Radiant Logistics (RLGT) reported a solid QQ3 2025 to-date performance with notable earnings strength driven by a combination of base business improvements and meaningful contributions from recent acquisitions. On a three-month basis, revenue reached $214.0 million, with adjusted EBITDA of $9.40 million and adjusted net income of $6.88 million, reflecting an 80%+ year-over-year increase in adjusted EBITDA and a ~92% rise in adjusted net income. The quarter benefited from acquisitions (Cascade Transportation, Foundation Logistics, TCB Transportation, Transcon Shipping) and the conversion of strategic operating partners, which collectively added approximately $2.0 million in adjusted EBITDA alongside $1.5 million (US) and $0.5 million (Canada) of incremental EBITDA from legacy operations.
Management highlighted near-term volatility tied to US tariff negotiations, estimating that roughly 25%–30% of March-quarter gross margins were affected by tariffs. They expect a bullwhip dynamic as trade volumes recalibrate but remain confident in a durable, diversified business model and a strong balance sheet capable of navigating a slower freight market. Radiant ended QQ3 with approximately $19 million in cash and only $15 million drawn on a $200 million credit facility, underscoring liquidity flexibility to pursue additional acquisitions and strategic partner conversions. Looking ahead, the company plans to pursue profitable growth through organic initiatives and tuck-in acquisitions while thoughtfully relevering the balance sheet via strategic partner conversions and repurchases, with a focus on expanding North American coverage and leveraging a robust partner network.
In sum, Radiant is delivering meaningful EBITDA progression fueled by acquisitions and base-business execution, but near-term margin pressure from tariff dynamics and macro softness in the June quarter introduce caution for the near term. The longer-term investment thesis remains anchored in pipeline opportunities, a diversified service mix, and a strong liquidity position to support bolt-on growth.