Forward Air Q2 revenue falls 3.9%, misses estimates
Overview
Forward Air Q2 2025 revenue falls 3.9% yr/yr, missing analyst expectations
Expedited Freight segment reports highest EBITDA margin in six quarters
Company's operating income improves to $20 mln from a loss last year
Outlook
Company aims to improve EBITDA and cash flow as freight normalizes
Forward Air focuses on long-term growth over next three-plus years
Company benefits from cost controls and pricing actions in Expedited Freight
Result Drivers
EXPEDITED FREIGHT - Improved margins attributed to rigorous cost controls and corrective pricing actions
SEQUENTIAL IMPROVEMENT - Operating income increased by $15 mln and EBITDA by $5 mln compared to Q1 2025
LIQUIDITY DECREASE - Liquidity fell by $25 mln due to $34 mln interest payment on Senior Secured Notes
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Operating Revenue | Miss | $618.84 mln | $628 mln (5 Analysts) |
Q2 EPS |
| -$0.41 |
|
Q2 EBITDA |
| $73.81 mln |
|
Q2 Free Cash Flow |
| -$17.16 mln |
|
Q2 Operating Margin |
| 3.2% |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the courier, postal, air freight & land-based logistics peer group is "buy"
Wall Street's median 12-month price target for Forward Air Corp (Delaware) is $34.00, about 11% above its August 8 closing price of $30.25
Press Release: ID:nBw5qfmKva
