EXPD · 10-Q · 2026Q3 · Full report

FX / Currency Headwinds

EXPEDITORS INTERNATIONAL OF WASHINGTON INC · 2026-11-04 · Importance 18 · Surprise 14

The Company transacts in multiple currencies and says currency controls in some countries limit its ability to hedge foreign-exchange exposure; it had no foreign-currency derivatives outstanding at September 30, 2026. Net transactional foreign-currency losses were approximately $5 million in the third quarter and $10 million in the first nine months of 2026, compared with losses of approximately $3 million and $20 million in the corresponding 2025 periods. Translation effects on foreign operations were losses of $1 million and $9 million, net of taxes, for the three and nine months ended September 30, 2026, respectively. The Company generally manages exposure by accelerating settlements among offices and agents, though it may enter into hedging transactions in the future.

Key facts

• Expeditors had net foreign currency transactional losses of approximately $5 million and $10 million in the three and nine months ended September 30, 2026, compared with losses of approximately $3 million and $20 million in the same periods of 2025. source
• Foreign exchange fluctuations on translation of Expeditors’ foreign operations resulted in after-tax losses of $1 million and $9 million in the three and nine months ended September 30, 2026, respectively. source