Knight Earnings: Truckload Backdrop Remains Soft, Though LTL Share Gains a Bright Spot

Diversified trucking and logistics specialist Knight-Swift’s fourth-quarter revenue-before-fuel increased 11% year over year, primarily due to the U.S. Xpress acquisition in July and higher less-than-truckload, or LTL, revenue. U.S. Xpress and LTL share gains aside, the operating backdrop for the for-hire trucking, intermodal, and brokerage operations remains challenged on lackluster retailer restocking and the swing to excess truckload-market capacity, which has driven a material correction in TL spot and contract pricing over the past year. On the positive side, pricing conditions have at least stabilized.