A comprehensive strategic pivot to transform XPO into a lean, pure-play North American Less-Than-Truckload (LTL) leader by shedding non-core assets (such as GXO and RXO spin-offs) and focusing on network density, service quality, and capacity expansion.

Expected impact: Targeting an adjusted EBITDA CAGR of 11% to 13% and an adjusted operating ratio improvement of at least 600 basis points from 2021 levels by 2027.

Adding physical capacity in high-demand corridors to relieve bottlenecks and increase terminal throughput. This includes the integration of 28 service centers acquired from the Yellow Corp bankruptcy.

Expected impact: Added 900 net new doors, expanding excess door capacity to more than 30% to absorb rising e-commerce and industrial volumes while reducing average transit times.

Deploying machine learning and artificial intelligence algorithms for dynamic pricing, intelligent load-building, computer vision at cross-docks, and real-time pickup and delivery route optimization.

Expected impact: Improves asset utilization, reduces damage claims (reaching a record low damage claims ratio of 0.2% in Q1 2026), and supports incremental margins comfortably above 40% on new volume.

Reducing reliance on third-party purchased transportation by insourcing linehaul miles and utilizing internally produced trailers from XPO's Searcy, Arkansas trailer plant.

Expected impact: Secures internal equipment supply (producing over 6,000 trailers in 2025) and lowers outsourced miles to historic lows (5.1% of total miles in Q4 2025), contributing approximately 2% to the 2021-2027 adjusted EBITDA CAGR target.