Forward Air Corporation · NASDAQ:FWRD
Forward Air — Q1 2025 Earnings Presentation
34 slides from Forward Air's earnings presentation, May 7, 2025
Slide 1: Forward Air Corporation Earnings Presentation 1Q25
Forward Air Corporation Earnings Presentation 1Q25 May 7, 2025
Slide 2: Statements & Disclaimers
E a r n i n g s P r e s e n t a t i o n Statements & Disclaimers Forward Looking Statements This presentation contains “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identif
Slide 3: Agenda
01 Combined Overview 02 1Q25 Results 03 Liquidity, Leverage and Cash Flow 04 Investment Rationale 05 Closing Summary 06 Appendix E a r n i n g s P r e s e n t a t i o n Agenda 3
Slide 4: Combined Overview
E a r n i n g s P r e s e n t a t i o n Combined Overview 4
Slide 5: Who We Are: A Story of Transformation and Excellence
C o m b i n e d O v e r v i e w Who We Are: A Story of Transformation and Excellence Our Heritage Forward Air's revolutionary expedited ground freight network, established in 1981, and Omni’s innovative logistics solutions, founded in 2000, represent decades of excellence in logistics innovation. Ou
Slide 6: By the Numbers
C o m b i n e d O v e r v i e w By the Numbers $2.5B FY 2024 Revenue $308M FY 2024 CEBITDA1 6K+ Total Employees 2K Freight Handlers2 4M+ Total Shipments3 0.1% Claims Ratio4 250+ Global Facilities 21 Countries 6 1. Consolidated EBITDA (“CEBITDA”). Reconciliation of Non-GAAP financial measures availab
Slide 7: Service offerings by product group
Ground Transportation Air & Ocean Forwarding Intermodal Drayage Warehousing/Value-Added Service • Expedited Less Than Truckload (LTL) Services • Full Truckload (FTL) Shipping • Brokerage Services • Pickup and Delivery • Cross border trucking services • Container Freight Station • Flatbed transportat
Slide 8: Differentiated and diversified solutions
C o m b i n e d O v e r v i e w Differentiated and diversified solutions 8 Reporting Segments Expedited Freight Omni Logistics Intermodal Combined Ke y Pr od uc t G ro up s Ground Transportation C us to m s Intermodal Drayage Air / Ocean Forwarding Warehousing / VAS Countries1 3 21 1 21 Global prese
Slide 9: Scalable global footprint
C o m b i n e d O v e r v i e w Scalable global footprint 1. Approximated split based on consolidated FY24 revenues by country from shipments directly transported under our control. 9 ~88% ~4% ~7% <1% United States Americas (ex U.S.) APAC EMEA • ~12% or revenue generated outside of the United States
Slide 10: 1Q25 Results
E a r n i n g s P r e s e n t a t i o n 1Q25 Results 10
Slide 11: 1Q25 Highlights
1 Q 2 5 R e s u l t s 1Q25 Highlights 1Q25 $613 Revenue $5 Operating Income $69 Consolidated EBITDA1 11.2% Margin $393 Liquidity2 5.3x LTM Net Leverage2 11 1. Reconciliation of Non-GAAP financial measures available in the Appendix. 2. Calculated pursuant to Senior Secured Loan Credit Agreement. Deta
Slide 12: Consolidated Results by Quarter
$63 $89 $86 $69 $69 10.2% 13.8% 13.1% 10.9% 11.2% 1Q24 2Q24 3Q24 4Q24 1Q25 $624 $644 $656 $633 $613 1Q24 2Q24 3Q24 4Q24 1Q25 1 Q 2 5 R e s u l t s Consolidated Results by Quarter 1. Pro-forma adjusted to reflect the Omni acquisition calculated in accordance with Article 11 of Regulation S-X. As a re
Slide 13: Expedited Freight Segment Results by Quarter
1 Q 2 5 R e s u l t s | E x p e d i t e d F r e i g h t Expedited Freight Segment Results by Quarter 1. Segment totals do not include intercompany eliminations or corporate unallocated expenses. 2. Reconciliation of Non-GAAP financial measures available in the Appendix. Excludes impairment of goodwi
Slide 14: Expedited Freight Segment: Sequential pricing and margin improvement
1 Q 2 5 R e s u l t s | E x p e d i t e d F r e i g h t Expedited Freight Segment: Sequential pricing and margin improvement 14 Revenue per CWT, ex fuel1,2 & Reported EBITDA Margin3 Revenue per Shipment, ex fuel1,2 & Reported EBITDA Margin3 $24.15 $24.38 $24.09 $23.74 $24.76 10.9% 11.2% 10.4% 6.6% 1
Slide 15: Expedited Freight Segment: Continued superior service following acquisition
0.12% 0.18% 0.14% 0.14% 0.12% 0.13% 0.09% 0.11% 0.10% 0.12% 0.19% 0.13% 2020 2021 2022 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 1 Q 2 5 R e s u l t s | E x p e d i t e d F r e i g h t Expedited Freight Segment: Continued superior service following acquisition 15 Omni acquisition 0.13% FY24 Exped
Slide 16: Omni Logistics Segment Results by Quarter
1 Q 2 5 R e s u l t s | O m n i L o g i s t i c s Omni Logistics Segment Results by Quarter Reported EBITDA2 & Reported EBITDA Margin %2Segment Revenue1 16 1. Segment totals do not include intercompany eliminations or corporate unallocated expenses 2. Reconciliation of Non-GAAP financial measures av
Slide 17: Intermodal Segment Results by Quarter
1 Q 2 5 R e s u l t s | I n t e r m o d a l Intermodal Segment Results by Quarter 1. Segment totals do not include intercompany eliminations or corporate unallocated expenses 2. Reconciliation of Non-GAAP financial measures available in the Appendix. Reported EBITDA2 & Reported EBITDA Margin %2Segme
Slide 18: Liquidity, Leverage and Cash Flow
E a r n i n g s P r e s e n t a t i o n Liquidity, Leverage and Cash Flow 18
Slide 19: Normalizing cash flow generation
L i q u i d i t y , L e v e r a g e a n d C a s h F l o w Normalizing cash flow generation 1. Non-GAAP financial metrics. “Operating Cash Flow” and “Unlevered Free Cash Flow” represent the change in Unrestricted Cash less discrete items identified on this slide. 19 • Cash flow generation improving w
Slide 20: 1Q25 Cash Bridge
$105 $46 ($25) ($9) $116 L i q u i d i t y , L e v e r a g e a n d C a s h F l o w 1Q25 Cash Bridge 20 Change in Unrestricted Cash 1. Non-GAAP financial metric. “Operating Cash Flow” represents the change in Unrestricted Cash less discrete items identified on this slide. • Operating cash flow1 of $4
Slide 21: Liquidity and Leverage
$340 $340 $322 $277 $277 $136 $68 $122 $86 $101 $20 $20 $2 <$1 <$1 $16 $17 $15 $19 $15 1Q24 2Q24 3Q24 4Q24 1Q25 L i q u i d i t y , L e v e r a g e a n d C a s h F l o w Liquidity and Leverage Net Leverage1 Net Leverage Ratio1 Required Covenant Leverage Ratio1 Net Cash3 Revolving Credit Facility4 Re
Slide 22: No debt maturities over the next 5 years
L i q u i d i t y , L e v e r a g e a n d C a s h F l o w No debt maturities over the next 5 years 1. Credit Facility undrawn as of 3/31/2025 other than $23 million letters of credit issued through facility. 22 $300 $1,045 $725 2025 2026 2027 2028 2029 (Jan) 2030 (Dec) 2031 (Oct) Revolving Credit Fa
Slide 23: Investment Rationale
E a r n i n g s P r e s e n t a t i o n Investment Rationale 23
Slide 24: Laying the foundation for future profitable growth
I n v e s t m e n t R a t i o n a l e Laying the foundation for future profitable growth Strong brand, customer value proposition and loyalty Robust North American LTL network with international logistics capabilities Superior service with consistently low claims ratio of 0.1%1 Differentiated and di
Slide 25: Meaningful upside as we close margin gap with peers
3.4% 3.1% 4.4% 4.4% 7.3% 32.6% 21.4% 16.1% 14.8% 9.8% 8.7% 10.4% 6.3% 6.3% 5.6% 4.6% 0.9% 16.0% 13.6% 13.3% 11.8% 11.3% 8.9% 1Q24 2Q24 3Q24 4Q24 1Q25 Comp 1 Comp 2 Comp 3 Comp 4 Comp 5 Comp 1 Comp 2 Comp 3 Comp 4 Comp 5 Comp 1 Comp 2 Comp 3 Comp 4 Comp 5 I n v e s t m e n t R a t i o n a l e Meaning
Slide 26: Closing Summary
E a r n i n g s P r e s e n t a t i o n Closing Summary 01 Enhanced visibility on key product groups and geographic exposure 02 Sequential pricing and margin improvement in Expedited Freight 03 Steady and superior performance from Omni Logistics and Intermodal 04 Positive cash flow from operations a
Slide 27: Appendix
E a r n i n g s P r e s e n t a t i o n Appendix 27
Slide 28: Net Income to Consolidated EBITDA Reconciliation
A p p e n d i x Net Income to Consolidated EBITDA Reconciliation 28 1. Non-GAAP financial measure. 2. Totals may not foot due to rounding. In millions, except for LTM Net Leverage Consolidated EBITDA Reconciliation 2Q24 3Q24 4Q24 1Q25 LTM (3/31/2025) Net (loss) income from continuing operations ($96
Slide 29: Segment Performance – Expedited Freight
A p p e n d i x Segment Performance – Expedited Freight 29 1. Segment totals do not include intercompany eliminations or corporate unallocated expenses. 2. Totals may not foot due to rounding. In millions, except for margin Expedited Freight1,2 1Q24 2Q24 3Q24 4Q24 1Q25 LTM 1Q25 Operating revenue $27
Slide 30: Segment Performance – Omni Logistics
A p p e n d i x Segment Performance – Omni Logistics 30 1. Segment totals do not include intercompany eliminations or corporate unallocated expenses. 2. Totals may not foot due to rounding. 3. Reported EBITDA and Reported EBITDA Margin shown excluding impairment of goodwill. In millions, except for
Slide 31: Segment Performance – Intermodal
A p p e n d i x Segment Performance – Intermodal 31 1. Segment totals do not include intercompany eliminations or corporate unallocated expenses. 2. Totals may not foot due to rounding. In millions, except for margin Intermodal1,2 1Q24 2Q24 3Q24 4Q24 1Q25 LTM 1Q25 Operating revenue $56 $59 $57 $60 $
Slide 32: Consolidated LTM Financials by Quarter
A p p e n d i x Consolidated LTM Financials by Quarter 32 1. Totals may not foot due to rounding. 2. Reported EBITDA and Reported EBITDA Margin shown excluding impairment of goodwill. In millions, except for margin Consolidated1 LTM 1Q24 LTM 2Q24 LTM 3Q24 LTM 4Q24 LTM 1Q25 Operating revenue $1,555 $
Slide 33: Expedited Freight Segment Operating Metrics
A p p e n d i x Expedited Freight Segment Operating Metrics 33 13.2 13.3 13.4 12.9 13.6 13.0 12.2 11.5 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 Shipments per Day1 Weight per Shipment Revenue per Shipment, excluding fuel1,2 801 821 815 827 821 858 856 840 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 $193 $
Slide 34: IR Contact
Forward Air Corporation (NASDAQ: FWRD) IR Contact | Tony Carreño investorrelations@forwardair.com https://ir.forwardaircorp.com