Moody's Downgrades Odyssey Logistics Rating Amid Weak Freight Market

Moody's has downgraded Odyssey Logistics' debt rating to B3 from B2, citing a weak freight market. The company's Corporate Family Rating, probability of default rating, and senior secured first lien bank credit were all cut. Moody's expects Odyssey's financial leverage to remain above 7X debt/EBITDA through the end of the year. The downgrade is a sign of Moody's concern about the company's economic fortunes.

Moody's Ratings has downgraded Odyssey Logistics' debt rating to B3 from B2, reflecting concerns about the company's economic fortunes in the face of a weak freight market. The downgrade, announced on September 12, 2025, impacts Odyssey's Corporate Family Rating, probability of default rating, and senior secured first lien bank credit, all of which have been reduced to B3 from B2 Moody’s cuts Odyssey rating amid weak freight market^[1].

The downgrade comes despite Odyssey's efforts to implement cost-saving initiatives and maintain solid commercial opportunities. Moody's expects Odyssey's financial leverage to remain above 7X debt/EBITDA through the end of the year, indicating a high level of financial risk. This elevated debt ratio is a key factor in the ratings agency's decision to lower the rating Moody’s cuts Odyssey rating amid weak freight market^[1].

The weak freight market has significantly reduced Odyssey's earnings compared to prior years. Moody's anticipates that Odyssey's net revenue and EBITDA will be down in the low-single digit percentage range this year compared to 2024. The ratings agency expects net revenue and earnings growth to return in 2026, driven by improved pricing and realized cost efficiencies Moody’s cuts Odyssey rating amid weak freight market^[1].

S&P Global Ratings had previously downgraded Odyssey's rating to B- in June 2025, a move that Moody's has now mirrored. The stable outlook on Odyssey's rating since August 2022 has been maintained despite the downgrade, indicating that Moody's does not foresee a further deterioration in the company's financial condition in the near term Moody’s cuts Odyssey rating amid weak freight market^[1].