EXPD · 8-K · 20260804PR332198

Operating Expense Trends

EXPEDITORS INTERNATIONAL OF WASHINGTON INC · 2026-08-04 · Importance 47 · Surprise 22 · No source text

Second-quarter salaries and other operating expenses increased 13% year over year to $735.9 million from $650.8 million. Salaries and related expense increased 22% to $573.7 million, while rent and occupancy increased 4% to $68.4 million. Depreciation and amortization declined 8% to $12.7 million, and other operating expenses declined 21% to $71.2 million. Total full-time-equivalent employees increased 4% to 20,389 at June 30, 2026, from 19,666 a year earlier, while second-quarter headcount was essentially flat sequentially.

Key facts

• Directly related cost of transportation and other expenses for the three months ended June 30, 2026 were $2,416,840 (thousands), an increase of 38% versus prior year. source
• The Global Technology restructuring is expected to lower the cost structure by approximately $50 million annually. source
• Salaries and other operating expenses for the three months ended June 30, 2026 were $735,877 (thousands), an increase of 13% versus prior year. source
• The $50 million annual cost reduction equates to nearly 10% of the company's total corporate overhead expenses. source
• The restructuring charge was partially offset by a $16 million gain on the sale of an underutilized property during the quarter. source

Impact estimates