Aug 6 (Reuters) - Logistics provider Expeditors
International of Washington ( EXPD ) reported a second-quarter
profit below Wall Street estimates on Tuesday, hurt by low
demand and geopolitical challenges weighing on its airfreight
and ocean routing divisions.
The Seattle, Washington-based company said that the surge in
e-commerce demand strained its air market capacity, while the
political tensions in the Red Sea disrupted its ocean routing
unit.
"We have continued to adjust to the disruptions and uneven
demand, keeping costs in check while we work to bring efficiency
back in line with historical expectations," Expeditors CEO
Jeffrey Musser said.
The company's net income in the second quarter ended June 30
fell to $175 million or $1.24 per share, compared with $196.8
million or $1.30 per share a year ago.
Analysts, on average, expected the company to report a
profit of $1.26 per share, according to LSEG data.
The company, which has a presence in more than 100
countries, reported a 9% rise in quarterly revenue to $2.4
billion, beating analysts' estimates of about $2.28 billion.