Overview
- Shares of Forward Air fell more than 40% Friday after management said a top contract logistics customer may shift a significant portion of work to other providers starting in early 2027.
- The customer generated about $250 million of 2025 revenue, roughly a tenth of the business, though executives said the eventual loss should be smaller and no formal wind-down notice has been delivered.
- A months-long sale review yielded no actionable take-private offers, so the company will market two legacy Omni Logistics units within 60 to 90 days and target a sale of the Intermodal segment by year-end to reduce debt.
- First-quarter results showed $582 million in revenue, a net loss, operating income of about $20 million, and total liquidity of roughly $402 million, which management said supports its turnaround plan.
- Leaders framed the customer’s move as supplier diversification by that client, a common tactic to spread risk that could strain Forward’s volumes and jobs tied to that account unless new business fills the gap.