Covenant Logistics Q3 Revenue Rises 19.2% as Managed Freight Segment Surges 68%

Covenant Logistics Group (NYSE: CVLG) reported a 19.2% year-over-year increase in third-quarter revenue Thursday, driven by its Managed Freight segment, which grew 68.4% to $121.6 million from $72.2 million. The Chattanooga, Tennessee-based carrier posted total revenue of $353.9 million for the quarter ended Sept. 30, compared with $296.9 million a year earlier. Freight revenue excluding fuel surcharges rose 17.2% to $315.1 million. Net income increased to $10.7 million, or 40 cents per diluted share, from $9.1 million, or 35 cents per share. Adjusted earnings per share rose 13.6% to 50 cents. Chairman and CEO David R. Parker said it marked the first quarter since Q2 2022 that adjusted EPS increased both sequentially and year over year. Managed Freight gains stemmed from a brokerage acquisition integrated in late 2025, customer rate increases and lower purchased transportation costs. The Truckload segment's freight revenue excluding fuel fell 3.4% to $166 million as the average tractor fleet shrank 8.9%, though revenue per total mile climbed 19.8% to $3.03. Covenant forecasts a modest sequential increase in fourth-quarter earnings per share and net capital expenditures of $35 million to $40 million for the remainder of 2026.