Schneider Reports Q1 Net Income, Revenue Growth
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Schneider National saw revenue and earnings growth during the first quarter of 2021, the company reported April 29.
The Green Bay, Wis.-based truckload, intermodal and logistics services company posted net income of $54.8 million, or 31 cents a diluted share, for the three months ending March 31. That represents a 25% increase from the same time last year at $43.8 million, 25 cents. The total operating revenue increased 10% to $1.2 billion from $1.1 billion.
“Our first-quarter results affirm our strategy of a scaled, multimodal portfolio providing enterprise solutions for our customers,” Schneider CEO Mark Rourke said in a statement. “Weather conditions in the quarter disrupted operations and impacted results in all our segments above that of an average year.”
Rourke added that in the truckload segment, effective yield management and dedicated new business offset the impact of challenged driver capacity conditions and severe weather. He also pointed to the logistics segment achieving record Q1 revenue and earnings.
“Despite the restricted driver capacity and lack of intermodal fluidity, we delivered the most profitable first quarter in our history,” Rourke said. “And our 2021 objectives to drive growth, enhance margins and deliver shareholder value remain intact.”
The truckload segment reported revenue for Q1 decreased 4% to $451.7 million compared to $469.4 million during the same quarter in 2020. This was primarily due to lower network capacity levels and weather conditions that were partially offset by favorable yield and dedicated growth. Truckload network revenue per truck per week increased 7% to $3,859 compared to the prior-year quarter.
Truckload income from operations increased 5% to $38.3 million from $36.6 million last year. This was a result of constructive yield management actions such as contract renewals, spot market opportunities and favorable equipment and safety costs more than offsetting the earnings impact of reduced capacity and increased driver costs.
The intermodal segment saw revenue for Q1 increase 7% to $255.8 million from $238 million during the prior-year quarter. Intermodal orders grew 2%, and revenue per order increased 6% compared to the first quarter of 2020. Eastern rail operations more than offset the impact of Western service issues and weather in the quarter.
The income for the intermodal segment increased 23% to $20 million from $16.3 million. This was the result of yield management actions and Eastern network growth more than offsetting weather disruptions.
Logistics segment revenues for the quarter jumped 49% to $355.9 million compared to $239.6 million. This was a result of increased revenue per order and continued brokerage volume growth. Logistics income from operations soared 279% to $15.9 million from $4.2 million. This was primarily due to increased net revenue per order and volume growth compared to Q1 2020.
Schneider ranks No. 5 on the Transport Topics Top 100 list of the largest for-hire carriers in North America and No. 15 on the TT list of the Top 50 logistics companies.
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