TFI International (TFII) Q4 2025 earnings summary

Executive summary

• Generated over $10 per share in free cash flow for 2025, totaling $832.3 million, with Q4 free cash flow up 25% year-over-year.

• Revenue before fuel surcharge was $1.7 billion in Q4, down from $1.8 billion year-over-year; full-year revenue was $7.88 billion, down from $8.40 billion in 2024.

• Operating income for Q4 was $127 million, with a 7.6% margin; full-year net income was $310.6 million.

• Board raised dividend by 4% to $0.47 per share and repurchased over $200 million in shares during 2025.

• Achieved 13.9% CAGR in revenue and 13.8% CAGR in adjusted EBITDA from 2002 to 2025, with adjusted EBITDA at $1.17 billion in 2025.

Financial highlights

• Net cash from operating activities in Q4 was $282.2 million, up from $262.4 million year-over-year.

• Q4 free cash flow reached $258.9 million, a 25% increase year-over-year.

• Full-year adjusted EBITDA was $1.17 billion, down from $1.32 billion in 2024.

• Operating margin for TTM Q4 2025 was 8.2%, with a free cash flow yield of 9.8%.

• Annual forward dividend yield stood at 1.8% as of December 31, 2025.

Outlook and guidance

• Q1 2026 adjusted diluted EPS guidance is $0.50-$0.60, down year-over-year due to persistent freight recession.

• Full-year 2026 net CapEx (excluding real estate) expected at $225-$250 million.

• Anticipates logistics segment to improve in Q3 and Q4 2026; truckload shows early signs of recovery, while LTL remains soft.

• Plans for $200-$300 million in tuck-in M&A for 2026, with preference to reduce leverage closer to 2x.

• E-commerce remains a key growth driver, with 8.3% CAGR in e-commerce revenue and further opportunities in last-mile and same-day logistics.