J.B. Hunt sees lower volumes, weaker demand; stock drops 6%
By Claudia Assis
Cost increases also contributed to lower bottom line, trucking company
Shares of J.B. Hunt Transport Services Inc. fell 6% in the extended session Tuesday after the transportation company reported drops in its quarterly profit and revenue after weaker demand.
The declines were a "combination of lower volumes and yield pressure" in several of its businesses, plus cost increases related to equipment, insurance and claims, the company said.
J.B. Hunt (JBHT) earned $127.5 million, or $1.22 a share, in the first quarter, compared with $197.8 million, or $1.89 a share, in the year-ago quarter.
Revenue dropped 9% to $2.94 billion, from $3.23 billion a year ago.
Analysts polled by FactSet expected GAAP earnings of $1.53 a share on revenue of $3.11 billion.
Revenue from both J.B. Hunt's intermodal and truckload segments fell by 9%, and the company saw 22% fewer loads in its freight brokerage and logistics division.
Those declines were only partially offset by 2% growth in its last-mile business, thanks to new contracts, the company said.
Shares of J.B. Hunt are down 8% so far this year, contrasting with gains of about 6% for the S&P 500 index SPX in the same period.
-Claudia Assis
This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.
(END) Dow Jones Newswires
04-16-24 1652ET
Copyright (c) 2024 Dow Jones & Company, Inc.-
4 Predictions for Stocks and the Economy for the Second Half of 2024
-
What Broadening Rally? AI Stocks Dominate Again In Q2
-
After Earnings, Is Nike Stock a Buy, a Sell, or Fairly Valued?
-
Worst-Performing Stock ETFs of the Quarter
-
Top-Performing Stock ETFs of the Quarter
-
Q2 In Review and Q3 2024 Market Outlook
-
5 Stocks to Buy for 3Q 2024
-
Best- and Worst-Performing Stocks of Q2 2024
-
Industrials: Sector Offers Investment Opportunities as Performance Lags Broader Market
-
Consumer Defensives: Even Amid Macro Pressures, Deals Permeate the Landscape
-
33 Undervalued Stocks
-
Utilities: Can the Stocks Keep the Rally Going?
-
Basic Materials: Following Index Decline, We See Many Long-Term Opportunities
-
Healthcare: Valuations Look Attractive In Most Industries
-
Financial Services: Amid Uncertainties, We See the Most Value In Banks and Credit Services
-
Consumer Cyclicals: Even With Anxiety Over Spending, We See Attractive Valuations