Plus: An infamous double broker is exposed as a DEA informant, Arrive Logistics releases its May freight market update, and more.
Ocean freight rates are rising due to supply constraints, route changes, and peak season prep. Here’s what’s driving the increases and what to expect next.
Arrive Logistics' May 2024 Freight Market Update reveals key trends, rising rates, and import forecasts. Here's a rundown of the latest insights on freight demand and supply.
TriumphPay's financial performance is a tale of ups and downs. EBITDA losses narrow as invoice volumes soar, but the factoring business faces hurdles.
TriumphPay, a significant player in the freight finance sector, has been experiencing notable developments recently. Let's delve into the latest updates and challenges it's confronting
EBITDA Progress
TriumphPay's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) was in the red at -15% in the third quarter. But, here's the good news – it's a significant improvement compared to the negative margins in previous quarters. The company is determined to achieve EBITDA positivity by 2024.
Invoice Surge
TriumphPay processed over 5 million invoices in the third quarter, marking a 10.4% increase. However, this includes legacy fast pay invoices, which were at the core of their operations before expanding with the acquisition of HubTran in 2021.
For the network, the heartbeat of TriumphPay, invoice volume skyrocketed to 303,300, up from 181,904 in the previous quarter. This growth isn't just due to higher volume but also smart tech improvements.
Winning Big Clients
TriumphPay's mission is to bring brokers onto its network, and it's making progress. The company proudly boasts 53 of the top 100 brokers, six of the top 10, and two of the top five. The key metric here is the freight spend transacted by these brokers.
The recent additions to TriumphPay's client roster include the brokerage division of Knight-Swift and Bridgeway, with another top 5 broker waiting in the wings.
TriumphPay's Current Landscape
Factoring invoices in trucking have seen challenges, with Triumph Financial's average invoice size slightly decreasing. Even with rising diesel costs, October did show a slight increase in average invoice to $1,828. Yet, Aaron Graft, Triumph Financial's CEO, remains cautious. He highlights smaller carriers merging and concerns like dropping invoice prices and client attrition. The road ahead for TriumphPay's factoring business remains uncertain, but the company continues its efforts towards financial stability.
Source: FreightWaves
$TFIN Q3 2023:
— FwdQuarter (@FwdQuarter) October 19, 2023
Net: $12m, EPS: $0.51
TriumphPay rev rose 16.7%, EBITDA margins -15%
Non-interest expenses fell $4m q/o/q
Freight market issues may intensify
Loans: $4.37b, Deposits: $4.48b
Q4 performance may not match Q3. pic.twitter.com/yMZOLSzZvM
Levity helps fast-moving 3PLs and freight brokers to do more with less by automating the most time-consuming and repetitive email tasks.
Shipwell's sale of its brokerage arm to CloudTrucks allows the company to refocus on the core of its SaaS platform.
Sheer Logistics acquires CargoBarn to enhance 4PL services and expand its freight brokerage offerings.
Brokerage fraud has made the landscape of our industry unrecognizable, and unfortunately, its impact continues to grow and expand daily. As logistics industry lifers, we recognized the pressing need to devise methods for safeguarding our operations and valued partnerships.
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