May 1 (Reuters) - XPO Logistics Inc, one of the largest global transport and warehouse companies, reported on Wednesday a smaller-than-expected drop in quarterly profit after it lost $600 million in business from its top customer - widely believed to be Amazon.com Inc.
XPO disclosed in February that its largest customer canceled two-thirds of its business with the company, forcing it to cut its 2019 profit forecast for the second time in two months.
Current and former XPO employees as well as industry insiders have told Reuters that the customer was Amazon. XPO and Amazon have declined to comment.
XPO refocused and booked $1.1 billion in new business during the first quarter, which will be layered in over 12 to 18 months, Chief Executive Bradley Jacobs told Reuters on Wednesday.
“We’re feeling good about how we’ve rebounded from that loss,” Jacobs said.
Shares, which were unchanged at $67.13 in after-hours trading, remain well off their 52-week high of $116.27.
XPO’s first-quarter net income attributable to common shareholders fell 36 percent to $43 million for the quarter, or 37 cents per share, versus a year earlier, after Amazon moved its so-called postal injection business in-house.
Excluding items, XPO earned 51 cents, significantly better than analysts’ average estimate of 39 cents, according to Refinitiv data.
Reporting by Lisa Baertlein in Los Angeles; Editing by Peter Cooney