10-Q · April 29, 2026
Knight-Swift reported Q1 2026 revenue of $1.85 billion, a slight increase of 1.4% year-over-year, but fell short of analyst expectations, resulting in an adjusted EPS of $0.09 against a consensus estimate of $0.22. The…
Earnings analysis · 10-Q
KNX earnings analysis
Filed July 29, 2026 · Our reading of the company's report
The latest report
Knight-Swift’s Q2 recovery was led by Truckload pricing and utilization, with revenue rising 12.6% year over year to $2.096 billion and GAAP EPS rising to $0.26 from $0.21. Operating margin expanded to 5.0% from 3.9%,…
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Knight-Swift’s Q2 recovery was led by Truckload pricing and utilization, with revenue rising 12.6% year over year to $2.096 billion and GAAP EPS rising to $0.26 from $0.21. Operating margin expanded to 5.0% from 3.9%, while Intermodal turned profitable, though Logistics margins compressed and All Other recorded a loss from severance and receivables-securitization costs. Management describes a more constructive freight backdrop and expects further Q3 Truckload margin improvement, but first-half GAAP net income declined 35.5% to $41.9 million due to claims and acquisition-related charges.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.26
- Operating margin
- 5.0%
What stood out
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Revenue and earnings accelerated
Q2 revenue rose $233.8 million, or 12.6%, year over year to $2.096 billion. GAAP diluted EPS increased to $0.26 from $0.21, while adjusted EPS increased to $0.63 from $0.35.
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Operating leverage improved materially
Consolidated operating income increased $32.2 million to $104.9 million, lifting operating margin to 5.0% from 3.9% and improving the operating ratio by 110 bps to 95.0%. Adjusted operating ratio improved 240 bps to 91.4%.
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Truckload pricing drove profit recovery
Truckload operating income nearly doubled to $89.1 million from $45.4 million. Revenue per loaded mile excluding fuel surcharge increased 5.5%, and the adjusted operating ratio improved 360 bps to 91.0%.
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Intermodal returned to profitability
Intermodal revenue increased 34.9% to $113.4 million, supported by a 19.6% load-count increase and 12.8% higher revenue per load; the segment turned profitable with $0.7 million of operating income versus a $3.4 million loss.
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Cash generation strengthened
Year-to-date operating cash flow rose $124.4 million to $450.4 million and free cash flow was $190.4 million after $380.7 million of property-and-equipment purchases. Capex represented 18.0% of year-to-date revenue.
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Liquidity remains ample
Liquidity totaled $1.672 billion, including $186.1 million of unrestricted cash and $1.485 billion of revolver availability. Management states it does not foresee material liquidity constraints or debt-covenant issues.
What to watch
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Convertible-note liquidity and dilution risk
The new 2031 Notes-related risk disclosures highlight refinancing, conversion, and repurchase exposure. The company had $1.47 billion carrying value of 1.00% convertible notes due 2031 and $2.4 billion of debt and finance-lease obligations at June 30, 2026.
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Logistics margin compression
Logistics profitability weakened despite revenue growth: brokerage gross margin fell 350 bps year over year to 15.4%, and segment operating income declined 31.0% to $3.8 million as higher carrier costs pressured purchased transportation.
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Cost inflation and claims volatility
Claims, fuel, and tax-related costs remain elevated. Insurance and claims expense increased $14.9 million year over year to $100.2 million, Q2 diesel averaged $5.33 per gallon versus $3.56, and the effective tax rate rose to 34.1% from 29.2%.
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One-time charges reduced GAAP conversion
Non-core and acquisition-related charges weighed on GAAP earnings: Q2 included an $18.2 million severance charge, a $22.8 million U.S. Xpress purchase-price-obligation mark-to-market expense, and an $8.2 million increase in a pre-acquisition U.S. Xpress tax assessment estimate.
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LTL claims charge hurt first-half earnings
LTL year-to-date operating income fell 41.7% to $18.1 million, principally reflecting $18.0 million of adverse claims development tied primarily to an arbitration ruling on a 2022 claim. Its year-to-date adjusted operating ratio deteriorated 210 bps to 95.7%.
Management's outlook
The 10-Q does not restate numeric EPS or consolidated revenue guidance. Q3 outlook calls for Truckload revenue excluding fuel surcharge up mid-single digits year over year and adjusted operating ratio improving 650-750 bps; LTL revenue excluding fuel surcharge up low-single digits and an adjusted operating ratio in the low 90s. Full-year 2026 net cash capex remains expected at $600 million-$650 million; Q3 adjusted tax rate is expected at 25.5%-26.5%.
Earlier filings 4
10-K · February 19, 2026
Knight‑Swift positions itself as a diversified, scale‑driven North American freight platform (Truckload, LTL, Logistics, Intermodal) focused on margin leadership through organic growth, technology and M&A. In 2025 the…
10-Q · October 29, 2025
Knight‑Swift reported Q3 revenue of $1,927,057,000, up $50,381,000 (≈2.7%) versus Q3 2024, but operating income compressed to $50,326,000 (2.61% margin) from $81,420,000 (4.34% margin) a year ago. Diluted EPS fell to…
10-Q · October 30, 2024
Knight‑Swift reported Q3 revenue of $1,876,676,000 and diluted EPS of $0.19. Operating income was essentially flat at $81,420,000 but net income and EPS declined materially versus the prior-year quarter, while the…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.