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GREENEVILLE, Tenn. - Forward Air Corporation (NASDAQ:FWRD), currently trading at $19.48, announced changes to its Board of Directors following the company’s 2025 Annual Meeting of Shareholders. George Mayes has resigned from the Board, while Javier Polit and Laurie Tucker, despite receiving majority shareholder support, have voluntarily stepped down to allow the Board to focus on operations, transformation, and strategic alternatives review. According to InvestingPro analysis, these changes come as the company faces significant operational challenges, with the stock down nearly 42% over the past six months.
The Board has been reduced to eight directors, with six being independent. All current directors have been appointed since January 2024 as part of a refreshment process. Jerome Lorrain has been named Executive Chairman and Paul Svindland appointed as Lead Independent Director. InvestingPro data reveals the company operates with a significant debt burden, with a debt-to-equity ratio of 13.92, highlighting the importance of strong leadership during this transitional period.
Shareholders also approved several other proposals including the company’s 2025 Omnibus Incentive Compensation Plan, the 2025 Non-Employee Director Stock Plan, an advisory resolution on executive compensation, the appointment of KPMG LLP as the independent registered public accounting firm, and the reincorporation from Tennessee to Delaware.
Lorrain brings over 30 years of logistics and transportation industry experience, having previously served as Chief Operating Officer of CEVA Logistics. Svindland has three decades of industry experience and currently serves as Chairman of STG Logistics, where he was Chief Executive Officer from February 2020 to April 2025.
Forward Air describes itself as an asset-light provider of transportation services across North America, offering expedited less-than-truckload services, truckload brokerage, and intermodal services. Despite generating $2.5 billion in revenue over the last twelve months, InvestingPro analysis shows the company faces profitability challenges, with analysts anticipating continued headwinds this year. For detailed insights and additional ProTips about Forward Air’s financial health and future prospects, investors can access the comprehensive Pro Research Report, available exclusively on InvestingPro.
The information in this article is based on a company press release statement.
In other recent news, Forward Air Corporation’s first-quarter 2025 adjusted EBITDA surpassed expectations, with results ranging from $54 million to $59 million, compared to a prior consensus of approximately $62 million. Analysts from Stifel acknowledged the company’s solid performance, although they lowered the price target for Forward Air to $21 while maintaining a Hold rating. Jefferies analyst Stephanie Moore also revised the price target from $45 to $35, retaining a Buy rating, highlighting the company’s successful pricing adjustments and cost reductions. Despite positive financial outcomes, Jefferies adjusted EBITDA forecasts for 2025 and 2026 due to trade and macroeconomic uncertainties.
Additionally, shareholder discontent is growing, with Lakeview Investment Group and Ancora Holdings Group withholding support for the reelection of certain directors at Forward Air’s upcoming annual meeting. This stance is supported by proxy advisory firms Glass Lewis & Co. and Institutional Shareholder Services Inc., who recommend voting against the reelection of three board members. Irenic Capital Management also plans to vote against legacy directors, citing past actions that bypassed shareholder authority.
Forward Air’s management aims to double the company’s revenue to $5 billion within five years, requiring a compound annual growth rate of 15%. Analysts have noted challenges in achieving this target, amid ongoing strategic reviews and increased shareholder pressure. Forward Air has not publicly responded to the recent criticisms and recommendations from shareholders and advisory firms.
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