PAL

Image source: The Motley Fool. Monday, Aug. 10, 2026 at 5 p.m. ET Chief Financial Officer - Bradley Wright Chairman and Chief Executive Officer - Richard O'Dell President and Chief Operating Officer - Amy Rice Operator: Good day, and thank you for standing by. Welcome to the Proficient Auto Logistics Second Quarter Financial Information Conference Call. [Operator Instructions]. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Brad Wright, Chief Financial Officer. Please go ahead. Bradley Wright: Good afternoon, everyone. I'm Brad Wright, Chief Financial Officer of Proficient Auto Logistics. Thank you for joining us for Proficient Second Quarter 2026 Earnings Call. Earlier this afternoon, we issued 2 press releases, one detailing our second quarter 2026 financial results and a second, announcing our definitive agreement to acquire Hansen & Adkins, as well as some financing transactions. We have also posted on our website, an investor presentation that accompanies today's discussion. Press releases and the presentation materials can be found under the Investor Relations section of our website at proficientautologistics.com. Our 10-Q when filed can also be found under the Investor Relations section of our website. During this call, we will be discussing certain forward-looking information. This information is based on our current expectations and is not a guarantee of future performance. I encourage you to review the cautionary statement in 2 press releases describing factors that could cause actual results to differ from those expressed by the forward-looking statements. Further information can be found in our SEC filings. During this call, we may also refer to non-GAAP measures that include adjusted operating income, adjusted operating ratio, EBITDA and adjusted EBITDA. Please refer to the portions of our earnings release that provide an explanation of how we compute these non-GAAP financial measures and reconciliations of those profitability measures to the most comparable GAAP measures. Joining me on today's call are Rick O'Dell, Proficient's Chairman and Chief Executive Officer; and Amy Rice, our President and Chief Operating Officer. We will provide a company update as well as an overview of the company's combined results for the second quarter of 2026 and an overview of the strategic rationale for the acquisition. After our prepared remarks, we will open the call to questions. During Q&A, please limit yourself to 1 question plus 1 follow-up. You can get back into the queue if you have additional questions. Now I would like to introduce Rick O'Dell for opening comments. Richard O'Dell: Thank you, Brad, and good afternoon, everyone. Before discussing our second quarter results, I want to begin with the acquisition announcement we shared today. We're excited to announce our agreement to acquire Hansen & Adkins, a founder-built business with more than 30 years of history, a strong reputation for service, deep relationships with leading OEM customers and broad talent throughout the organization. I'd like to recognize Steve Hansen and Louie Adkins for building one of the most respected operators in our industry and also welcome the Hansen & Adkins employees and our carrier partners. Their collective commitment to safety, customer service and operational excellence has been central to the company's success and is a key reason we're so enthusiastic about this transaction. We believe this acquisition represents a compelling strategic and financial opportunity. Upon closing, the combined organization will benefit from greater scale, expanded geographic coverage, enhanced network density and broader capabilities to support our customers across North America. We also see opportunities to improve asset utilization, create operating efficiencies and strengthen the earnings power of the business over time. Importantly, both companies share a similar culture and a commitment to safe, reliable execution which we believe will support successful integration over the coming months and long-term value creation. Turning to the second quarter. Industry saw trends improve sequentially from the challenging conditions experienced in the first quarter and volume trends became more stable. However, the impacts of several subseasonal quarters and depressed rates became increasingly evident in the form of industry-wide driver shortages and constrained carrier capacity. Rising operating costs, including fuel and maintenance, pressured the market and our quarterly results. As market conditions continue to strengthen, we believe we are well positioned to benefit from seasonal favorable tailwinds across the trucking and auto hauling markets. Recovering automotive production, normalized dealer inventories and improving inventory turnover are supporting higher finished vehicle shipment volumes. At the same time, regulatory actions and driver recertification requirements are contributing to tighter capacity following a multiyear freight recession, supporting improving spot rates and carrier pricing dynamics. Hansen & Adkins greater brokerage exposure relative to Proficient provides increased participation in the recovering spot market. Additionally, recent court rulings, including the Montgomery case could further benefit Proficient as heightened carrier qualification standards and liability exposure may reduce reliance on marginal capacity and shift demand toward larger, established, safety-focused providers such as Proficient. Our customer discussions have been constructive in response to the evolving market conditions and as we're able to improve fuel surcharge coverage and secure certain rate adjustments during the quarter, our margins improved sequentially each month, finishing with June's operating ratio of 95.7% which is the best month thus far this calendar year. These trends give us increasing confidence that the industry is moving toward a more balanced and sustainable operating environment. Looking ahead, we believe scale, dependable asset-based capacity and operational excellence matter more than ever for the automotive industry. The acquisition of Hansen & Adkins, once completed, will strengthen our ability to support customers, create new opportunities for our employees and carrier partners, enhance our long-term financial profile and drive meaningful value for shareholders. Importantly, we believe the transaction comes at an inflection point for the industry, positioning us to capitalize on tightening capacity, improving market fundamentals and more favorable pricing environment as conditions normalize. With that, I turn it back to Brad to review our financial results and key performance highlights for the quarter. Bradley Wright: Thank you, Rick. In general, financial metrics have improved sequentially in the second quarter of 2026 versus Q1. However, not the levels achieved in what was a record quarter for the company in Q2 of 2025. An improving cost profile during each sequential month of the second quarter gives us reason for optimism that financial ratios entered Q3, more in line with investor and company expectations. Summarizing year-over-year comparisons. Total operating revenue for the second quarter of 2026 was $109.4 million, a decrease of 5.3% versus the same quarter of 2025. Total units delivered during the second quarter totaled 580,962, which was a decrease of 8% compared to the same quarter of 2025. However, revenue per unit was higher than Q2 of 2025 by 2.9%. Adjusted EBITDA for the second quarter was $7.6 million versus $11.3 million in the second quarter of last year. As already mentioned, we experienced increased fuel costs and driver payments, both company and subhaul in response to seasonally inflated demand. These costs were incurred in advance of the customer payment cycle catching up to higher fuel and sequentially rising volumes. The result was higher accounts receivable and corresponding lower cash balances at quarter end. This balance of imbalance, however, self-corrected during July. Net debt was $62.3 million at the end of the second quarter for a net debt leverage ratio of 2.1x on a trailing 12-month adjusted EBITDA of $30.3 million. Our equipment CapEx has remained light during 2026, less than $5 million year-to-date. Following the acquisition that we will be further detailing in a moment, we will assess the available fleet assets on a combined basis and make a determination of CapEx through year-end that is based on needs of the entire company and takes into consideration forthcoming asset deliveries that were already scheduled. Total common shares outstanding on June 30 were 28.1 million, an increase of approximately 218,000 shares since year-end 2025 or less than 1% as a result of vesting RSU grants. There were no additional share buybacks during the second quarter as we positioned our capital and debt resources in preparation for a significant acquisition. Finally, as we look ahead to the second half of 2026, we are forecasting volumes that reflect typical seasonal fluctuation of a relative pullback in July and August, followed by rising volume through the fall. That said, revenue yield of similar volumes is expected to improve as supply constraints, incentive pricing and the transportation market moving away from unsustainable low rates becomes more evident over time. Taking into account the acquisition that closed in mid-Q3, we believe that reported second half revenue will total between $350 million and $370 million with operating ratios approximately 97% and EBITDA margins between 8% and 9%. This outlook assumes that the synergies expected from the combination will start to be realized as we're entering 2027 I'd now like to turn the call over to Amy Rice for a fuller overview of the Hansen & Adkins acquisition. Amy Rice: Thank you, Brad. Rick has expressed some of the broad strategic rationale that we believe make this combination so compelling. I would like to expand on that with some details about Hansen & Adkins and the complementary nature of their business with Proficient Auto Logistics. At over $400 million in revenue and greater than $27 million in EBITDA on a trailing 12-month basis through March, the combination of H&A's U.S. and Canadian businesses are only modestly smaller than Proficient. The Canadian business comprises roughly 13% of their overall revenue, and at that level, positions them as one of the largest in the Canadian market. This will represent a new market for Proficient and one that we believe has meaningful upside potential over the long term. With a meaningful fleet of company assets, which mirrors our target age profile as one of the youngest in the industry, particularly for the U.S. market. We will be well positioned to meet the evolving market in which asset-based capacity with high-quality drivers is crucial. The combined enterprise post closing will be the largest auto hauler in the North American market and one of only a very few with a fully national footprint in the U.S. as well as comprehensive Canadian coverage. At over $800 million in revenue and $60 million in adjusted EBITDA on a trailing 12-month basis, we expect to participate in roughly 1/4 of the addressable new vehicle transportation market. enabling network efficiencies for both the company and customers. Hansen & Adkins has employed a company fleet focus and derives approximately 60% of their revenue from company deliveries versus 40% from the subhaulers segment, which, when combined with Proficient, we'll bring the overall mix to very nearly half and half. Many of the locations served for auto transport are rail and port facilities. And with more of the infrastructure footprint covered by the combined enterprise, we have a stronger value proposition for OEMs as they have needs for nimbleness in their transportation supply chains. Notably, we are excited to welcome the experienced and talented workforce across the H&A entities, as well as the enhanced network of partners in the owner-operator and third-party carrier space. As we have discussed with investors throughout our relatively short history, density in key markets matter, and the combined footprint will allow us to strategically deploy our fleets, exhibit flexibility to address customer needs and coordinate routes to enhance capacity, improve utilization and reduce empty miles. While both Proficient, and Hansen & Adkins have existing business across the spectrum of OEM clients, our respective customer bases are complementary, providing natural diversification, both in the context of geographies served and in customer concentration. Our businesses are not built around terminal network, the way that other trucking and LTL companies might be. However, we do have points of service where there is overlap, and we expect to realize synergies from the integration of our operations over time. Of particular note, the combined companies will have a repair and maintenance network that is strategically placed in high-traffic zones, allowing us to achieve the cost synergies of in-sourcing a higher percentage of our maintenance costs versus paying third-party providers. These synergies in the areas of network optimization, maintenance efficiencies, improved backhaul opportunities and procurement advantages are in addition to the identified cost savings from optimizing our combined G&A functions. The upfront purchase price in this transaction reflects an enterprise value of $130 million. which includes the assumption of approximately $75 million in outstanding equipment financing and $55 million paid to sellers. Payment at closing will include $3 million in Proficient common shares with the remaining $52 million in cash. The amount of debt assumed versus value paid to sellers will be adjusted to reflect the actual debt outstanding and assumed by Proficient at closing. In addition, there is potential for an earn-out payment in the first quarter of 2027 based on achievement of forecasted EBITDA for the full year ending December 31, 2026. Any earnout payment will be made at multiples consistent with the base purchase price. Concurrent to the completion of the acquisition transaction. Proficient is restructuring its overall debt portfolio. Equipment financing for both the Proficient and Hansen & Adkins fleets will be brought under 1 syndicated facility with a capacity of up to $120 million. The balance at closing will be approximately $100 million. A 7-year convertible bond has been placed for $75 million in base value, a capped call in an equal amount has been obtained to synthetically increase the conversion premium on convertible bonds by up to 75% over the premium set in the convertible indenture, which mitigates equity dilution for current shareholders. Final terms on the convertible will be established when the market closes tomorrow on August 11, and we will separately disclose the final terms at that time. Finally, the separate line of credit arrangements employed by the 2 companies are expected to be combined into an expanded syndicated line of credit facility after closing. And the amount in terms of this new structure will be disclosed upon completion. In summary, we believe this combination is transformative for the auto haul industry and brings meaningful benefits to our customers, in addition to enabling us to further lean into scale and efficiency to achieve improving financial results, consistent with the investment thesis that underscored PAL's creation. Hansen & Adkins meets all of our strategic criteria for growth through acquisition and its magnitude differentiates this transaction from what we've done in the past. With all preexisting PAL entities fully integrated, bringing H&A into the PAL environment will be a coordinated and methodical process over the next 6 months. We already share many of the same enterprise systems and a similar values and organizational mindset, and we are excited to meet the challenges of the industry in a more compelling fashion as we move forward. I'll now turn the call back to Rick for closing comments. Richard O'Dell: Thank you, Amy. In closing, we believe this transaction comes at exactly the right time for our industry, scale, reliability and operational excellence have never been more important. The acquisition of Hansen & Adkins will create a stronger platform built on proven leadership, disciplined execution and industry-leading capabilities. This transaction also reinforces Proficient's position as the acquirer of choice, providing a scalable foundation to continue consolidating a highly fragmented market and creating long-term value for all stakeholders. Looking ahead, we're well positioned to benefit from improving pricing dynamics and increasing demand for asset-based capacity with the financial strength to continue investing in our fleet, service offerings and customer relationships, we're confident this combination strengthens our competitive position and accelerates our path for sustainable growth. Thank you for your time and interest. We're excited about the opportunities ahead and look forward to delivering on the significant potential of this partnership. Operator, we'll now open it up for questions. Operator: [Operator Instructions]. Our first question comes from the line of Bruce Chan with Stifel. J. Bruce Chan: Good afternoon, everyone. Maybe I want to start out by following up on some of your comments about the market. Certainly understand the margin pressure from the tightening capacity, typically a good indication of the early cycle inflection to your point. But I know that you typically have a longer duration pricing recovery just given the average contract tenure here. So I want to get your sense for when you expect pricing to sort of outpace the cost inflation? Is there a time line -- to that? And then whether or not you have an opportunity to maybe take any out-of-cycle price increases and address some of that margin squeeze? Amy Rice: Yes, Bruce, the market has sort of forced some short-term adjustments in particularly strained geographies. So we've been working with customers, most recently in many cases on short-term incentives to support capacity enhancement in given geographies. And what we're finding is with additional rate support, we can be more successful in bringing additional capacity to the market. So we're getting some positive proof points that enhanced rate supports enhanced service. And we're using that as a platform for a broader conversation with our customers where we are seeing service challenges or we do see greater demand need for our customers that's currently unmet. So what I would say to your question is, I think we have certainly come off of the bottom of the market in terms of low rate pressure. There has been some failures in the ability to service traffic at very low rates, and that's helpful to reestablishing sustainable rates going forward. And now, as you mentioned, off-cycle price increases, to the extent that there is a supply-demand imbalance, it's incumbent on both us and our partner customers to figure out how we close that gap. And we are finding that supporting drivers and third-party capacity with a more compensable rate structure is an enabler. So I do see opportunity there. J. Bruce Chan: So I guess, given those comments and given the recent acquisition, is it fair to say that we will be looking at price to sort of outpace the cost inflation by end of the year? Is that more of a 2027 event? Amy Rice: Well, part of the story there is what happens on the cost side of the profile. Again, we've seen a very volatile fuel environment due to the macro backdrop. And it's unclear at this point when fuel normalizes back to what has been more typical for the last several years. I think that's a key component. Maintenance costs and supply costs, insurance costs, there has been increased pressure there as well. I do think our scale in the combination helps us to combat some of that. We have greater purchasing power, and we have a greater maintenance footprint to be able to be more efficient in our maintenance spend. So I'm optimistic in terms of what that represents as we bring the 2 networks together. To hit your question on timing head on, yes, I think we come into 2027, with a good table set for the year on a combined basis. J. Bruce Chan: Okay. And then just one more for me on the deal. I don't know if I missed it, but do you have a sense for what the margin profile looks like for the combined entity pro forma? Any thoughts on whether this deal is accretive at the get-go and any synergy targets or guidance that you can provide there? Bradley Wright: Yes. Bruce, definitely accretive from the get-go. I mean, their financial profile looks a lot like ours. The company generates a lot of cash, and they do have good margins, but nonetheless, subject to the same challenges that we've got in the current environment. I'm conservatively projecting for the rest of the year that we would run at 97% OR and an 8% to 9% EBITDA margin. But I think that there's plenty of room for upside to that as we get into '27 and start realizing the synergies that have come along with this combination. J. Bruce Chan: So that 97% includes the synergies? Or that's exclusive of the synergies? Bradley Wright: I think that's -- I mean, we haven't baked in a lot of synergies there because, frankly, we've identified some places that we will attack, but that still remains to be costed out between now and implemented between now and the beginning of the year. So there's not a lot of synergy built into that number. Operator: [Operator Instructions]. Our next question comes from the line of Tyler Brown with Raymond James. Patrick Brown: Rick, Amy, obviously, one of the big developments this quarter was the Supreme Court's ruling on Montgomery and I guess the potential risk on brokered loads. So obviously, you guys have a very large mix of subcontractor capacity. I'm just kind of curious about what the implication of Montgomery is for you. And frankly, the broader industry? I mean, is it going to lead to some forced purging of some of the subcontractors that maybe can't meet some of the stringent safety thresholds? Or are you expecting to see outside inflation on the liability side? I'm just curious what you guys are thinking about that case for you and frankly, for the industry more broadly? Amy Rice: Yes. So one thing I would remind the group, though our subhauler segment is roughly 60% of our current portfolio. That's comprised of both owner operators who run under our Transportation Authority as well as third-party carriers who run under independent transportation authority. I bring that up to say the owner operators are already under our liability. So the incremental risk with Montgomery is really pertaining to third-party carriers. And we've got a more stringent third-party screening set of criteria and set of insurance and safety requirements of our network of parties than what we've seen in a lot of the industry. And I think a lot of the regulatory enforcement that's taking place is starting to purge some of the less scrupulous players in that space. And it is also contributory to some of the supply shortage that we're all feeling across the industry. That said, both from a risk mitigation standpoint and a capacity reliability standpoint, having a large asset base to rely upon to deliver and then having a strong, safe, reputable set of third-party carriers is the best way to protect ourselves from broker reliability. To your question, yes, broker liability insurance is becoming more expensive, though within our insurance portfolio, that's a very small piece of our overall coverage portfolio. Patrick Brown: Okay. So of the 60% with just PAL legacy, is it mostly under your DOT authority? Or is it a rough mix? I'm just curious what that mix is. Amy Rice: I'd say we're at least 20% within the owner-operator space. Patrick Brown: Okay. Okay. And then just, Amy, just any color on the spot market. What was that mix in the quarter? Maybe you mentioned it, I may have missed it. And then, what are you kind of seeing here into July and August? And on that, is the reduction in the subhaul volumes, is that kind of a function of those routing guides starting to break down? Because there's just an inability to move those bins at those prices, is that the right way to think about it? Amy Rice: There are several questions in there. I'll take them one by one. The spot market is reemerging for sure. What we are experiencing in the spot market is we've shared consistently that our bread and butter is contract business for customers. And so the limited number of customers in this industry, it would be unwise to abandon contract rate and chase spot freight. There's too few customers to do that without endangering your reputation and just sending a really bad message. And so what we've done is where we see that demand is in excess of the capacity we have against our contract business. We've been discussing with customers rather than putting the excess to the spot market, is there an opportunity for short-term incentives or surge rates that we could use to essentially participate in the spot market to move the broader contract traffic. And we've done a lot more of that. So maybe not traditional spot traffic, but the opportunity to enhance and augment our capacity and movement in a particular area when the demand is acute for a given customer. In terms of what we're seeing in July and August, we're seeing the typical seasonal period where there are some plant shutdowns in early July, which is followed by a bit of a languishing in the rail pipelines in the latter part of July and into August. So we have seen a pullback from where we were in the second quarter. And candidly, it was -- there was a backlog of demand that across the industry, carriers have benefited from some time to work off that backlog. At this point, I would say inventories have normalized. And when I say inventories, I mean inventories available to us to move. Inventories have normalized. Our service metrics have, by and large, recovered, and we're ready to move into the fall season that tends to ramp up through the end of the year. And then your question -- your last question about reduced share -- excuse me, subhauler volume and what's driving that. In this higher fuel environment, it is very expensive as an independent third-party carrier to cover your operating costs and particularly the higher cost of fuel. And so what we've seen in that whole segment of the industry is third-party carrier who have historically chosen to run in our portfolio consistently have had to chase the highest dollar. And so some of that capacity has moved into opportunistic freight on a short-term basis to try and recoup some of the outsized costs that they've had to bear over the last several quarters. And it's resulted in reduced subhauler capacity on our network. Some of it also has been due to exits in that space. Operator: Our next question comes from the line of Alex Paris with Barrington Research. Alexander Paris: Congratulations on the -- reaching the inflection point and maybe more significantly the acquisition of H&A.. Listening to your prepared comments, it sounds like it will be accretive from the get-go, and there will be synergy opportunities in 2027 to improve its contribution. I heard, Brad, your guidance on second half expectations for the combined company. I think, you said in the press release that the deal would close in August at some point. So you're not going to get the July and most of the August revenue. I'm wondering if you could give guidance on Q3, the current quarter like you usually do, pre-acquisition? Bradley Wright: Yes. Look, on a stand-alone basis, we're looking for revenue in Q3 that's probably at or right around the Q2 level, maybe up just slightly. But given seasonality, I would expect it to be kind of flattish. And yet, because of some of the pricing dynamics and the better cost control that we experienced in June. I think we can continue to see better OR, better profitability on that same level of revenue. Alexander Paris: Okay. And then again, listening to your second half guidance, post acquisition, it sounds like this is going to be a $900 million company or so on a run rate basis, on an annual basis and EBITDA of $90 million or so. Is that kind of the right way? Bradley Wright: Seems a little high. I think one of the slides that we have, I mean, if you just look on a trailing 12 basis, it's probably maybe like... Amy Rice: $835 million. Bradley Wright: $830 million revenue. Amy Rice: Yes, and about $50 million. Bradley Wright: $60 million to $65 million of EBITDA. Operator: Our next question is a follow-up from Bruce Chan with Stifel. J. Bruce Chan: Brad, I just want to maybe pull at that a margin thread a little bit and what the combined entity looks like, especially as we get into '27. You'd previously talked about -- I know this is maybe a couple of years ago, but being sustainably low 90s OR-type -- or maybe being able to whittle that down into the high 80s. Is that still the idea here? Is that something that you think you can achieve towards the end of '27? Or is there a new level that we should sort of be thinking about? Bradley Wright: Well, Bruce, we still think that there's a lot of room to push OR down. I don't know that I would be thinking 90 or below in 2027. And I think this -- we're still in an environment where, again, with June, it's like a 95%, I think when we start putting these 2 companies together and realizing those synergies, we should be able to get below that level. But that's going to take a little time. And so I don't want to be too ebullient without having the chance to really dig in and see what level of synergies are available to us. But we still believe that getting there, whether that's in '27 or '28 to that more reasonable 95% and below is certainly in the cards. J. Bruce Chan: Okay. Yes, that's helpful. And then, Amy, maybe one from your side, you talked about the subhauler mix. I don't know if that looks similar for Hansen & Adkins. What does that do to the overall subhauler mix? And if you think about a now much longer fleet, maybe close to double the size before, is there an opportunity to move a lot of the volume -- even more -- a company... Amy Rice: So Hansen & Adkins mix is about the inverse of ours. So they are about 60% move in the company segment, and about 40% in the subhaul segment. But I would say more of their revenue in the subhaul segment is on owner operators relative to subhaulers. And much of what they do in the third-party carrier space is a more traditional brokerage model. So we should have a nice diversified mix of channel tools in our toolkit here. But to your question, yes, I mean, on a combined basis, I think our mix on company assets should be roughly 50%, and that's powerful in terms of being able to provide a more reliable service product on company assets supplemented by owner operators. Richard O'Dell: And I would just comment on margins. I mean, it's just math, but, at this point, with the combined organization, a 94.8% is about $1 per share and earnings per share and 92.8% about $1.50. So in terms of needing to necessarily get to an 88% OR to have meaningful EPS and return for shareholders as we step along the way, we'll be generating some meaningful EPS and good returns for shareholders. Operator: Thank you. I would now like to hand the call back over to Rick O'Dell for closing remarks. Richard O'Dell: Well, thank you for your interest in Proficient Auto Logistics. We're really excited about the Hansen & Adkins addition to our organization, and we look forward to capitalizing on this opportunity for all the stakeholders. Being our customers, our employees and our shareholders. Thank you. Operator: This concludes today's conference. Thank you for your participation. You may now disconnect. Before you buy stock in Proficient Auto Logistics, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Proficient Auto Logistics wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. 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As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Proficient Auto Logistics (PAL) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Interested in Proficient Auto Logistics, Inc.? Here are five stocks we like better. Q2 performance weakened year over year: Revenue fell 5.3% to $109.4 million, deliveries declined 8% to 580,962 units, and adjusted EBITDA dropped to $7.6 million from $11.3 million. Higher fuel and driver costs pressured profitability, although cash flow conditions improved in July. Operating trends improved during the quarter: Proficient’s operating ratio improved each month, reaching 95.7% in June, as fuel-surcharge coverage and rate adjustments strengthened. Management expects pricing and cost conditions to improve further heading into 2027. Hansen & Adkins acquisition will significantly expand the business: The $130 million deal would create North America’s largest auto hauler, with more than $800 million in combined revenue and approximately $60 million in adjusted EBITDA. Proficient expects the transaction to close in mid-third quarter 2026 and forecasts second-half revenue of $350 million to $370 million. Proficient Auto Logistics (NASDAQ:PAL) reported lower second-quarter revenue and adjusted EBITDA from a year earlier, while management said operating trends improved sequentially through the quarter and announced a definitive agreement to acquire Hansen & Adkins. Total operating revenue for the second quarter of 2026 was $109.4 million, down 5.3% from the same quarter in 2025. Vehicle deliveries fell 8% year over year to 580,962 units, though revenue per unit increased 2.9%. Adjusted EBITDA declined to $7.6 million from $11.3 million a year earlier. → MarketBeat Week in Review – 08/03 - 08/07 Chief Financial Officer Brad Wright said results improved from the first quarter but did not reach the company’s record second-quarter 2025 performance. He cited higher fuel costs and driver payments, including payments to company drivers and sub-haulers, as factors that weighed on quarterly profitability. Those costs were incurred ahead of the customer payment cycle, resulting in higher accounts receivable and lower cash balances at the end of the quarter, Wright said. He added that the imbalance “self-corrected during July.” → Quantum Earnings Week: Winners and Losers Are Finally Emerging Chairman and Chief Executive Officer Rick O’Dell said industry conditions became more stable during the second quarter after a challenging first quarter, though the effects of depressed rates and several sub-seasonal quarters remained visible in driver shortages and constrained carrier capacity. Management said rising fuel and maintenance expenses pressured both the market and the company’s results. However, Proficient said it secured improvements in fuel-surcharge coverage and certain rate adjustments during the quarter. Its operating ratio improved sequentially each month, reaching 95.7% in June, the company’s best monthly operating ratio so far in 2026. → Take-Two’s Q1 Results Leave GTA 6 Bulls Stuck in the Fog of War “These trends give us increasing confidence that the industry is moving toward a more balanced and sustainable operating environment,” O’Dell said. President and Chief Operating Officer Amy Rice said the company has used short-term incentives and surge-rate discussions in geographies where capacity is constrained. According to Rice, the company has found that additional rate support can attract incremental capacity and improve service levels. Rice said the company expects the market backdrop, including cost trends for fuel, maintenance, supplies and insurance, to remain an important variable. She said Proficient enters 2027 with “a good table set” for improved pricing and cost dynamics, particularly after combining with Hansen & Adkins. Proficient announced an agreement to acquire Hansen & Adkins, an auto-hauling company with operations in the United States and Canada. Rice said Hansen & Adkins generated more than $400 million in revenue and more than $27 million in EBITDA over the trailing 12 months through March. The Canadian business represents roughly 13% of Hansen & Adkins’ revenue, according to Rice, and would give Proficient entry into a new market. Management said the combined company would become the largest auto hauler in North America, with a national U.S. footprint and comprehensive Canadian coverage. On a trailing-12-month basis, the combined business is expected to have more than $800 million in revenue and about $60 million in adjusted EBITDA, management said. Rice said the combined company would participate in roughly one-quarter of the addressable new-vehicle transportation market. The companies’ fleet and delivery models are complementary. Hansen & Adkins derives about 60% of its revenue from company-delivered freight and 40% from sub-haul activity, compared with Proficient’s greater reliance on sub-haulers. The combination is expected to produce an approximately 50-50 mix between company assets and sub-haul capacity. Management identified potential benefits from broader geographic density, fleet deployment, improved backhaul opportunities, maintenance insourcing, procurement leverage and general-and-administrative efficiencies. Rice said the integration process is expected to be coordinated over the next six months, noting that the companies already share many enterprise systems and similar organizational values. The transaction carries an upfront enterprise value of $130 million, including the assumption of approximately $75 million in equipment financing and $55 million paid to sellers. At closing, Proficient expects to pay $3 million in its common shares and $52 million in cash, subject to adjustments for actual debt assumed. The deal also includes a potential first-quarter 2027 earn-out tied to achievement of forecast EBITDA for the full year ending Dec. 31, 2026. Proficient said it is restructuring its debt portfolio alongside the acquisition, including a syndicated equipment-financing facility with capacity of up to $120 million and an expected closing balance of approximately $100 million. The company also placed a seven-year convertible bond with $75 million in face value and obtained a capped call intended to mitigate potential equity dilution. Final terms were expected to be established after the market closed on Aug. 11. At June 30, Proficient had net debt of $62.3 million, representing a net-debt leverage ratio of 2.1 times trailing-12-month adjusted EBITDA of $30.3 million. Equipment capital expenditures were less than $5 million year to date. The company did not repurchase shares during the second quarter as it preserved capital and debt capacity for the acquisition. For the second half of 2026, including the acquisition expected to close in mid-third quarter, Proficient forecast revenue of $350 million to $370 million, an operating ratio near 97%, and EBITDA margins of 8% to 9%. Wright said the outlook assumes limited contribution from transaction synergies during 2026, with benefits expected to begin emerging entering 2027. Proficient Auto Logistics, Inc focuses on providing auto transportation and logistics services in North America. It primarily focuses on transporting and delivering finished vehicles from automotive production facilities, ports of entry, and rail yards to a network of automotive dealerships. The company operates approximately 1,130 auto transport vehicles and trailers, including 615 company-owned transport vehicles and trailers. It serves auto companies, electric vehicle producers, auto dealers, auto auctions, rental car companies, and auto leasing companies. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Proficient Auto Logistics Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management attributes the sequential improvement in Q2 results to stabilizing volume trends and constructive customer discussions regarding fuel surcharge coverage and rate adjustments. The industry is experiencing a shift from a multiyear freight recession to a tightening capacity environment, driven by regulatory actions, driver shortages, and increased recertification requirements. Operating margins improved each month throughout the quarter, culminating in a June operating ratio of 95.7%, which management identifies as the strongest performance of the calendar year. The acquisition of Hansen & Adkins is framed as a strategic move to gain scale, national U.S. footprint, and entry into the Canadian market, where H&A is a top-tier provider. Management notes that rising operating costs, particularly fuel and maintenance, pressured results early in the quarter, creating a temporary cash flow imbalance that self-corrected in July. The combined entity will shift toward a more balanced delivery mix, moving from Proficient's 60% subhaul reliance to a roughly 50/50 split between company-owned assets and third-party capacity. Second half 2026 revenue is forecasted between $350 million and $370 million, assuming the acquisition closes in mid-Q3 and accounts for typical seasonal pullbacks in July and August. Management expects operating ratios to hover around 97% for the remainder of 2026, with meaningful synergy realization and margin expansion projected to begin in 2027. Strategic focus for the next six months will be a methodical integration of Hansen & Adkins, leveraging shared enterprise systems and a combined maintenance network to reduce third-party repair costs. Revenue yield is expected to improve as supply constraints and incentive pricing move the market away from unsustainable low rates toward a more balanced operating environment. The company plans to assess combined fleet assets before determining capital expenditure for the remainder of the year, taking into account existing asset delivery schedules. The Hansen & Adkins acquisition carries an enterprise value of $130 million, comprised of $75 million in assumed equipment financing and $55 million in cash and stock. A new $75 million convertible bond and a $120 million syndicated equipment facility are being established to restructure the combined company's debt portfolio. Management highlighted the Montgomery court ruling as a potential tailwind, suggesting heightened liability exposure may shift demand away from marginal carriers toward established, safety-focused providers. An earn-out provision exists for the first quarter of 2027, contingent on Hansen & Adkins achieving specific EBITDA targets for the full year 2026. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management indicated that while short-term incentives are helping in strained geographies, a full table-set for pricing to outpace inflation is expected by 2027. Scale from the merger is expected to provide greater purchasing power to combat volatile fuel and rising insurance costs. The ruling primarily impacts third-party carriers rather than owner-operators already under the company's liability; management believes their stringent screening mitigates this risk. Increased broker liability insurance costs and regulatory enforcement are expected to continue purging smaller, less scrupulous players from the market. Management is avoiding chasing traditional spot freight to protect long-term customer relationships, instead using 'surge rates' to handle excess demand within contract frameworks. Subhauler volume decreased recently because independent carriers chased higher-dollar opportunistic freight to recoup their own outsized fuel and operating costs. While a sub-90% operating ratio is a long-term goal, management is targeting a move below 95% as synergies are realized in 2027 and 2028. Management noted that at the new combined scale, an operating ratio of 94.8% would generate approximately $1.00 in EPS, while 92.8% would reach $1.50.

JACKSONVILLE, Fla., Aug. 10, 2026 (GLOBE NEWSWIRE) -- Proficient Auto Logistics, Inc. (NASDAQ: PAL) (the “Company” or “Proficient”) today reported its financial results for the three months ended June 30, 2026. Second Quarter 2026 Summary Total Operating Revenue of $109.4 million, decreased (5.3%) from Q2 2025 Total Operating Income (Loss) of ($3.2) million, versus $0.1 million in Q2 2025 Adjusted Operating Income(1) of $0.5 million, versus $3.8 million in Q2 2025 Adjusted Operating Ratio(1) of 99.5% compared to 96.7% in Q2 2025 Total Units delivered of 580,962, a decrease of 8.0% from Q2 2025 Rick O’Dell, Proficient’s Chief Executive Officer, commented, “We believe the auto haul industry is at an inflection point. Regulatory pressures, rising operating costs, and the need to attract and retain drivers are reshaping transportation economics and tightening industry capacity. In the second quarter, higher fuel, equipment, and driver-related costs increased expenses, and while our discussions with customers are progressing constructively, pricing actions generally lagged cost inflation. As rate adjustments began to take effect, margins improved each month, strengthening our margin profile exiting the quarter. As a leading asset-based provider, we continue working closely with customers to support OEM supply chains and navigate these evolving market dynamics.” The Company is providing the below summary unaudited financial information for the three and six months ended June 30, 2026 and 2025. Please refer to footnote 1 in the table for a description of periods included for more recently acquired entities. Summary Unaudited Financial Information (1) Revenue and Profitability (1) Second quarter revenue decreased $6.1 million, or 5.3%, compared to the same quarter of 2025, while total unit deliveries were down 8.0% versus the same period of 2025, as higher fuel surcharge recoveries partially offset lower volumes. While second quarter industry seasonally adjusted annual rate (SAAR) trends improved sequentially and were down less than 1% versus the comparable period of 2025, Proficient’s unit delivery volumes were constrained by reduced available capacity following market exits driven by several quarters of sub-seasonal demand and rate pressure that impacted compensation. Adjusted Operating Ratio of 99.5% in the second quarter compared to 96.7% in Q2 2025, reflecting the impact of cost inflation and capacity limitations, which kept revenue near fixed-cost coverage levels. In addition, claims expense, a portion of which is self-insured, was also higher than expected during the quarter. Balance Sheet The Company ended the second quarter with $8.1 million of cash and $70.4 million of debt (inclusive of $6.7 million drawn against its line of credit). The resulting net debt of approximately $62.3 million as of June 30, 2026, equates to a net leverage ratio of 2.1x when compared to Adjusted EBITDA of $30.3 million for the trailing twelve months. On March 2, 2026, the Company announced that its Board of Directors authorized a share repurchase program under which the Company may repurchase up to $15 million of its common stock. The repurchase program authorizes the Company to purchase its common stock from time to time in the open market, in block transactions, in privately negotiated transactions, through accelerated stock repurchase programs, through option or other forward transactions or otherwise, all in compliance with applicable laws, rules, regulations and other restrictions. As of the end of the second quarter, we have repurchased 82,877 shares of common stock at an average price of $6.25. Hansen & Adkins and Convertible Note Offering Press Release In a separate press release, Proficient today announced that it had entered into a definitive agreement to acquire Hansen & Adkins, which is accessible on the Investor Relations section of the Company’s website at https://ir.proficientautologistics.com/. That press release also announced that Proficient plans to offer $75.0 million aggregate principal amount of convertible senior notes due 2033 (the “notes”) in a private offering (the “offering”) to persons reasonably believed to be qualified institutional buyers in reliance on the exemption from registration provided by Section 4(a)(2) under the Securities Act of 1933, as amended (the “Securities Act”). The net proceeds from the offering will be used to refinance outstanding indebtedness and to pay the premiums in respect of capped call transactions to be entered into in connection with the issuance of the notes. The notes and the common stock issuable upon conversion of the notes, if any, have not been and will not be registered under the Securities Act, or any state securities laws, and unless so registered, may not be offered or sold in the United States except pursuant to an applicable exemption from such registration requirements. This announcement is neither an offer to sell nor a solicitation of an offer to buy any of the notes or any shares of common stock potentially issuable upon conversion of the notes and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale is unlawful. Conference Call and Webcast The Company will host an investor conference call and webcast today at 5:00 p.m. EDT to discuss the acquisition and second quarter 2026 results. Investors are invited to join the conference call by registering through this link: https://register-conf.media-server.com/register/BIdc1702f4dd57497ebad367c5a6615afb. Once registered, investors will receive a dial-in and a unique pin to join the conference. Investors may also join the listen-only Webcast via https://edge.media-server.com/mmc/p/3mqhd9aj. The accompanying presentation materials can be accessed through the Investor Relations section of the Company's website at https://ir.proficientautologistics.com/. About Proficient Auto Logistics Headquartered in Jacksonville, Florida, Proficient Auto Logistics (NASDAQ: PAL) is the leading specialized freight company focused on providing auto transportation and logistics services. Through the combination of nine industry-leading operating companies, including four since IPO debut May 2024, PAL operates the largest auto transportation fleet in North America, offering a broad range of services primarily focused on transporting finished vehicles from automotive production facilities, marine ports of entry, and regional rail yards to auto dealerships around North America. For more information, visit www.proficientautologistics.com. Investor Relations: Brad WrightChief Financial Officer and SecretaryPhone: 904-506-4317email: [email protected] Cautionary Statement Regarding Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which statements involve substantial risks and uncertainties. Forward-looking statements generally relate to possible or assume future results of our business, financial condition, results of operations, liquidity, plans and objectives. You can generally identify forward-looking statements because they contain words such as “may,” “will,” “should,” “expects,” “plans,” “anticipates,” “could,” “intends,” “target,” “projects,” “contemplates,” “believes,” “estimates,” “predicts,” “potential” or “continue” or the negative of these terms or other similar expressions that concern our expectations, strategy, plans or intentions. We have based these forward-looking statements largely on our current expectations and projections regarding future events and trends that we believe may affect our business, financial condition and results of operations. The outcome of the events described in these forward-looking statements is subject to risks, uncertainties and other factors described in the section entitled “Risk Factors” in our Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 31, 2026 (the “Annual Report”), and elsewhere in the Annual Report. Accordingly, you should not rely upon forward-looking statements as predictions of future events. We cannot assure you that the results, events and circumstances reflected in the forward-looking statements will be achieved or occur, and actual results, events or circumstances could differ materially from those projected in the forward-looking statements. Forward-looking statements contained in this press release include, but are not limited to, statements regarding: those related to the offering of the notes and the use of proceeds therefrom and the capped call transactions; the satisfaction of the conditions to the closing of the H&A acquisition in a timely manner; expectations related to synergies, capacity, units moved, geographic footprint and combined company performance; costs related to, and the inability to recognize the anticipated benefits of the acquisition of H&A; risks related to the business of H&A and unexpected liabilities that may arise in connection with the integration of H&A into our business, including our ability to apply our procedures regarding internal controls over financial reporting to H&A; the risk that disruptions from the acquisition will harm our business, including current plans and operations; the diversion of management’s time and attention from ordinary course business operations to integration of H&A; potential adverse reactions or changes to business relationships resulting from the acquisition of H&A; the outcome of any legal proceedings that may be instituted against the Company in connection with our acquisition of H&A; our expectations regarding our future performance, results of operations, and our ability to improve our leverage position and balance sheet; the economic conditions in the global markets in which we operate; expectations and impact related to fuel price volatility; our ability to successfully implement our business strategy, effectively respond to changes in market dynamics and customer preferences, and achieve the anticipated benefits and associated cost savings of such strategies and actions; our ability to recruit and retain qualified driving associates, independent contractors and third-party auto transportation and logistics companies; an increase in the frequency or severity of accidents or other claims; our expectations regarding the successful implementation of our acquisitions; geopolitical developments and additional changes in international trade policies and relations; the effect of any international conflicts or terrorist activities on the United States and global economies in general, the transportation industry, or us in particular, and what effects these events will have on our costs and the demand for our services; our ability to manage our network capacity and cost structure for capital expenditures and operating expenses, and match it to shifting and future customer volume levels; our ability to compete effectively against current and future competitors; our ability to maintain our profitability despite quarterly fluctuations in our results, whether due to seasonality, large cyclical events, or other causes; our ability to adapt to and address changes to the capacity environment, driver compensation and market pricing; our future financial and operating results; our expectations regarding the period during which we will qualify as an emerging growth company under the JOBS Act; and the sufficiency of our existing cash to fund our future operating expenses and capital expenditure requirements. The forward-looking statements made in this document relate only to events as of the date on which the statements are made. We undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made or to reflect the occurrence of unanticipated events. We may not actually achieve the plans, intentions or expectations disclosed in our forward-looking statements and you should not place undue reliance on our forward-looking statements. We do not assume any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Appendix Non-GAAP Financial Measures We report our financial results in accordance with accounting principles generally accepted in the United States (“GAAP”). However, management believes that certain non-GAAP measures, including EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Operating Income, and Adjusted Operating Ratio, provide useful information in measuring operating performance, generating future operating plans and making strategic decisions regarding allocation of capital. Management believes this information presents helpful comparisons of financial performance between periods by excluding the effect of certain non-cash and non-recurring items. EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Operating Income, and Adjusted Operating Ratio do not have a standardized meaning prescribed by GAAP and therefore it may not be comparable to similarly titled measures presented by other companies, and it should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. EBITDA is defined as net income (loss) for the period adjusted for interest expense, income tax expense (benefit) and depreciation expense and intangible amortization expense. Adjusted EBITDA is defined as net income (loss) for the period adjusted for interest expense, net, income tax expense (benefit), depreciation and amortization expense, stock compensation expense and any non-recurring items that management does not consider indicative of ongoing operating performance, including restructuring charges of $1.2 million recorded during the third quarter of 2025 and non-cash goodwill impairment of $27.8 million recorded during the fourth quarter of 2025. Adjusted EBITDA Margin is calculated as Adjusted EBITDA as a percentage of operating revenue. Operating income is calculated as total operating revenue less total operating expenses. Adjusted operating income is calculated as total operating revenue less total operating expenses adjusted to exclude amortization of intangibles, stock compensation expense, and non-recurring items that management does not consider indicative of ongoing operating performance, including restructuring charges of $1.2 million recorded during the third quarter of 2025 and non-cash goodwill impairment of $27.8 million recorded during the fourth quarter of 2025. Operating ratio is calculated as total operating expenses as a percentage of operating revenue. Adjusted operating ratio is calculated as total operating expenses adjusted to exclude amortization of intangibles, stock compensation expense, and any non-recurring items that management does not consider indicative of ongoing operating performance, as a percentage of operating revenue. Adjusted items including restructuring charges of $1.2 million recorded during the third quarter of 2025. Summary Unaudited Financial Information (1)

Proficient Auto Logistics, Inc. (PAL) reported break-even quarterly earnings per share versus the Zacks Consensus Estimate of $0.06. This compares to earnings of $0.07 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -100.00%. A quarter ago, it was expected that this company would post a loss of $0.01 per share when it actually produced a loss of $0.09, delivering a surprise of -800%. Over the last four quarters, the company has surpassed consensus EPS estimates just once. Proficient Auto Logistics, Inc., which belongs to the Zacks Transportation - Services industry, posted revenues of $109.4 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 0.81%. This compares to year-ago revenues of $115.55 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Proficient Auto Logistics, Inc. shares have lost about 23.9% since the beginning of the year versus the S&P 500's gain of 13.3%. While Proficient Auto Logistics, Inc. has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Proficient Auto Logistics, Inc. was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #5 (Strong Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.07 on $108.6 million in revenues for the coming quarter and $0.09 on $419.02 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Transportation - Services is currently in the bottom 28% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, Hub Group (HUBG), has yet to report results for the quarter ended June 2026. This transportation management company is expected to post quarterly earnings of $0.52 per share in its upcoming report, which represents a year-over-year change of +15.6%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Hub Group's revenues are expected to be $935.1 million, up 3.3% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Proficient Auto Logistics, Inc. (PAL) : Free Stock Analysis Report Hub Group, Inc. (HUBG) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

DHL Group Sponsored ADR (DHLGY) came out with quarterly earnings of $1.05 per share, beating the Zacks Consensus Estimate of $0.51 per share. This compares to earnings of $0.41 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +105.88%. A quarter ago, it was expected that this company would post earnings of $0.39 per share when it actually produced earnings of $0.84, delivering a surprise of +115.38%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. DHL Group Sponsored ADR, which belongs to the Zacks Transportation - Services industry, posted revenues of $26 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 8.09%. This compares to year-ago revenues of $22.5 billion. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. DHL Group Sponsored ADR shares have added about 22% since the beginning of the year versus the S&P 500's gain of 13%. While DHL Group Sponsored ADR has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for DHL Group Sponsored ADR was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.47 on $24.35 billion in revenues for the coming quarter and $1.99 on $98.3 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Transportation - Services is currently in the bottom 25% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Proficient Auto Logistics, Inc. (PAL), another stock in the same industry, has yet to report results for the quarter ended June 2026. The results are expected to be released on August 10. This company is expected to post quarterly earnings of $0.06 per share in its upcoming report, which represents a year-over-year change of -14.3%. The consensus EPS estimate for the quarter has been revised 16.7% lower over the last 30 days to the current level. Proficient Auto Logistics, Inc.'s revenues are expected to be $108.53 million, down 6.1% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report DHL Group Sponsored ADR (DHLGY) : Free Stock Analysis Report Proficient Auto Logistics, Inc. (PAL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

The market expects Proficient Auto Logistics, Inc. (PAL) to deliver a year-over-year decline in earnings on lower revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates. The earnings report might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower. While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise. This company is expected to post quarterly earnings of $0.06 per share in its upcoming report, which represents a year-over-year change of -14.3%. Revenues are expected to be $108.53 million, down 6.1% from the year-ago quarter. The consensus EPS estimate for the quarter has been revised 16.67% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For Proficient Auto Logistics, Inc., the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +33.33%. On the other hand, the stock currently carries a Zacks Rank of #5. So, this combination makes it difficult to conclusively predict that Proficient Auto Logistics, Inc. will beat the consensus EPS estimate. While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that Proficient Auto Logistics, Inc. would post a loss of$0.01 per share when it actually produced a loss of -$0.09, delivering a surprise of -800.00%. Over the last four quarters, the company has beaten consensus EPS estimates just once. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Proficient Auto Logistics, Inc. doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Among the stocks in the Zacks Transportation - Services industry, Hertz Global Holdings, Inc. (HTZ), is soon expected to post loss of $0.23 per share for the quarter ended June 2026. This estimate indicates a year-over-year change of +32.4%. This quarter's revenue is expected to be $2.28 billion, up 4.5% from the year-ago quarter. Over the last 30 days, the consensus EPS estimate for Hertz Global has remained unchanged. Nevertheless, the company now has an Earnings ESP of +2.22%, reflecting a higher Most Accurate Estimate. This Earnings ESP, combined with its Zacks Rank #4 (Sell), makes it difficult to conclusively predict that Hertz Global will beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates three times. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Proficient Auto Logistics, Inc. (PAL) : Free Stock Analysis Report Hertz Global Holdings, Inc. (HTZ) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Avis Budget Group (CAR) came out with quarterly earnings of $0.98 per share, missing the Zacks Consensus Estimate of $2.16 per share. This compares to earnings of $0.1 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -54.63%. A quarter ago, it was expected that this car rental company would post a loss of $6.82 per share when it actually produced a loss of $8.01, delivering a surprise of -17.45%. Over the last four quarters, the company has surpassed consensus EPS estimates just once. Avis Budget, which belongs to the Zacks Transportation - Services industry, posted revenues of $3 billion for the quarter ended June 2026, missing the Zacks Consensus Estimate by 2.83%. This compares to year-ago revenues of $3.04 billion. The company has topped consensus revenue estimates two times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Avis Budget shares have added about 27.6% since the beginning of the year versus the S&P 500's gain of 8.3%. While Avis Budget has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Avis Budget was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $9.92 on $3.58 billion in revenues for the coming quarter and $2.91 on $11.93 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Transportation - Services is currently in the top 37% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Proficient Auto Logistics, Inc. (PAL), another stock in the same industry, has yet to report results for the quarter ended June 2026. This company is expected to post quarterly earnings of $0.06 per share in its upcoming report, which represents a year-over-year change of -14.3%. The consensus EPS estimate for the quarter has been revised 16.7% lower over the last 30 days to the current level. Proficient Auto Logistics, Inc.'s revenues are expected to be $108.53 million, down 6.1% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Avis Budget Group, Inc. (CAR) : Free Stock Analysis Report Proficient Auto Logistics, Inc. (PAL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

JACKSONVILLE, Fla., June 01, 2026 (GLOBE NEWSWIRE) -- Proficient Auto Logistics, Inc. (Nasdaq: PAL) (the “Company”) today announced that Rick O’Dell, Chairman and Chief Executive Officer, and Brad Wright, Chief Financial Officer will attend the William Blair Growth Stock Conference on June 2, 2026. During this conference, Messrs. O’Dell and Wright expect to participate in a series of meetings with members of the investment community. The materials used during the meetings will be posted to the Company’s website that day at proficientautologistics.com under “Investor Relations”. The Company also announced that it will host an investor conference call at 5:00 p.m. EDT on Monday, August 10, 2026, to discuss its operating and financial results for the three months ended June 30, 2026. A press release disclosing those results will be issued at approximately 4:00 p.m. EDT on that day. Investors are invited to join the conference call by registering through this link: https://register-conf.media-server.com/register/BIdc1702f4dd57497ebad367c5a6615afb. Once registered, investors will receive a dial-in and a unique pin to join the conference. Investors may also join the listen-only Webcast via https://edge.media-server.com/mmc/p/3mqhd9aj. About Proficient Auto Logistics We are a leading specialized freight company focused on providing auto transportation and logistics services. Through the combination of seven industry-leading operating companies, including two since our IPO in May 2024, we operate one of the largest auto transportation fleets in North America. We offer a broad range of auto transportation and logistics services, primarily focused on transporting finished vehicles from automotive production facilities, marine ports of entry, or regional rail yards to auto dealerships around the country. Investor Relations: Brad WrightChief Financial Officer and SecretaryPhone: 904-506-4317email: [email protected] Forward-Looking Statements This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act, and Section 21E of the Exchange Act, that are subject to risks and uncertainties. Forward-looking statements are often identified by the use of words such as, but not limited to, “anticipate,” “believe,” “can,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “project,” “seek,” “should,” “target,” “will,” “would,” and similar expressions or variations intended to identify forward-looking statements. All statements, other than statements of historical facts, regarding management’s expectations, beliefs, goals, plans or the Company’s prospects should be considered forward-looking statements. Readers are cautioned that actual results may differ materially from projections or estimates due to a variety of important factors, and readers are directed to the Risk Factors identified in the Company’s filings with the SEC, including its most recent Annual Report on Form 10-K, copies of which are available free of charge at the SEC’s website at www.sec.gov or upon request from the Company. The Company may not actually achieve the goals or plans described in its forward-looking statements, and such forward-looking statements speak only as of the date of this press release. Investors should not place undue reliance on these statements. The Company assumes no obligation and does not intend to update these forward-looking statements, except as required by law.

Proficient Auto Logistics’ (NASDAQ: PAL) earnings report and conference call with analysts sounded very similar to others that have been heard this quarter: tough quarter overall, January and February were terrible, March was better and it’s looking good into April and May. The difference is that Proficient’s stock price was pummeled as a result, while others, like RXO (NYSE: RXO), rebounded on the stronger outlook. Proficient’s stock dropped Friday after the earnings release and conference call late Thursday. On Friday, the price fell almost 19%, to $5.95, a decline of 1.39%. At about 2:20 pm EDT Monday, Proficient had rebounded 4.03% to $6.19. However, earlier in the day it had hit its 52-week low of $5.72. It has been a rough ride for Proficient shareholders who held the stock after the company went public. A long slide In August 2020, Proficient stock, according to Yahoo Finance, touched $20 during intraday trading. The gap between that price and Monday’s earlier 52-week low is a decline of more than 71%. On the earnings call, CEO Richard O’Dell’s first comments were about the bad news. “The first two months of the quarter were affected by extended automotive plant shutdowns, weaker-than-expected industry seasonally adjusted annual rate (SAAR for auto sales), severe winter weather and a slow recovery of the rail and sea transportation pipelines that feed our network,” O’Dell said. “These factors constrained volumes and resulted in revenue levels below the comparable periods of 2025 and below comparably higher fixed cost coverage levels with the Brothers acquisition reflected in our 2026 expense base.” Improvement in March But in line with what other transportation-related companies have noted this quarter, “revenue and volume trends improved in March,” O’Dell said. As a result, revenue was only 2% less than a year earlier, he added. “Looking to the second quarter, recent trends indicate more stable volume levels, supported by seasonal strengthening, improved weather, dealer inventory and strong tax refunds,” O’Dell said. O’Dell also said the annual SAAR for April was 16.1 million vehicles, compared to 16.3 million in March, both a healthy number. Some of the data comparisons year-over-year were positive, even as sequential numbers took a hit. Total deliveries, both by company drivers and subhaulers, were up 1.5% from a year ago, with company deliveries up 14.3% and subhaulers down 4.8%. But deliveries were down 13.5% sequentially from the fourth quarter. The growth in company deliveries is part of the company’s strategic plan to bring more business in house. But revenue per unit was down 1.8% year-on-year for company deliveries and down 4.3% for subhaulers. That figure rose slightly from the fourth quarter, up 2.9% for company deliveries and 2.7% for subhaulers. OR exceeds 100% The worst number was in operating ratio: it deteriorated to 103.4% for the first quarter, compared to 98.7% a year earlier and 98.6% sequentially. O’Dell echoed a theme heard from other trucking executives this earnings season: capacity is tightening even in the fairly niche market of auto transportation. “The rebound in volumes in March and April made capacity tightening more evident, exposing underlying supply loss that had previously been less visible,” O’Dell said. “Supply losses appear to be driven by a combination of factors, including financial pressure from low volume, compounded by relatively weaker rates, increased relative scrutiny or regulatory scrutiny and driver migration towards other forms of trucking as the broader trucking rates have improved.” More than with most trucking companies, Proficient spoke openly about the “headwinds” created by fuel surcharges. While the anomalies of surcharges mean that it can benefit some trucking companies beyond passing higher pump prices down to the shipper, Proficient appears to have been negatively impacted by the rise in retail diesel. Impact of higher fuel O’Dell put a number on it: higher fuel prices had a $1 million hit on the company’s profitability in the first quarter. (It wasn’t clear what measure of profitability O’Dell was referring to. Proficient had EBITDA of $4.47 million in the quarter, for an EBITDA margin of 4.8%, and a net loss of $8.3 million before income taxes. The operating loss was $3.17 million). He said the lag between changes in the fuel surcharge and what was paid to secure those supplies hurt Proficient. “In Q1, fuel started to increase markedly in March,” O’Dell said. “And because the indexes that set the fuel surcharge don’t reset until the beginning of April, we were paying out real-time fuel costs during the month of March that didn’t have a comparable increase in the reimbursement.” O’Dell spelled out how Proficient sees a shift in the market that can benefit auto haulers. What he described as “third party capacity” would be pulled from contracted markets, as it moves toward higher levels in the spot market. Those contracts at lower-priced numbers, in turn, according to O’Dell, “have struggled to secure consistent capacity when seasonal volume returns and in several instances leading to a redistribution at market-level economics.” He added that situation “is clearly a turning point in the auto haul market.” Amy Rice, the company’s president and COO, said that change in market structure was not opening the door to new business opportunities for Proficient, as it mostly has stuck with what it already had on the books. She said spot business was less than 5% across Proficient’s activities in the quarter, “so it continues to be a very small portion of the portfolio.” Proficient said the company’s estimate on second quarter revenue is between $105 million and $110 million. First quarter revenue before fuel surcharge revenue was $86.2 million. Second quarter 2025 revenue was $115 million, though Proficient executives said on the call that the 2025 numbers were inflated by “pull forward” activity by auto buyers trying to get ahead of tariffs. More articles by John Kingston Motus steps up: what carriers need to know about new FMCSA ystem Moody’s cuts Wabash rating third time in a year, execs eye ‘27 rebound ORBCOMM pulls in new financing, replaces all publicly-traded debt The post Proficient’s 1Q earnings: tough quarter, better 2Q ahead, stock takes a dive appeared first on FreightWaves.