Forward Air Corporation (FWRD)

Forward Air said on 28 October 2026 that it signed a definitive agreement with one of its largest customers, which keeps using the company for a significant portion of its services for a two-year term 112. The agreement also provides for an orderly transition of other services between November 2026 and March 2027 1.

The company said the transition is not expected to materially impact its revenue in 2026 1. It expects annual revenue in each contract year of 2026, 2027 and 2028 to exceed the customer's total revenue contribution in 2025 1. TokenPost carried the news the same day 11.

This customer represented approximately $250 million of 2025 revenue, the company said in May 8. In July it signed a non-binding memorandum of understanding to keep at least half of that revenue, with the potential to keep about 25 percent more 2.

In the second quarter the company booked a non-cash goodwill impairment charge of $244 million on its Omni Logistics segment, which produced an operating loss of $201 million on revenue of $673 million 3. Goodwill is the amount paid for a business above the value of its assets, and the company wrote part of Omni's down once the customer talks advanced 4.

The newest quarterly report on file covers the quarter ended 30 June 2026 4. The board has also authorized exploring sales of non-core assets, including the Intermodal segment, and the outcome is still open 4.

Forward was founded in 1981 in Greeneville, Tennessee 5. In 2025 it changed its state of incorporation from Tennessee to Delaware and moved its headquarters from Greeneville to Dallas, Texas 5.

Revenue fell 18.4 percent to $1.37 billion in 2023 from $1.68 billion in 2022 7. The company said lower Expedited Freight revenue of $163 million, from weaker network and truckload business, and a $146 million drop at Intermodal drove the fall 7.

Management changed along the way 5. Shawn Stewart's employment agreement is dated April 28, 2024, and Jerome Lorrain's offer letter is dated July 11, 2025 5.

In December 2023 the company sold its Final Mile business, a delivery line that it reports as a discontinued operation 6.

On January 25, 2024 it completed the acquisition of Omni Newco LLC, which let it expand its operations domestically and internationally 5. Revenue rose 80.5 percent to $2.47 billion in 2024 from $1.37 billion, mostly because it now counted $1.20 billion from the Omni Logistics segment 6.

Operating expenses included a goodwill impairment charge of $1.03 billion, a write-down of what the company paid for acquired businesses above their assets 6. Net interest expense rose to $189 million from $32 million on higher debt 6.

The company said the Omni deal let it offer air and ocean forwarding or contract logistics to customers that had bought its ground and intermodal services before 5. Its aim was a fuller set of services for the same customers 5.

In January 2025 the board began a review of strategic alternatives and retained Goldman Sachs & Co. as financial advisor 4. Later the company said no actionable proposals for a sale of the company were received 4.

The Omni deal also left a lasting claim on the company 4. The former Omni owners kept units in Opco, the operating subsidiary, that they can exchange for common shares 4.

Revenue edged up 0.8 percent to $2.50 billion in 2025 5. Omni had extra days in the year, while Expedited Freight revenue fell $103 million on lower network volume 5. Net loss attributable to Forward Air was $108 million 5.

In the first quarter of 2026 revenue slipped to $582 million from $613 million a year earlier, while operating income rose to $20 million 8. Second-quarter revenue rose to $673 million from $619 million, the highest quarterly operating revenue in the company's history, the company said 3.

How the business is split

Forward Air describes itself as an asset-light provider of transportation services: it uses other people's trucks and space instead of owning much equipment 5. It runs three segments: Expedited Freight, Omni Logistics and Intermodal 5. In 2025 they were about 40 percent, 50 percent and 10 percent of revenue 5.

By product, the company estimated that ground transportation, air and ocean forwarding, intermodal drayage and contract logistics were about 63, 13, 9 and 15 percent of 2025 revenue 5.

Expedited Freight

Expedited Freight is a less-than-truckload network, meaning it combines small shipments from many customers on shared trucks, with next-day to multi-day delivery 5. It markets mainly to freight forwarders and airlines 5.

The network reaches about 96 percent of continental United States zip codes, with service in Canada and Mexico 5. Average weekly volume was 46.4 million pounds in 2025, down from 54.3 million in 2024, and the average shipment weighed about 842 pounds 5.

In the second quarter the segment's revenue rose 23.8 percent to $319 million, with truckload revenue up 62.4 percent to $69 million 3. Operating income was $34.9 million against $19.5 million a year earlier 3.

Omni Logistics

Omni delivers domestic and international freight forwarding, fulfillment, customs brokerage and distribution for time-sensitive freight, and offers contract logistics such as warehousing 5. Its customers span technology, retail, media, life sciences and e-commerce 5.

Its 2025 revenue grew 12.9 percent to $1.35 billion, partly from more days under ownership and partly from higher demand for contract logistics 5. In the second quarter revenue was $339 million and the segment lost $230 million after the impairment 3.

The one large customer behind the current talks is a contract logistics customer and not a customer of the LTL or Intermodal businesses 48. The company completed two small sales within Omni, the first in the second quarter of 2026 and the second in July 2026 4.

Intermodal

Intermodal provides first- and last-mile container drayage, short truck moves to and from seaports and railheads, plus dedicated contract and container freight station warehouse and handling services 5. Its main office is in Oak Brook, Illinois, and it has 26 locations, mostly in the Midwest and Southeast 5.

Second-quarter revenue was $59.7 million, up 1.0 percent, and operating income was $6.1 million against $4.4 million 3. In the first quarter the company said fewer port movements and softness at key customers had weighed on the segment 8.

Plants, people and workforce

As of December 31, 2025 the company owned 6 of its 246 properties and leased 240 5. Its principal facilities include a 386,000 square foot Expedited Freight site in Columbus, Ohio, and Omni sites in Hong Kong, Taipei and Singapore 5.

It had 6,062 full-time employees at the end of 2025, including 1,994 freight handlers 5. Shawn Stewart is President and Chief Executive Officer 12, and Jamie Pierson is Chief Financial Officer 3.

Jerome Lorrain resigned as Executive Chairman on 10 July 2026 and stays on the board as a director without an executive role 10. The company forfeited his performance-based awards, including a special award tied to the strategic review 10.

Rivals and problems

The company says its markets are highly competitive and very fragmented, with few barriers to entry 5. Rivals include asset-light logistics firms, asset-based carriers, integrated logistics companies and freight brokers, and to a lesser extent air cargo carriers and airlines 5.

In 2025 the top ten customers made up 26 percent of revenue, with one just under 10 percent 5. Debt at the end of June was a $1,045 million term loan and $725 million of senior secured notes due 2031 4.

Liquidity was $401 million at the end of the second quarter, made up of $139 million in cash and $261 million available under the credit facility 3. Net interest expense for the quarter was $43.7 million 3.

The umbrella, in words

The company trades as Forward Air, and operates its multimodal air, ocean and ground services through Omni Logistics 1. The subsidiaries exhibit to the annual report lists many companies 9. Among them are Forward Air, Omni Logistics, Towne Air Freight, Central States Logistics and Trinity Logistics USA 9.

The same exhibit shows Mach 1 Global Services in Hong Kong at 60 percent 9. It shows T L World in Sri Lanka at 40 percent 9. It shows A&G World in the Philippines at 39.99 percent 9.

The former owners of Omni, called the Omni Holders, held 6,568 units of Opco, the operating subsidiary, at 30 June 2026 4. Those units are exchangeable into common shares and equal 16.4 percent of the shares outstanding 4. Under a tax receivable agreement the company is generally obligated to pay certain Omni Holders 83.5 percent of the tax benefit it realizes from certain basis increases 5.

The company says the new two-year agreement runs through the 2026 to 2028 contract period, and it expects revenue from the customer in each of those contract years to exceed the customer's 2025 contribution 1. It lists, among risks, the chance of failing to renegotiate the agreement within two years 1.

The transition of services to other providers is expected between November 2026 and March 2027 1. Earlier, in July, the company had expected the majority of it in December 2026 and through the rest of 2027 2.

The company said revenue from the retained services has continued to grow throughout 2026 and is expected to continue growing in 2027 1.

Chief executive Shawn Stewart said the agreement should bring greater visibility and predictability to the business, its profitability and its cash flow 1.

In May the company said it had decided to pursue a sale of non-core assets, including its Intermodal segment and two of its smaller legacy Omni businesses 8. It said these sales are expected to help reduce debt and sharpen its focus on air, ocean, ground and contract logistics 8.

The quarterly report says the board remains open to all opportunities to enhance shareholder value 4. It adds that no further sale is assured and that developments will not be disclosed until the company finds it appropriate 4.

The company expects a gain of approximately $8 million to $10 million on the Omni unit it sold in July 2026, after net proceeds of about $16.5 million 4.

The company moved its annual goodwill impairment test date from 30 June to 1 October, to line it up with its annual budgeting process 4.

Among its stated strategies, the annual report says the company plans to invest in new locations such as its expansion in Latin America 5. The same report lists better information systems among its stated strategies 5.