Covenant Logistics Group reported a fourth-quarter net loss due to impairment charges and higher insurance costs, with adjusted earnings at $0.31 per share compared to $0.49 in Q4 2024. Total revenue increased 6.5% year-over-year to $295.37 million. The company provides truckload, expedited, dedicated, and logistics services across the U.S.

Chairman and CEO David Parker stated that the company’s adjusted results were in line with expectations, with operating positives and negatives offsetting each other. Covenant Logistics missed analysts’ revenue estimates for the quarter and earnings per share. Truckload revenue slightly decreased, while dedicated freight revenue rose 12.6%.

The company highlighted strong top-line growth in its Managed Freight segment, with revenue increasing nearly 29% following an acquisition. Covenant plans to exit unprofitable business, shrink its truckload fleet, focus on higher-return freight, and improve free cash flow and reduce leverage in 2026. $19.4 million of non-cash impairment charges and $11.6 million in claims costs were recorded in the fourth quarter.

Covenant Logistics Group will hold a conference call to discuss results with analysts at 10 a.m. on Friday.

Read more at Yahoo Finance: Covenant Logistics reports Q4 net loss