Heartland Express Inc. reported third‑quarter 2025 results for the quarter ended September 30, 2025, showing operating revenue of $196.5 million, a 24% decline from $259.9 million in the same period a year earlier. The company posted a net loss of $8.3 million, an improvement from the $9.3 million loss in Q3 2024, and an operating ratio of 103.7%, compared with 102.7% in the prior year.
Segment performance varied. The Heartland Express and Millis Transfer fleets operated profitably, with operating ratios in the low 90s. Smith Transport returned to profitability after a sequential improvement, while the CFI fleet improved its ratio but remained unprofitable. All four brands completed transportation‑management‑system upgrades and now share a common TMS platform, a move expected to enhance driver utilization and reduce unproductive miles.
Cash on hand increased to $32.7 million, up $19.9 million from December 31 2024. Debt and financing‑lease obligations stood at $185.4 million. Over the past three years, the company has reduced debt and financing lease obligations by $309 million. The company repurchased 1.8 million shares for $17.6 million and paid a dividend of $0.02 per share on October 3, 2025.
Management expects net capital expenditures of $27–$30 million for the year and gains on disposal of property and equipment of $21–$24 million. The company also benefited from increased gains on equipment sales in Q3 2025, which helped offset the net loss.
The trucking industry remains in a prolonged downturn, with excess capacity and weak freight demand driving rate pressures and higher operating costs. Heartland’s focus on integrating acquired fleets, completing TMS upgrades, and reducing leverage is intended to improve efficiency and position the company for a recovery. The average age of the company’s tractor fleet is 2.6 years and its trailer fleet is 7.5 years as of September 30, 2025.
Management reiterated that freight demand is expected to remain weak through the first half of 2026, with a potential recovery not anticipated until 2026. The company will continue to focus on cost improvements and fleet optimization to achieve operating profitability within the next twelve months.
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