<PAGE>   1

                                 UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                   FORM 10-Q

    [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
        EXCHANGE ACTION OF 1934 - FOR THE QUARTERLY PERIOD ENDED JUNE 30, 1997

                                     or

    [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES 
        EXCHANGE ACT OF 1934 - For the transition period from _________________
        to _____________________

        Commission File Number:    0-22276


                             ALLIED HOLDINGS, INC.
-------------------------------------------------------------------------------
             (Exact name of registrant as specified in its charter)


         GEORGIA                                            58-0360550
-------------------------------------------------------------------------------
(State or other jurisdiction of                (I.R.S. Employer Identification
incorporation or organization)                  Number)


            SUITE 510, 160 CLAIREMONT AVENUE, DECATUR, GEORGIA 30030
-------------------------------------------------------------------------------
                    (Address of principal executive offices)


                                 (404) 373-4285
-------------------------------------------------------------------------------
              (Registrant's telephone number, including area code)

-------------------------------------------------------------------------------
              (Former name, former address and former fiscal year,
                         if changed since last report)

         Indicate by check mark whether the registrant (1) has filed all
reports required to be filed by Section 13 or 15(d) of the Securities Exchange
Act of 1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days. [X] Yes [ ] No

Outstanding common stock, No par value at August 1, 1997..............7,810,000

               TOTAL NUMBER OF PAGES INCLUDED IN THIS REPORT: 12


<PAGE>   2




                                     INDEX

                                     PART I

                             FINANCIAL INFORMATION
<TABLE>
<CAPTION>
                                                                                                 PAGE
<S>                                                                                               <C>
ITEM 1:           FINANCIAL STATEMENTS

           Consolidated Balance Sheets as of June 30, 1997 and
               December  31,  1996. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     3

           Consolidated Statements of Operations for the Three
               and Six Month Periods Ended June 30, 1997 and 1996 . . . . . . . . . . . . . .     4

           Consolidated Statements of Cash Flows for the Six
               Month Periods Ended June 30, 1997 and 1996 . . . . . . . . . . . . . . . . . .     5

           Notes to Consolidated Financial Statements . . . . . . . . . . . . . . . . . . . .     6


ITEM 2

           Management's Discussion and Analysis of Financial
               Condition and Results of Operations . . . . . . . . . . . . . . . . . . . . .      8
</TABLE>


                                    PART II

                               OTHER INFORMATION

<TABLE>
<S>                                                                                              <C>
ITEM 4

           Submission of Matters to a Vote of Security
               Holders . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     10
                                                                                                   
ITEM 6                                                                                             
                                                                                                   
           Exhibits and Reports on Form 8-K . . . . . . . . . . . . . . . . . . . . . . . . .    11
                                                                                                   
           Signature Page . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    12
</TABLE>

                                       2
<PAGE>   3


                     ALLIED HOLDINGS, INC. AND SUBSIDIARIES

                          CONSOLIDATED BALANCE SHEETS
                                 (IN THOUSANDS)

<TABLE>
<CAPTION>
                                                                                  JUNE 30       DECEMBER 3
                                                                                    1997           1996   
                                                                               -----------     -----------
                                                                               (UNAUDITED)                
                                     ASSETS                                                               
<S>                                                                              <C>          <C>        
CURRENT ASSETS:                                                                                           
            Cash and cash equivalents                                            $  4,409     $   1,973   
            Short-term investments                                                  8,821         8,520   
            Receivables, net of allowance for doubtful accounts                    28,325        22,673   
            Inventories                                                             4,215         4,096   
            Prepayments and other current assets                                   14,254        11,940   
                                                                                 --------     ---------   
                                   Total current assets                            60,024        49,202   
                                                                                 --------     ---------   
                                                                                                          
PROPERTY AND EQUIPMENT, NET                                                       126,364       132,552   
                                                                                 --------     ---------   
                                                                                                          
OTHER ASSETS:                                                                                             
            Goodwill, net                                                          33,800        22,081   
            Notes receivable due from related parties                                 573           573   
            Other                                                                   7,933         6,675   
                                                                                 --------     ---------   
                                   Total other assets                              42,306        29,329   
                                                                                 --------     ---------   
                                   Total assets                                  $228,694     $ 211,083   
                                                                                 ========     =========   
                                                                                                          
                      LIABILITIES AND STOCKHOLDERS' EQUITY                                                
                                                                                                          
CURRENT LIABILITIES:                                                                                      
            Current maturities of long-term debt                                 $  8,248     $   2,275   
            Trade accounts payable                                                 12,910        15,872   
            Accrued liabilities                                                    37,433        30,347   
                                                                                 --------     ---------   
                                   Total current liabilities                       58,591        48,494   
                                                                                 --------     ---------   
                                                                                                          
LONG-TERM DEBT, LESS CURRENT MATURITIES                                            96,986        93,708   
                                                                                 --------     ---------   
                                                                                                          
POSTRETIREMENT BENEFITS OTHER THAN PENSIONS                                         3,557         3,621   
                                                                                 --------     ---------   
                                                                                                          
DEFERRED INCOME TAXES                                                               8,700         7,487   
                                                                                 --------     ---------   
                                                                                                          
OTHER LONG-TERM LIABILITIES                                                           703         1,064   
                                                                                 --------     ---------   
                                                                                                          
STOCKHOLDERS' EQUITY:                                                                                     
            Common stock, no par value; 20,000 shares authorized,  7,810                                  
                        shares outstanding                                              0             0   
            Additional paid-in capital                                             43,657        43,657   
            Retained earnings                                                      18,186        14,475   
            Foreign currency translation adjustment, net of tax                    (1,074)         (743)  
            Unearned compensation                                                    (612)         (680)  
                                                                                 --------     ---------   
                                   Total stockholders' equity                      60,157        56,709   
                                                                                 --------     ---------   
                                   Total liabilities and stockholders' equity    $228,694     $ 211,083   
                                                                                 ========     =========   
</TABLE>

             The accompanying notes are an integral parts of these
                         consolidated balance sheets.

                                       3


<PAGE>   4



                     ALLIED HOLDINGS, INC. AND SUBSIDIARIES

                     CONSOLIDATED STATEMENTS OF OPERATIONS
                     (IN THOUSANDS, EXCEPT PER SHARE DATA)
                                  (UNAUDITED)
<TABLE>
<CAPTION>

                                                             FOR THE THREE MONTHS ENDED        FOR THE SIX MONTHS ENDED
                                                                      JUNE 30                           JUNE 30
                                                           ----------------------------        -------------------------
                                                             1997            1996                 1997            1996
                                                             ----            ----                 ----            ----
                                                                                         
<S>                                                       <C>               <C>                <C>              <C>          
REVENUES                                                  $ 112,576         $107,169           $208,969         $200,565     
                                                          ---------         --------           --------         --------     
OPERATING EXPENSES:                                                                                                          
     Salaries, wages and fringe benefits                     57,692           54,682            109,634          105,315     
     Operating supplies and expenses                         17,307           16,664             32,563           31,526     
     Purchased transportation                                10,220            9,805             19,170           17,666     
     Insurance and claims                                     4,289            4,293              8,098            8,039     
     Operating taxes and licenses                             4,332            4,495              8,190            8,381     
     Depreciation and amortization                            6,939            6,526             13,786           12,931     
     Rents                                                    1,239            1,232              2,470            2,481     
     Communications and utilities                               764              810              1,534            1,740     
     Other operating expenses                                 1,150              697              2,074            1,431     
                                                          ---------         --------           --------         --------     
               Total operating expenses                     103,932           99,204            197,519          189,510     
                                                          ---------         --------           --------         --------     
               Operating income                               8,644            7,965             11,450           11,055     
                                                          ---------         --------           --------         --------     
                                                                                                                             
OTHER INCOME (EXPENSE):                                                                                                      
     Interest expense                                        (2,792)          (2,728)            (5,408)          (5,396)    
     Interest income                                            205              122                357              303     
                                                          ---------         --------           --------         --------     
                                                             (2,587)          (2,606)            (5,051)          (5,093)    
                                                          ---------         --------           --------         --------     
                                                                                                                             
                                                                                                                             
INCOME BEFORE INCOME TAXES                                                                                                   
     AND EXTRAORDINARY ITEM                                   6,057            5,359              6,399            5,962     
                                                                                                                             
INCOME TAX PROVISION                                         (2,544)          (2,261)            (2,688)          (2,504)    
                                                          ---------         --------           --------         --------     
                                                                                                                             
INCOME BEFORE EXTRAORDINARY ITEM                              3,513            3,098              3,711            3,458     
                                                                                                                             
EXTRAORDINARY LOSS ON EARLY                                                                                                  
    EXTINGUISHMENT OF DEBT, NET OF                                                                                           
    INCOME TAX BENEFIT OF $573                                    0                0                  0             (935)    
                                                          ---------         --------           --------         --------     
                                                                                                                             
NET INCOME                                                $   3,513         $  3,098           $  3,711         $  2,523     
                                                          =========         ========           ========         ========     
                                                                                                                             
PER COMMON SHARE:                                                                                                            
    Income before extraordinary item                      $    0.45         $   0.40           $   0.48         $   0.45     
    Extraordinary loss on early extinguishment                                                                               
    of debt                                                    0.00             0.00               0.00            (0.12)    
                                                          ----------        --------           --------         --------     
NET INCOME PER COMMON SHARE                               $    0.45         $   0.40           $   0.48         $   0.33     
                                                          ==========        ========           ========         ========     
COMMON SHARES OUTSTANDING                                     7,725         $  7,725              7,725            7,725     
                                                          ==========        ========           ========         ========     



</TABLE>

             The accompanying notes are an integral part of these
                           consolidated statements.
                                      
                                        4


<PAGE>   5



                     ALLIED HOLDINGS, INC. AND SUBSIDIARIES

                      CONSOLIDATED STATEMENTS OF CASH FLOWS

                                 (IN THOUSANDS)

<TABLE>
<CAPTION>    
                                                                                        FOR THE SIX MONTHS ENDED
                                                                                                 JUNE 30
                                                                               ----------------------------------------
                                                                                     1997                      1996
                                                                               ---------------             ------------
                                                                                  (UNAUDITED)               (UNAUDITED)
<S>                                                                            <C>                         <C>   
CASH FLOWS FROM OPERATING ACTIVITIES:

       Net  income                                                             $         3,711             $     2,523
       Adjustments to reconcile net income to                                  ----------------            ------------   
        net cash provided by operating activities:                                                                              
            Depreciation and amortization                                                13,786                  12,931         
            Loss (gain) on sale of property and equipment                                    27                    (359)  
            Extraordinary loss on early extinguishment                                                          
               of debt, net                                                                   0                     935 
            Deferred income taxes                                                         1,405                      84 
            Change in operating assets and liabilities:                                                                 
                 Receivables, net of allowance for doubtful accounts                     (5,699)                 (6,149)
                 Inventories                                                               (128)                    148 
                 Prepayments and other current assets                                    (2,333)                 (2,150)
                 Trade accounts payable                                                  (2,934)                  1,247    
                 Accrued liabilities                                                      6,685                   6,069   
                                                                             ------------------            ------------   
                    Total adjustments                                                    10,809                  12,756   
                                                                             ------------------            ------------
                    Net cash provided by operating activities                            14,520                  15,279 
                                                                             ------------------            ------------
                                                                                                                        
                                                                                                                        
CASH FLOWS FROM INVESTING ACTIVITIES:                                                                                   
                                                                                                                        
       Purchases of property and equipment                                               (6,910)                (14,376)
       Proceeds from sale of property and equipment                                         114                   1,734 
       Purchase of business, net of cash acquired                                       (12,898)                      0 
       Increase in short-term investments                                                  (301)                      0 
       Increase in the cash surrender value of life insurance                            (1,283)                   (991)
                                                                             ------------------            -------------
                    Net cash used in investing activities                               (21,278)                (13,633) 
                                                                             ------------------            ------------
                                                                                                                       
                                                                                                                       
CASH FLOWS FROM FINANCING ACTIVITIES:                                                                                  
                                                                                                                       
       Repayments of long-term debt                                                     (11,404)                (47,692)     
       Proceeds from issuance of long-term debt                                          20,655                  40,000        
       Other, net                                                                             0                    (513)       
                                                                             ------------------            ------------        
                    Net cash provided by (used in) financing activities                   9,251                  (8,205)       
                                                                             ------------------            ------------  
                                                                                                                        
                                                                                                                        
EFFECT OF EXCHANGE RATE CHANGES ON CASH                                                                                 
       AND CASH EQUIVALENTS                                                                 (57)                     69 
                                                                                                                        
                                                                                                                        
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS                                      2,436                  (6,490)
                                                                                                                       
                                                                                                                       
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR                                            1,973                  11,147
                                                                             ------------------            ------------
                                                                                                                       
                                                                                                                       
CASH AND CASH EQUIVALENTS AT END OF PERIOD                                   $            4,409            $      4,657
                                                                             ==================            ============
</TABLE>            
                                                                             


  The accompanying notes are an integral part of these consolidated statements.

                                        5


<PAGE>   6

                     ALLIED HOLDINGS, INC. AND SUBSIDIARIES
             Notes to Consolidated Financial Statements (Unaudited)

Note 1.    Basis of Presentation

           The unaudited consolidated financial statements included herein have
           been prepared pursuant to the rules and regulations of the
           Securities and Exchange Commission. Accordingly, they do not include
           all of the information and footnotes required by generally accepted
           accounting principles for complete financial statements. The
           statements contained herein reflect all adjustments, all of which
           are of a normal, recurring nature, which are, in the opinion of
           management, necessary to present fairly the financial condition,
           results of operations and cash flows for the periods presented.
           Operating results for the three and six month periods ended June 30,
           1997 are not necessarily indicative of the results that may be
           expected for the year ended December 31, 1997. The interim financial
           statements should be read in conjunction with the financial
           statements and notes thereto of Allied Holdings, Inc. and
           Subsidiaries, (the "Company") included in the Company's 1996 Annual
           Report on Form 10-K.

Note 2.    Long-Term Debt

           In February 1996, the Company issued $40 million of senior
           subordinated notes through a private placement. Proceeds from the
           senior subordinated notes were used to reduce borrowings outstanding
           under the Company's $130 million revolving credit facility. In
           connection with the issuance of the notes, the Company refinanced
           its revolving credit facility and recorded a $935,000 extraordinary
           loss, net of income taxes, during the first quarter of 1996 related
           to the extinguishment of debt.

Note 3.    Acquisition of Kar-Tainer International Limited

           In April 1997, the Company completed the acquisition of the stock of
           Kar-Tainer International Limited for $13.1 million. Kar-Tainer is
           a wholly-owned subsidiary of the Axis Group, Inc., a wholly-owned
           subsidiary of the Company.  Kar-Tainer, with offices in the United 
           States, Bermuda, London, and South Africa, is a leader in the 
           containerized shipping of vehicles. Kar-Tainer has been involved in 
           the containerized shipment of completely built up (CBU) and semi 
           knocked down (SKD) vehicles in international markets since 1983. 
           Kar-Tainer has worked with vehicle manufacturers and shipping lines
           around the world, and is a leader in the design and manufacture of 
           ramps, frames, and cassettes for the shipment of CBU and SKD 
           vehicles in standard ISO containers.

           
                                      6
<PAGE>   7


Note 4.    Earnings per Share

           In February 1997, the Financial Accounting Standards Board issued
           SFAS No. 128, "Earnings per Share." This new statement will not
           result in changes to the Company's earnings per share for the first
           six months of 1997 or prior years.

Note 5.    Acquisition of Ryder Automotive Carrier Services, Inc. and RC
           Management Corp.

           In May 1997, the Company announced an agreement to acquire Ryder
           Automotive Carrier Services, Inc. and RC Management Corp. from Ryder
           System, Inc. for approximately $114.5 million, subject to the
           execution of a definitive agreement between the parties.  The 
           acquisition is expected to be completed by the end of September 
           1997.   The subsidiaries of Ryder Automotive Carrier Services are 
           engaged in car hauling, vehicle processing and dealer prep, rail 
           unloading and loading services of vehicle railcars, and rail and 
           port yard management. RC Management Corp. is principally involved 
           in providing logistics services to the new retail used car 
           superstores.  Ryder's automotive carrier group, headquartered in 
           Troy, Michigan, has approximately 3,400 rigs at 91 locations in 34 
           states and Canada. Its employees number approximately 6,000, and 
           its revenues in 1996 were approximately $600 million.

                                       7
<PAGE>   8

ITEM 2.   MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
          RESULTS OF OPERATIONS

RESULTS OF OPERATIONS

          Revenues for the second quarter of 1997 were $112.6 million, compared
          with revenues of $107.2 million reported for the second quarter of
          1996, an increase of 5%. Revenues for the six-month period ended June
          30, 1997 were $209.0 million, versus revenues of $200.6 million
          reported for the same period last year, a 4% increase. The increase
          in revenues during 1997 was primarily due to an increase in the
          number of vehicles the Company delivered together with an increase in
          the revenue generated per vehicle delivered. The Company delivered
          approximately 2% more vehicles during the first six months of 1997
          than during the first six months of 1996. A 13% increase in vehicle
          deliveries in Canada due to increased Canadian new vehicle production
          and sales more than offset a 4% decline in vehicle deliveries in 
          the United States.  In addition, the revenue generated per vehicle 
          delivered for the first six months of 1997 increased approximately 
          2% from the first six months of 1996 due to an increase in longer 
          haul dealer deliveries.

          Net income was $3.5 million during the second quarter of 1997, versus
          $3.1 million during the second quarter of 1996, or $0.45 per share in
          1997, versus $0.40 per share in 1996, an increase of 13%. Net income
          was $3.7 million, or $0.48 per share, compared with net income of
          $3.5 million, or $0.45 per share for the comparable six-month period
          a year ago, an increase of 6% (excluding a $935,000 extraordinary
          loss on the early extinguishment of debt recorded during the first
          quarter of 1996). The increase in earnings is attributable to the
          increase in revenues, however earnings from the increased revenues
          were partially offset by losses from the Company's logistics 
          subsidiary, Axis Group, Inc., which have totaled approximately 
          $0.18 per share during the first six months of 1997, versus $0.07 
          per share during the first six months of 1996. The Axis Group was 
          formed in April 1996.

          Salaries, wages and fringe benefits as well as operating supplies and
          expenses as a percentage of revenues remained approximately unchanged
          during both the second quarter of 1997 compared to 1996 and the first
          six months of 1997 compared to the first six months of 1996.

          Purchased transportation was 9.1% of revenues during both the second
          quarter of 1997 and 1996, however, purchased transportation increased
          from 8.8% of revenues for the first six months of 1996 to 9.2% of
          revenues during the first six months of 1997. This increase for the
          six month period is due to increased use of owner-operators together
          with an increase in the number of vehicles delivered for the Company 
          by other carriers.


                                       8
<PAGE>   9

          Insurance and claims decreased from 4.0% of revenues during the
          second quarter of 1996 to 3.8% of revenues during the second quarter
          of 1997 and from 4.0% of revenues for the first six months of 1996 to
          3.9% of revenues for the first six months of 1997. The decrease was
          due to a slight decrease in liability claims for cargo damage.

          Operating taxes and licenses decreased from 4.2% of revenues for the
          second quarter and the first six months of 1996 to 3.9% of revenues
          for the second quarter and the first six months of 1997. The decrease
          was primarily due to a decline in the operating taxes and licenses
          the Company paid for its fleet of specialized tractor-trailers 
          ("Rigs") due to a decrease in the number of active Rigs the Company 
          operated.

FINANCIAL CONDITION, LIQUIDITY AND CAPITAL RESOURCES

          Net cash provided by operating activities totaled $14,520,000 for the
          six months ended June 30, 1997 versus $15,279,000 for the same period
          in 1996. This decrease in cash flows from operations is mainly
          because of a decrease in the Company's accounts payable from December
          31, 1996 to June 30, 1997.

          Net cash used in investing activities totaled $21,278,000 for the six
          months ended June 30, 1997 versus $13,633,000 for the same period in
          1996. This increase was primarily due to the acquisition of
          Kar-Tainer which was offset by a reduction in the purchases of
          property and equipment.

          Net cash provided by financing activities totaled $9,251,000 for the
          six months ended June 30, 1997 versus net cash used in financing
          activities of $8,205,000 for the same period in 1996. During the
          first six months of 1997, the Company had $20,655,000 of borrowings
          of long-term debt, approximately $13,000,000 of which was used for
          the purchase of Kar-Tainer. During the second quarter of 1997, the
          Company repaid $11,400,000 of long-term debt. During the first
          quarter of 1996, the Company issued $40,000,000 of senior
          subordinated notes, the proceeds of which were used to repay
          long-term debt. During the first six months of 1996, $47,692,000 of
          long-term debt was repaid.

SEASONALITY AND INFLATION

          The Company generally experiences its highest revenues during the
          second and fourth quarters of each calendar year due to the shipment
          of new models. Also, the first and third quarters are impacted by
          manufacturing plant downtime. During the past three years, inflation
          has not significantly affected the Company's results of operations.

                                       9
<PAGE>   10
                                      
                                   PART II
                                      
                              OTHER INFORMATION

ITEM 4.    SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

           On May 22, 1997 the Annual Meeting of Shareholders was held. The
           following Directors were elected for terms which will expire on the
           date of the annual meeting in the year indicated below. The number
           of shares voted for, against and abstentions are also indicated.

<TABLE>
<CAPTION>
  ------------------------------------------------------------------------------------------------------------------
                                     FOR                 AGAINST               ABSTAIN                TERM
  ------------------------------------------------------------------------------------------------------------------
  <S>                             <C>                    <C>                      <C>                 <C> 
  David  G. Bannister             6,638,537              27,900                   0                   2000
  ------------------------------------------------------------------------------------------------------------------
  A. Mitchell Poole, Jr.          6,638,537              27,900                   0                   2000
  ------------------------------------------------------------------------------------------------------------------
  Robert J. Rutland               6,638,537              27,900                   0                   2000
  ------------------------------------------------------------------------------------------------------------------
</TABLE>

           The following Directors' terms will continue as indicated.

                           Bernard O. De Wulf        1999
                           Guy W. Rutland, III       1999
                           Robert R. Woodson         1999
                           Guy W. Rutland, IV        1998
                           B.F. Wilson, Jr.          1998
                           Joseph W. Collier         1998

The Company's Long-Term Incentive Plan was amended to increase the number of
shares subject to the Plan from 400,000 to 650,000. The number of shares voted
for, against and abstentions are also indicated.

<TABLE>
<CAPTION>
        ----------------------------------------------------------------
               FOR                 AGAINST               ABSTAIN
        ----------------------------------------------------------------
            <S>                    <C>                    <C>   
            6,532,047              103,040                31,350
        ----------------------------------------------------------------
</TABLE>


                                      10
<PAGE>   11


ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K                                      
                                                                               
         (a)   Exhibits:  27        Financial Data Schedule (for SEC use only).
                                                                               
         (b)   Reports on Form 8-K: The Company filed a Form 8-K dated May 1,  
                                    1997 regarding the acquisition of the      
                                    stock of Kar-Tainer International Limited  
                                    and a Form 8-K dated June 3, 1997 related  
                                    to the proposed acquisition of Ryder       
                                    Automotive Carrier Services, Inc. and RC   
                                    Management Corp.                           


                                      11
<PAGE>   12


                                   SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.

                                           Allied Holdings, Inc.

August 12, 1997                            s/A. Mitchell Poole, Jr.
---------------                            ------------------------------------
    (Date)                                 A. Mitchell Poole, Jr.
                                           on behalf of Registrant as
                                           President, Chief Operating Officer,
                                           Chief Financial Officer and
                                           Assistant Secretary


                                      12