which remains subject to integration in the third quarter. Organic revenue growth is now forecast to be between 3.5 percent and 6.5 percent, up from a previous range of 3 percent to 6 percent. Adjusted EBITDA is expected to be in the range of $860 million to $880 million, increase from the prior scope of $840 million to $860 million. 'Across our operations, we are seeing better than expected volumes and accelerated productivity gains in existing operations and new startups,' said Wilson. The combined news sent GXO's stock up more than 11 percent in Friday morning trading. As for the Wincanton deal, the CMA still has to approve a buyer for the dedicated grocery warehousing services, which refer to facilities that are used exclusively by a single customer. 'Warehousing services play a crucial role in ensuring the seamless movement of goods across the U.K., allowing our supermarkets to maintain well-stocked shelves with thousands of items we buy every day,' said Richard Feasey, chair of the CMA's independent inquiry group. 'Healthy competition in this market is key to managing costs for supermarkets and grocers and improving their performance—ultimately ensuring consumers pay the best possible prices for products in stores.' With the acquisition cleared, teams at GXO and Wincanton are permitted to collaborate on specified ongoing aerospace and defense proposals in the U.K. effective immediately. No further regulatory reviews are required. GXO has been busy as it awaited the ruling from the CMA. Earlier this month, the company also introduced an enhanced version of its multi-tenant warehousing solution GXO Direct to U.S. customers. Debuting in North America in 2018, GXO Direct is designed to enable retail customers to use the company's network of warehouses to position goods closer to end consumers for one-day delivery. The newest update integrates service capabilities GXO acquired from the $181 million acquisition of e-commerce order fulfillment platform PFSweb, including high-touch contact center services, secure payments and fraud protection and distributed order orchestration systems. In May, the company also extended its partnership with supply chain solutions provider Blue Yonder to power its warehouse management system (WMS) capabilities. Errore nel recupero dei dati Effettua l'accesso per consultare il tuo portafoglio Errore nel recupero dei dati Errore nel recupero dei dati Errore nel recupero dei dati Errore nel recupero dei dati
Yahoo
10 hours ago
- Business
- Yahoo
GXO to sell Wincanton's grocery warehouse unit to CMA-approved buyer
The UK Competition and Markets Authority (CMA) has given the green light to GXO Logistics' acquisition of Wincanton after the former agreed to divest Wincanton's grocery warehousing operations. This condition was set to mitigate any competitive concerns, allowing the acquisition to move forward. The acquisition is set to broaden GXO's footprint in key growth sectors, while significantly augmenting services provided to customers in the UK and Ireland. In its conclusive assessment, the independent inquiry group of the CMA determined that the merger would likely diminish competition in the provision of dedicated warehousing services to grocery clients in the UK. This reduction in competition could lead to increased costs for grocers, which might then be transferred to consumers, resulting in higher prices at checkout. Concerns were raised that the merger could stifle innovation and lower service levels within the market, affecting the efficiency of product delivery to supermarket shelves. To address these concerns, GXO has consented to sell Wincanton's specialised grocery warehousing operations to a buyer approved by the CMA. The inquiry group has expressed satisfaction that this solution adequately mitigates the competition issues, clearing the path for the merger. Independent inquiry group chair Richard Feasey stated: 'Warehousing services play a crucial role in ensuring the seamless movement of goods across the UK, allowing our supermarkets to maintain well-stocked shelves with thousands of items we buy every day. 'Healthy competition in this market is key to managing costs for supermarkets and grocers and improving their performance – ultimately ensuring consumers pay the best possible prices for products in stores. We are pleased to approve this deal, having worked with GXO and Wincanton to secure the necessary changes to the deal which resolve our concerns.' GXO anticipates annual net cost synergies of £45m (before tax) at a full run-rate by the third year following the integration. "GXO to sell Wincanton's grocery warehouse unit to CMA-approved buyer" was originally created and published by Retail Insight Network, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
