Segment Reporting

The Company is a brokered transportation platform defined by cutting-edge technology and an asset-light business model. The largest component is our core truck brokerage business. Our operations also include asset-light managed transportation and last mile services, which complement our truck brokerage business.

Our chief operating decision maker (“CODM”), identified as our chief executive officer, regularly reviews financial information at the operating segment level to allocate resources and assess performance. The CODM assesses operating segment performance by using segment adjusted earnings before interest, taxes, depreciation and amortization (“segment adjusted EBITDA”). The CODM uses segment adjusted EBITDA predominantly in the annual budget and forecasting process. The CODM considers budget-to-actual variances for this profit measure when making decisions about the allocation of operating and capital resources. The CODM also uses adjusted EBITDA to evaluate pricing strategy and to assess the overall performance of the Company.

We have determined that all our operating segments share the following similar economic and qualitative characteristics and therefore meet the criteria for operating segments to be aggregated into one reportable segment:

•The operating segments have similar economic characteristics (e.g., comparable segment adjusted EBITDA margins, our measure of segment profitability), and similar long-term financial models;

•The nature of the services offered by each operating segment is similar: all the services leverage technology and an asset-light infrastructure to arrange for the transportation of customer goods by qualified independent carriers;

•The operating segments all operate within the transportation industry and in primarily the same geography (North America);

•All operating segments provide business-to-business services, with no segment transacting directly with the end-user customer;

•Each operating segment’s customer base spans diversified industry verticals that overlap with other operating segments and have a common salesforce engaged in significant cross-selling activities; and

•All operating segments conduct business in a similar regulatory environment applicable to the transportation industry, including regulation and licensing by various governmental agencies; most notably, the Federal Motor Carrier Safety Administration of the U.S. Department of Transportation.

All of our operating segments can be expected to have similar future prospects as they have similar economic attributes. The causes for fluctuations in operating and financial performance are generally the same among the operating segments and include such factors as: (i) changes in overall demand for outsourced freight transportation services, (ii) changes in prices charged by third-party carriers, (iii) decisions by customers to develop or expand internal transportation capabilities, and (iv) macroeconomic impacts on supply chains for materials, parts and finished goods.

The tables below provide information about the Company’s reportable segment:


	Years Ended December 31,
(In millions)	2025		2024		2023
Revenue	$	5,742	$	4,550	$	3,927

Less:
Cost of transportation and services (exclusive of depreciation and amortization)	4,611		3,565		2,967
Direct operating expense (exclusive of depreciation and amortization)	190		202		235
Sales, general and administrative expense (1)	796		648		555
Other expense (income)	1		(1)		1
Segment adjusted EBITDA	$	144	$	136	$	169

Unallocated corporate expenses	35		15		35
Depreciation and amortization expense	116		87		67
Transaction and integration costs	22		53		12
Restructuring and other costs	39		36		17
Goodwill impairment	12		—		—
Other expense	—		219		2
Interest expense, net	35		30		32
Consolidated income (loss) before income taxes	$	(115)	$	(304)	$	4

(1)Excludes unallocated corporate expenses and other costs.

Historical Timeline

Fiscal Year	Filed
2025	Feb 9, 2026	Showing above
2024	Feb 27, 2025

About Segments Disclosures

Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.

Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.

RXO, Inc. Segments Disclosure

Historical Timeline

About Segments Disclosures

Other Available Disclosures