JB Hunt Third Quarter Results Top Estimates

(RTTNews) - Trucking company JB Hunt Transport Services, Inc. (JBHT) reported Tuesday a profit for the third quarter that increased from last year, primarily reflecting double digit revenue growth amid load growth at three of its four operating segments.

Both earnings per share and quarterly revenues topped analysts' expectations.

The Lowell, Arkansas-based company reported net earnings of $102.4 million or $0.87 per share for the third quarter, higher than $89.47 million or $0.75 per share in the prior-year quarter.

On average, 27 analysts polled by Thomson Reuters expected the company to report earnings of $0.84 per share for the quarter. Analysts' estimates typically exclude special items.

Total operating revenues for the quarter increased 12 percent to $1.60 billion from $1.44 billion in the same quarter last year, and topped twenty-one Wall Street analysts' consensus estimate of $1.59 million by a whisker. Operating revenue, excluding fuel surcharges, increased 13 percent from last year.

The revenue growth was primarily attributable to load growth and also double-digit revenue growth at integrated capacity solutions and dedicated contract services segments.

Segment-wise, intermodal or JBI segment reported revenues of $964 million, up 8 percent from last year.

Dedicated contract services segment revenues increased 13 percent to $361 million, and Integrated capacity solutions segment's revenues increased 35 percent to $185 million from last year.

Meanwhile, truck segment revenues declined 1 percent to $96 million from last year, primarily from a 6 percent smaller fleet.

Total loads for the quarter increased to 1.20 million from last year's 1.09 million.

Operating income for the quarter grew 14 percent to $172 million, reflecting load growth, higher productivity and rate increases.

Operating margins also improved 20 basis points to 10.7 percent from last year, reflecting a 20 basis points decline in total operating expenses as a percentage of total revenues.

JBHT closed Monday's regular trading session at $71.30, down $0.93 on a volume of 1.66 million shares. In the past 52-week period, the stock has been trading in a range of $69.33 to $79.89.