Saia (NASDAQ:SAIA) Releases Earnings Results, Beats Expectations By $0.11 EPS

Key Points

• Saia exceeded third-quarter expectations: EPS was $3.41 versus the $3.30 consensus, while revenue rose 17% year over year to a record $982.5 million. Tonnage increased 8.9% and adjusted EPS grew 21.4%.
• Management reported operational improvements and a constructive outlook: Network investments improved service, cargo claims and transit times, while the company expects better-than-usual seasonal margin deterioration in the fourth quarter and continued expansion into 2027.
• Shareholder returns are increasing, but cost pressures remain: Saia authorized up to $250 million in share repurchases, supported by more than $240 million in year-to-date free cash flow, though labor and operating costs, weaker fuel-excluded yield and underperforming newer terminals continue to pressure profitability.

Saia (NASDAQ:SAIA - Get Free Report) issued its earnings results on Thursday. The transportation company reported $3.41 EPS for the quarter, topping analysts' consensus estimates of $3.30 by $0.11, FiscalAI reports. The firm had revenue of $982.45 million for the quarter, compared to the consensus estimate of $966.98 million. Saia had a return on equity of 10.21% and a net margin of 8.19%. The company's revenue was up 17.0% compared to the same quarter last year. During the same quarter in the prior year, the business earned $2.81 earnings per share.

Here are the key takeaways from Saia's conference call:

• Record third-quarter results: Revenue rose 17% to $982.5 million, tonnage increased 8.9%, operating income grew 17.5%, and adjusted diluted EPS increased 21.4% to $3.41. The 87.6% operating ratio was stable year over year despite typically unfavorable seasonal trends.
• Network investments and the REV initiative are improving service and density. Saia reported record-low cargo claims of 0.3%, a 15% increase in internal Net Promoter Score, improved handling efficiency, and faster transit times across more than 2,000 lanes.
• Management expects fourth-quarter operating-ratio deterioration from Q3 to be roughly 200 basis points, better than the historical 250–300 basis-point seasonal increase, implying more than 200 basis points of year-over-year improvement. Executives also see continued margin expansion into 2027 as newer terminals gain density.
• The board authorized up to $250 million in share repurchases, supported by more than $240 million of year-to-date free cash flow, $203 million in cash, only $100 million of debt, and moderating capital expenditures as the major network buildout concludes.
• Profitability remains exposed to mix and cost pressures. Heavier shipments increased network complexity and contributed to a 2.2% year-over-year decline in fuel-excluded yield, while wages, health insurance, purchased transportation, and fuel expenses continued to rise; newer terminals also remain below company-average profitability and the Los Angeles region remained weak.

Saia Price Performance

Shares of SAIA traded up $10.07 during trading hours on Thursday, hitting $334.69. 477,084 shares of the stock were exchanged, compared to its average volume of 462,365. The stock's 50-day moving average price is $342.66 and its two-hundred day moving average price is $387.73. Saia has a 12-month low of $249.32 and a 12-month high of $494.71. The company has a debt-to-equity ratio of 0.04, a quick ratio of 1.58 and a current ratio of 1.58. The company has a market cap of $8.93 billion, a price-to-earnings ratio of 32.25, a price-to-earnings-growth ratio of 2.68 and a beta of 2.19.

Analyst Ratings Changes

Several research firms have commented on SAIA. UBS Group lowered their price objective on Saia from $527.00 to $504.00 and set a "buy" rating on the stock in a research report on Friday, July 31st. Sanford C. Bernstein assumed coverage on shares of Saia in a research note on Thursday, September 10th. They issued an "outperform" rating and a $439.00 target price for the company. Barclays lowered their price target on shares of Saia from $500.00 to $475.00 and set an "overweight" rating on the stock in a report on Friday, July 31st. Evercore upgraded shares of Saia from an "in-line" rating to an "outperform" rating in a research report on Wednesday, July 1st. Finally, Bank of America reaffirmed a "buy" rating on shares of Saia in a report on Friday, September 4th. Fourteen investment analysts have rated the stock with a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $437.58.

Trending Headlines about Saia

Here are the key news stories impacting Saia this week:

• Positive Sentiment: Q3 earnings and revenue exceeded expectations. Saia reported diluted EPS of $3.41, above the roughly $3.30-$3.31 analyst consensus, while revenue reached a record $982.5 million versus estimates near $967 million. Revenue increased 17% year over year, and adjusted EPS rose from $2.81 in the prior-year quarter. Saia Q3 Earnings and Revenues Top Estimates
• Positive Sentiment: Operating performance and freight volumes remained strong. Record LTL tonnage per workday increased 8.9%, shipments per workday rose 0.8%, and LTL revenue per shipment excluding fuel surcharges increased 5.8%. Year-to-date free cash flow exceeded $240 million, supporting continued network investment and shareholder returns. Saia Reports Third Quarter 2026 Results
• Positive Sentiment: Saia authorized up to $250 million in share repurchases. The buyback signals management confidence in cash generation and could support per-share results, although the timing and amount of purchases will depend on market conditions. Saia Authorizes a Buyback Plan
• Neutral Sentiment: Board expertise was expanded. Todd C. Fowler, a transportation, logistics, capital-markets and autonomous-trucking specialist, joined Saia’s board and its Audit Committee. The appointment may strengthen strategic and capital-allocation oversight, but its financial impact is not immediate. Saia Appoints Todd Fowler to Board
• Negative Sentiment: Profitability metrics showed some pressure. The operating ratio worsened to 87.6% from 85.9% a year earlier, indicating expenses grew faster than revenue. LTL revenue per hundredweight excluding fuel surcharges declined 2.2%, while planned 2026 net capital expenditures of approximately $350 million remain substantial.

Saia Company Profile

Saia, Inc is a transportation and logistics company headquartered in Johns Creek, Georgia. Through its primary subsidiary, Saia LTL Freight, the company provides less-than-truckload transportation, moving palletized and other freight shipments that do not require a full trailer. Its services include standard and time-definite delivery, expedited transportation, guaranteed services, and shipment tracking.

Saia also provides non-asset-based logistics services through Saia Logistics Services, which helps customers arrange freight transportation using third-party carriers.

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