LTL yields

FedEx prepping LTL unit ahead of spinoff

FedEx continues to pretty up the nation’s largest less-than-truckload business, FedEx Freight, ahead of a 2026 spinoff. However, a lackluster industrial complex continued to present a headwind during its recent fiscal quarter ended Feb. 28.

Revenue at FedEx Freight declined 5.3% year over year to $2.09 billion as tonnage fell 7.6% and revenue per hundredweight, or yield, increased just 2.2%. The tonnage decline was the combination of a 4.7% decline in shipments and a 3.1% decline in weight per...

https://www.freightwaves.com/news/fedex-prepping-ltl-unit-ahead-of-spinoff

ArcBest takes on TL freight to fill empty capacity

Transportation and logistics provider ArcBest reported less severe volume declines in its asset-based operations during February as it took on more truckload freight to buoy throughput at its terminals.

Fort Smith, Arkansas-based ArcBest (NASDAQ: ARCB) announced Monday after the market closed that tonnage in the asset-based unit, which includes results from less-than-truckload subsidiary ABF Freight, was down just 2% year over year in February following a 9.2% decline in January. The February...

https://www.freightwaves.com/news/arcbest-takes-on-tl-freight-to-fill-empty-capacity

Old Dominion, Saia stay on different paths to overcome same challenge in Q1

A pair of less-than-truckload carriers on somewhat divergent paths provided first-quarter updates on Tuesday that displayed no material change of course. Old Dominion Freight Line saw volumes sag again in February as it plays the long game at the bottom of the cycle, while competitor Saia reported another large tonnage increase as it fills its recently expanded network through the downturn.

Source: Company reports
Old Dominion’s volumes sag as it awaits more opportune entry point

Thomasville,...

https://www.freightwaves.com/news/old-dominion-saia-stay-on-different-paths-to-overcome-same-challenge-in-q1

Is Amazon on course to upend LTL industry?

The less-than-truckload industry may face a seismic shift as rumors circulate that e-commerce behemoth Amazon is preparing to expand operations as a for-hire LTL carrier.

LTL markets — already grappling with tepid demand and pricing pressures — now confront the specter of a formidable new entrant. Recent data suggests that the industry is approaching an inflection point where carrier pricing discipline could begin to erode.

Amazon’s strategic maneuvering toward LTL capabilities is evidenced by...

https://www.freightwaves.com/news/is-amazon-on-course-to-upend-ltl-industry

XPO shares up on strong Q4 financial performance

Less-than-truckload carrier XPO reported another strong financial performance at the bottom of the cycle. Shares of the company’s stock surged 8.8% in early trading Thursday after stepping higher on Wednesday following a better-than-expected report from a competitor.

XPO (NYSE: XPO) recorded 260 basis points of operating ratio (inverse of operating margin) improvement during 2024 while the rest of the industry saw margin deterioration. XPO also guided to 150 bps of year-over-year OR improvement...

https://www.freightwaves.com/news/xpo-shares-up-on-strong-q4-financial-performance

Old Dominion poised to take share when market turns

Old Dominion Freight Line is fairly hopeful about the new year. It has shouldered the cost burden of carrying more than 30% excess capacity while awaiting a market turn. However, once more volume is poured into the relatively high fixed-cost network, margins will start to meaningfully grow again.

“I’m cautiously optimistic that we’re going to have at least a good second half of 2025, President and CEO Marty Freeman told FreightWaves.

Freeman said he was encouraged by some recent trends, noting...

https://www.freightwaves.com/news/old-dominion-poised-to-take-share-when-market-turns

Saia excited about pricing opportunities across expanded network

Less-than-truckload carrier Saia took market share again in the fourth quarter, but margins slid as new business wins and terminals came online. The company is at the tail end of an intense network growth initiative that has catapulted it to a national carrier serving all 48 contiguous states. The focus will now shift to pricing and margin opportunities.

Saia (NASDAQ: SAIA) beat fourth-quarter expectations Monday, reporting earnings per share of $2.84, 7 cents higher than the consensus estimate...

https://www.freightwaves.com/news/saia-excited-about-pricing-opportunities-across-expanded-network

ArcBest, LTL industry short on volume

Financial results across the less-than-truckload industry remain constrained as the industrial economy enters the third year of a downturn. ArcBest has been working to improve profitability by revamping its freight mix and focusing on efficiency and cost-cutting initiatives, but at some point, it needs more volume to bear fruit.

The Fort Smith, Arkansas-based transportation and logistics provider reported fourth-quarter adjusted earnings per share of $1.33 on Friday, 28 cents better than the...

https://www.freightwaves.com/news/arcbest-ltl-industry-short-on-volume

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