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J.B. Hunt Transport (JBHT) Drops After Q2 Revenue Misses Street

 July 16, 2012 04:20 PM
 

(By Balaseshan) J.B. Hunt Transport Services Inc. (NASDAQ:JBHT) reported a 22.5% jump in second quarter earnings helped by higher revenue. Revenue missed consensus, sending its shares down 4.32% in aftermarket.

Quarterly earnings were $80.45 million or $0.67 per share, up from $65.70 million or $0.53 per share last year.

Operating revenue grew 9.2% to $1.26 billion, while operating revenues, excluding fuel surcharge revenue, increased 8.7% to $1.01 billion.

Analysts had expected a profit of $0.67 per share on revenue of $1.30 billion.

Intermodal revenue grew 13% to $762 million,with the effect of traffic mix, customer rate increases and fuel surcharges keeping revenue per load virtually flat compared to a year ago.

Dedicated contract services (DCS) revenue increased 1% to $267 million, while revenue excluding fuel surcharges also increased 1%.

Truck (JBT) revenue decline 3% to $126 million, while revenue excluding fuel surcharges decreased by 3%. Rate per loaded mile, excluding fuel surcharges, increased 3.2%. Rates from consistent shippers improved year-over-year by 2.5%.

At the end of the current quarter, tractor count fell to 2,396 from 2,508.

Integrated Capacity Solutions (ICS) revenue grew 23% to $109 million, primarily due to a 16% increase in load volume. While transactional volumes remained relatively flat, contractual volume growth accelerated in the second quarter as new bid awards were implemented.

At June 30, 2012, the company had cash and cash equivalents of $5.9 million. At June 30, 2012, the company has about $503 million remaining under two separate share repurchase authorizations. Actual shares outstanding at June 30, 2012 approximated 117.5 million.

JBHT closed Monday's regular session down 1.29% at $58.33. The stock has been trading between $34.42 and $61.18 for the past 52 weeks.


Rich
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