ArcBest Sees Flat LTL Revenue as 2% Tonnage Gain Offsets Yield Decline
ArcBest’s asset-based LTL segment recorded flat revenue per day in February, with a 2% rise in tonnage offset by a 2% decline in yield. The company sees first-quarter tonnage per day up 6% year-over-year to date and expects to limit asset-based operating ratio deterioration to 100–200 basis points.
1. February Performance
In February, the asset-based unit including ABF Freight recorded no year-over-year change in revenue per day as a 2% increase in tonnage driven by heavier shipments was offset by a 2% drop in yield, pressured by lower revenue per hundredweight and reduced fuel surcharges.
2. Two-Year and January Comparisons
On a two-year stacked basis, daily tonnage held flat in February after a 0.7% increase in January, while revenue per day and yield remained close to flat over the same period; January tonnage was revised up to a 9.9% year-over-year gain from an initial 8% estimate.
3. Q1 Outlook and Margin Guidance
For the first quarter, tonnage per day is running 6% above last year versus an initial forecast of 4–5%, and management expects to curb sequential operating ratio deterioration to 100–200 basis points, implying a roughly 97.7% adjusted operating ratio at the midpoint.