Knight-Swift Transportation Holdings Inc.
For the period ended Jun 30, 2025. Filed Jul 30, 2025.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2025 · Filed Jul 30, 2025
KNX$58.41-1.8%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-03-31; filed 2025-04-30.
0001492691-25-000042
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-06-30; filed 2025-07-30.
0001492691-25-000060
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 254 previous paragraphs and 279 current paragraphs.
162 unchanged; 69 reworded; 40 added; 23 removed; 0 previous and 8 current paragraphs rearranged.
Tables are not compared: 33 previous and 33 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (40)
Current report
•Truckload — 96.3% operating ratio during the first half of 2025. The Adjusted Operating Ratio 1 was 95.1%, with a 3.4% year-over-year decrease in revenue, excluding fuel surcharge and intersegment transactions. Cost-reduction efforts led to a 1.3% reduction in our Adjusted Operating Expenses per mile for the first half of 2025, compared to the first half of 2024.
Current report
The second quarter saw unprecedented trade actions, which brought a range of responses by shippers and volatility in freight flows that differed meaningfully from normal patterns and typical seasonal trends in the Truckload market. This called for agility from our businesses, and our people responded, demonstrating the flexibility of our over-the-road capacity and network in order to mitigate pressure on miles and earnings.
Current report
While the import "cliff" that many anticipated did not prove to be as stark, there was a general softness in freight demand for most of the quarter, especially on the West coast. We did experience a mild lift in freight opportunities and projects near the end of the quarter but short of a normal seasonal build in freight volumes we typically see in a second quarter. While we continue to drive cost out of our businesses, we are careful not to sacrifice the competitive advantage we have through our industry-leading scale and the flexibility our over-the-road model provides, allowing us to deliver distinctive value to our customers.
Current report
We are continuing to grow our LTL network, customer base, and volumes, and we are committed to doing this while maintaining strong service levels. We are encouraged to see customers responding to our service offering, awarding us robust growth at a time when industry volumes remain under pressure. At the same time, the costs of expansion and integration, and our efforts to ramp staffing levels and fleet assets in anticipation of further growth are putting pressure on margins. We have multiple initiatives underway to accelerate the normalization of our operational fundamentals and the regaining of efficiencies in our cost performance even as our network and freight portfolio grow rapidly.
Current report
The fluid policy environment makes forecasting even more difficult than normal. We are staying close with our customers as the situation unfolds, delivering solid service and bringing our capacity and creativity to bear in responding to disruptions created by the shifting landscape. Changes in trade policy can create the need for shippers to react quickly in managing inventory levels, which could benefit the fast, flexible nature of our truckload service. As we begin to navigate the third quarter, we are in early discussions with a few customers regarding potential projects during peak season. It is too early to know if these discussions will materialize into additional business, but these types of conversations provide encouragement that one-way capacity is becoming less plentiful and more valuable when it can be provided with scale. We cannot say when the freight market will finally turn, but we are confident that we are well-positioned to make the most of the opportunities that the next cycle will bring given our larger Truckload business, our heavy mix of one-way truckload service, our growing LTL business, our agile and efficient Logistics business which complements our asset model, and the progress we continue to make structurally cutting cost out of our organization.
Current report
•Revenue per loaded mile recovers slightly sequentially as freight mix normalizes,
Current report
•Tractor count and utilization largely stable sequentially.
Current report
•LTL Segment revenue, excluding fuel surcharge, growth between 20% - 25% year-over-year in third quarter as we lap the DHE acquisition in July,
Current report
•Adjusted Operating Ratio improves 100 - 200 basis points sequentially as cost initiatives and operating leverage overcome normal seasonal degradation.
Current report
•Logistics Segment revenue and Adjusted Operating Ratio fairly stable sequentially.
Current report
•Intermodal Segment load count improves high single-digit percent sequentially,
Current report
•Operating loss improves sequentially driven by cost initiatives and volume leverage.
Current report
Operating Results: Second Quarter 2025 compared to Second Quarter 2024
Current report
•Contributor —$21.9 million increase in operating income within our Truckload segment primarily due to a 2.6% year-over-year reduction in our Adjusted Operating Expenses per mile.
Current report
•Contributor — $2.9 million increase in operating income within the All Other Segments, driven by a 9.0% increase in revenue primarily driven by our warehousing and leasing businesses.
Current report
•Contributor — $0.8 million increase in operating income within our Logistics segment due to a 100 basis point improvement in gross margin percentage.
Current report
The $47.2 million increase in net income attributable to Knight-Swift to $64.9 million during the first half of 2025 from $17.7 million during the same period last year includes the following:
Current report
•Contributor —$43.4 million increase in operating income within our Truckload segment primarily due to a 1.3% year-over-year reduction in our Adjusted Operating Expenses per mile.
Current report
•Contributor — $10.3 million increase in other income, net, primarily due to income within our portfolio of investments.
Current report
•Offset — $16.2 million increase in consolidated income tax expense, primarily due to increase in pretax income. Our effective tax rate for the first half of 2025 was 27.5%, compared to 32.4% for the first half of 2024.
Current report
3 Includes 19,317 and 20,706 average company-owned tractors for the second quarter of 2025 and 2024, respectively. Includes 19,578 and 20,913 average company-owned tractors for the year-to date periods June 30, 2025 and 2024, respectively.
Current report
Comparison Between Year-to-Date June 30, 2025 and 2024 —Truckload segment revenue, excluding fuel surcharge and intersegment transactions declined 3.4% year-over-year, driven by a 4.1% decrease in loaded miles. Adjusted Operating Ratio improved 220 basis points during the first half of 2025 to 95.1%, reflecting improvements of 200 basis points for U.S. Xpress and 220 basis points for our legacy trucking businesses. Miles per tractor improved 2.4% year-over-year as a result of our efforts to drive productivity and reduce underutilized assets. Our cost-reduction efforts led to a 1.3% year-over-year reduction in our Adjusted Operating Expenses per mile.
Current report
Comparison Between the Quarters Ended June 30, 2025 and 2024 —Our LTL segment grew revenue, excluding fuel surcharge, 28.4% as shipments per day increased 21.7% year-over-year, which includes the acquisition of DHE on July 30, 2024. Revenue per hundredweight, excluding fuel surcharge, increased 9.9%, while revenue per shipment, excluding fuel surcharge, increased by 7.1%. Weight per shipment decreased 2.6% year-over-year but was flat with the first quarter. Average length of haul continues to climb, rising 13.8% year-over-year and 4.2% sequentially, as we win new business across our expanding network. This segment produced a 93.1% Adjusted Operating Ratio during the second quarter, which was an improvement of 110 basis points from the first quarter of 2025. Adjusted Operating Income decreased 36.8% year-over-year due to the decline in operating margin primarily attributable to early-stage operations at our recently opened facilities as well as continued costs related to the integration of DHE. While the LTL segment continues to post strong growth in customers and freight volumes across the expanding network, we are taking actions to accelerate the realization of cost efficiencies and to better align our resources with shifting volumes and freight flows. We anticipate that progress on these initiatives will partially offset the normal seasonal pattern of operating margin degradation in the second half of the year.
Current report
Comparison Between Year-to-Date June 30, 2025 and 2024 —The Logistics segment Adjusted Operating Ratio was 95.2%, with agross margin of 18.5% in the first half of 2025. Revenue increased 4.4% year-over-year, driven by an 11.0% increase in revenue per load, partially offset by a 5.8% decline in load count.
Current report
2 Includes 551 and 555 company-owned tractors for the second quarter of 2025 and 2024, respectively.
Current report
Includes 564 and 554 company-owned tractors for the year-to-date periods ended June 30, 2025 and 2024, respectively.
Current report
Comparison Between the Quarters Ended June 30, 2025 and 2024 —The Intermodal segment operating ratio increased 230 basis points year-over-year to 104.1%, driven by a 13.8% decline in revenue, partially offset by reductions in cost and improvements in network balance. The revenue decrease was the result of a 12.4% decrease in load count and a 1.6% decline in revenue per load year-over-year. This segment was the most impacted by the decline in import volumes on the West coast, however, we expect load count to grow sequentially as a result of new customer awards and a return of normalized volumes of existing customers. During the quarter we converted to private chassis in five markets, which we expect will improve the cost structure of this business. We remain focused on creating a balanced network, reducing empty moves, and growing our load count with disciplined pricing.
Current report
Comparison Between Year-to-Date June 30, 2025 and 2024 —The Intermodal segment operated with a 103.0% operating ratio, while total revenue decreased 5.6% year-over-year to $175.2 million. The drop in revenue was driven by a 1.3% decline in revenue per load, and a 4.3% decline in load count when compared to the same period last year.
Current report
Comparison Between the Quarters Ended June 30, 2025 and 2024 —Revenue within our All Other Segments for the second quarter increased 9.0% and operating income increased 73.6% year-over-year, primarily driven by our warehousing and leasing businesses. The operating result also includes a $2.8 million charge related to the residual risk from the third-party insurance business that the Company wound down in the first quarter of 2024.
Current report
Operations and maintenance expense remained relatively flat for the second quarter of 2025 and the first half of 2025, as compared to the same periods last year.
Current report
Comparison Between Quarters Ended June 30, 2025 and 2024 — Consolidated insurance and claims expense decreased by $20.2 million for the second quarter of 2025, as compared to the same period last year. This decrease was primarily due to a 2.5% decrease in total miles driven year-over-year, improvements within our current year experience as a result of lower frequency and severity of claims, and positive development within certain prior year losses.
Current report
Communications expense as a percentage of total revenue and revenue, excluding truckload and LTL fuel surcharge remained relatively flat for the second quarter of 2025 and the first half of 2025, as compared to the same periods last year.
Current report
The $21.0 million decreases in purchased transportation for the second quarter of 2025, and the first half of 2025 when compared to the same periods last year is primarily due to decreases in intermodal loads, logistics loads, and loaded miles hauled by independent contractors.
Current report
Comparison Between the Year-to-Date June 30, 2025 and 2024 —The $12.0 million decrease in net consolidated miscellaneous operating expenses is primarily due to a $14.7 million increase in gain on sales of operating property and equipment.
Current report
Comparison Between the Quarters Ended June 30, 2025 and 2024 — The $0.4 million increase in interest expense is primarily driven by higher average debt balances during the second quarter of 2025 when compared to the second quarter of 2024.
Current report
Comparison Between the Year-to-Date June 30, 2025 and 2024 — The $0.6 million decrease in interest expense is primarily due to lower interest rates and is partially offset by higher average debt balances during the first half of 2025, when compared to the first half of 2024.
Current report
Comparison Between the Quarters Ended June 30, 2025 and 2024 —The $2.2 million increase in consolidated income tax expense was primarily due to the increase in pretax income. Our effective tax rate for the second quarter of 2025 was 29.2%, compared to 37.2% for the second quarter of 2024.
Current report
Comparison Between Year-to-Date June 30, 2025 and 2024 —The $16.2 million increase in consolidated income tax expense was primarily due to the increase in pretax income. Our effective tax rate for the first half of 2025 was 27.5%, compared to 32.4% for the first half of 2024.
Current report
•$530.9 million: Finance lease obligations
Current report
•$14.8 million: Other
Removed paragraphs (23)
Previous report
•Truckload — 96.3% operating ratio during the quarter ended March 31, 2025. The Adjusted Operating Ratio 1 was 95.6%, with a 4.2% year-over-year decrease in revenue, excluding fuel surcharge and intersegment transactions. Revenue per loaded mile, excluding fuel surcharge and intersegment transactions, increased year-over-year for the first time in 10 quarters, improving 1.5%.
Previous report
Early in the first quarter, several indicators, both internal and external, were pointing to positive momentum in the truckload market. Our early bid season results were positive and volumes remained healthy following the fourth quarter. In February, severe weather in areas of the country not well positioned to handle snow and ice contributed to a slowdown in volumes. We were expecting a nice seasonal volume rebound in March. However, fluid trade policy spurred a more cautious tone among shippers that brought a pause to the momentum in the market. The increased uncertainty among shippers and growing concern among consumers resulted in lower volumes and an absence of the typical seasonal build in March, further impacting current rate negations. Further, the progress we are making on contractual rates may not be as visible in our second quarter results if the market experiences reduced volume and the spot market remains weak.
Previous report
We are staying close with our customers as the situation unfolds, and they are generally expressing a few different approaches at this point. Some are pressing forward with little change, meeting product as they see strength in their underlying sales. Some have already cut back or are in the process of cutting back on purchases, mostly centered around China, while still others are in wait-and-see mode, where they're drawing down inventory to support sales in the near term. At this point, our customers are expressing more concern around cost impacts of tariffs and less concern regarding demand from their customers. These strategies could create negative disruptions in volume in the near term. However, if consumer spending remains steady, goods will have to move at some point and that may create opportunities for carriers that are proven to be nimble with scale like many of our Knight-Swift truckload brands. We recognize our customers' plans can change as clarity develops, so we are focused on controlling what we can control. For example, we are tightening our equipment fleet by selling underutilized tractors and trailers that we expect will lead to lower depreciation and greater utilization of our remaining assets.
Previous report
During the first half of April, market conditions have largely been stable with where we exited the first quarter, but there is a wide range of possible paths forward from here. There could be a lull in volumes if shippers were to adjust supply chains or there could be a pull forward in anticipation of a return of reciprocal tariffs. Changes in trade policy could create the need for shippers to react quickly in managing inventory levels, which could benefit the fast flexible nature of truckload service. On the other hand, concerns of recession risks could cause shippers to trim inventories and to aggressively prioritize the lowest short-term cost over all other factors.
Previous report
The LTL industry is not immune to the wait-and-see attitude dampening freight demand, but we are not expecting the same potential for volatility in LTL demand in the second quarter as we do for Truckload. Also, we believe our significant LTL network expansion over the past year positions us for differentiated growth.
Previous report
•Revenue per loaded mile fairly flat sequentially as contract rate improvement is offset by weakness in spot rates,
Previous report
•Tractor count down low single-digit percent sequentially in second quarter but offset by improvement in miles per tractor.
Previous report
•LTL Segment revenue, excluding fuel surcharge, growth between 25% - 30% year-over-year in second quarter driven by shipment count growth from our expanding network, the inclusion of DHE, and yield improvement,
Previous report
•Adjusted Operating Ratio modestly improves sequentially in second quarter to the low 90’s as shipment count growth improves optimization, efficiency, and cost absorption.
Previous report
•Logistics Segment revenue down low single-digit percent sequentially in second quarter,
Previous report
•Adjusted Operating Ratio remains fairly stable with first quarter levels.
Previous report
•Intermodal Segment load count and operating margin fairly stable sequentially in second quarter.
Previous report
•Contributor —$21.5 million increase in operating income within our Truckload segment primarily due to a 1.5% increase in revenue per loaded mile.
Previous report
3 Includes 19,840 and 21,120 average company-owned tractors for the first quarter of 2025 and 2024, respectively.
Previous report
2 Includes 576 and 552 company-owned tractors for the first quarter of 2025 and 2024, respectively.
Previous report
Comparison Between the Quarters Ended March 31, 2025 and 2024 —The Intermodal segment improved its operating ratio 360 basis points year-over-year to 102.0% while growing revenue 3.5% year-over-year. The revenue increase was driven by a 4.6% increase in load count, partially offset by a 1.1% decline in revenue per load year-over-year. We remain focused on growing our load count with disciplined pricing across a diverse group of customers.
Previous report
Comparison Between Quarters Ended March 31, 2025 and 2024 — Operations and maintenance expense decreased by $2.3 million for the first quarter of 2025, as compared to the same period last year. The decrease was due to the decrease in miles driven by company driving associates discussed above and lower driving associate hiring expense, partially offset by costs related to integrating new facilities into our expanding LTL network.
Previous report
Comparison Between Quarters Ended March 31, 2025 and 2024 — Communications expense remained relatively flat for the first quarter of 2025, as compared to the same period last year.
Previous report
Comparison Between Quarters Ended March 31, 2025 and 2024 — Consolidated purchased transportation expense remained flat for the first quarter of 2025, as compared to the same period last year.
Previous report
Comparison Between the Quarters Ended March 31, 2025 and 2024 —The $14.0 million increase in consolidated income tax expense (benefit) was primarily due to the increase in pretax income. Our effective tax rate for the first quarter of 2025 was 25.4%, compared to 55.1% for the first quarter of 2024.
Previous report
•First quarter 2025 legal expense reflects the increased estimated exposure for accrued legal matters based on recent settlement agreements.
Previous report
•$566.9 million: Finance lease obligations
Previous report
•$15.2 million: Other
Reworded paragraphs (69)
Previous wording
•future insurance claims, coverage, coverage limits, premiums, and retention limits,
Current wording
•future insurance claims, coverage, coverage limits, premiums, and self-insured retention limits, including the potential impact of adverse developments in our prior period claims,
Previous wording
Such statements may be identified by their use of terms or phrases such as "believe," "may," "could," "will," "would," "should," "expects," "estimates," "designed," "likely," "foresee," "goals," "seek," "target," "forecast," "projects," "anticipates," "plans," "intends," "hopes," "strategy," "potential," "objective," "pursue," "continue," "outlook," "feel," and similar terms and phrases. Forward-looking statements are based on currently available operating, financial, and competitive information. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified, which could cause future events and actual results to materially differ from those set forth in, contemplated by, or underlying the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, those discussed in Part I, Item 1A "Risk Factors" in our 2024 Annual Report, and various disclosures in our press releases, stockholder reports, and other filings with the SEC.
Current wording
Such statements may be identified by their use of terms or phrases such as "believe," "may," "could," "will," "would," "should," "expects," "estimates," "designed," "likely," "foresee," "goals," "seek," "target," "forecast," "projects," "anticipates," "plans," "intends," "hopes," "strategy," "potential," "objective," "pursue," "continue," "outlook," "confident," "feel," and similar terms and phrases. Forward-looking statements are based on currently available operating, financial, and competitive information. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified, which could cause future events and actual results to materially differ from those set forth in, contemplated by, or underlying the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, those discussed in Part I, Item 1A "Risk Factors" in our 2024 Annual Report, and various disclosures in our press releases, stockholder reports, and other filings with the SEC.
Previous wording
Consolidated operating income increased 224.3% to $66.7 million during the quarter ended March 31, 2025, as compared to the same period last year. Net income attributable to Knight-Swift increased 1262.8% to $30.6 million.
Current wording
Consolidated operating income increased 65.8% to $139.3 million during the first half of 2025, as compared to the same period last year. Net income attributable to Knight-Swift increased 267.3% to $64.9 million.
Previous wording
•LTL — 96.4% operating ratio during the quarter ended March 31, 2025. The Adjusted Operating Ratio 1 deteriorated 420 basis points year-over-year to 94.2%, due to start-up costs and early-stage operations at recently opened facilities as well as some lingering costs from the integration of the DHE Acquisition. We opened seven new locations during the first quarter, as we continue to invest in our network.
Current wording
•LTL — 95.8% operating ratio during the first half of 2025. The Adjusted Operating Ratio 1 deteriorated 570 basis points year-over-year to 93.6%, due to start-up costs and early-stage operations at recently opened facilities as well as some lingering costs from the integration of the DHE Acquisition. We opened ten new locations during the first half of 2025, as we continue to invest in our network.
Previous wording
•Logistics —96.4% operating ratio during the quarter ended March 31, 2025. The Adjusted Operating Ratio 1 was 95.5% with a gross margin of 18.1%. Revenue increased 11.8% year-over-year. Revenue per load increased 11.7% and load count was flat.
Current wording
•Logistics —96.0% operating ratio during the first half of 2025. The Adjusted Operating Ratio 1 was 95.2% with a gross margin of 18.5%. Revenue increased 4.4% year-over-year. Revenue per load increased 11.0% and was partially offset by a 5.8% decline in load count.
Previous wording
•Intermodal —102.0% operating ratio during the quarter ended March 31, 2025, as revenue per load declined 1.1% year-over-year and load count increased 4.6%.
Current wording
•Intermodal —103.0% operating ratio during the first half of 2025, as revenue per load declined 1.3% year-over-year and load count decreased 4.3%.
Previous wording
•All Other Segments — Operating income increased to $6.0 million during the quarter ended March 31, 2025 from a $20.4 million operating loss during the comparable period of 2024, largely as a result of our warehousing business and leasing businesses and reflects improvement from the prior year period, which had included a $19.5 million operating loss for the third-party insurance business we exited during the first quarter of 2024.
Current wording
•All Other Segments — Operating income increased to $12.8 million during the first half of 2025 from a $16.6 million operating loss during the comparable period of 2024, largely as a result of our warehousing business and leasing businesses and reflects improvement from the prior year period, which had included a $19.5 million operating loss for the third-party insurance business we exited during the first quarter of 2024.
Previous wording
•Liquidity and Capital —During the quarter ended March 31, 2025, we generated $109.4 million in operating cash flows and Free Cash Flow 1 of $70.0 million. We paid down $30.6 million in finance lease liabilities, $35.5 million in operating lease liabilities, and had $23.0 million of net borrowings our 2021 Revolver and 2023 RSA. As of March 31, 2025, we had a balance of $209.5 million in unrestricted cash and cash equivalents, $2.6 billion face value outstanding debt, net of unrestricted cash, and $7.1 billion of stockholders' equity. We do not foresee material liquidity constraints or any issues with our ongoing ability to meet our debt covenants. See discussion under "Liquidity and Capital Resources" for additional information.
Current wording
•Liquidity and Capital —During the first half of 2025, we generated $325.9 million in operating cash flows and Free Cash Flow 1 of $153.7 million. We paid down $81.5 million in finance lease liabilities, $75.4 million in operating lease liabilities, and had $45.0 million of net borrowings on our 2021 Revolver and 2023 RSA. As of June 30, 2025, we had a balance of $216.3 million in unrestricted cash and cash equivalents, $2.6 billion face value outstanding debt, net of unrestricted cash, and $7.1 billion of stockholders' equity. We do not foresee material liquidity constraints or any issues with our ongoing ability to meet our debt covenants. See discussion under "Liquidity and Capital Resources" for additional information.
Previous wording
2 Our tractor fleet within the Truckload segment had a weighted average age of 2.8 years and 2.6 years as of March 31, 2025 and 2024, respectively.
Current wording
2 Our tractor fleet within the Truckload segment had a weighted average age of 2.7 years and 2.7 years as of June 30, 2025 and 2024, respectively.
Previous wording
3 Our average trailers includes 9,657 and 8,769 trailers related to leasing activities recorded within our All Other Segments for the quarters ended March 31, 2025 and 2024, respectively. Our trailer fleet within the Truckload segment had a weighted average age of 8.8 years and 8.4 years as of March 31, 2025 and 2024, respectively.
Current wording
3 Our average trailers includes 9,965 and 8,876 trailers related to leasing activities recorded within our All Other Segments for the quarters ended June 30, 2025 and 2024, respectively. Our trailer fleet within the Truckload segment had a weighted average age of 9.5 years and 9.1 years as of June 30, 2025 and 2024, respectively. Our average trailers includes 9,811 and 8,822 trailers related to leasing activities recorded within our non-reportable segments for the year-to-date periods June 30, 2025 and 2024, respectively.
Previous wording
4 Our LTL tractor fleet had a weighted average age of 4.0 years and 4.3 years as of March 31, 2025 and 2024, respectively. Our LTL tractor fleet includes 668 and 611 tractors from ACT's and MME's dedicated and other businesses for the quarters ended March 31, 2025 and 2024, respectively.
Current wording
4 Our LTL tractor fleet had a weighted average age of 4.5 years and 4.2 years as of June 30, 2025 and 2024, respectively. Our LTL tractor fleet includes 660 and 612 tractors from ACT's and MME's dedicated and other businesses for the quarters ended June 30, 2025 and 2024, respectively. Our LTL tractor fleet includes 664 and 612 tractors from ACT's and MME's dedicated and other businesses for the year-to-date periods June 30, 2025 and 2024, respectively.
Previous wording
5 Our LTL trailer fleet had a weighted average age of 7.8 years and 8.6 years as of March 31, 2025 and 2024, respectively. Our LTL trailer fleet includes 1,015 and 821 trailers from ACT's and MME's dedicated and other businesses for the quarters ended March 31, 2025 and 2024, respectively.
Current wording
5 Our LTL trailer fleet had a weighted average age of 8.2 years and 8.6 years as of June 30, 2025 and 2024, respectively. Our LTL trailer fleet includes 1,039 and 829 trailers from ACT's and MME's dedicated and other businesses for the quarters ended June 30, 2025 and 2024, respectively. Our LTL trailer fleet includes 1,027 and 825 trailers from ACT's and MME's dedicated and other businesses for the year-to-date periods June 30, 2025 and 2024, respectively.
Previous wording
Our Company outlook for the second quarter of 2025 includes the following:
Current wording
Our Company outlook for the third quarter of 2025 includes the following:
Previous wording
•Truckload Segment revenue up low single-digit percent sequentially in second quarter with operating margins relatively stable sequentially,
Current wording
•Truckload Segment revenue up low single-digit percent sequentially with operating margins slightly improved sequentially,
Previous wording
•All Other Segment operating income, before including the $11.7 million quarterly intangible asset amortization, of approximately $8 million to $12 million in second quarter.
Current wording
•All Other Segment operating income, before including the $11.7 million quarterly intangible asset amortization, approximately $15 million to $20 million in third quarter, with a fourth quarter sequential step-down similar to prior year trends.
Previous wording
•Gain on sale to be in the range of $18 million to $23 million in the second quarter,
Current wording
•Gain on sale to be in the range of $18 million to $23 million in third quarter,
Previous wording
•Net interest expense fairly stable sequentially into the second quarter,
Current wording
•Net interest expense fairly stable sequentially in third quarter,
Previous wording
•Net cash capital expenditures for the full year 2025 expected range of $575 million - $625 million,
Current wording
•Net cash capital expenditures for the full year 2025 expected range of $525 million - $575 million,
Previous wording
•Expected effective tax rate on adjusted income before taxes of approximately 24.5% to 25.5% for full year 2025.
Current wording
•Expected effective tax rate on adjusted income before taxes of approximately 27% to 28% for third quarter.
Previous wording
In addition to the above, we expect the Truckload segment will continue to pursue opportunities, as we continue to implement a decentralized operating model within our new U.S. Xpress locations, and the Logistics segment will continue to provide value to our customers through our power-only and traditional brokerage service offerings. Our ACT and MME teams are working together to further build out a super-regional network, which we expanded in 2024 through organic expansion and with the DHE Acquisition, that we expect will provide additional yield and revenue opportunities. We expect the pace of our LTL facility expansion will be lower in 2025 than in 2024 as we focus on ongoing bid activities that we believe will provide further opportunities to grow shipment volumes and improve efficiencies in our LTL segment. The Intermodal segment continues to build out its network that aligns with our new rail partners as we pursue a more diversified portfolio of customers. Our All Other Segments are further expanding to complement our other service offerings.
Current wording
In addition to the above, we expect the Truckload segment will continue to pursue opportunities, as we continue to implement a decentralized operating model within our new U.S. Xpress locations, and the Logistics segment will continue to provide value to our customers through our power-only and traditional brokerage service offerings. With our mid-2024 acquisition of DHE and the continued organic expansion of our ACT, MME, and DHE brands, we expect additional yield and revenue opportunities from our growing super-regional LTL transportation network. The pace of our LTL facility expansion will be lower in 2025 than in 2024 as we focus on ongoing bid activities that we believe will provide further opportunities to grow shipment volumes and improve efficiencies in our LTL segment. The Intermodal segment continues to build out its network that aligns with our new rail partners as we pursue a more diversified portfolio of customers. Our All Other Segments are further expanding to complement our other service offerings.
Previous wording
The $33.3 million increase in net income attributable to Knight-Swift to $30.6 million during the first quarter of 2025 from a $2.6 million loss during the same period last year includes the following:
Current wording
The $13.9 million increase in net income attributable to Knight-Swift to $34.2 million during the second quarter of 2025 from $20.3 million during the same period last year includes the following:
Previous wording
•Contributor — $2.0 million increase in other income, net, primarily due to current quarter income within our portfolio of investments.
Current wording
•Contributor — $8.3 million increase in other income, net, primarily due to current quarter income within our portfolio of investments.
Previous wording
•Offset — $7.6 million decrease in operating income within our LTL segment primarily due to start-up costs and early-stage operations at the recently opened facilities.
Current wording
•Offset — $14.7 million decrease in operating income within our LTL segment primarily due to start-up costs and early-stage operations at the recently opened facilities.
Previous wording
•Offset — $14.0 million increase in consolidated income tax expense, primarily due to increase in pretax income. Our effective tax rate for the first quarter of 2025 was 25.4%, compared to 55.1% for the first quarter of 2024.
Current wording
•Offset — $2.2 million increase in consolidated income tax expense, primarily due to increase in pretax income. Our effective tax rate for the second quarter of 2025 was 29.2%, compared to 37.2% for the second quarter of 2024.
Previous wording
•Contributor — $3.1 million decrease in operating loss within our Intermodal segment, driven by a 4.6% increase in load count, partially offset by a 1.1% decrease in revenue per load.
Current wording
•Offset — $1.7 million increase in operating loss within our Intermodal segment, driven by a 12.4% decrease in load count, and a 1.6% decrease in revenue per load.
Previous wording
Operating Results: First Quarter 2025 compared to First Quarter 2024
Current wording
Operating Results: First Half 2025 compared to First Half 2024
Previous wording
•Contributor — $2.7 million increase in operating income within our Logistics segment due to a 11.7 % increase in revenue per load.
Current wording
•Contributor — $3.5 million increase in operating income within our Logistics segment due to a 11.0% increase in revenue per load.
Previous wording
•Contributor — $26.5 million increase in operating income within the All Other Segments, largely as a result of exiting the third-party insurance business at the end of the first quarter of 2024.
Current wording
•Contributor — $29.3 million increase in operating income within the All Other Segments, largely as a result of exiting the third-party insurance business at the end of the first quarter of 2024.
Previous wording
•Contributor — $1.0 million decrease in consolidated interest expense primarily driven by lower interest rates, partially offset by higher overall debt balances.
Current wording
•Contributor — $0.6 million decrease in consolidated interest expense primarily driven by lower interest rates, partially offset by higher overall debt balances.
Previous wording
•Our truckload services include irregular route and dedicated, refrigerated, expedited, flatbed, and cross-border transportation of various products, goods, and materials for our diverse customer base with approximately 15,800 irregular route and 6,100 dedicated tractors.
Current wording
•Our truckload services include irregular route and dedicated, refrigerated, expedited, flatbed, and cross-border transportation of various products, goods, and materials for our diverse customer base with approximately 15,400 irregular route and 5,900 dedicated tractors.
Previous wording
•Our LTL business, which was initially established in 2021 through the ACT Acquisition and later the MME and DHE acquisitions, provides our customers with super-regional LTL transportation service through our growing network of approximately 170 facilities and a door count of approximately 6,300. Our LTL segment operates approximately 4,000 tractors and approximately 11,000 trailers, including equipment used for dedicated and other businesses. The LTL segment also provides national coverage to our customers by utilizing partner carriers for areas outside of our direct network.
Current wording
•Our LTL business, which was initially established in 2021 through the ACT Acquisition and later the MME and DHE acquisitions, provides our customers with super-regional LTL transportation service through our growing network of approximately 180 facilities and a door count of approximately 6,600. Our LTL segment operates approximately 4,200 tractors and approximately 11,000 trailers, including equipment used for dedicated and other businesses. The LTL segment also provides national coverage to our customers by utilizing partner carriers for areas outside of our direct network.
Previous wording
4 Our average trailers includes 9,657 and 8,769 trailers related to leasing activities recorded within our All Other Segments for the quarters ended March 31, 2025 and 2024, respectively.
Current wording
4 Our average trailers includes 9,965 and 8,876 trailers related to leasing activities recorded within our All Other Segments for the quarters ended June 30, 2025 and 2024, respectively. Our average trailers includes 9,811 and 8,822 trailers related to leasing activities recorded within our All Other Segments for the year-to-date periods June 30, 2025 and 2024, respectively.
Previous wording
Comparison Between the Quarters Ended March 31, 2025 and 2024 —Truckload segment revenue, excluding fuel surcharge and intersegment transactions, declined 4.2% year-over-year, driven by a 5.4% decrease in loaded miles, primarily in our dedicated services. Revenue per loaded mile, excluding fuel surcharge and intersegment transactions, increased 1.5% year-over-year, which was the first year-over-year increase in 10 quarters. The first quarter Adjusted Operating Ratio improved 170 basis points year-over-year to 95.6%, reflecting improvements of 100 basis points for U.S. Xpress and 200 basis points for our legacy trucking businesses. Notably, the U.S. Xpress trucking business achieved a quarterly operating profit for the first time since our July 2023 acquisition. Miles per tractor improved 0.8% year-over-year as our efforts to drive productivity and sell underutilized assets overcame the drop in volumes. Adjusted Operating Expenses per mile decreased 0.9% year-over-year as we continue to execute our cost reduction initiatives to improve our cost structure. We are focused on disciplined pricing and cost control that we expect will position our business to continue to respond to volatile market conditions.
Current wording
Comparison Between the Quarters Ended June 30, 2025 and 2024 —Truckload segment revenue, excluding fuel surcharge and intersegment transactions, declined 2.7% year-over-year, driven by a 2.8% decrease in loaded miles. Revenue per loaded mile, excluding fuel surcharge and intersegment transactions, was flat year-over-year but down 1.4% from the first quarter of 2025 as a result of mix changes and spot market weakness given the lull in import-driven demand during the quarter. The second quarter Adjusted Operating Ratio improved 260 basis points year-over-year to 94.6%, reflecting improvements of 300 basis points for U.S. Xpress and 250 basis points for our legacy trucking businesses. Miles per tractor improved 4.0% year-over-year as a result of our efforts to drive productivity and reduce underutilized assets. Our cost-reduction efforts led to a 2.6% year-over-year reduction in our Adjusted Operating Expenses per mile as we continue to make tangible progress improving our cost structure. We are focused on disciplined pricing, cost control, and quality service that we expect will position our business to continue to respond to volatile market conditions.
Previous wording
3 Our LTL tractor fleet includes 668 and 611 tractors from ACT's and MME's dedicated and other businesses for the first quarter of 2025 and 2024, respectively.
Current wording
3 Our LTL tractor fleet includes 660 and 612 tractors from ACT's and MME's dedicated and other businesses for the second quarter of 2025 and 2024, respectively. Our LTL tractor fleet includes 664 and 612 tractors from ACT's and MME's dedicated and other businesses for the year-to-date periods June 30, 2025 and 2024, respectively.
Previous wording
4 Our LTL trailer fleet includes 1,015 and 821 trailers from ACT's and MME's dedicated and other businesses for the first quarter of 2025 and 2024, respectively.
Current wording
4 Our LTL trailer fleet includes 1,039 and 829 trailers from ACT's and MME's dedicated and other businesses for the second quarter of 2025 and 2024, respectively. Our LTL trailer fleet includes 1,027 and 825 trailers from ACT's and MME's dedicated and other businesses for the year-to-date periods June 30, 2025 and 2024, respectively.
Previous wording
During the first quarter, we opened seven additional service centers, growing our door count 3.6% year-to-date. We anticipate our pace of facility expansion will be lower in 2025 than in 2024 and believe ongoing bid activities will provide further opportunities to grow shipment volume and improve efficiencies. Our focus for 2025 is to drive both revenue and margin expansion in the business. We continue to look for both organic and inorganic opportunities to geographically expand our footprint within the LTL market.
Current wording
During the second quarter, we opened three new service centers and replaced one more with a larger site, bringing our year-to-date growth in door count to 7.8% and our year-over-year growth in door count to 27.5%. We continue to expect our pace of facility expansion will be lower in 2025 than in 2024 and believe ongoing bid activities will provide further opportunities to grow shipment volume and improve efficiencies. Our focus for 2025 is to drive both revenue and margin expansion in the business. We continue to look for both organic and inorganic opportunities to geographically expand our footprint within the LTL market.
Previous wording
Comparison Between the Quarters Ended March 31, 2025 and 2024 —Our LTL segment grew revenue, excluding fuel surcharge, 26.7% as shipments per day increased 24.2% year-over-year, which includes the acquisition of DHE on July 30, 2024. Revenue per hundredweight, excluding fuel surcharge, increased 9.3%, while revenue per shipment, excluding fuel surcharge, increased by 6.5%, reflecting a 2.5% decrease in weight per shipment. This segment produced a 94.2% Adjusted Operating Ratio during the first quarter, while Adjusted Operating Income decreased 26.8% year-over-year primarily due to early-stage operations at our recently opened facilities as well as some lingering costs from the integration of DHE, which was completed during the fourth quarter of 2024. While the weather events pressured volumes and costs in January and February, March volumes grew significantly year-over-year as new business awards are being realized in our expanded network.
Current wording
Comparison Between Year-to-Date June 30, 2025 and 2024 —Our LTL segment grew revenue, excluding fuel surcharge, 27.6% as shipments per day increased 22.9% during the first half of 2025, which includes the acquisition of DHE on July 30, 2024. Revenue per hundredweight, excluding fuel surcharge, increased 9.6%, while revenue per shipment, excluding fuel surcharge, increased by 6.8%, while weight per shipment decreased 2.6%. This segment produced a 93.6% Adjusted Operating Ratio during the first half of 2025, and Adjusted Operating Income decreased 32.9% when compared to the first half of 2024, due to the decline in operating margin primarily attributable to early-stage operations at our recently opened facilities as well as continued costs related to the integration of DHE.
Previous wording
Comparison Between the Quarters Ended March 31, 2025 and 2024 —The Logistics segment Adjusted Operating Ratio was 95.5%, with agross margin of 18.1% in the first quarter of 2025. Revenue increased 11.8% year-over-year, driven by an 11.7% increase in revenue per load as load count was flat. We remain disciplined on price and diligent in carrier qualification to provide value to customers while maintaining profitability. We continue to leverage our power-only capabilities to complement our asset business, build a broader and more diversified freight portfolio, and to enhance the returns on our capital assets.
Current wording
Comparison Between the Quarters Ended June 30, 2025 and 2024 —The Logistics segment Adjusted Operating Ratio was 94.8%, with agross margin of 18.9% in the second quarter of 2025. Revenue decreased 2.6% year-over-year, driven by a 11.7% decline in load count, largely offset by a 10.6% increase in revenue per load. We remain disciplined on price and diligent in carrier qualification to provide value to customers while maintaining profitability. We continue to leverage our power-only capabilities to complement our asset business, build a broader and more diversified freight portfolio, and to enhance the returns on our capital assets.
Previous wording
Comparison Between the Quarters Ended March 31, 2025 and 2024 —Revenue within our All Other Segments for the first quarter declined 15.9% year-over-year, largely as a result of winding down our third-party carrier insurance program in the first quarter of 2024. The $6.0 million operating income within our All Other Segments is primarily driven by our warehousing business and leasing businesses and reflects improvement from the prior year period, which had included a $19.5 million operating loss for the third-party insurance business.
Current wording
Comparison Between Year-to-Date June 30, 2025 and 2024 —Revenue within our All Other Segments for the first half of 2025 declined 4.8% year-over-year, largely as a result of winding down our third-party carrier insurance program in the first quarter of 2024. The $12.8 million operating income within our All Other Segments is primarily driven by our warehousing business and leasing businesses and reflects improvement from the prior year period, which had included a $19.5 million operating loss for the third-party insurance business.
Previous wording
Comparison Between the Quarters Ended March 31, 2025 and 2024 —The $28.8 million increase in consolidated salaries, wages, and benefits for the first quarter of 2025, as compared to the first quarter of 2024, is primarily due to a $38.4 million increase in LTL wages as a result of service center expansion, the DHE Acquisition, and labor to support increased shipment count from expansion efforts. This was partially offset by a $9.9 million decrease in Truckload driving associate mileage pay primarily due to a 4.7% decrease in total miles driven by company driving associates in our Truckload segment.
Current wording
Comparison Between the Quarters Ended June 30, 2025 and 2024 —The $62.7 million increase in consolidated salaries, wages, and benefits for the second quarter of 2025, as compared to the second quarter of 2024, is primarily due to a $47.5 million increase in LTL wages as a result of service center expansion, the DHE Acquisition, and labor to support increased shipment count from expansion efforts. This was partially offset by a $3.3 million decrease in Truckload driving associate mileage pay primarily due to a 2.5% decrease in total miles driven by company driving associates in our Truckload segment.
Showing the first 40 of 69 pairs. Open the source sections for the rest.
Rearranged current paragraphs (8)
Current report — wording carried from elsewhere
•Offset — $0.4 million increase in consolidated interest expense primarily driven by higher overall debt balances.
Current report — wording carried from elsewhere
•Contributor — $1.4 million decrease in operating loss within our Intermodal segment.
Current report — wording carried from elsewhere
•Offset — $22.3 million decrease in operating income within our LTL segment primarily due to start-up costs and early-stage operations at the recently opened facilities.
Current report — wording carried from elsewhere
Comparison Between Year-to-Date June 30, 2025 and 2024 —The $91.5 million increase in consolidated salaries, wages, and benefits for the first half of 2025, as compared to the first half of 2024, is primarily due to a $85.9 million increase in LTL wages as a result of service center expansion, the DHE Acquisition, and labor to support increased shipment count from expansion efforts. This was partially offset by a $5.7 million decrease in Truckload driving associate mileage pay primarily due to a 3.6% decrease in total miles driven by company driving associates in our Truckload segment.
Current report — wording carried from elsewhere
Comparison Between Year-to-Date June 30, 2025 and 2024 — The $46.4 million decrease in consolidated fuel expense for the first half of 2025 is primarily driven by the 3.6% decrease in Truckload total miles driven by company driving associates and the decrease in the average weekly DOE fuel prices for the first half of 2025, as compared to the first half of 2024. This was partially offset by a 30.0% increase in LTL miles. Average weekly DOE fuel prices were $3.59 per gallon for the first half of 2025 and $3.91 per gallon for the first half of 2024.
Current report — wording carried from elsewhere
Comparison Between Year-to-Date June 30, 2025 and 2024 — Consolidated depreciation and amortization of property and equipment decreased $6.7 million for the first half of 2025, as compared to the same period last year. This decrease is primarily due to decreases in tractor and trailer depreciation as a result of the decrease in tractor and trailer counts in our Truckload segment, partially offset by increases in equipment counts for our LTL segment.
Current report — wording carried from elsewhere
Comparison Between the Year-to-Date June 30, 2025 and 2024 — The $10.3 million increase in other income, net is primarily driven by a net gain recorded within our portfolio of investments during the first half of 2025.
Current report — wording carried from elsewhere
•First and second quarters 2024 legal expense reflect the increased estimated exposures for an accrued legal matter based on a recent settlement agreement.