# Knight-Swift Transportation (KNX) — Financial Analysis

**Exchange:** NYSE  
**Coverage as of:** 2026-Q2  
**Updated:** 2026-05-29  
**Tier:** Free primer (step 2 of 19)  
**Sibling pages:** /stocks/KNX/thesis · /stocks/KNX/memo

## Financial Snapshot

---
source: coverage-next-full
ticker: KNX
step: "04"
title: Financial Snapshot — 3-Year P&L Summary
created: 2026-05-29
---

### Step 04 — Financial Snapshot

#### Income Statement Summary (FY2021–FY2023)

| Metric | FY2021 | FY2022 | FY2023 |
|--------|--------|--------|--------|
| Total Revenue | $5,026M | $7,337M | $7,044M |
| Fuel Surcharge Revenue | ~$640M | ~$1,200M | ~$920M |
| Operating Revenue (ex-fuel surcharge) | ~$4,386M | ~$6,137M | ~$6,124M |
| Cost of Transportation (variable) | ~$2,900M | ~$4,200M | ~$4,200M |
| Gross Profit | ~$2,126M | ~$3,137M | ~$2,844M |
| Gross Margin | 42.3% | 42.8% | 40.4% |
| SG&A + D&A | ~$1,650M | ~$1,930M | ~$2,307M |
| Operating Income | ~$476M | ~$1,207M | ~$537M |
| Operating Margin | 9.5% | 16.5% | 7.6% |
| Interest Expense | ~$75M | ~$95M | ~$160M |
| Pre-tax Income | ~$401M | ~$1,112M | ~$377M |
| Income Tax | ~$100M | ~$270M | ~$90M |
| Effective Tax Rate | 25.0% | 24.3% | 23.9% |
| Net Income (GAAP) | ~$301M | ~$842M | ~$287M |
| Net Income (adjusted) | ~$350M | ~$900M | ~$387M |
| Diluted Shares Outstanding | ~162M | ~162M | ~162M |
| GAAP Diluted EPS | ~$1.86 | ~$5.20 | ~$1.77 |
| Adjusted Diluted EPS | ~$2.16 | ~$5.56 | ~$2.39 |

*Note: Adjusted figures exclude amortization of intangibles from acquisitions, certain one-time items. FY2022 was the peak earnings year.*

#### Key Profitability Metrics

| Metric | FY2021 | FY2022 | FY2023 |
|--------|--------|--------|--------|
| Operating Ratio (TL) | ~88% | ~82% | ~92% |
| EBITDA | ~$1,200M | ~$1,850M | ~$1,350M |
| EBITDA Margin | 23.9% | 25.2% | 19.2% |
| Adjusted EBITDA Margin | ~24% | ~26% | ~21% |

**Operating Ratio (OR)** is the primary profitability metric in trucking — expenses divided by revenue (lower = better). KNX's OR worsened from ~82% at cycle peak to ~92% at cycle trough. Best-in-class TL carriers (Werner dedicated) can sustain ~88–89% OR through the cycle; ODFL maintains ~71% OR in LTL.

#### Operating Expense Detail (FY2023 Estimate)

| Expense Category | Amount | % of Revenue |
|-----------------|--------|--------------|
| Salaries, Wages & Benefits (drivers + staff) | ~$2,300M | ~33% |
| Fuel (net of surcharge) | ~$750M | ~11% |
| Purchased Transportation (IC payments) | ~$800M | ~11% |
| Depreciation & Amortization | ~$800M | ~11% |
| Operating Supplies & Expenses | ~$350M | ~5% |
| Insurance & Claims | ~$220M | ~3% |
| SG&A (overhead) | ~$290M | ~4% |
| Other | ~$850M | ~12% |
| **Total Expenses** | **~$6,507M** | **~92.4%** |

Driver wages represent the largest single cost bucket, followed by fuel. Insurance & claims have risen industry-wide due to nuclear verdicts in trucking litigation.

#### Segment Financial Summary (FY2023)

| Segment | Revenue | Operating Income | OR |
|---------|---------|-----------------|-----|
| Truckload | ~$5,200M | ~$390M | ~92.5% |
| LTL | ~$900M | ~($10M) | ~101% |
| Logistics | ~$600M | ~$60M | ~90% |
| Intermodal | ~$290M | ~$20M | ~93% |
| Corporate/Other | N/A | ~$77M loss | N/A |

*LTL segment operating loss reflects integration costs, ramp-up period, and purchase accounting from Yellow acquisitions.*

#### Balance Sheet Highlights (FY2023)

| Item | Amount |
|------|--------|
| Cash & Equivalents | ~$350M |
| Total Current Assets | ~$1,400M |
| Net PP&E (tractors, trailers, terminals) | ~$5,200M |
| Goodwill & Intangibles | ~$4,800M |
| Total Assets | ~$12,500M |
| Total Current Liabilities | ~$1,100M |
| Long-term Debt | ~$3,200M |
| Total Equity | ~$6,500M |
| Book Value per Share | ~$40 |

The goodwill/intangibles balance (~$4.8B) reflects the 2017 merger premium plus subsequent acquisitions. Tangible book value per share is materially lower than stated book value.

#### Cash Flow Statement (FY2023)

| Item | Amount |
|------|--------|
| Operating Cash Flow | ~$1,050M |
| CapEx (net of proceeds) | ~($900M) |
| Free Cash Flow | ~$150M |
| FCF Margin | ~2.1% |
| Acquisitions | ~($200M) |
| Share Repurchases | ~($250M) |
| Dividends | ~($80M) |

FCF was suppressed in FY2023 by high CapEx (fleet replacement) even as earnings declined. The company continued returning capital via buybacks even during the downcycle, which some view as shareholder-friendly but others view as ill-timed given leverage.

#### Financial Health Assessment

**Strengths:**
- Revenue scale provides operating leverage in a recovery
- $350M cash + ample revolver availability
- Operating cash flow remains solidly positive even at cycle trough

**Weaknesses:**
- FCF yield is thin at cycle trough (~1–2% of market cap)
- LTL integration costs pressuring near-term margins
- Elevated debt load from acquisition activity
- High D&A from asset-intensive model limits reported FCF vs. true economic earnings

## Deeper Financial Analysis

The fundamental tier ($1.00) adds 8 dimensions not included here:

- Revenue Breakdown — segment revenue, geographic mix, product-line margins
- Financial Trends — QoQ momentum, leading indicators, inflection points
- Balance Sheet — debt structure, dilution risk, working capital dynamics
- Capital Allocation — ROIC, buyback cadence, reinvestment efficiency
- Earnings Analysis — beats/misses, guidance vs actuals, transcript highlights
- Competitive Positioning — market share, pricing power, peer benchmarks
- Industry Context — TAM, sector tailwinds/headwinds, regulatory backdrop

**API endpoint:** GET /api/v1/research/KNX/fundamental

## Navigation

- Overview: /stocks/KNX
- Financials (this page): /stocks/KNX/financials
- Thesis: /stocks/KNX/thesis
- Investment Memo: /stocks/KNX/memo
- Coverage universe: /stocks