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ANNUAL

REPORT
2018
A PLATFORM FOR GROWTH
To Our Shareholders:
Over the past decade
decade, On the sales front we continued to grow our indindustry vertical
ical
we have methodically and field sales organizations over this past year and haveh
worked to expand our recently deployed the Salesforce CRM (customer relationship
relation
network, extend our management) tool to help us better manage our growing sales
domestic and international pipeline. Through these efforts wee are starting to see some real
service offerings and progress in driving organic growthh and over the second half of
enhance our back-office the year we were able to achievee double digit revenue
revenu growthwth
infrastructure, always with across our forwarding, brokeragege and valued added
add servicevice lines
an eye towards profitable of business.
growth. We look back
on our accomplishments with a great sense of achievement On the technology front ont we also continue
cont to make
ake meaningful
and appreciation for the support of our customers, operating progress on a number mber of strategic
strateg technology ogy initiatives, including
in
partners, carriers, shareholders and hard-working employees that (1) the continuedued expansion
expansio of our new w SAP-based transportation
t
have come together to make Radiant one of the fastest growing management
ement system (“SAP-TM”)) that is now deployedd in 7 of our
transportation and logistics
tics companies in North America. company
mpany
pany owned
ow locations and on tr track for deployment to our
strategic operating partners
strateg rtners later this year,
r, (2) the recent launch
launch
Today we enjoy one of the most robust platforms in our industry;stry; of our new customeromer portal
porta which provides our customers mers with
providing domestic and international freight forwarding g services,
servic online booking
oking
ng and
a d even
event based tracking through gh dir
direct
rect
truck and rail brokerage services and an array of other h integration
gration with
w SAP-TM with futu future phases
es of functionality
functi
value-added supply chain management
mana services from over that
hat
at will include ad additional collaboratio
oration,
ratio
ion, quoting,
qu and a user
100 operating locations across North th America, incl
including a operated reporting engine, (3) 3) the co
completi
pletion of our blue-printing
significant presence in Canada. As we continue to grow ow and efforts to operationalize interna
ernational air and d ocean functionality
scale the business, our multi-brand strategy has tra
translated into a within our new SAP-TM platform, m, (4) the succes essful deployment
uniquee and differentiated platform from which to service our end of our new back-office digitization technology tto provide
customers with better purchasing
hasing p
power with our vendors, a optical
tical character recognition and process autom mation solution
best-in-class technology operating syste
syystem andd an extensive to streamline
reamline ouro r procure-to-pay
proc re to pay processes wit with
th our carriers and
global network of service ppartners to suppo
pport our customers (5) further
urther progress on migrating
migratin our SAP prod oduction environment
around
und the w
world. to
o Amazon’s
Ammazon’s cloud
clou computing
computin platform whic hich is also on track to
occur
ccur later this calendar
calenda
endar
ar yea
year which willl ggive us cost effective
The heart of our growth
owthh strategy has
h been o our ability
bilit to
t access to the comput
acces computing power,wer, da
database
abase storage and other
differentiate ourselves
urselves
lves
ves in the marketplac
marketplace
ma
m e by bringing new value functionality
ality to
o hhel
help us scale and gro
grow
ow oour business.
to the agent based
sed forwarding
forwardi community:
munity:y: leveragin
leverag
leveraging
ging our status
us
as a public company
ompany to provide o our strategic operating
ope g par
partne
rtners Ass we head into the new ye year,
ear, we remain comco
ommitted to our
with an opportunity
opportunit
pp to work as shareholders
shareholder
ld and sha sharee in the llong-standing strategyy to del eliver profitab
rofitable groowth through a
value
ue that they
they help createte and providing
provid a uniquee opportunity
op
opportu
pportunity combination of orga organic and a acquisition growthh initiatives. We
acqui
in term
terms of succession
on planning
ning
gaand liquidity for logistics have low leverage
verage on our ba balance sheet, stronng free cash flow,
entrepreneurs
entrepren
p neurs bothoth internal
inte
interna and external
xternal
ternall to the
th Radiant
Radi
R di network.
netwo and
a ndd contin
continue
ontinue
ti ourr disciplined
disc
discipline
di i lined search for acqui
acquuisition ccandidates
that
hat bring
br critica
critical masss to our current platform
orm with respect
pect to
Fiscal
al 2018
201
018 itself
i represented d another year
y of steady progress
progres for geography,
geograp phy, purcha
purchasin
asing power, and comp mplementary service
Radiant. In a year that will be
Radia be remembered
re bered for extreme capacity
ca acity offerings.
f We are patiently
iently per
persistent in the pursuit of this long-
and pricing sw
swings
wings
i gss felt
fe
f lt across
a
acro
cross our industry
industry,
dustry,
t we were ableabb
ble tot term visionn wh
which we believe, over ver
er time,
time will deliver meaningful
mean
deliver solid
id financial
finan i l results
ressults whilee also taking
takin thee opp
o
opportu
opportunity ity to valuee for shareholders,
eholders, oour opera
perating partne
artners andnd th
the end
focus on a number of strategic sales and techno techn
ecchnology
echnolology initi
initiati
tiati
atives customers that we serve.
custo
whichh are expected
ex
expec to deliver vver organic
g ic growth
gr
gro and prod
productivity it
improvement
mprove
proveme in future
f peri
periods. Thanks for your continued
ontinued support a and the opport
rtunity to
repres
resent you
ou at Radiant Logistics.
Logis
For the year ended June 30, 2018, 8, Rad
Radiant
ad
diant reporte
reported net income
allocablee to common
comm stockholders rs of $8.1
81 m million on $842.4 It’s the Network that Delivers!®
million
illion
on of revenues,
re or $0.17
17 per basic and $0 $0.16 per fully diluted
share, including
share ding a one-time
e-time benefit
ben of $2.4 miillion related to
a re-measurement ent of deferred
de tax liabilities
lia ass a result of the
recently enacted Tax Cuts and Jobs Act. Forr tthe yearr ende ended d Ju
June
30, 2017,
2017 Radiant reported
eported net income
i allocable
llocable
ocable to common
commo Bohn H. Crain
ain
stockholders of $2.82.8 million on $777.6
77.66 million
mil of revenues,
reve or
Founder,
der, Chairman & CEO
$0.06 per basicasic and fully
ful diluted sha
share.
h
FINANCIAL HIGHLIGHTS

GROSS REVENUE (MILLIONS) NET REVENUE (MILLIONS)

0.0 100 200 300 400 500 600 700 800 900 1000 0.0 25 50 75 100 125 150 175 200 225 250

‘18 842.4 ‘18 202.4

‘17 777.6 ‘17 194.6

‘16 782.6 ‘16 186.7

‘15 502.7 ‘15 123.7

‘14 349.1 ‘14 99.2

ADJUSTED EBITDA(1) (MILLIONS) ADJUSTED EBITDA MARGIN

0.0 5 10 15 20 25 30 35 40 45 50 0.0 2.5% 5.0% 7.5% 10% 12.5% 15% 17.5% 20% 22.5% 25%

‘18 29.2 ‘18 14.4%

‘17 29.6 ‘17 15.2%

‘16 24.4 ‘16 13.1%

‘15 17.3 ‘15 14.0%

‘14 14.8 ‘14 14.9%


OUR OPERATIONS
RADIANT and its operating partners provide a unique and comprehensive service
platform offering domestic and international freight forwarding, truck and rail brokerage
and an array of value added supply chain management services primarily to customers in
the United States and Canada who operate across North America and around the world.

NET REVENUE BY SERVICE OFFERING FREIGHT FORWARDING  NET REVENUES

Freight Forwarding Domestic


Brokerage International
Value Added Service
(VAS)

12.51%

7.21% 29.77%

$202.4 Million $162.5 Million

80.28%
70.23%

BROKERAGE  NET REVENUES VALUE ADDED SERVICES  NET REVENUES

Intermodal Materials Management & Distribution (MM&D)


Truckload Customs House Brokerage (CHB)
Less-Than-Truckload Consulting/Other

9.11%

25.9%
15.03%
43.46%
$25.3 Million $14.6 Million

30.64% 75.86%



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Reconciliation of Non-GAAP Financial Measures
The table below is provided to reconcile certain financial disclosures in the letter to Shareholders, page 1.
(Dollars in Thousands)
Year Ended June 30: 2018 2017 2016 2015 2014
Net Income (Loss) Attributable to Radiant Logistics, Inc. $ 10,188 $ 4,862 $ (3,519) $ 5,874 $ 5,118
Taxes 73 3,673 (1,886) 2,017 3,082
Depreciation and Amortization 14,389 12,349 12,033 6,359 4,532
Net Interest Expense 3,075 2,497 4,872 1,856 1,187
EBITDA 27,725 23,381 11,500 16,106 13,919
Share-based Compensation 1,514 1,304 1,407 1,115 666
Lease Termination and Related Costs 176 566 2,545 611 –
Foreign Exchange Loss (Gain) (1) 8 (222) (700) 739 27
Change in Contingent Consideration (1,176) 3,431 1,003 (3,921) (2,041)
Expenses Specifically Attributable to Acquisitions 239 944 2,446 2,017 353
Litigation 346 177 1,066 601 615
Non-recurring Costs – 14 279 – –
MM&D Start-up Costs 410 – – – –
Loss on Impairment of Acquired Intangible Assets – – 3,680 – –
Loss on Write-Off of Loan Fees – – 1,180 – 1,238
Adjusted EBITDA 29,242 29,595 24,406 17,268 14,777
Transition Costs – 1,539 2,408 158 –
Normalized EBITDA $ 29,242 $ 31,134 $ 26,814 $ 17,426 $ 14,777

(1) Foreign exchange gains and losses for the current and prior periods have been included in the EBITDA reconciliation as a result of the increased
volatility associated with foreign exchange gains and losses primarily due to our acquisition of Canada-based Wheels Group Inc.

Our GAAP-based net income will be affected by non-cash charges relating to the amortization of customer-related intangible assets and other intangible
assets attributable to completed acquisitions. Under applicable accounting standards, purchasers are required to allocate the total consideration in a business
combination to the identified assets acquired and liabilities assumed based on their fair values at the time of acquisition. The excess of the consideration paid
over the fair value of the identifiable net assets acquired is to be allocated to goodwill, which is tested at least annually for impairment. Applicable accounting
standards require that we separately account for and value certain identifiable intangible assets based on the unique facts and circumstances of each acquisition.
As a result of our acquisition strategy, our net income will include material non-cash charges relating to the amortization of customer related intangible assets and
other intangible assets acquired in our acquisitions. Although these charges may increase as we complete more acquisitions, we believe we will be growing the
value of our intangible assets (e.g., customer relationships). Thus, we believe that earnings before interest, taxes, depreciation and amortization, or EBITDA, is a
useful financial measure for investors because it eliminates the effect of these non-cash costs and provides an important metric for our business.

EBITDA is a non-GAAP measure of income and does not include the effects of preferred stock dividends, interest and taxes, and excludes the “non-cash” effects
of depreciation and amortization on long-term assets. Companies have some discretion as to which elements of depreciation and amortization are excluded in
the EBITDA calculation. We exclude all depreciation charges related to technology and equipment, all amortization charges (including amortization of leasehold
improvements), and other intangible assets. We then further adjust EBITDA to exclude changes in contingent consideration, expenses specifically attributable to
acquisitions, severance and lease termination costs, foreign exchange gains and losses, extraordinary items, share-based compensation expense, non-recurring
litigation expenses, and other non-cash charges. Adjusted EBITDA is then normalized by excluding non-recurring transition costs. While management considers
EBITDA, adjusted EBITDA, and normalized adjusted EBITDA useful in analyzing our results, it is not intended to replace any presentation included in our
consolidated financial statements.

CORPORATE HEADQUARTERS the Executive Oversight Committee Charter INVESTOR RELATIONS CONTACT
405 114th Avenue SE, Third Floor and the Company’s Code of Ethics. Copies of JP Deenihan
Bellevue, WA 98004 these documents are available to shareholders Director of Marketing & Communications
Tel: (800) 843-4784 without charge upon written request to our communications@radiantdelivers.com
www.radiantdelivers.com Secretary at the Company’s principal address. (800) 843-4784

ANNUAL MEETING The Company is required to file as an Exhibit to STOCK TRANSFER AGENT
November 14, 2018 its Form 10-K for each fiscal year certifications Questions regarding stock holdings, certificate
Corporate Headquarters under the Sarbanes-Oxley Act signed by the placement/transfer and address changes should
Chief Executive Officer and the Chief Financial be directed to:
CORPORATE GOVERNANCE Officer. In addition, the Company is required
Copies of the Company’s 2018 Annual Report to submit a certification signed by the Chief Broadridge Corporate Issuer Solutions, Inc.
on Form 10-K, Quarterly Reports on Form Executive Officer to the NYSE American within 1717 Arch Street
10-Q, Current Reports on Form 8-K, Proxy 30 days following the Annual Meeting of STE 1300
Statement and this Annual Report are available Shareholders. Copies of the certifications will Philadelphia, PA 1910
online at http://financials.radiantdelivers.com be posted promptly upon filing. (855) 418-5054
or to shareholders without charge upon written
request to our Secretary at the Company’s COMMON STOCK ONLINE ANNUAL REPORT
principal address or by calling (800) 843-4784. Listed on NYSE American http://radiantdelivers.com/about/financials
Symbol: RLGT
In addition, on the Company’s Corporate
Governance website at SHAREHOLDER RELATIONS CONTACT
www.radiantdelivers.com/about, Todd Macomber
shareholders can view the Company’s Chief Financial Officer
Corporate Governance Principles, the Audit and (800) 843-4784
THE RADIANT FAMILY OF BRANDS

WHEELS
FOR MORE INFORMATION, PLEASE VISIT:
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