Financial Data and Key Metrics Changes - Consolidated revenue for the third quarter was $1 billion, a slight decrease year over year [15] - Non-GAAP operating income from continuing operations was $50 million, down from $55 million last year [15] - Adjusted earnings per share were $1.46, down from $1.64 in the third quarter of 2024 [15] Business Line Data and Key Metrics Changes - The asset-based segment reported third-quarter revenue of $726 million, representing a 2% increase on a per-day basis [15] - Daily shipments in the asset-based segment grew by 4%, while weight per shipment decreased by 2% [16] - The asset-light segment achieved third-quarter revenue of $356 million, with shipments per day reaching a record high, up 2.5% year over year [18][19] Market Data and Key Metrics Changes - Daily shipments in October grew 1% year over year, while weight per shipment decreased by 2% [17] - The company expects an operating ratio increase of approximately 400 basis points sequentially for the fourth quarter due to market softness [18] Company Strategy and Development Direction - The company is focused on a long-term strategy built on growth, efficiency, and innovation, with a commitment to understanding customer needs [4][5] - Long-term financial targets include improving the non-GAAP operating ratio to 87%-90% and achieving non-GAAP EPS in the range of $12-$15 by 2028 [13] - The company is strategically investing in technology and process improvements to enhance productivity and reduce costs [12][22] Management's Comments on Operating Environment and Future Outlook - Management noted ongoing softness in the freight environment but expressed confidence in the company's ability to navigate challenges and drive growth [15][22] - The company anticipates that improvements in the housing market and interest rate reductions could spur demand in 2026 [76] - Management emphasized a focus on disciplined execution and strategic investments to position the company for future growth [22] Other Important Information - The company returned over $66 million to shareholders through share repurchases and dividends in the first nine months of 2025 [21] - The board increased the company's share repurchase authorization to $125 million, indicating confidence in the long-term strategy [21] Q&A Session Summary Question: Insights on Q4 guidance and potential impacts - Management acknowledged softness in October, attributing it to multiple factors including government shutdown impacts and seasonal trends [26][27] Question: Expectations for operating ratio and pricing dynamics - Management indicated that while the operating ratio is expected to increase, they are focused on controlling costs and improving pricing strategies [32][33] Question: Capacity dynamics and potential for price recovery - Management noted that there is currently excess capacity in the LTL space but expects pricing to improve as the market inflects due to strategic investments [40][41] Question: Volume decline and its cyclical versus structural nature - Management believes the volume decline is more cyclical, with strong customer retention despite reduced shipping volumes [46][47] Question: Insights on housing market demand - Management sees continued weakness in the housing market but anticipates that interest rate reductions could spur demand in 2026 [76][77] Question: Market share gains and service challenges - Management highlighted the effectiveness of their commercial team in gaining market share, despite some service challenges [79][80]