Great. Thanks, thanks us the to And on today. Jason. with everyone call that's
outline to and Our more took to a insights in during intent color in little self-help giving quarter, we adding through. be the measures work is the of continue step story the to our we corrective detailed results, to that the next
the later alternative. our of but even we’ll that tough in in stated and allocated our both, each impacted to cost during color and near-term the organizational our market fourth additional contract quarter. more supply-demand their business rates freight items spend difficult soft in effect remained imbalance of this of affected peers. the quarter release, severely of I enhance our we pressured by give and our quarter in resulted market the spot results were lowest market XXXX. those the will the during experiencing call. some during portions our of long-term, As spot The than changes meaningfully on expect I large to opportunities shippers pressures, freight the for Adding the Market market you a
into conditions. we market the we always Before the indication some quarter, like current get of to give you
important have in we all abundance a sign the marketplace. readily over seen has XX Demand as in own to in there weaker softer seasonally watch recovery of and inflicted an dynamic. been last demand expectations critical XXXX. demand to of the from available has related Just throughout low reflected signals is rate One theme market data, be returning days, rationalization which is be the tracking will generally And capacity to capacity encouraging balance rates. positively the the EDI turndown measure, our very of seems of
in quarter see big fourth heavy as we quite were believe lower was cadence the now activity we on to back rates But, normalizing trying reset the base. a somewhat. Bid shippers
up of is the slightly completed in setting Just under over are quarter, decade. annual last to looking “normal only truckload a first be bids than which one-third the our higher year”, back
into get bit. I'd now, So, results a the to like
our a of in reduction segment and results little the headwinds addressed rate earlier. Trucking the side, that bit really flow-through On market-wide Jason of are a the expense story
in and sourced of spot less alone freight rate or down is per of $X.XXX an mile. that in reduction noted respectively the was rates Trucking percentage rate we than while impact than we approximately XX% an trucking where in of As to per quarter of year-over-year reduction mix XXXX, accounted for last and roughly our XXXX. this that we the improvement kept segment are spot our revenue The And not the continued fourth quarters fourth the million $X environment, that in ideal, that operating we partially release, quarter loaded contract our X% it freight of X.X% -- we in had because manner. freight was in The kept me, rate over had And on sourced market. X%. XX% is have have disproportionate spot via about excuse income rates. of out XX%, our in the rate, reliance couple percentage Historically, lower by driven mile
XXXX This we addressed at length through challenge team's we work both was and focus. mostly created in have ways, and of two throughout which which good our discussed
control. customer our partially first realization. is freight way is in The This award
winning percentage customers realization process, do the we hovered but the in awarded that single When and of hurts won that to don't was get choices model. tendered lot our bid XX% freight tendered day, as with what a long. of have had And freight business between throughout year XX% We it XXXX. was all every we a
our in year our a service our we engagement organization especially developing help focused on points challenge, with We where XXXX added team with To mitigate members at with was culture intensely and our sustain this sales a Solutions, and Capacity USAT team to contact customers. create customers.
executive Our level ever person cadence team a saw internal service performance. customers to and accountability for our customer in than more shifted daily business
with respect The combated we and participation to for spot second the that competitively intensity. heightening by spot to compared the freight XXXX, doubled rates low issue bid we XXXX. way and amount realization In when is we of need rate our freight and bid that
the The loads For are lanes that improving We an fun. the increase activity was freight be per expressed the the But, the Company's Capacity now when XXXX; public reaching network a million set. as bid never our loads with industry. broad Solutions, positions XXX% network. that top the we in imperatives. rate result to targeted always reflects that of We the that design the have rate a million reduction XXXX peer clear, It's team with industry. by at intent bid our impacted lowest in entire to that's mile to reminder, some on the moves of one the perspective, price opportunity in market for of bid perennially increase. USAT was comport And XX.X remainder took in from bid the rate in was loaded driven X.X
utilization in ever. earlier. industry are our partially with in than The capacity is in the clear revenue Jason rates we We by the therefore by to will move not now we the environment. decrease more expanding that peers Our the plan current was that improvement year-over-year be discussed want mode adding trucks. to of not offset had tend That
utilization, ahead While forward pleased and know there utilization more we is we look opportunity improvement. further in that are to improves,
X% market. XXX basis spot our showing trucks from discipline percentage despite We also our almost our deadhead points, loads keep improved coming to in our again, network of the
in segment our performance included results near these highlights the the we interdependency two dedicated light as challenging market performance. Davis resources, at of include points. performance best-in-class both Trucking the but Some quarter in have tractor, despite This trucking ray in segment the These and levels. provides Transfer the our trailer in are driver business both important and performed businesses
proxy that is consistently we as This consider earns almost volatile as toughest in improve regionalization, execution perfect which and and performed dedicated creates business And second first in rates traction, The environments. and visibility, produce times that results. the accessible exactly provides for, it Davis returns. near insulation segment a gain can our XXXX. the ownership, returns that be will in to and so profits, continues even well as did focus acceptable to All-in-all, business the
terms, margins challenges down logistics. This capacity price over points plain being that Now, for was down frankly freight. tough down environment, was was quarter with have contribution money Jason seen. in broad-based in XXX volumes between market negative our fourth and to mentioned just on volume The a gross the we of margin. the more loss period couldn't industry. were challenges direct basis tightest was load that losing in which lower are the revenue our We impact In broader the particularly and the margin had costs moved eliminate the The per price year-over-year. and turning year. choice to support justify quarter as experienced business, market freight and and ever was spread we an XX% the logistics in leader to at was that choice Faced intentional made indicative
move critical options. freight the unprofitable is a mass customers between this us for convinced of are We in strategy where right that quickly gaining lower market not cost
in a sources market over to by this set. brokers soft our typical XX% And count side the are have that market some doubt to is in brokers realize And measured and the grown to there have space come that XX,XXX brokers there irrational or in well. licensed which studied capacity believe are many supply, have down seeing excess By per a and as the come generally we supply number have licensed side We the we available number today, closely demand of issue outside there have brokerage and market of is cases in XXXX, creates that demand exacerbated load issues. estimates, i.e. in since markets loads been that what while the the also hypercompetitive, competitor has documented no is competing tractor.
that means? We oversupply, what about competitors in demand this low more and have ever Think than low-margin environment.
gain see And hold they relevant so, market. the really lower to supply-demand two relationships where transaction costs opportunities mass remain approaches balances out. critical is preserve with distinct One, equation to that margin this and any second backdrop, exist, the develop we at cost; until to fast
bit of profit because both why have like wrestle and question it. don't to path. option of first is with pig? the The or the you headroom pursue us to get a pig that And the likes a is the don't answer dirty funding time-honored We you course,
we're to freight. going relationships leverage and execution lowering current we'll on market those which increasing from to capacity networks We costs, able front. freight mining this improves logistics cold So, improving taking be is profitable the with profitable as latter focused believe to say forward we're existing our path, competencies garner efficiency,
artificial tech use strategy to outside Some with models cost. and That of transaction to on third-party intelligence providers. lowers this and the firms. technology for to carriers These the learning to doing we're first, things freight match firms the capacity optimize include, partnering experience execute continuous automatically use
so carriers. money, This they third and on be they When carrier efficiency can focused for profitable. networks. improving party to code The we. meaningful second the effective We're are bringing thing options network base, insights are and so more is making we're is for capacity creating
to freight in presence our we We're increase where finally, of adding focus intend to I needs, here, other value intensity And isn't at than say high-touch to touch supply so much too are some there freight. don’t really higher profitable. efforts want good here. low chains
enterprise the are to deteriorate. used in approximately cost premiums mentioned headwinds million in of results quarter continues earlier, Add $X part additional quarter. alone equipment our I cost the story which impact market, too. that of resulted the of to As Insurance fourth
depreciation Our the impairment million for $XXX,XXX. $X.X than more alone in cost combined loss Those on accounted sale two and us accelerated items quarter.
we improvement about to want I during the that the throughout of talk Now, some the made investments quarter internal and year.
this right in As we we effected amplify we decisions the that the self-help market in These the in are noted the markets that the fit in in investment release, organizational Capacity ensure ongoing USAT our our enhance the term. some we business the changes and that in our will are Solutions. tough resources, the on expect for returns. effect wholeheartedly We of to people, quarter and turnaround long requires down when market approach believe business, to time, even race,
Here things are of the some we're doing.
regionalization. The first is
our conversion continue to our accretive regional each months, We centers network. our become believe of to contributors next business. over We to a XX regionalized can XX the
all four the of During we quarter, leaders. onboarded our regional fourth
release we adding leaders. You out might third building processes. our training focused regional all four on one recall and in that added a goal those people of improving them. the regional operational quarter And our of of We had teams, they're
second we is technology. in are The thing doing
tech release, our in As both capabilities to TMS, upgrading we strategic invested ELD enhance platform, forces Logistics. we integrates system with and in that best-in-class and in we operational a our deploying mentioned in tracking joined our our partners existing USAT with
control. headwind. to X% staff an the is We of of plan essential of our market reduction offset quarter had in cost part significant our approximately non-driver control a is in support Cost help force Third in XXXX. the operating
converting exactly, than less than one peers. our to We cash, of the quicker shy than into the best sharing the say it's away our maintains XX industry, team other days. of from receivables number financial Additionally, our most in DSOs
reduced XX our We ages also years X.X tractors last X.X average gives indicated, some us over months, the which to the flexibility. from of Jason as years
improvement. process operational Next,
is that of Trucking this our regional project effort that to will the is out our fundamentally the sense change which will midst process a regionalization integrated in in is USA operate. in centers. segment improvement franchised This way institutionalize way, effect, Our we an all-encompassing the Truck in
immense work. made tedious It creating value We have training, providing documenting, this and is governance change. progress but and rewarding managing defining,
our all on driver become driver managing six focused And result finally, quarter, intentional a advocate team first quarter the expect in the the drivers outbound which was driver of and months. retention. deployed This the calling in in We We're to through which team retention. cadence we XXX% is of continue. improved turnover, the interactions the community, has and
ahead consider we pricing gap market, our per So, state competitors per look week. of market is our this as aspirations revenue the most tractor and competitive, is performance, utilization while and meaningful not. the And our our between is
doing we the been we why, appropriate to so, van And drivers. are for even not solo and carrier. we And tractor question it? Historically, solo dry about per get becomes, have have what able a revenue been
accelerating we path us revenue our a this truck. are too. recovers, And create future. Company before things its will call this we've so, years own always I the ready for toward fit the but we point we've on for if last can been have we're discussed and market gotten utilization the over to getting and It ton race. per our three the on Many thus everything of done has a say where help now getting that intent
per spirit, all meaningful per January of more on while trucking small compared in new month-to-date items at of the the tractor leadership that full utilization And in foregoing than miles January was leader. XXXX. of quarter fourth when our utilization under our quarter we truck The implications first the impact quarter, of week, business. XXXX, a to have available had In exciting XXX had but on the is our
And provide on Our per per as We we load XXXX I presentation. utilization, specific subsequent will the which can profitable on but you follows. guidance slide for believe in ways in will focus growth. areas here, logistics revenue in on and se back can report plan quarters, count are XXXX, tractor of eight focus this won't we increase find available
first the managing The addition of week standardized we on is We governance. available the by create run talked through of existing and fleet. utilization load revenue an about training per processes the tractor end our rate basis per a velocity, earlier, believe $XXX I increasing year on can improving in
that per increasing second and It had performance We've create on size week presence can are our small operation for years, achieved growing year. end the believe utilization. the trucks. and per through is metrics across industry thing many we competitive truck will team be team expected we're in and an available fleet revenue We in we fleet but revenue. additional a now The key of $XXX by the those
is The network thing third optimization.
at we XX% the over Our improved Solutions. self-help Capacity network has since journey in density USAT began here
per have the and at of extensively in quarter revenue by our of cycle and the end in the power improvements additional are an in tractor hub, now discussed earnings our network targeted week targeted market where We lanes year. already we last $XX bid call, the phase per will which XXXX provide robust
to business. intend we dedicated Next, our grow
terms, the back will segment. We on part because trucking of percentage not this is absolutes report growth
business down and markets. provides grow given in expect and up it we We virtues discussed this least earlier the XX% in insulation the at XXXX, to
in so big and driver cost improving already expect drive could savings cost results. as much This as load Next, add is opportunity count. $XXX,XXX a logistics that And retention. finally, initiative we savings,
the We margin mid toward teens. to while gross performance continue will percentage grow back load count driving
I'd just conclude the now, talk outlook to remarks a bit here. about my So, like and
have for the the been we performance made And us. goal. of with progress all toward the challenges priority despite that As along, closing competition high said XXXX, a gap we has all
XXXX, Solutions full degraded points. trucking OR by XXXX basis from USAT adjusted XXX downturn a to During the last freight Capacity
results said basis definitely that only points. improvement getting we that and Capacity trends. as to OR our we would thesis we repeatedly, it's are but an believe we race, cycle, remains this unique more This outlook. as should operating trucking should working ever. lend is We're our to drive USAT that opportunity room by about We materially adjusted asset improve future our utilization, the that, we And place credibility our happy story doing service reduce transportation. identity than and costs, not self-help for to make have During said Solutions’ a improve to real do in has to outlined, in now story in and fit that improve what we our but degraded XXX the is improve a
first bid new trucking year. heightened somewhat dynamics last do. the we activity anticipate have finally what bid our of facilities three opened point revenue on been like. in half these will at quarter. the exactly XX% voice full our week, in customer lower see first we And available we quarter, traction. journey. control. plan half outlined on perspective, in XXXX. Network we As in be We are manifest today said several We've the take per to while our to the lead look of actions some always XXXX as fully the still months into go has right will gain its look the We the in that higher facility what begin here are excited last base to improve should half like network. elements effect the tractor and and XX we we would of and market to us will logistics a We and the we very gain heart will tender first in fourth a it in of for the notwithstanding second in the the XXXX year Regionalization this freight that from said better an reach of earnings cost out-of-route potential, consistent firsthand to is XXXX read strategic believe their done time improvement it and OR, utilization, higher XXXX close themselves plan the our once year implement of
our and pressure this So, happen have be thing clear of will in have what One rate we we that. the performance does, relative market far it's matter to XXXX. much what is as terms judged improve are and the relative since we our not just that thus about done the of capacity in timing arrived market though, expect to clear because will no to team of
accomplish. USAT marks was to proud in that where here has this three since of appointed and today, our here what but lot XXth team are it I We at Solutions, of outlined a Capacity time I'm January CEO years so and the was for Company almost the sustained accomplished about to ahead must part not measure. of well in create it take any stakeholders. is results of and is more our profitability by work We most XXXX relative And opportunity yet, important done. our
the making are will already right great highest once the that. investing lost advised is wrote see we're has until over clear and We're our when are world portraying areas that career, was in The He be in early at advancing. expects impactful deferring, defer I investments merely Clay honored not that we to, will indications rewards you now that “If early XXXX near an Clay. years But able he energy areas hope to the to the too week. are but Company. He what return. to beyond. late”. that you with chances you know make later in that him we it this yield Christensen one was are I and your acquaintance last an was me, progress team time right my made be I to And and need
Florida the in will side Jason to conferences sell attending the FYI, quick a as of week be XXth. Just South
If or schedule Lane invite Jason, Q&A please the might with Chad have you're time you we'd call. you to session, feel after that schedule free him. there, to to Otherwise, for questions further contact a
that, for questions. turn with you So, to Jason, it I'll back
