Covenant Logistics Group, Inc. Class A (CVLG) Q2 2023 Earnings Call

Investor webinar replay

Replay transcript excerpt

Welcome to today's Covenant Logistics Group second quarter earnings release conference call. Our host for today's call is Tripp Grant. At this time, all participants will be in a listen-only mode. Later, we will conduct a question and answer session. I would now like to turn the call over to your host. Mr. Grant, you may begin. Thank you, Jen. Good morning, everyone, and welcome to the Covenant Logistics Group second quarter 2023 conference call. As a reminder, this call will contain forward-looking statements under the Private Securities Litigation Reform Act, which were subject to risks and uncertainties that could cause actual results to differ materially. Please review our SEC filings and most recent risk factors. We undertake no obligation to publicly update or revise any forward-looking statements. A copy of the prepared comments and additional financial information is available on our website at www.covenantlogistics.com slash investors. I'm joined on the call today by David Parker and Paul Bunn. We are pleased with our results for the quarter, which showed comparative resilience in the midst of a very soft freight environment. Consolidated freight revenue was down 9% compared to a very tough prior year comparable when the freight environment peaked. The decline related primarily to operating approximately 11% fewer weighted average tractors in our truckload operations and less overflow freight handled by our managed freight segment due to lower overall demand. Adjusted operating income fell approximately $12 million or 43% compared to the prior year quarter. primarily as a result of our expedited and managed freight segments, which declined by approximately $7.5 million and $6.5 million respectively, offset by an increase of approximately $2 million in our de...