RXO, Inc.

RXO, Inc. operates as a brokered transportation platform utilizing technology and an asset-light business model. The primary component of its operations is its core truck brokerage business. The company also provides asset-light managed transportation and last mile services, which support its truck brokerage business. The truck brokerage business generates free cash flow conversion and a high return on invested capital. Shippers create demand for RXO's service, and the company matches their freight with qualified independent carriers using its technology. Services are priced on either a contract or a spot basis. Volume growth is enabled by access to truckload capacity through carrier relationships, proprietary technology, management expertise, and industry tailwinds. RXO provides customers with access to capacity through its digital brokerage technology, which, along with its pricing technology, is a differentiator for the truck brokerage business. Its managed transportation and last mile services also use this digital brokerage technology. The managed transportation service offers asset-light solutions for shippers who outsource freight transportation for reliability, visibility, and cost savings. This service uses proprietary technology to enhance revenue synergy through cross-selling to truck brokerage and last mile. Managed transportation includes load planning and procurement, tailored solutions, performance monitoring, engineering, and data analytics. The control tower solution provides a dedicated team for continuous improvement and digital, door-to-door visibility into order status and freight in transit. RXO also offers technology-enabled managed expedite services for time-critical freight moved by road and air charter carriers. Additionally, it provides freight forwarding services, including ocean and air transportation facilitation, customs brokerage, and domestic services like middle mile. The last mile offering is an asset-light service that facilitates consumer deliveries performed by third-party contractors.