Share
July 21, 2022 11:45 AM, EDT

Landstar Reports Q2 Records for Revenue, Earnings

LandstarLandstar System Inc.

[Stay on top of transportation news: Get TTNews in your inbox.]

Landstar System Inc. posted strong financial results for the second quarter — though they missed investment analysts’ expectations — and set a record for the first half.

The Jacksonville, Fla.-based truckload carrier said July 20 that net income was $112.6 million, or $3.05 a diluted share, compared with $92.3 million, $2.40, during the same time last year.

Total revenue increased by 26% to $1.98 billion from $1.57 billion.

The results were just below investment analysts’ expectations of $3.25 per share and revenue of $2.02 billion, according to Zacks Consensus Estimate.

The number of loads hauled via truck during the quarter increased 10% year-over-year. But that was still slightly below the low end of its guidance issued in the first quarter.

For the first six months, net income was $237.4 million, $6.39, compared with $169.5 million, $4.41, the year before. Revenue was $3.95 billion compared with $2.86 billion the previous year.

Jim Gattoni

Gattoni

CEO Jim Gattoni said during a call with investors it was the highest first-half revenue in the company’s history.

“Earnings per share in the first half of 2022 exceeded the first half of 2021 by 45%,” Gattoni said. “During the 2022 first half, we also purchased over $212 million of Landstar stock and paid dividend totaling $94 million. Since early 2022, industry data regarding spot market pricing has been showing a significant decrease in year-over-year spot market rates when excluding the impact of fuel costs.”

Gross profit was also a second-quarter record, increasing 19% year-over-year to $208.1 million from $174.8 million.

Variable contribution as defined as revenue less the cost of purchased transportation and commissions to agents also reached a second-quarter high, up 21% to $267.5 million from $220.8 million last year.

Truck transportation revenue hauled by independent business capacity owners and truck brokerage carriers in the quarter increased 21% to $1.75 billion from $1.44 billion a year ago. The number of loads increased 10% to 664,800 from 602,940 last year. Revenue per load increased 10% to $2,628 from $2,395. Truck transportation includes truckload, less-than-truckload and other miscellaneous operations.

Truckload transportation revenue hauled via van equipment increased 20% to $1.03 billion from $854.5 million during the prior year quarter.

 

See more transportation stock listings

Truckload transportation revenue hauled via unsided/platform equipment increased 21% to $474.3 million from $391.9 million.

Revenue from other truck transportation, largely related to power-only services, increased 24% to $209.1 million from $168.7 million.

Landstar also noted revenue from rail, air and ocean cargo carriers increased 93% to $202.3 million from $104.6 million last year. Those operations represent 10% of total revenue for the quarter.

Landstar ranks No. 6 on the Transport Topics Top 100 list of the largest for-hire carriers in North America and No. 18 on the TT Top 100 list of the largest logistics companies.

Want more news? Listen to today's daily briefing below or go here for more info: