XPO Earnings: Yellow Share Gains Still Providing a Nice Boost, and Productivity Solid

XPO’s first-quarter consolidated top line rose 6%, with a big boost from second-half 2023 less-than-truckload freight diversions from bankrupt peer Yellow. Revenue was largely in line with our expected run rate, as we've been baking in continued healthy volume and pricing gains despite the soft underlying LTL demand backdrop. April year-over-year tonnage growth (around 3%) is also trending in line with our forecast. XPO's flagship LTL revenue rose a robust 9% (similar to last quarter), while European trucking segment revenue grew 1% on pricing.