J.B. Hunt Transport Services, Inc. Reports Q3 Revenues and Earnings
15 October 1998
J.B. Hunt Transport Services, Inc. Reports Revenues and Earnings for the Third Quarter of 1998
LOWELL, Ark.--Oct. 14, 1998--J.B. Hunt Transport Services, Inc. the transportation logistics company, announced third quarter 1998 net earnings of $10.8 million, or diluted earnings per share of 30 cents, a six-fold increase over the $1.9 million, or 5 cents per diluted share earned in the third quarter of 1997.Total revenue increased 22% to $473.4 million in the third quarter of 1998 from $388.5 million in 1997. Van truckload business grew 26% during the third quarter while intermodal revenue was up 16%. Revenues in the logistics and dedicated business increased 36% during the current quarter, compared with the same period in 1997.
Continued strong demand from the company's customer base and the addition of 278 tractors and 514 drivers to the combined fleet during the third quarter fueled strong revenue growth on the truckload side of the company. While intermodal loads grew by 17% in the quarter vs. the previous year, revenue and earnings growth were negatively affected by rail service that deteriorated beginning in June of this year. Utilization of the company's trailing fleet was 9% below the utilization of the fleet in the second quarter of 1998 primarily as a result of the significant lengthening of rail transit times. The slowdown had the effect of reducing revenue approximately $36 million and an estimated negative impact of 19 cents per share on earnings in the quarter.
Operating revenues for the nine month period ended September 30, 1998 increased 18% to $1.35 billion from $1.14 billion in 1997. Net earnings for the nine months ended September 30, 1998 were $36 million, or 98 cents per diluted share, compared with $4 million, or 12 cents per diluted share in 1997.
J. B. HUNT TRANSPORT SERVICES, INC.
Comparative Condensed Statement of Earnings
(In thousands, except per share data)
(Unaudited)
Three Months Ended Nine Months Ended
September 30 September 30
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1998 1997 1998 1997
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Operating revenues $473,388 $388,460 $1,347,839 $1,139,059
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Operating income $24,425 $9,038 $77,695 $25,612
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Net earnings $10,847 $1,922 $35,955 $4,355
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Average number of
shares outstanding 35,597 36,387 35,574 36,530
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Diluted shares
outstanding 36,702 36,469 36,775 36,563
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Basic earnings per
share $0.30 $0.05 $1.01 $0.12
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Diluted earnings per
share $0.30 $0.05 $0.98 $0.12
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