Universal Logistics Restores Intermodal Profit After a Loss

The Tip Desk · November 10, 2026 · 4 min read

Third-quarter operating revenues were $394.0 million as Intermodal posted $2.7 million of operating income after a year-earlier $135.1 million loss.

Universal Logistics Holdings (ULH), a diversified transportation and logistics company, reported third-quarter 2026 operating revenues of $394.0 million, income from operations of $32.8 million, and diluted earnings of $0.69 a share.

A year earlier the company posted an operating loss of $117.4 million and a net loss of $117.9 million, or $4.48 a share, after $124.4 million of non-cash impairment charges. Operating margin was 8.3%, compared with (29.6)% a year earlier. Excluding those impairments, adjusted income from operations in the year-ago quarter was $7.0 million and the adjusted operating margin was 1.8%. Adjusted EBITDA was $64.7 million, versus $43.3 million a year earlier.

The quarter’s defining turn was in Intermodal. The segment generated $2.7 million of income from operations after an operating loss of $135.1 million a year earlier, which included the $124.4 million impairment. Chief Executive Tim Phillips said Intermodal “made meaningful progress in its turnaround and generated positive income from operations during the quarter.”

Intermodal operating revenues were $53.1 million, down 17.9% from $64.7 million a year earlier. Load volumes fell 45.7% to 55,418, while average operating revenue per load excluding fuel surcharges rose 40.4% to $671 from $478. Revenues included $7.4 million of fuel surcharges and $8.5 million of detention, demurrage and storage charges.

Contract Logistics remained the largest business, about 69.0% of consolidated operating revenues. Segment revenues rose 2.8% to $271.9 million from $264.4 million a year earlier, which the company said reflected certain new value-added programs, increased volumes in certain existing value-added programs and dedicated transportation, partially offset by fewer programs in value-added rail services. Income from operations was $22.9 million, compared with $13.7 million a year earlier, and operating margin improved to 8.4% from 5.2%, primarily reflecting lower direct personnel and depreciation expense. Dedicated-transportation fuel surcharges were $11.8 million. At quarter-end the company managed 76 active value-added programs, compared with 82 a year earlier.

Trucking operating revenues were $69.0 million. Load volumes declined 9.6% to 26,881, while average operating revenue per load excluding fuel surcharges increased 8.7% to $2,360 from $2,172. Income from operations was $4.4 million, compared with $3.9 million a year earlier, and operating margin was 6.3%, compared with 5.8%, which the company attributed to an improved pricing environment. Trucking revenues included $20.1 million from brokerage services and $5.8 million of fuel surcharges.

GAAP income from operations of $32.8 million compared with $45.1 million in the second quarter, when results included a $45.3 million gain on a Kearny, New Jersey property sale, a $3.9 million tractor impairment and $12.3 million of legal charges that together lifted operating income by $29.1 million. GAAP diluted earnings were $0.69 a share, versus $0.99 in the second quarter. Operating margin was 8.3%, versus 11.9% in the second quarter. Adjusted EBITDA was $64.7 million, versus $49.2 million in the second quarter.

At October 3, 2026, Debt – net was $678.1 million, down approximately $119.5 million from $797.6 million at year-end 2025. Operating Debt was $500.5 million and CTL financing was $181.2 million. The Credit Agreement Leverage Ratio was 1.98x, against a maximum permitted 3.50x. Cash and cash equivalents were $15.3 million. Capital expenditures totaled $32.2 million.

During the quarter, subsidiaries entered a Fourth Amendment to the syndicated revolving credit facility that reduced aggregate revolving commitments from $500.0 million to $350.0 million, extended the commitment period to September 30, 2029, and reset the uncommitted accordion to up to $150.0 million of incremental revolving commitments. Approximately $90.1 million of revolving commitments remained unused, and the company said it was in compliance with its financial covenants. Chief Financial Officer Michael Rogers said the extension “strengthens our debt-maturity profile and preserves financial flexibility.”

The board declared a cash dividend of $0.105 a share, payable January 6, 2027.