Gains from equipment sales save Heartland’s Q2
Gains from equipment sales allowed truckload carrier Heartland Express to return to profitability in the second quarter. Heartland ( NASDAQ: HTLD ) reported net income of $10.6 million, or 14 cents per share, for the period. That compared to a net loss of 14 cents per share in the year-ago quarter. However, the turnaround was entirely tied to a $22-million year-over-year increase on gains from equipment sales (a 22-cent-per-share tailwind at a normalized tax rate). The North Liberty, Iowa-based company culled its fleet size by strategically disposing underutilized equipment. “We expect to continue to dispose of excess trailers within our fleet as used equipment market conditions improve,” the company said in a news release. Table: Heartland Express’ key performance indicators Revenue totaled $184 million in the quarter, a 13% y/y decline. Excluding fuel surcharges, revenue was down 18% y/y. Heartland does not host a quarterly call, nor does it provide operating metrics for utilization and pricing. The company reported an 88.3% adjusted operating ratio (inverse of operating margin ). However, the OR was closer to 103% without the outsized gains. “The improved financial results delivered reflect stronger freight volumes and improved customer pricing resulting from ongoing industry capacity reductions along with reduced operating costs and strategic disposals of under-utilized assets,” said CEO Mike Gerdin. SONAR: Outbound Tender Rejection Index (OTRI.USA) for 2026 (blue shaded area), 2025 (yellow line), 2024 (green line) and 2023 (pink line). A proxy for truck capacity, the tender rejection index shows the number of loads being rejected by carriers. Current tender rejections show a tight truckload market. To learn more about SONAR, click here . SONAR: National Truckload Index ( linehaul only – NTIL.USA) for 2026 (blue shaded area), 2025 (yellow line), 2024 (green line) and 2023 (pink line) . The NTIL is based on an average of booked spot dry van loads from 250,000 lanes. The NTIL is a seven-day moving average of linehaul spot rates excluding fuel. Rates remain significantly higher on a y/y comparison in July. Operating cash flows totaled $36 million in the first half of the year. Heartland reduced net debt by $33 million in the period to $73 million. It ended the quarter with $89 million available on an untapped revolving credit facility and was in compliance with financial covenants. An average tractor age of 2.3 years was down from 2.6 years in the year-ago quarter. Shares of HTLD were down 1.6% at 12:42 p.m. EDT on Friday compared to the S&P 500, which was up 0.4%. Why it matters? The story shows how impactful gains on asset sales can be on a truckload carrier’s financial results. More FreightWaves articles by Todd Maiden: Schneider National pushes price amid market imbalance Saia’s Q3 margin guidance disappoints investors XPO’s Q2 earnings beat expectations behind strong LTL performance Upcoming FreightWaves Events Compliance Brokerage Compliance Symposium The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry. October 26, 2026 The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now Awards F3 Awards Dinner The night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room. October 26, 2026 The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now FreightTech F3: Future of Freight Festival Industry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals. October 27, 2026 – October 28, 2026 The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now Compliance Brokerage Compliance Symposium Oct 26 • The Signal at Chattanooga Choo Choo • Chattanooga, TN The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry. The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now Awards F3 Awards Dinner Oct 26 • The Signal at Chattanooga Choo Choo • Chattanooga, TN The night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room. The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now FreightTech F3: Future of Freight Festival Oct 27 – Oct 28 • The Signal at Chattanooga Choo Choo • Chattanooga, TN Industry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus th