Trimble’s transportation unit grows despite soft Q3 freight market

Trimble Inc. reported stronger-than-expected third-quarter financial results on Tuesday and raised its full-year outlook, driven by steady gains in its transportation and logistics segment despite ongoing freight market weakness.

The Westminster, Colorado-based technology company reported a 4% year-over-year gain in third-quarter transportation and logistics revenue of $134 million. Trimble’s total revenue was up 3% year-over-year at $901.2 million.

Annualized recurring revenue (ARR) reached $2.31 billion, up 14% organically. Non-GAAP diluted earnings per share were $0.81, above expectations.

Trimble CEO Rob Painter said the company’s recurring revenue strength reflects execution of its “connect and scale” strategy, which focuses on integrating field operations with digital workflow platforms.

“Our momentum continued in the third quarter, delivering a record level of recurring revenue,” Painter said during a call with analysts before the market opened on Wednesday.

Trimble (NASDAQ: TRMB) is a provider of technology for trucking companies, freight brokerages and 3PLs. The company also operates in industries such as construction and buildings, geospatial hardware and software, and resources and utilities.

Painter said that trucking and freight markets remain “challenged,” but demand for connected fleet technologies remains intact as shippers and carriers prioritize cost control, fleet efficiency, and driver retention.

During the earnings call, executives highlighted active customer adoption of Trimble’s AI-enabled freight optimization tools, including network planning, predictive maintenance, and automated load matching.

Painter pointed to the company’s recently launched freight marketplace platform with Procter & Gamble as an “anchor shipper customer” as an example of Trimble’s efforts to build a more responsive and data-driven supply chain ecosystem.

“We announced and launched our freight marketplace offering with Procter & Gamble as our anchor shipper customer. We are building the next generation of an intelligent and responsive supply chain,” Painter said.

The AECO (architecture, engineering, construction, and operations) segment posted 17% revenue growth and remains Trimble’s largest ARR contributor.
Field Systems, which includes geospatial and heavy equipment guidance technology, saw revenue grow 8%, also benefiting from subscription model transition tailwinds.
Painter said both units benefited from infrastructure spending, industrial construction activity and adoption of AI-driven workflows in project planning and on-site execution.

Trimble now expects full-year 2025 revenue of $3.545 billion to $3.585 billion, up from prior guidance, with non-GAAP EPS expected between $3.04 and $3.12.

The company also repurchased $50 million in shares during Q3 and has $273 million remaining under its current authorization.

Painter said Trimble remains confident in its long-term targets heading into 2026 and 2027, calling AI adoption across construction and freight a net opportunity, because of Trimble’s data depth and domain-specific software footprint.

“Our ecosystem strategy enables interoperability to help companies achieve a more holistic view of their supply chain, leading to better planning and execution. This breadth of data enables AI to learn and forecast future processes, enabling predictive analytics for demand, capacity, and potential disruptions,” Painter said.

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