Investing.com -- GXO Logistics Inc (NYSE:GXO) on Tuesday said chief executive officer Malcolm Wilson will retire in 2025, and until the company names a successor Wilson will continue to lead the logistics services provider.
Shares of GXO fell more than 9% at $53.5 in premarket trading, with stock down roughly 4% year to date based on last close.
Wilson has been at the helm since August 2021, when GXO was spun off from trucking giant XPO.
"We believe the news came as a surprise to those inside and outside the company, given continuity was emphasized in recent investor meetings with us," TD Cowen analysts wrote, noting that the stock is likely to face short-term pressure.
GXO is one of the world’s largest providers of supply chain management solutions, offering services such as AI-powered robotics, transportation, warehousing, and logistics. Its clients span industries including aerospace and defense, e-commerce, healthcare, and consumer packaged goods.
Despite its global reach, GXO has faced challenges as a publicly traded company. With a current market capitalization of $7 billion, the firm has lost more than 20% of its market value since its spinoff from XPO.
“Mr. Wilson has led GXO’s growth to 130,000 employees and more than 200 million square feet of facility space in the Americas, Europe and Asia Pacific. During his tenure, GXO has acquired Clipper Logistics and Wincanton among others,” the company said in a statement.