Heartland Express (HTLD) Q3 2025 earnings summary

Executive summary

• Operating revenue for the nine months ended September 30, 2025, was $626.4 million, down 22.2% year-over-year, with a net loss of $33.0 million and basic net loss per share of $0.42 compared to $27.9 million and $0.35 per share in the prior year.

• Q3 2025 operating revenue was $196.5 million, a 24.4% decrease from Q3 2024, with a net loss of $8.3 million and basic loss per share of $0.11.

• Sequential improvement in operating ratio was noted throughout Q3 2025, with positive cash flows from operations despite the net loss.

• The operating ratio worsened to 105.5% for the nine months, reflecting cost inflation outpacing freight demand and rate improvements.

• All four operating brands are now on a common transportation management system, expected to enhance efficiency and driver utilization.

Financial highlights

• Operating revenue for Q3 2025 was $196.5 million, down from $259.9 million in Q3 2024; net loss improved to $8.3 million from $9.3 million year-over-year.

• Nine-month 2025 operating revenue was $626.4 million, down from $804.9 million in the same period of 2024; net loss increased to $33.0 million from $27.9 million.

• Fuel surcharge revenue for the nine months was $75.0 million, down from $105.9 million year-over-year; Q3 2025 fuel surcharge revenue was $24.1 million, down from $32.8 million in Q3 2024.

• Gains on disposal of property and equipment increased to $11.3 million for the nine months, up from $1.5 million in the prior year.

• Depreciation and amortization expense for the nine months was $121.8 million, down from $137.6 million year-over-year.

Outlook and guidance

• Management does not expect material improvements in freight demand or pricing until sometime in 2026.

• Cost improvements and transportation system changes implemented in 2025 are expected to improve profitability over the next twelve months.

• Net capital expenditures for 2025 are expected to be $27–$30 million, with $21–$24 million in gains on equipment disposals.

• Depreciation expense for 2025 is projected at $158–$163 million.

• CFI brand will focus on operational and cost reduction efforts in Q4 2025 to improve financial results.