Forward Air Corp. (NASDAQ:FWRD) Q4 2018 Earnings Conference Call Transcript

Feb 08, 2019 • 09:00 am ET


Forward Air Corp. (NASDAQ:FWRD) Q4 2018 Earnings Conference Call Transcript


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Thank you for joining Forward Air Corporation's Fourth Quarter 2018 Earnings Release Conference Call. Before we begin, I'd like to point out that both the press release and webcast presentation for this call are accessible on the Investor Relations section of Forward Air's website at

With us this morning are CEO, Tom Schmitt; and CFO, Mike Morris. By now, you should have received the press release announcing our fourth quarter 2018 results, which was furnished to the SEC on Form 8-K and on the wire yesterday after the market close.

Please be aware that during this conference call, we will be making forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements, among others, regarding the Company's outlook for the first quarter and fiscal year of 2019 and those forward-looking statements identified in the presentation.

These statements are based on current information and our current expectations. As such, they are subject to risks and other factors that may cause actual operations and results to differ materially from the results discussed in the forward-looking statements.

For additional information concerning these risks and factors, please refer to our filings with the Securities and Exchange Commission, and the press release and webcast presentation relating to this earnings call. The Company undertakes no obligation to update any forward-looking statements whether as a result of new information, future events or otherwise.

And now I'll turn the call over to Tom Schmitt, CEO of Forward Air.

Thomas Schmitt

Thank you, Stacey. and good morning to all of you on the call. Before Mike here highlights our record results, let me give you a snapshot after my first five months here with Team Forward Air.

Before starting here in September, I was told I would find great people, rock solid operations and lots of untapped upside. Now it's five months later and I know what I was told was actually correct. I did have no oh, surprise moments yet. And so we went to work when I got here in September and set out three priorities together.

The first one is obvious to finish 2018 strong and together as a team we did on nearly every dimension that matters, financials and most importantly actually safety. Our overall accident rate was down 20% last year with a big drop in severity. More work to do but a significant step in truly living a safety culture.

The second priority we set out was achieving a solid profitable growth year in 2019 and we are one-month in, obviously, and we are executing. Yes, we do have some headwinds of slowing growth and at the same time, we are pulling all the levers to make sure we actually make up and even compensate or overcompensate for any headwinds that we face. Good example, or perfect example is actually revenue management, which we have started to go into in a very, very precise significant rigorous way. People like great value as a company through our exceptional service. And