ArcBest reports freight market ‘softness’ to begin the fourth quarter

BusinessFort SmithLatest News

by Michael Tilley ([email protected]) December 1, 2025 6:38 pm 317 views 

Billing and shipments at Fort Smith-based ArcBest posted small gains in November, but the shipping and logistics company said Monday (Dec. 1) that its operating ratio could decline by 4% in the fourth quarter compared with the third quarter.

In the Monday filing with the U.S. Securities and Exchange Commission, ArcBest said the company’s less-than-truckload subsidiary — ABF Freight — and its logistics operations face “continued softness in the broader freight market.”

“In November 2025, Asset-Based daily shipments and tonnage increased compared to the same period last year, while weight per shipment remained flat,” the company noted in the filing. “Revenue per hundredweight, both including and excluding fuel, declined by approximately 2%. The pricing environment continues to be rational.”

Following are some of the key metrics ArcBest provided in Monday’s filing.

ABF Freight

  • Billed revenue: down 1.9% in October; up 1% in November; down 1% in October-November
  • Tonnage per day: down 1.2% in October; up 3% in November; up 1% in October-November
  • Billed revenue per hundredweight: down 0.7% in October; down 2% in November; down 1% in October-November
  • Shipments per day: up 0.6% in October; up 3% in November; up 2% in October-November

Logistics

  • Revenue per day: down 10.3% in October; down 1% in November; down 6% in October-November
  • Revenue per shipment: down 7.8% in October; down 6% in November; down 7% in October-November

“In November 2025, Asset-Light daily revenue declined year-over-year, primarily reflecting lower revenue per shipment driven by soft freight market conditions and a higher mix of Managed business, which typically involves smaller shipment sizes,” the company reported.

ArcBest also said the logistics operations could have a non-GAAP operating loss between $1 million and $3 million in the fourth quarter.

RECENT QUARTER, Q4 ESTIMATE
ArcBest on Nov. 5 posted third-quarter net income of $39.274 million, down 60.8% compared with $100.314 million in the same quarter of 2024. However, the 2024 quarter included a one-time benefit of $91.9 million “earnout” reduction related to the 2021 acquisition of Chicago-based MoLo Solutions.

Adjusted per share earnings in the quarter reached $1.46, above the consensus estimate of $1.33. Revenue in the quarter was $1.048 billion, down 1.4% compared with $1.063 billion the same quarter of 2024, but better than the consensus estimate of $1.33 billion.

For the nine months of the year, ArcBest posted net income of $68.214 million, below $144.926 billion in the same period of 2024. Revenue in the nine months was $3.037 billion, below $3.177 billion in the same period of 2024.

As of Monday, the earnings-per-share consensus estimate of analysts who follow ArcBest is 41 cents, which would be below the $1.24 in the same quarter of 2024. The quarterly revenue estimate is $957.65 million, which would be below the $1.001 billion in the same quarter of 2024.

ArcBest shares (NASDAQ: ARCB) closed Monday at $65.63, up $1.46. During the past 52 weeks the share price has ranged between $55.19 $115.76.