TFI International (TFII) Q3 2025 earnings summary

Executive summary

• Operating margins improved, with best-in-class performance and 8.5% margin, despite subdued freight volumes and macro headwinds.

• Free cash flow year-to-date exceeded $570 million, with 87.1% FCF conversion for TTM Q3 2025.

• Board approved a 4% dividend increase to $0.47 per share, following a 13% increase earlier in the year.

• Maintained a diversified business model across LTL, Truckload, and Logistics, with resilience through economic cycles.

• Focus remains on operational efficiency, quality of revenue, and preparing for a market rebound.

Financial highlights

• Q3 revenue before fuel surcharge was $1.7 billion, down from $1.9 billion year-over-year; Q3 total revenue was $1.97 billion, down from $2.18 billion.

• Operating income for Q3 was $153 million (8.9% margin), with adjusted net income of $99 million vs. $134 million last year.

• Adjusted EPS was $1.20, down from $1.58 in Q3 2024; Q3 diluted EPS was $1.02.

• Free cash flow for Q3 was nearly $200 million, with TTM FCF yield at 10.8%.

• Adjusted EBITDA for TTM Q3 2025 was $1,206.2 million; Q3 adjusted EBITDA was $305.4 million.

Outlook and guidance

• Q4 adjusted diluted EPS expected between $0.80 and $0.90, reflecting lower logistics deliveries and weak freight demand.

• Full-year net CapEx (excluding real estate) revised to $100–$175 million, down from $200 million.

• Management emphasizes a robust acquisition pipeline and continued focus on integration and synergy realization.

• Guidance assumes no significant change in the operating environment.

• 2026 expected to show improvement after three years of freight recession, with optimism for volume and pricing recovery.