FORWARD AIR CORP (FWRD) Earnings History

FORWARD AIR CORP - Q3 2025 Earnings

Filed at: Nov 5, 2025, 3:00 PM EST|Read from source

EXECUTIVE SUMMARY

Forward Air reported mixed Q3 2025 results amidst a prolonged freight recession, with the Omni segment showing strong performance post-acquisition, while the Expedited Freight segment maintained stable to improving margins.

POSITIVE HIGHLIGHTS

  • •

    Omni segment revenue increased by $5 million to $340 million compared to the prior year, driven by increased demand.

    positive
  • •

    Omni segment reported EBITDA increased by $6 million to $33 million over the prior year.

    positive
  • •

    Expedited Freight segment reported EBITDA margin of 11.5%, the second highest since Q4 2023.

    positive
  • •

    Cash provided by operations for the first three quarters of 2025 totaled $67 million, a $113 million improvement year-over-year.

    positive
  • •

    Liquidity at the end of Q3 2025 was $413 million, up from $368 million at the end of Q2 2025.

    positive

CONCERNS & RISKS

  • •

    Consolidated revenue decreased by 3.7% to $631.8 million from $655.9 million in the prior year.

    negative
  • •

    Income from operations decreased by 33.9% to $15 million from $23 million in the prior year.

    negative
  • •

    Consolidated EBITDA decreased by 9.8% to $77.7 million from $86.1 million in the prior year.

    negative
  • •

    Expedited Freight segment revenue decreased by 9.2% to $258.6 million from $284.7 million in the prior year.

    attention

FINANCIAL METRICS

Revenue
Quarterly
$631.76M
-3.7%
Prior year: $655.94M
Annual (YTD)
$1.86B
N/A
Prior year: $1.84B
Net Income
Quarterly
$-16.25M
N/A
Prior year: $-73.41M
Annual (YTD)
$-79.47M
N/A
Prior year: $-780.55M
EPS (Diluted)
Quarterly
$-0.52
+80.2%
Prior year: $-2.62
Annual (YTD)
$-2.60
N/A
Prior year: $-28.73
Operating Income
Quarterly
$15.01M
-33.9%
Prior year: $22.70M
Annual (YTD)
$39.29M
N/A
Prior year: $-1.14B
EPS (Basic)
Quarterly
$-0.52
N/A
Prior year: $-2.66
Annual (YTD)
$-2.60
N/A
Prior year: $-28.95

MARGIN ANALYSIS

Operating Margin
Current Quarter
2.4%
Prior Year
3.5%
YoY Change
-110 bps

Margin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.

REVENUE BY SEGMENT — Q3 2025 2025

VISUAL OVERVIEW

|
Purchased transportation
41.0%
$19331.0B
Salaries, wages and employee benefits
30.1%
$14198.0B
Operating leases
13.4%
$6288.0B
Depreciation and amortization
9.3%
$4382.0B
Insurance and claims
6.2%
$2900.0B
Income from operations
0.0%
N/A
Prior year: $7.0B

DETAILED BREAKDOWN

|
SegmentCurrentPrior YrYoY% Total
Purchased transportation
$19331.0B——41.0%
Salaries, wages and employee benefits
$14198.0B——30.1%
Operating leases
$6288.0B——13.4%
Depreciation and amortization
$4382.0B——9.3%
Insurance and claims
$2900.0B——6.2%
Income from operations
N/A$7.0B——
Total Revenue$47099.0B——100.0%

Segment performance shows business unit health and growth drivers.

SPECIAL ITEMS & ADJUSTMENTS

Q3 2025
Impairment of goodwill
This item was present in the prior year's Q3, impacting comparability.
Q3 2024
Impairment of goodwill
This item impacted the prior year's results.
+$14.751M
Total Impact
+$14.751M

Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.

MANAGEMENT COMMENTARY

CEO highlighted the company achieved solid results in Q3 2025 despite an extended freight recession.

— FORWARD AIR CORP, Q3 2025 2025 Earnings Call

Implemented additional cost reduction initiatives, including rightsizing the business in alignment with current freight demand.

— FORWARD AIR CORP, Q3 2025 2025 Earnings Call

The Omni segment reported its highest revenue and EBITDA (excluding goodwill impact) since acquisition.

— FORWARD AIR CORP, Q3 2025 2025 Earnings Call

Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.

OPERATIONAL METRICS

Drayage Revenue Per Shipment
864
+4.9% YoY
Prior year: 824
dollars
Drayage Shipments
61.0K
-2.6% YoY
Prior year: 62.6K
shipments
Expedited Freight Ebitda Margin
11.5
percent
Intermodal Revenue
58.3M
+1.6% YoY
Prior year: 57.4M
dollars
Omni Logistics Ebitda
33.0M
dollars
Omni Logistics Revenue
339.6M
+1.5% YoY
Prior year: 334.5M
dollars

Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.