JB Hunt Third Quarter Results Miss Estimates

(RTTNews) - Surface transportation 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 missed analysts' expectations.

The Lowell, Arkansas-based company reported net earnings of $89.47 million or $0.75 per share for the third quarter, higher than $78.24 million or $0.65 per share in the prior-year quarter.

On average, 28 analysts polled by Thomson Reuters expected the company to report earnings of $0.78 per share for the quarter. Analysts' estimates typically exclude special items.

Total operating revenues for the quarter increased 11 percent to $1.44 billion from $1.30 billion in the same quarter last year, but missed twenty-two Wall Street analysts' consensus estimate of $1.45 million by a whisker.

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

Segment-wise, intermodal or JBI segment reported revenues of $890 million, up 12 percent from last year.

Dedicated contract services segment revenues increased 17 percent to $319 million, and Integrated capacity solutions segment's revenues increased 13 percent to $137 million from last year. Meanwhile, truck segment revenues declined 17 percent to $97 million from last year.

Operating income for the quarter grew 13 percent to $151 million, while operating margins increased 20 basis points to 10.5 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 $73.18, down $0.88 on a volume of 1.03 million shares.