Revenue Recognition
Disaggregation of Revenues
We disaggregate our revenue by geographic area, service offering and industry sector. The majority of our revenue, based on sales office location, is generated in the U.S. Approximately 7% of our revenues were generated outside the U.S. (primarily in Canada, Mexico, Europe and Asia) for each of the years ended December 31, 2025, 2024 and 2023.
Our revenue disaggregated by service offering is as follows:
| | | | | | | | | | | | | | | | | | | | |
| | Years Ended December 31, |
| (In millions) | | 2025 | | 2024 | | 2023 |
| Truck brokerage | | $ | 4,225 | | | $ | 3,029 | | | $ | 2,358 | |
| Last mile | | 1,196 | | | 1,055 | | | 1,014 | |
| Managed transportation | | 549 | | | 600 | | | 690 | |
| Eliminations | | (228) | | | (134) | | | (135) | |
| Total | | $ | 5,742 | | | $ | 4,550 | | | $ | 3,927 | |
Our revenue disaggregated by industry sector is as follows:
| | | | | | | | | | | | | | | | | | | | |
| | Years Ended December 31, |
| (In millions) | | 2025 | | 2024 | | 2023 |
| Retail/e-commerce | | $ | 2,147 | | | $ | 1,677 | | | $ | 1,533 | |
| Industrial/manufacturing | | 1,077 | | | 854 | | | 743 | |
| Food and beverage | | 907 | | | 578 | | | 438 | |
| Logistics and transportation | | 519 | | | 419 | | | 197 | |
| Automotive | | 369 | | | 412 | | | 411 | |
| Other | | 723 | | | 610 | | | 605 | |
| Total | | $ | 5,742 | | | $ | 4,550 | | | $ | 3,927 | |
For the year ended December 31, 2025, revenue from our largest customer represented approximately $653 million, or 11.4%, of total revenue.
Performance Obligations
Remaining performance obligations represent firm contracts for which services have not been performed and future revenue recognition is expected. As permitted in determining the remaining performance obligation, we omit obligations that: (i) have original expected durations of one year or less or (ii) contain variable consideration. As of December 31, 2025, the fixed consideration component of our remaining performance obligation was approximately $13 million, and we expect approximately 94% of that amount to be recognized over the next three years and the remainder thereafter. We estimate remaining performance obligations at a point in time and actual amounts may differ from these estimates due to contract revisions or terminations.
About Revenue Disclosures
Revenue disclosures under ASC 606 explain how a company identifies performance obligations, allocates transaction prices, and determines when revenue is recognized. This section is essential for understanding whether reported revenue reflects genuine economic activity or aggressive accounting choices. Analysts examine the mix of point-in-time versus over-time recognition, which directly affects revenue timing and comparability.
Key signals: rising contract liabilities (deferred revenue) suggest strong future revenue visibility, while declining contract assets may indicate slowing project milestones. Watch for variable consideration estimates — rebates, returns, and performance bonuses that require management judgment. Significant changes in disaggregated revenue by geography or product line can reveal shifting business mix before it appears in headline numbers. Compare revenue growth against contract liability growth to assess sustainability, and scrutinize any changes in the timing of recognition that coincide with earnings pressure.