ArcBest (ARCB) Investor presentation summary

Company profile and market position

• Over 100 years of transportation and logistics experience with more than 240 North American service centers and 105,000+ approved contract carriers.

• Recognized as a top safety award winner and maintains over 99% coverage of the United States.

• Offers a broad suite of logistics solutions, including truckload, LTL, managed transportation, expedite, international, warehousing, and final mile services.

• 37% of 2023 revenue derived from logistics, up from 7% in 2009, reflecting a shift toward integrated solutions.

• Five key logistics acquisitions since 2012 and a realignment under a unified brand in 2017.

Financial performance and strategy

• Revenue grew 47% from $3.4B in 2018 to $5.0B in the trailing twelve months (TTM) ending 3Q'24.

• Operating income increased 58% to $468M, and non-GAAP EPS rose 86% to $13.52 over the same period.

• Asset-based operating ratio improved by 780 basis points since 2016, reaching 90.1% in 3Q'24 TTM.

• Maintains a net cash position with approximately $500M in available liquidity and a $300M 2024 capex plan.

• Increased share repurchase authorization to $125M and returned $65M to shareholders year-to-date as of 9/30/24.

Customer-centric and innovative approach

• Revenue and profit per account are over 3x higher in cross-sold accounts; over 70% of asset-light customers also use asset-based services.

• Customer retention rates are 5 percentage points higher for cross-sold accounts.

• Investments in digital connectivity, pricing intelligence, and algorithmic capacity matching enhance customer experience.

• 75% of revenue comes from digitally connected customers, and 40% of customers use more than one service.

• 100% retention rate among top 50 customers and 80% of revenue from customers with 10+ year relationships.