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OPERATING SEGMENT DATA (Tables)

9 Months Ended

Sep. 30, 2024

OPERATING SEGMENT DATA

Schedule of reportable operating segment information from continuing operations


		Three Months Ended						Nine Months Ended
		September 30						September 30
		2024			2023			2024			2023

		(in thousands)
REVENUES
Asset-Based		$	709,722		$	741,186		$	2,093,914		$	2,161,018
Asset-Light			385,324			419,312			1,177,504			1,267,220
Other and eliminations			(31,922)			(32,148)			(94,044)			(90,330)
Total consolidated revenues		$	1,063,124		$	1,128,350		$	3,177,374		$	3,337,908

OPERATING EXPENSES
Asset-Based
Salaries, wages, and benefits		$	358,469		$	357,582		$	1,056,146		$	1,037,725
Fuel, supplies, and expenses			79,170			91,493			243,152			276,678
Operating taxes and licenses			13,538			13,865			40,624			41,938
Insurance			19,819			13,654			51,265			39,816
Communications and utilities			4,793			4,729			14,004			14,586
Depreciation and amortization			26,967			26,537			80,620			76,721
Rents and purchased transportation			73,600			79,233			209,586			271,899
Shared services			69,463			70,699			206,622			209,780
(Gain) loss on sale of property and equipment and lease impairment charges⁽¹⁾			(1,688)			540			(1,630)			905
Innovative technology costs⁽²⁾			—			7,300			—			21,711
Other			1,571			731			3,257			3,640
Total Asset-Based			645,702			666,363			1,903,646			1,995,399

Asset-Light
Purchased transportation			331,107			365,217			1,014,476			1,078,482
Salaries, wages, and benefits⁽³⁾			30,150			31,193			91,490			98,688
Supplies and expenses⁽³⁾			2,702			2,625			8,279			9,159
Depreciation and amortization⁽⁴⁾			5,037			5,097			15,154			15,250
Shared services⁽³⁾			17,547			16,218			51,118			49,232
Contingent consideration⁽⁵⁾			(91,910)			(17,840)			(80,740)			(12,800)
Lease impairment charges⁽⁶⁾			—			14,407			—			14,407
Other⁽³⁾			5,912			6,099			17,704			19,417
Total Asset-Light			300,545			423,016			1,117,481			1,271,835

Other and eliminations⁽⁷⁾			(18,116)			(6,120)			(50,026)			(37,692)
Total consolidated operating expenses		$	928,131		$	1,083,259		$	2,971,101		$	3,229,542

(1)	The three and nine months ended September 30, 2023 include a $0.7 million noncash lease-related impairment charge for a service center.

(2)	Represents costs associated with the freight handling pilot test program at ABF Freight, for which the decision was made to pause the pilot during third quarter 2023.

(3)

For the three and nine months ended September 30, 2023, certain expenses have been reclassed to conform to the current year presentation, including amounts previously reported in “Shared services” that were reclassed to present “Salaries, wages, and benefits” expenses in a separate line item, and certain immaterial facility rent expenses which were reclassed between line items.

(4)	Depreciation and amortization includes amortization of intangibles associated with acquired businesses.

(5)	Represents the change in fair value of the contingent earnout consideration related to the MoLo acquisition (see Note B).

(6)	Represents noncash lease-related impairment charges for certain office spaces that were made available for sublease.

(7)	For the three and nine months ended September 30, 2023, “Other and eliminations” includes $15.1 million of noncash lease-related impairment charges for a freight handling pilot facility.


		Three Months Ended						Nine Months Ended
		September 30						September 30
		2024			2023			2024			2023

		(in thousands)
OPERATING INCOME (LOSS) FROM CONTINUING OPERATIONS
Asset-Based		$	64,020		$	74,823		$	190,268		$	165,619
Asset-Light⁽¹⁾			84,779			(3,704)			60,023			(4,615)
Other and eliminations⁽²⁾			(13,806)			(26,028)			(44,018)			(52,638)
Total consolidated operating income		$	134,993		$	45,091		$	206,273		$	108,366

OTHER INCOME (COSTS) FROM CONTINUING OPERATIONS
Interest and dividend income		$	3,130		$	3,946		$	9,686		$	10,604
Interest and other related financing costs			(2,281)			(2,236)			(6,587)			(6,768)
Other, net⁽³⁾			862			89			(28,118)			6,907
Total other income (costs)			1,711			1,799			(25,019)			10,743
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES		$	136,704		$	46,890		$	181,254		$	119,109

(1)	Includes the change in fair value of the contingent earnout consideration related to the MoLo acquisition (see Note B).

(2)	For the three and nine months ended September 30, 2023, “Other and eliminations” includes $15.1 million of noncash lease-related impairment charges for a freight handling pilot facility.

(3)

The nine months ended September 30, 2024 includes a noncash impairment charge to write off the Company’s equity investment in Phantom Auto, as previously discussed. The nine months ended September 30, 2023 includes a $3.7 million fair value increase related to the Company’s investment in Phantom Auto, based on an observable price change during second quarter 2023 (see Note B).

Schedule of revenues from customers and intersegment revenues


		Three Months Ended						Nine Months Ended
		September 30						September 30
		2024			2023			2024			2023

		(in thousands)
Revenues from customers
Asset-Based		$	677,537		$	709,126		$	2,000,671		$	2,073,101
Asset-Light			384,125			417,744			1,173,327			1,261,703
Other			1,462			1,480			3,376			3,104
Total consolidated revenues		$	1,063,124		$	1,128,350		$	3,177,374		$	3,337,908

Intersegment revenues
Asset-Based		$	32,185		$	32,060		$	93,243		$	87,917
Asset-Light			1,199			1,568			4,177			5,517
Other and eliminations			(33,384)			(33,628)			(97,420)			(93,434)
Total intersegment revenues		$	—		$	—		$	—		$	—

Total segment revenues
Asset-Based		$	709,722		$	741,186		$	2,093,914		$	2,161,018
Asset-Light			385,324			419,312			1,177,504			1,267,220
Other and eliminations			(31,922)			(32,148)			(94,044)			(90,330)
Total consolidated revenues		$	1,063,124		$	1,128,350		$	3,177,374		$	3,337,908

Schedule of consolidated operating expenses by component


		Three Months Ended						Nine Months Ended
		September 30						September 30
		2024			2023			2024			2023

		(in thousands)
OPERATING EXPENSES
Salaries, wages, and benefits		$	455,685		$	456,022		$	1,348,491		$	1,342,123
Rents, purchased transportation, and other costs of services			369,785			410,436			1,121,241			1,255,753
Fuel, supplies, and expenses⁽¹⁾			109,017			122,552			330,676			368,432
Depreciation and amortization⁽²⁾			36,611			37,141			109,720			107,962
Contingent consideration⁽³⁾			(91,910)			(17,840)			(80,740)			(12,800)
Lease impairment charges⁽⁴⁾			—			30,162			—			30,162
Other⁽¹⁾			48,943			44,786			141,713			137,910
		$	928,131		$	1,083,259		$	2,971,101		$	3,229,542

(1)	For the 2023 periods, certain facility rent expenses have been reclassed between line items to conform to the current year presentation. Adjustments made are not material.

(2)	Includes amortization of intangible assets.

(3)	Represents the change in fair value of the contingent earnout consideration related to the MoLo acquisition (see Note B).

(4)	Represents noncash lease-related impairment charges for a freight handling pilot facility, a service center, and office spaces that were made available for sublease.