Warehouse operating costs are among the expenses QXO names as it absorbs Beacon and Kodiak. That is the operational detail behind a filing that looks, at first glance, like a scale story.
QXO’s revenue rose from $1.9 billion to $3.2 billion in the six months ended June 30, while gross profit doubled to $803 million. Gross margin moved from 21.0% to 24.7%, and the operating loss narrowed from $163 million to $42 million.
The turn comes in the cash flow statement. Operating cash flow was negative $146 million, slightly below the comparable period’s negative $138 million. QXO finished with $2.8 billion of cash, but the balance grew alongside financing activity, not operating cash generation.
The share count also moved sharply: diluted shares rose 35.9% to 767.3 million. The reported business is larger, while the income statement is still not producing positive net income.
QXO attributes higher interest expense to the debt issued for the Beacon Acquisition and, to a lesser extent, the TopBuild Acquisition.
"The increases in interest expense in both comparative periods were primarily due to a higher average debt balance during the three and six months ended June 30, 2026 as QXO Building Products issued additional debt in connection with the Beacon Acquisition and, to a lesser extent, the TopBuild Acquisition, resulting in higher interest expense."
QXO, Form 10-Q, Aug. 14, 2026
In plain English, the acquisitions added scale and an interest bill. Net income improved only slightly, from a $59 million loss to a $55 million loss, despite the much larger gross profit base.
The company also supplies additional context for the sales numbers by showing pro forma results. On that combined basis, six-month net sales were $5.507 billion and net loss was $262 million in 2026, with adjustments for acquisition accounting, acquisition financing, and transaction costs.
"The following table presents the Company’s pro forma combined net sales and net income (loss): Three Months Ended June 30, Six Months Ended June 30, (in millions) 2026 2025 2026 2025 Net sales $ 3,246 $ 2,545 $ 5,507 $ 3,087 Net loss $ ( 40 ) $ ( 38 ) $ ( 262 ) $ ( 36 )"
QXO, Form 10-Q, Aug. 14, 2026
Those are unaudited pro forma figures, not the reported results, but they show the acquisition math is large enough to change the frame. QXO’s reported scale has changed substantially from its earlier base. Its 2025 revenue was $6.8 billion, versus $56.9 million in 2024, and the latest six-month filing continues that abrupt expansion.
The other investment is physical rather than financial. Capex rose 170% year over year to $54 million, while inventory increased 12.0% and accounts receivable rose 13.1%. The filing does not say why those working-capital balances grew, so the cash-flow tension stays visible without a supplied explanation.
QXO’s next quarterly report can clarify that tension through the same two receipts: operating cash flow and interest expense. For now, the business is getting bigger and keeping more gross profit, but the operating engine is still consuming cash.