Forward Air posted a $201.3 million operating loss in Q2 and a sale of a business unit that may yield up to $10 million, according to a quarterly report Wednesday.
Two business unit sales, part of its Omni Logistics segment, closed in Q2 and July, the report noted. The combined sales price was approximately $27 million, CFO Jamie Pierson said on a Wednesday earnings call.
“In addition to these actions, the Board continues to be open to, and intends to consider, all opportunities to enhance shareholder value,” the company said, referencing its pursuit of merger and sale possibilities.
The transactions were part of optimizing its portfolio, leadership said on the earnings call. These non-core asset sales seek to streamline the organization, the company said.
The operating loss compared to operating income of $19.5 million YoY. “The change in operating loss was primarily due to the $244.0 million goodwill impairment charge associated with our Omni Logistics segment, partially offset by profit improvement due to increased revenues in our Expedited Freight segment,” the quarterly report said.
The goodwill impairment relates to a projected decrease in revenue from an unidentified key customer, “together with a sustained decrease in our stock price,” the company said. Forward Air executives stressed the change was due to the customer diversifying its operations and said it was unrelated to performance.
“During the second quarter of 2026, these discussions progressed, and we engaged in more advanced negotiations,” the quarterly report said. “We have provided the highest level of service excellence and exceeded all of our KPIs on a regular basis throughout the duration of our 25-year relationship with the Customer.”
At the same time, the company reported the best quarterly operating revenue in its history — $673 million, an 8.8% increase YoY, per the Q2 report. Revenue per hundredweight, excluding fuel, decreased by 2.3% YoY in its Expedited Freight segment, the report also noted.
Adjusted operating income was $42.7 million for Q2, up from $19.5 million YoY, according to a news release.
“This is our best quarter since the transaction,” Pierson said on the earnings call, referring to Forward Air’s acquisition of Omni Logistics in January 2024. “It is a testament to our discipline in the face of a messy merger and less than cooperative broader economic backdrop.”