May 7 (Reuters) - Logistics provider Expeditors

International of Washington ( EXPD ) beat Wall Street estimates

for first-quarter profit on Tuesday, helped by increased volumes

in its air and ocean freight units.

Its air freight tonnage volume increased 4%, whereas ocean

container volume saw a 2% increase.

The company reported a net income of $169.2 million, or $1.17

per share, from $226 million, or $1.45 per share, a year

earlier. Analysts had expected it to post a profit of $1.08 per

share.

"Our industry remains volatile due to global conflicts,

stubborn inflation, fragile economies, and uncertain demand,"

CEO Jeffrey Musser said.

The Seattle, Washington-based company reported a quarterly

revenue of $2.21 billion, missing analysts' estimates of $2.22

billion.

"Events such as the Red Sea circumvention, the Baltimore

bridge collapse, and low water levels in the Panama Canal

continue to make the global freight market highly

unpredictable," Musser added.

The company said the air and ocean carrier capacity

increase continues to pressure rates, which are down

significantly from their peaks.

As shippers remain reluctant to overextend their inventory

levels, additional capacity in the market has created a low-rate

environment, hurting carriers and logistics providers such as

Expeditors International.

Revenue at the company's air freight segment fell to $759.4

million from $904.9 million last year, while its ocean freight

segment reported a revenue of $570.8 million, compared with

$697.3 million a year earlier.