Shares of Forward Air Corporation (FWRD) soared 18.71% in pre-market trading on Thursday following the release of its third-quarter 2025 earnings report and updates on its strategic alternatives review process.

The company reported consolidated EBITDA of $78 million for the quarter, slightly up from $77 million in the previous quarter, demonstrating consistent performance despite challenging market conditions. Forward Air's management highlighted several key factors contributing to the positive results:

1. Strong performance in the OmniLogistics segment: Revenue increased by $12 million sequentially to $340 million, with EBITDA rising from $30 million to $33 million, representing a 22% year-over-year increase. The segment's margin improved to 9.6%, showcasing the success of the company's diversification strategy.

2. Resilient Expedited Freight segment: Despite a challenging freight environment, the segment maintained a strong EBITDA margin of 11.5%, the second highest since 2023. This was achieved through improved pricing programs and active management of discretionary expenses.

3. Ongoing strategic alternatives review: CEO Shawn Stewart confirmed that the review process is still active, with discussions involving multiple interested parties. The thorough evaluation of potential sale, merger, or other financial transactions has attracted additional inbound inquiries, contributing to the extended duration of the review.

4. Operational improvements: The company's One Ground Network initiative and technology stack rationalization are expected to drive further efficiencies and cost savings. These efforts, combined with disciplined cost management, have helped maintain consistent EBITDA performance despite market headwinds.

Investors appear optimistic about Forward Air's ability to navigate the prolonged freight recession and the potential for value creation through strategic alternatives. The pre-market surge reflects growing confidence in the company's operational execution and future prospects.