Covenant Logistics Group Announces First Quarter 2026 Financial and Operating Results
Rhea-AI Summary
Covenant Logistics Group (NYSE: CVLG) reported Q1 2026 results: total revenue $307.2M and net income $4.4M (EPS $0.17), with adjusted EPS $0.26. Operating income fell to $6.3M and adjusted operating income to $9.6M. Managed Freight revenue rose 59.6% while Dedicated freight grew 10.9%.
Net indebtedness decreased by $51.0M to $245.3M and net indebtedness-to-capital fell to 37.6%. Company expects 2026 capex of $40–$50M and anticipates sequential margin improvement if current market momentum continues.
Positive
- Total revenue increased to $307.2M (+14% vs prior year)
- Managed Freight freight revenue +59.6% year-over-year
- Dedicated segment freight revenue +10.9% year-over-year
- Net indebtedness decreased by $51.0M to $245.3M; net indebtedness-to-capital 37.6%
Negative
- Net income declined to $4.42M from $6.56M (≈-33%)
- Earnings per diluted share fell to $0.17 from $0.24 (≈-29%)
- Operating income decreased to $6.28M from $7.63M (≈-18%)
- Expedited average tractors down 10.4% (764 vs 852), pressuring that segment
News Market Reaction – CVLG
In the Apr 24 session, CVLG gained 9.23%, reflecting a notable positive market reaction. Argus tracked a peak move of +5.0% during that session. Our momentum scanner triggered 23 alerts that day, indicating elevated trading interest and price volatility.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Jan 29 | Q4 2025 earnings | Negative | -4.8% | GAAP loss with impairments and higher net indebtedness despite acquisition growth. |
| Oct 22 | Q3 2025 earnings | Negative | -8.8% | Weaker truckload margins and lower operating income despite segment revenue gains. |
| Jul 23 | Q2 2025 earnings | Positive | +3.8% | Record freight revenue, strong Managed Freight growth, and solid TEL income. |
| Apr 23 | Q1 2025 earnings | Positive | +10.4% | Profitable quarter with stock repurchase program despite weather and avian flu impacts. |
| Jan 23 | Q4 2024 earnings | Negative | -2.9% | Lower income and higher operating ratio, partly offset by strength in asset-light segments. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Earnings releases have consistently moved the stock in the same direction as the fundamental tone, with no recent instances of the market fading the initial read.
Over the last five earnings reports from Jan 2025 through Jan 2026, CVLG has cycled from solid profitability to a Q4 2025 GAAP loss, while maintaining recurring contributions from its TEL investment and growing Dedicated and Managed Freight revenue. Reactions have ranged from a 10.43% gain on Q1 2025 results to a -8.78% decline after Q3 2025. Today’s Q1 2026 update, with higher revenue but lower EPS, follows that pattern of mixed but impactful earnings catalysts.
Key Terms
non-gaap financial
operating ratio financial
segment operating income financial
adjusted operating income financial
net indebtedness financial
abl credit facility financial
assets held for sale financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
CHATTANOOGA, Tenn., April 23, 2026 (GLOBE NEWSWIRE) -- Covenant Logistics Group, Inc. (NYSE: CVLG) (“Covenant” or the “Company”) announced today financial and operating results for the first quarter ended March 31, 2026. The Company’s conference call to discuss the quarter will be held at 10:00 A.M. Eastern Time on Friday, April 24, 2026.
Chairman and Chief Executive Officer, David R. Parker, commented: “Our first quarter earnings were
“Our
First Quarter Financial Performance:
| Three Months Ended March 31, | ||||||||
| ( | 2026 | 2025 | ||||||
| Total Revenue | $ | 307,161 | $ | 269,355 | ||||
| Freight Revenue, Excludes Fuel Surcharge | $ | 281,925 | $ | 243,219 | ||||
| Operating Income | $ | 6,282 | $ | 7,627 | ||||
| Adjusted Operating Income(1) | $ | 9,610 | $ | 10,857 | ||||
| Operating Ratio | 98.0 | % | 97.2 | % | ||||
| Adjusted Operating Ratio(1) | 96.6 | % | 95.5 | % | ||||
| Net Income | $ | 4,420 | $ | 6,563 | ||||
| Adjusted Net Income(1) | $ | 6,915 | $ | 8,995 | ||||
| Earnings per Diluted Share | $ | 0.17 | $ | 0.24 | ||||
| Adjusted Earnings per Diluted Share(1) | $ | 0.26 | $ | 0.32 | ||||
| (1) | Represents non-GAAP measures. | |
Truckload Operating Data and Statistics
| Three Months Ended March 31, | ||||||||
| ( | 2026 | 2025 | ||||||
| Combined Truckload | ||||||||
| Total Revenue | $ | 188,094 | $ | 188,302 | ||||
| Freight Revenue, excludes Fuel Surcharge | $ | 163,013 | $ | 162,329 | ||||
| Segment Operating Income(1) | $ | 8,408 | $ | 7,739 | ||||
| Adj. Seg. Operating Income(2) | $ | 4,811 | $ | 6,210 | ||||
| Segment Operating Ratio(1) | 95.5 | % | 95.9 | % | ||||
| Adj. Seg. Operating Ratio(2) | 97.0 | % | 96.2 | % | ||||
| Average Freight Revenue per Tractor per Week | $ | 5,576 | $ | 5,416 | ||||
| Average Freight Revenue per Total Mile | $ | 2.76 | $ | 2.53 | ||||
| Average Miles per Tractor per Period | 25,961 | 27,521 | ||||||
| Weighted Average Tractors for Period | 2,274 | 2,331 | ||||||
| Expedited | ||||||||
| Total Revenue | $ | 84,671 | $ | 94,693 | ||||
| Freight Revenue, excludes Fuel Surcharge | $ | 71,949 | $ | 80,249 | ||||
| Segment Operating Income(1) | $ | 2,821 | $ | 5,590 | ||||
| Adj. Seg. Operating Income(2) | $ | 683 | $ | 4,655 | ||||
| Segment Operating Ratio(1) | 96.7 | % | 94.1 | % | ||||
| Adj. Seg. Operating Ratio(2) | 99.1 | % | 94.2 | % | ||||
| Average Freight Revenue per Tractor per Week | $ | 7,327 | $ | 7,323 | ||||
| Average Freight Revenue per Total Mile | $ | 2.20 | $ | 2.13 | ||||
| Average Miles per Tractor per Period | 42,772 | 44,260 | ||||||
| Weighted Average Tractors for Period | 764 | 852 | ||||||
| Dedicated | ||||||||
| Total Revenue | $ | 103,423 | $ | 93,609 | ||||
| Freight Revenue, excludes Fuel Surcharge | $ | 91,064 | $ | 82,080 | ||||
| Segment Operating Income(1) | $ | 5,587 | $ | 2,149 | ||||
| Adj. Seg. Operating Income(2) | $ | 4,128 | $ | 1,555 | ||||
| Segment Operating Ratio(1) | 94.6 | % | 97.7 | % | ||||
| Adj. Seg. Operating Ratio(2) | 95.5 | % | 98.1 | % | ||||
| Average Freight Revenue per Tractor per Week | $ | 4,691 | $ | 4,316 | ||||
| Average Freight Revenue per Total Mile | $ | 3.45 | $ | 3.10 | ||||
| Average Miles per Tractor per Period | 17,459 | 17,875 | ||||||
| Weighted Average Tractors for Period | 1,510 | 1,479 | ||||||
| (1) | Segment operating income and segment operating ratio exclude indirect costs not directly attributable to any one reportable segment, amortization of intangible assets, impairment of goodwill, and contingent consideration liability adjustments to match the information our Chief Operating Decision Maker uses to evaluate the operating results of our reportable segments. The prior year periods have been conformed to this presentation. | |
| (2) | Represents non-GAAP measures. | |
Combined Truckload Revenue
Paul Bunn, the Company’s President commented on truckload operations, “For the quarter, total revenue in our truckload operations slightly decreased
Expedited Truckload Revenue
Mr. Bunn added, “Freight revenue in our Expedited segment decreased
Dedicated Truckload Revenue
“For the quarter, freight revenue in our Dedicated segment increased
Combined Truckload Operating Expenses
Mr. Bunn continued, “Our combined truckload operating expenses increased approximately 22 cents per total mile or
Managed Freight Segment
| Three Months Ended March 31, | ||||||||
| ( | 2026 | 2025 | ||||||
| Freight Revenue | $ | 90,731 | $ | 56,850 | ||||
| Segment Operating Income(1) | $ | 3,703 | $ | 3,540 | ||||
| Adj. Seg. Operating Income(2) | $ | 3,587 | $ | 3,349 | ||||
| Segment Operating Ratio(1) | 95.9 | % | 93.8 | % | ||||
| Adj. Seg. Operating Ratio(2) | 96.0 | % | 94.1 | % | ||||
| (1) | Segment operating income and segment operating ratio exclude indirect costs not directly attributable to any one reportable segment, amortization of intangible assets, and contingent consideration liability adjustments to match the information our Chief Operating Decision Maker uses to evaluate the operating results of our reportable segments. The prior year periods have been conformed to this presentation. | |
| (2) | Represents non-GAAP measures. | |
“For the quarter, Managed Freight achieved a
Warehousing Segment
| Three Months Ended March 31, | ||||||||
| ( | 2026 | 2025 | ||||||
| Freight Revenue | $ | 27,552 | $ | 24,040 | ||||
| Segment Operating Income(1) | $ | 1,778 | $ | 1,843 | ||||
| Adj. Seg. Operating Income(2) | $ | 1,212 | $ | 1,298 | ||||
| Segment Operating Ratio(1) | 93.6 | % | 92.4 | % | ||||
| Adj. Seg. Operating Ratio(2) | 95.6 | % | 94.6 | % | ||||
| (1) | Segment operating income and segment operating ratio exclude indirect costs not directly attributable to any one reportable segment, amortization of intangible assets, and contingent consideration liability adjustments to match the information our Chief Operating Decision Maker uses to evaluate the operating results of our reportable segments. The prior year periods have been conformed to this presentation. | |
| (2) | Represents non-GAAP measures. | |
“For the quarter, Warehousing’s freight revenue increased
Capitalization, Liquidity and Capital Expenditures
Tripp Grant, the Company’s Chief Financial Officer, added the following comments: “At March 31, 2026, our total indebtedness, composed of total debt and finance lease obligations, net of cash (“net indebtedness”), decreased by
“The decrease in net indebtedness in the first quarter was primarily a result of selling a large amount of unproductive used equipment and buying very little new equipment.
“At March 31, 2026, we had cash and cash equivalents totaling
“At the end of the quarter, we had
“Our expectations for net capital equipment expenditures in 2026 remains unchanged and currently ranges from
Outlook
Mr. Parker concluded, “Solid economic demand and shrinking industry-wide driver capacity are creating a favorable environment for building project pipelines and improving yield and revenue per tractor. With most of our revenue under contracts ranging from one to three years in duration, we expect to see gradual improvement beginning this quarter and extending for several quarters to come. As contracts become available, we intend to be nimble in allocating our equipment and people toward the relationships that produce long-term value through adequate margin and returns. Our momentum continues to build this year, and I can feel the energy and enthusiasm of our team who are running the business. While we will always be required to navigate certain circumstances in this business, it is much more fun to navigate them with a strong tail wind.”
Conference Call Information
The Company will host a live conference call tomorrow, April 24, 2026, at 10:00 a.m. Eastern time to discuss the quarter. Individuals may access the call by dialing 877-550-1505 (U.S./Canada) and 0800-524-4760 (International). An audio replay will be available for one week following the call at 800-645-7964, access code 3895#. For additional financial and statistical information regarding the Company that is expected to be discussed during the conference call, please visit our website at www.covenantlogistics.com/investors under the icon “Earnings Info.”
About Covenant Logistics Group
Covenant Logistics Group, Inc., through its subsidiaries, offers a portfolio of transportation and logistics services to customers throughout the United States. Primary services include asset- based expedited and dedicated truckload capacity, as well as asset-light warehousing, transportation management, and freight brokerage capability. In addition, Transport Enterprise Leasing is an affiliated company providing revenue equipment sales and leasing services to the trucking industry. Covenant's Class A common stock is traded on the New York Stock Exchange under the symbol, “CVLG.”
(1) See GAAP to Non-GAAP Reconciliation in the schedules included with this release. In addition to operating income, segment operating income, operating ratio, segment operating ratio, net income, and earnings per diluted share, we use adjusted operating income, adjusted segment operating income, adjusted operating ratio, adjusted segment operating ratio, adjusted net income, and adjusted earnings per diluted share, non-GAAP measures, as key measures of profitability. Adjusted operating income, adjusted segment operating income, adjusted operating ratio, adjusted segment operating ratio, adjusted net income, and adjusted earnings per diluted share are not substitutes for operating income, segment operating income, operating ratio, segment operating ratio, net income, and earnings per diluted share measured in accordance with GAAP. There are limitations to using non-GAAP financial measures. We believe our presentation of these non-GAAP financial measures is useful because it provides investors and securities analysts with supplemental information that we use internally for purposes of assessing profitability. Further, our Board and management use non-GAAP operating income, segment operating income, operating ratio, segment operating ratio, net income, and earnings per diluted share measures on a supplemental basis to remove items that may not be an indicator of performance from period-to-period. Although we believe that adjusted operating income, adjusted segment operating income, adjusted operating ratio, adjusted segment operating ratio, adjusted net income, and adjusted earnings per diluted share improves comparability in analyzing our period-to-period performance, they could limit comparability to other companies in our industry, if those companies define such measures differently. Because of these limitations, adjusted operating income, adjusted segment operating income, adjusted operating ratio, adjusted segment operating ratio, adjusted net income, and adjusted earnings per diluted share should not be considered measures of income generated by our business or discretionary cash available to us to invest in the growth of our business. Management compensates for these limitations by primarily relying on GAAP results and using non-GAAP financial measures on a supplemental basis.
This press release contains certain statements that may be considered forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and such statements are subject to the safe harbor created by those sections and the Private Securities Litigation Reform Act of 1995, as amended. Such statements may be identified by their use of terms or phrases such as “expects,” “estimates,” “projects,” “believes,” “anticipates,” “plans,” “could,” “continue,” “would,” “may,” “will,” "intends," “outlook,” “focus,” “seek,” “potential,” “mission,” “continue,” “goal,” “target,” “objective,” derivations thereof, and similar terms and phrases. Forward-looking statements are based upon the current beliefs and expectations of our management and are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified, which could cause future events and actual results to differ materially from those set forth in, contemplated by, or underlying the forward-looking statements. In this press release, statements relating to equipment age, net capital equipment expenditures and related priorities, benefits, and returns, capital allocation alternatives, expectations for the general freight market, including rates and capacity, our ability to achieve our desired business mix, the driver market, future margin and return on capital, progress toward our strategic goals and the expected impact of achieving such goals, and the statements under “Outlook” are forward-looking statements. The following factors, among others could cause actual results to differ materially from those in the forward-looking statements: Our business is subject to economic, credit, business, and regulatory factors affecting the truckload industry that are largely beyond our control; We may not be successful in achieving our strategic plan; We operate in a highly competitive and fragmented industry; We may not grow substantially in the future and we may not be successful in improving our profitability; We may not make acquisitions in the future, or if we do, we may not be successful in our acquisition strategy; Global conflicts could adversely impact our business and financial results; Increases in driver compensation or difficulties attracting and retaining qualified drivers could have a materially adverse effect on our profitability and the ability to maintain or grow our fleet; Our engagement of independent contractors to provide a portion of our capacity exposes us to different risks than we face with our tractors driven by company drivers; We derive a significant portion of our revenues from our major customers; Fluctuations in the price or availability of fuel, the volume and terms of diesel fuel purchase commitments, surcharge collection, and hedging activities may increase our costs of operation; We depend on third-party providers, particularly in our Managed Freight reportable segment; We depend on the proper functioning and availability of our management information and communication systems and other information technology assets (including the data contained therein) and a system failure or unavailability, including those caused by cybersecurity breaches internally or with third-parties, or an inability to effectively upgrade such systems and assets could cause a significant disruption to our business; If we are unable to retain our key employees, our business, financial condition, and results of operations could be harmed; Seasonality and the impact of weather and climate change and other catastrophic events affect our operations and profitability; We self-insure for a significant portion of our claims and have exposure outside of our insurance coverage, which could significantly increase the volatility of, and decrease the amount of, our earnings; Our self-insurance for auto liability claims and our use of a captive insurance company could adversely impact our operations; We have experienced, and may experience additional, erosion of available limits in our aggregate insurance policies; We may experience additional expense to reinstate insurance policies due to liability claims; We operate in a highly regulated industry; If our independent contractor drivers are deemed by regulators or judicial process to be employees, our business, financial condition, and results of operations could be adversely affected; Developments in labor and employment law and any unionizing efforts by employees or employees of related businesses could have a materially adverse effect on our results of operations; The Compliance Safety Accountability program adopted by the Federal Motor Carrier Safety Administration could adversely affect our profitability and operations, our ability to maintain or grow our fleet, and our customer relationships; Receipt of an unfavorable Department of Transportation safety rating at any of our motor carriers could have a materially adverse effect on our operations and profitability; Compliance with and changes to various environmental laws and regulations; Regulatory changes related to climate change could increase our costs significantly; Changes to trade regulation, export controls, duties, or tariffs; Litigation may adversely affect our business, financial condition, and results of operations; Conflicting views on environmental and societal matters may have a negative impact on our business, impose additional costs on us, and expose us to additional risks; A large-scale outbreak of avian flu or related illness among the nation’s poultry flock may adversely affect the revenues of our Dedicated segment; Our ABL credit facility and other financing arrangements contain certain covenants, restrictions, and requirements, and we may be unable to comply with such covenants, restrictions, and requirements; In the future, we may need to obtain additional financing that may not be available or, if it is available, may result in a reduction in the percentage ownership of our stockholders; Our indebtedness and finance and operating lease obligations could adversely affect our ability to respond to changes in our industry or business; Our profitability may be materially adversely impacted if our capital investments do not match customer demand or if there is a decline in the availability of funding sources for these investments; Increased prices for new revenue equipment, design changes of new engines, future uses of autonomous tractors, volatility in the used equipment market, decreased availability of new revenue equipment, and the failure of manufacturers to meet their sale or trade-back obligations to us could have a materially adverse effect on our business, financial condition, results of operations, and profitability; Our
For further information contact:
M. Paul Bunn, President
PBunn@covenantlogistics.com
Tripp Grant, Chief Financial Officer
TGrant@covenantlogistics.com
For copies of Company information contact:
Brooke McKenzie, Executive Administrative Assistant
BMcKenzie@covenantlogistics.com
| Covenant Logistics Group, Inc. Key Financial and Operating Statistics | ||||||||||||
| Income Statement Data | ||||||||||||
| Three Months Ended March 31, | ||||||||||||
| ($s in 000s, except per share data) | 2026 | 2025 | % Change | |||||||||
| Revenues | ||||||||||||
| Freight revenue | $ | 281,925 | $ | 243,219 | 15.9 | % | ||||||
| Fuel surcharge revenue | 25,236 | 26,136 | (3.4 | %) | ||||||||
| Total revenue | $ | 307,161 | $ | 269,355 | 14.0 | % | ||||||
| Operating expenses: | ||||||||||||
| Salaries, wages, and related expenses | 109,268 | 104,952 | ||||||||||
| Fuel expense | 28,297 | 28,168 | ||||||||||
| Operations and maintenance | 17,914 | 15,750 | ||||||||||
| Revenue equipment rentals and purchased transportation | 89,218 | 56,805 | ||||||||||
| Operating taxes and licenses | 2,989 | 3,586 | ||||||||||
| Insurance and claims | 12,646 | 15,283 | ||||||||||
| Communications and utilities | 2,034 | 1,468 | ||||||||||
| General supplies and expenses | 14,199 | 13,595 | ||||||||||
| Depreciation and amortization | 23,976 | 21,795 | ||||||||||
| Loss on disposition of property and equipment, net | 338 | 326 | ||||||||||
| Total operating expenses | 300,879 | 261,728 | ||||||||||
| Operating income | 6,282 | 7,627 | ||||||||||
| Interest expense, net | 3,886 | 2,857 | ||||||||||
| Income from equity method investment | (3,687 | ) | (3,776 | ) | ||||||||
| Income from continuing operations before income taxes | 6,083 | 8,546 | ||||||||||
| Income tax expense | 1,663 | 1,983 | ||||||||||
| Net income | $ | 4,420 | $ | 6,563 | ||||||||
| Basic earnings per share | ||||||||||||
| Income from continuing operations | $ | 0.18 | $ | 0.25 | ||||||||
| Diluted earnings per share | ||||||||||||
| Income from continuing operations | $ | 0.17 | $ | 0.24 | ||||||||
| Basic weighted average shares outstanding (000s) | 25,082 | 26,538 | ||||||||||
| Diluted weighted average shares outstanding (000s) | 26,434 | 27,877 | ||||||||||
| Segment Freight Revenues | ||||||||||||
| Three Months Ended March 31, | ||||||||||||
| ($s in 000's) | 2026 | 2025 | % Change | |||||||||
| Expedited - Truckload | $ | 71,949 | $ | 80,249 | (10.3 | %) | ||||||
| Dedicated - Truckload | 91,064 | 82,080 | 10.9 | % | ||||||||
| Combined Truckload | 163,013 | 162,329 | 0.4 | % | ||||||||
| Managed Freight | 90,731 | 56,850 | 59.6 | % | ||||||||
| Warehousing | 27,552 | 24,040 | 14.6 | % | ||||||||
| Other | 629 | - | 100.0 | % | ||||||||
| Consolidated Freight Revenue | $ | 281,925 | $ | 243,219 | 15.9 | % | ||||||
| Truckload Operating Statistics | ||||||||||||
| Three Months Ended March 31, | ||||||||||||
| 2026 | 2025 | % Change | ||||||||||
| Average freight revenue per loaded mile | $ | 3.34 | $ | 2.98 | 12.1 | % | ||||||
| Average freight revenue per total mile | $ | 2.76 | $ | 2.53 | 9.1 | % | ||||||
| Average freight revenue per tractor per week | $ | 5,576 | $ | 5,416 | 3.0 | % | ||||||
| Average miles per tractor per period | 25,961 | 27,521 | (5.7 | %) | ||||||||
| Weighted avg. tractors for period | 2,274 | 2,331 | (2.4 | %) | ||||||||
| Tractors at end of period | 2,234 | 2,393 | (6.6 | %) | ||||||||
| Trailers at end of period | 7,265 | 6,516 | 11.5 | % | ||||||||
| Selected Balance Sheet Data | ||||||||
| ($s in '000's, except per share data) | 3/31/2026 | 12/31/2025 | ||||||
| Total assets | $ | 1,016,828 | $ | 1,047,548 | ||||
| Total stockholders' equity | $ | 407,604 | $ | 403,997 | ||||
| Total indebtedness, comprised of total debt and finance leases, net of cash | $ | 245,256 | $ | 296,297 | ||||
| Net Indebtedness to Capitalization Ratio | 37.6 | % | 42.3 | % | ||||
| Leverage Ratio(1) | 2.37 | 2.89 | ||||||
| Tangible book value per end-of-quarter basic share | $ | 8.95 | $ | 8.69 | ||||
| (1) | Leverage Ratio is calculated as total indebtedness, comprised of total debt and finance leases, net of cash, divided by the trailing twelve months sum of operating income, depreciation and amortization, and gain on disposition of property and equipment, net. | |
| Covenant Logistics Group, Inc. Non-GAAP Reconciliation (Unaudited) Adjusted Operating Income and Adjusted Operating Ratio(1) | ||||||||||||
| (Dollars in thousands) | Three Months Ended March 31, | |||||||||||
| GAAP Presentation | 2026 | 2025 | bps Change | |||||||||
| Total revenue | $ | 307,161 | $ | 269,355 | ||||||||
| Total operating expenses | 300,879 | 261,728 | ||||||||||
| Operating income | $ | 6,282 | $ | 7,627 | ||||||||
| Operating ratio | 98.0 | % | 97.2 | % | 80 | |||||||
| Non-GAAP Presentation | 2026 | 2025 | bps Change | |||||||||
| Total revenue | $ | 307,161 | $ | 269,355 | ||||||||
| Fuel surcharge revenue | (25,236 | ) | (26,136 | ) | ||||||||
| Freight revenue (total revenue, excluding fuel surcharge) | 281,925 | 243,219 | ||||||||||
| Total operating income | 6,282 | 7,627 | ||||||||||
| Adjusted for: | ||||||||||||
| Amortization of intangibles(2) | 3,000 | 2,371 | ||||||||||
| Contingent consideration liability adjustment | 328 | 710 | ||||||||||
| Transaction costs | - | 149 | ||||||||||
| Adjusted operating income | $ | 9,610 | $ | 10,857 | ||||||||
| Adjusted operating ratio | 96.6 | % | 95.5 | % | 110 | |||||||
| (1) | Pursuant to the requirements of Regulation G, this table reconciles consolidated GAAP operating income and operating ratio to consolidated non-GAAP adjusted operating income and adjusted operating ratio. | |
| (2) | "Amortization of intangibles" reflects the non-cash amortization expense relating to intangible assets. | |
| Non-GAAP Reconciliation (Unaudited) Adjusted Net Income and Adjusted EPS(1) | ||||||||
| (Dollars in thousands) | Three Months Ended March 31, | |||||||
| 2026 | 2025 | |||||||
| GAAP Presentation - Net income | $ | 4,420 | $ | 6,563 | ||||
| Adjusted for: | ||||||||
| Amortization of intangibles(2) | 3,000 | 2,371 | ||||||
| Contingent consideration liability adjustment | 328 | 710 | ||||||
| Transaction costs | - | 149 | ||||||
| Total adjustments before taxes | 3,328 | 3,230 | ||||||
| Provision for income tax expense at effective rate | (833 | ) | (798 | ) | ||||
| Tax effected adjustments | $ | 2,495 | $ | 2,432 | ||||
| Non-GAAP Presentation - Adjusted net income | $ | 6,915 | $ | 8,995 | ||||
| GAAP Presentation - Diluted earnings per share ("EPS") | $ | 0.17 | $ | 0.24 | ||||
| Adjusted for: | ||||||||
| Amortization of intangibles(2) | 0.11 | 0.09 | ||||||
| Contingent consideration liability adjustment | 0.01 | 0.03 | ||||||
| Transaction costs | - | 0.01 | ||||||
| Total adjustments before taxes | 0.12 | 0.12 | ||||||
| Provision for income tax expense at effective rate | (0.03 | ) | (0.04 | ) | ||||
| Tax effected adjustments | $ | 0.09 | $ | 0.08 | ||||
| Non-GAAP Presentation - Adjusted EPS(3) | $ | 0.26 | $ | 0.32 | ||||
| (1) | Pursuant to the requirements of Regulation G, this table reconciles consolidated GAAP net income to consolidated non-GAAP adjusted net income and consolidated GAAP diluted earnings per share to non-GAAP consolidated Adjusted EPS. | |
| (2) | "Amortization of intangibles" reflects the non-cash amortization expense relating to intangible assets. | |
| (3) | Total may not sum due to rounding. | |
| Covenant Logistics Group, Inc | ||||||||||||||||||||||||||||||||||||||||
| Non-GAAP Reconciliation (Unaudited) | ||||||||||||||||||||||||||||||||||||||||
| Adjusted Operating Income and Adjusted Operating Ratio(1) | ||||||||||||||||||||||||||||||||||||||||
| (Dollars in thousands) | Three Months Ended March 31, | |||||||||||||||||||||||||||||||||||||||
| GAAP Presentation | 2026 | 2025 | ||||||||||||||||||||||||||||||||||||||
| Expedited | Dedicated | Combined Truckload | Managed Freight | Warehousing | Expedited | Dedicated | Combined Truckload | Managed Freight | Warehousing | |||||||||||||||||||||||||||||||
| Total revenue | $ | 84,671 | $ | 103,423 | $ | 188,094 | $ | 90,731 | $ | 27,707 | $ | 94,693 | $ | 93,609 | $ | 188,302 | $ | 56,850 | $ | 24,203 | ||||||||||||||||||||
| Total segment operating expenses(2) | 81,850 | 97,836 | 179,686 | 87,028 | 25,929 | 89,103 | 91,460 | 180,563 | 53,310 | 22,360 | ||||||||||||||||||||||||||||||
| Segment operating income(2) | $ | 2,821 | $ | 5,587 | $ | 8,408 | $ | 3,703 | $ | 1,778 | $ | 5,590 | $ | 2,149 | $ | 7,739 | $ | 3,540 | $ | 1,843 | ||||||||||||||||||||
| Segment operating ratio(2) | 96.7 | % | 94.6 | % | 95.5 | % | 95.9 | % | 93.6 | % | 94.1 | % | 97.7 | % | 95.9 | % | 93.8 | % | 92.4 | % | ||||||||||||||||||||
| Non-GAAP Presentation | ||||||||||||||||||||||||||||||||||||||||
| Total revenue | $ | 84,671 | $ | 103,423 | $ | 188,094 | $ | 90,731 | $ | 27,707 | $ | 94,693 | $ | 93,609 | $ | 188,302 | $ | 56,850 | $ | 24,203 | ||||||||||||||||||||
| Fuel surcharge revenue | (12,722 | ) | (12,359 | ) | (25,081 | ) | - | (155 | ) | (14,444 | ) | (11,529 | ) | (25,973 | ) | - | (163 | ) | ||||||||||||||||||||||
| Freight revenue (total revenue, excluding fuel surcharge) | 71,949 | 91,064 | 163,013 | 90,731 | 27,552 | 80,249 | 82,080 | 162,329 | 56,850 | 24,040 | ||||||||||||||||||||||||||||||
| Total segment operating income(2) | $ | 2,821 | $ | 5,587 | 8,408 | $ | 3,703 | $ | 1,778 | $ | 5,590 | $ | 2,149 | 7,739 | $ | 3,540 | $ | 1,843 | ||||||||||||||||||||||
| Adjusted for: | ||||||||||||||||||||||||||||||||||||||||
| Other(3) | (2,138 | ) | (1,459 | ) | (3,597 | ) | (116 | ) | (566 | ) | (935 | ) | (594 | ) | (1,529 | ) | (191 | ) | (545 | ) | ||||||||||||||||||||
| Adjusted segment operating income | 683 | 4,128 | 4,811 | 3,587 | 1,212 | 4,655 | 1,555 | 6,210 | 3,349 | 1,298 | ||||||||||||||||||||||||||||||
| Adjusted segment operating ratio | 99.1 | % | 95.5 | % | 97.0 | % | 96.0 | % | 95.6 | % | 94.2 | % | 98.1 | % | 96.2 | % | 94.1 | % | 94.6 | % | ||||||||||||||||||||
| (1) | Pursuant to the requirements of Regulation G, this table reconciles consolidated GAAP segment operating income and segment operating ratio to consolidated non-GAAP adjusted segment operating income and adjusted segment operating ratio. | |
| (2) | Segment operating expenses, segment operating income, and segment operating ratio exclude indirect costs not directly attributable to any one reportable segment, amortization of intangible assets, impairment of goodwill, and contingent consideration liability adjustments to match the information our Chief Operating Decision Maker uses to evaluate the operating results of our reportable segments. The prior year periods have been conformed to this presentation. | |
| (3) | Represents indirect costs not directly attributable to any one reportable segment. | |
