What covenant transport solutions does

Covenant Logistics Group, Inc. (NYSE: CVLG), operating commercially as Covenant Transport Solutions, is a U.S. transportation and logistics services company headquartered in Chattanooga, Tennessee and incorporated in Nevada. Founded in 1986, the company operates a combined asset-based and asset-light portfolio that includes expedited and dedicated truckload, regional truckload, managed transportation (freight brokerage and capacity solutions), warehousing and distribution center management, and port and drayage services. The integrated fleet comprises approximately 2,400 tractors across the Expedited (861) and Dedicated (1,539) segments as of Q3 2025, with sub-brands and acquired operations including Star Logistics, Sims Transport, Landair, Lew Thompson & Son Trucking (acquired April 2023), and AAT Carriers (acquired Q1 2022).

The company generates revenue through a mix of transaction-based freight charges (expedited, regional, port & drayage), recurring dedicated contract carriage at contractual rates, and managed-service fees for transportation management, warehousing, and distribution center operations. Pricing is quote-based and customized per customer; the Rate2Ship self-service portal offers free instant LTL freight quotes with paid freight execution, complemented by MercuryGate TMS integration for load management. Go-to-market combines direct enterprise sales for large shippers, inside sales for mid-market accounts, and the self-service digital funnel for SMB LTL volume. Customer verticals span paper and packaging, food and beverage (including cold chain via Lew Thompson), consumer goods, industrial manufacturing, retail, and healthcare.

Q2 2025 set a record quarterly freight revenue of $276.5 million, up 7.8% year-over-year, against a 2022 baseline of over $1 billion in annual freight revenue. The company is led by Chairman and CEO David R. Parker, President Paul Bunn (promoted January 2023), and CFO Tripp Grant. A controlling-shareholder structure (Parker family) and an active $50 million share repurchase program authorized in April 2025 are notable governance and capital-allocation features.

Name

covenant transport solutions

Legal name

Covenant Logistics Group, Inc.

Website

https://covenant-solutions.com

Company type

Public

Founded year

1986

Operating status

Operating

Short description

Covenant Logistics Group (NYSE: CVLG) is a U.S. asset-based and asset-light transportation and logistics provider offering expedited and dedicated truckload, managed transportation, warehousing, and port & drayage services to enterprise and mid-market shippers across six verticals.

Ownership category

akta.pro rank

Product category

Truckload Transportation and Logistics Services

NAICS

Freight Transportation Arrangement (488510), Freight Transportation Arrangement (48851)

SIC

Arrangement Of Transportation Of Freight & Cargo (4731), Trucking & Courier Services (No Air) (4210), Trucking (No Local) (4213)

akta.pro primary industry

Truckload (TL) Freight Brokerage (TLADAMAB)

akta.pro secondary industries

Pool Distribution / Multi-Stop LTL Carriers (TLADAEAF), Intermodal Drayage TL Carriers (Port/Rail Ramp Drayage) (TLADADAF)

Keywords

• Truckload transportation services
• Freight brokerage solutions
• Dedicated contract carriage
• Warehousing distribution management
• Managed transportation services

Headquarters

HQ city

Chattanooga

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Operations, Supply Chain, Infrastructure, Technology or R&D, Marketing or Sales

Revenue model

1. Expedited Truckload: Asset-based expedited truckload capacity services providing time-sensitive transportation solutions. Revenue generated through freight charges per mile and per shipment.
2. Dedicated Contract Carriage: Asset-based dedicated truckload capacity under contract for specific customers. Provides consistent capacity at contractual rates with dedicated equipment and drivers.
3. Managed Transportation: Asset-light transportation management services including freight brokerage, capacity solutions, and transportation coordination. Manages freight across multiple carriers.
4. Warehousing & Distribution: Distribution center management and warehousing services including distribution center management, value-added logistics, and inventory management.
5. Port & Drayage: Port and rail drayage services for containerized freight at major ports.
6. Regional Truckload: Regional truckload services for shorter-haul transportation needs.

Pricing tiers

Go-to-market motion2 records

Distribution channels3 records

Marketing channels3 records

Core offering

Covenant Transport Solutions provides asset-based and asset-light transportation and logistics services across the United States, including Expedited Truckload, Dedicated Contract Carriage, Regional Truckload, Managed Transportation (freight brokerage), Warehousing, Distribution Center Management, and Port & Drayage. It complements these physical services with the Rate2Ship self-service digital portal for instant LTL rate comparison, carrier selection, and shipment visibility, integrated with MercuryGate TMS for load execution.

Product overview

Covenant Transport Solutions operates as a comprehensive logistics and transportation provider offering both asset-based and asset-light services. The portfolio consists of asset-based expedited and dedicated truckload capacity through Expedited Truckload and Dedicated Contract Carriage, asset-light warehousing, transportation management, and freight brokerage via Managed Transportation and Warehousing, complemented by regional services (Regional Truckload, Capacity Solutions, Port & Drayage). The company provides digital tools including Rate2Ship (online LTL quoting portal), Load Tracking, and Tariff Info. The family of brands includes Star Logistics, Sims Transport, and acquired company Lew Thompson & Son Trucking. Services span industries including Paper & Packaging, Food & Beverage, Consumer Goods, Industrial Manufacturing, Retail, and Healthcare.

Differentiator

Problem solved

Functional benefit

Brands

• Rate2Ship: Online LTL quoting tool and self-service shipping portal within Covenant's platform for instant less-than-truckload freight rate comparison, execution, and shipment visibility.
• Landair

Products and services

• Expedited Truckload Time-sensitive truckload transportation services with expedited delivery capabilities for urgent shipments, provided asset-based through Covenant's owned tractor fleet.
• Dedicated Contract Carriage Asset-based dedicated trucking services providing dedicated fleet capacity with contracted rates, equipment, and drivers for specific customers or routes.
• Regional Truckload Regional truckload capacity services for shorter-haul transportation needs within specific geographic areas.
• Capacity Solutions Truckload capacity services providing access to resources, quality equipment, and capacity through Covenant's assets as well as negotiation leverage and expansive purchasing power.
• Managed Transportation Asset-light transportation management services including freight brokerage and overflow capacity coordination for the Expedited fleet.
• Distribution Center Management Expert logistics expertise in engineering data-driven, continuous improvement solutions for distribution center operations including value-added logistics and inventory management.
• Port & Drayage Port and drayage logistics services for container and freight movement at major U.S. ports and rail connections.
• Warehousing Asset-light warehousing services providing distribution and storage capabilities, including new facility startups with existing customers.
• Rate2Ship LTL Quoting & Booking Portal Secure online LTL quoting tool within the Covenant Self-Service Portal that centralizes rate comparison, carrier selection, shipment execution, and real-time visibility. Provides instant LTL freight rates from Covenant's trusted carrier network in seconds.

Quantifiable outcome

• 99% on-time performance rate for key automotive customer achieved by Lew Thompson & Son Trucking leadership
• +1 more outcomes

Named customers2 records

Segments6 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

AI capability2 records

Feature2 records

Partnerships

Three partnerships are on record, tiered core and major.

• Optimus TechnologiescoreStrategic or Co-development PartnerCovenant became the first for-hire fleet to deliver freight using near-zero carbon emission alternative fuel through partnership with Optimus Technologies. This partnership focuses on near-zero carbon freight solutions using alternative fuel technology.
• DHLmajorStrategic or Co-development PartnerCovenant was named DHL's Managed Transportation Sustainability Carrier of the Year, recognizing outstanding sustainability performance in managing transportation services for DHL.
• Rate2Ship Carrier NetworkcoreTechnology or IntegrationRate2Ship platform provides access to Covenant's trusted carrier network for LTL freight shipping, allowing customers to compare rates from multiple carriers.

Scale indicators6 records

Recent moves7 records

Expansion highlights5 records

Direct peers

• Knight-Swift Transportation Holdings: NYSE-listed asset-based truckload and LTL operator with combined truckload, dedicated, logistics (brokerage), and intermodal service lines. Most directly comparable to Covenant on asset-based + asset-light hybrid model and scale (~15,000+ tractors vs. Covenant's ~2,400).
• Werner Enterprises: Mid-cap public TL and Dedicated carrier (WERN) with a logistics segment (One-Way and Dedicated truckload, plus brokerage). Closely comparable revenue mix of Dedicated, Expedited/One-Way, and asset-light logistics, with similar fleet scale.
• Schneider National: Large public Truckload, Dedicated, Intermodal, and Logistics provider (SNDR). Similar portfolio breadth (asset-based intermodal/dedicated + brokerage logistics) with much larger scale.
• Heartland Express: Asset-based irregular-route TL carrier (HTLD) operating across regional and national lanes. Highly comparable on expedited/regional long-haul service profile, though smaller than Covenant on dedicated and brokerage exposure.
• Hub Group: Asset-light intermodal and logistics provider (HUBG) with significant drayage and brokerage services. Directly comparable on the Port & Drayage and Managed Transportation lines of Covenant's portfolio.
• Landstar System: Asset-light truckload broker and agent-based carrier (LSTR). Complements Covenant's asset-light Managed Transportation business model with a similar non-asset orientation; comparable on the freight-brokerage side of the book.
• ArcBest: Public asset-based + asset-light freight operator (ARCB) combining truckload with LTL and logistics. Closely comparable on the asset-based-plus-asset-light template Covenant runs, including LTL exposure.
• RXO, Inc. Asset-light freight transportation and last-mile provider (RXO), focused on truckload brokerage and managed transportation. Closely comparable to the asset-light Managed Transportation segment at Covenant.

Broad incumbents

• J.B. Hunt Transport Services: Large public multi-segment freight provider (JBHT) spanning Dedicated, Intermodal, Truckload, and Integrated Capacity Solutions. Operates broadly in the same space with overlapping capabilities but at materially larger scale than Covenant.

Emerging players

• Saia Inc. Pure-play LTL carrier (SAIA) that competes with Covenant's LTL/Landair offering. More narrowly focused on LTL but directly comparable on the LTL portion of Covenant's services.

Market position

Strengths5 records

Weaknesses4 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

• LinkedInlinkedin.com/company/covenant-transport-solutions

Revenue estimate

Valuation estimate

Number of profiles

Profiles4 records

Subsidiaries7 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about covenant transport solutions