Despite an ongoing freight recession, Trimble Inc.’s transportation and logistics segment performed well through the third quarter, growing revenue 1.4% yr over yr to $195 million.
“Transportation and logistics beat our top- and bottom-line expectations,” President and CEO Rob Painter said during a call with analysts before the market opened on Wednesday. “Transportation delivered double-digit annual recurring revenue growth. … While the freight recession persists, the transportation team delivered a record level of third-quarter bookings, which was also the second-largest within the history of the business in a dynamic macro-environment.”
Trimble (NASDAQ: TRMB) is a provider of technology solutions for trucking corporations, freight brokerages and 3PLs. The corporate also operates in industries similar to buildings and infrastructure, geospatial hardware and software, and resources and utilities.
For the fourth quarter, Trimble expects to report revenue between $925 million and $965 million and adjusted earnings per share of 83 cents to 91 cents. For the complete yr, the corporate expects revenue between $3.62 billion and $3.66 billion and adjusted EPS of $2.79 to $2.87.
Trimble posted total third-quarter revenue of $875.8 million, an 8.5% year-over-year decrease. Third-quarter earnings were 70 cents per share, a year-over-year increase of three%.
Trimble’s third-quarter earnings and revenue beat Wall Street expectations, which had forecast earnings of 62 cents per share and revenue of $864.5 million.
In September, Platform Science announced it could acquire Trimble’s global transportation telematics business units.
As a part of the agreement, Trimble will change into a shareholder in Platform Science’s expanded business and hold a 32.5% stake. The transaction is predicted to shut in the primary half of 2025.
The divestiture of the mobility unit will improve Trimble’s transportation metrics, in addition to growth and profitability, Painter said.
“I feel superb in regards to the transaction that we’re doing with Platform Science. I feel together, this will probably be a scaled business that’s well positioned to compete in today’s marketplace,” Painter said.
| Trimble | Q3/24 | Q3/23 | Y/Y % Change |
| Total revenue | $875.8 | $957.3 | (8.5%) |
| Transportation and logistics revenue | $195 | $192.3 | 1.4% |
| Architects, engineers, construction, owners segment revenue | $306 | $269.6 | 14% |
| Field systems | $374.6 | $495.4 | (24%) |
| Adjusted EBITDA | $237.4 | $268.2 | (11%) |
| Adjusted operating income | $224.8 | $251 | (10%) |
| Adjusted earnings per share | $0.70 | $0.68 | 3% |
