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Heartland Express Returns to Profitability in Q3 Amid Capacity Tightening

Heartland Express posted its first quarterly profit since 2023, driven by stronger freight demand and improved customer pricing as industry capacity continues to tighten. The North Liberty, Iowa-based carrier reported third-quarter net income of $1 million, or 1 cent per share, reversing an $8.3 million loss in the year-ago period. Quarterly revenue declined 9% year-over-year to $179.5 million. Revenue was 15% lower year-over-year excluding fuel surcharges. The company's adjusted operating ratio improved 590 basis points to 97.6%, though fuel, maintenance and labor costs remained pressures. CEO Mike Gerdin cited ongoing contract negotiations as a tailwind, though the company does not expect full financial benefits until 2027. Heartland reduced net debt by $21 million during the quarter to $73 million, continuing equipment investments and shareholder returns. The carrier generated $55 million in operating cash flow through the first nine months of 2026.