Landstar System, Inc. (LSTR) reported solid first-quarter 2023 results wherein earnings and revenues beat the Zacks Consensus Estimate.
Quarterly earnings of $2.17 per share beat the Zacks Consensus Estimate of $2.07 but fell 35% year over year. The reported figure lies above the guided range of $2.05-$2.15.
Revenues of $1,435.7 million beat the Zacks Consensus Estimate of $1,411.2 million but declined 27.2% year over year.
Landstar System, Inc. Price, Consensus and EPS Surprise
Landstar System, Inc. price-consensus-eps-surprise-chart | Landstar System, Inc. Quote
Operating income fell 37.8% from the prior-year quarter’s figure to $101.28 million. Total costs and expenses (on a reported basis) decreased 24.4% to $1.35 billion.
Total revenues in the truck transportation segment — contributing to 92.2% of the top line — amounted to $1.32 billion, down 12.1% from the year-ago quarter’s figure. Rail intermodal revenues of $25.66 million decreased 39.9% from the figure recorded in first-quarter 2022.
Revenues in the ocean and air-cargo carrier segments declined 59.8% year over year to $61.09 million. Other revenues increased 2.6% to $25.22 million.
Liquidity, Dividends & Buyback
At the end of first-quarter 2023, Landstar had cash and cash equivalents of $340.98 million compared with $339.58 million recorded at the end of December 2022. Additionally, long-term debt (excluding current maturities) totaled $60.19 million at the end of the first quarter compared with $67.22 million at the end of December 2022.
During the first quarter, Landstar purchased almost 90,000 shares for $15.4 million. LSTR is currently authorized to purchase up to 2,910,339 shares under its previously announced share purchase programs. LSTR’s board of directors has announced a quarterly dividend of 30 cents per share, payable on May 26, 2023, to stockholders of record as of the close of business on May 4, 2023.
Landstar anticipates second-quarter 2023 revenues in the range of $1.40 billion-$1.45 billion. Earnings per share for the second quarter are estimated to be in the band of $2.05-$2.15.
Currently, Landstar carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Performances of Other Transportation Companies
J.B. Hunt Transport Services, Inc.’s JBHT first-quarter 2023 earnings of $1.89 per share missed the Zacks Consensus Estimate of $2.04 and declined 17.5% year over year.
JBHT’s total operating revenues of $3,229.58 million also lagged the Zacks Consensus Estimate of $3,434.4 million and fell 7.4% year over year. The downfall was due to declines in the volume of 25% in Integrated Capacity Solutions (ICS), 5% in Intermodal (JBI) and 17% in Final Mile Services (FMS), and a 17% decline in revenue per load in Truckload (JBT). Revenue declines in ICS, JBI, FMS and JBT were partially offset by Dedicated Contract Services revenue growth of 13%.
JBHT’s total operating revenues, excluding fuel surcharges, decreased 10.2% year over year.
Delta Air Lines’ DAL first-quarter 2023 earnings (excluding 82 cents from non-recurring items) of 25 cents per share missed the Zacks Consensus Estimate of 29 cents. Volatile fuel prices and unfavorable weather conditions led to this downtick. DAL reported a loss of $1.23 per share a year ago, dull in comparison to the current scenario, as air-travel demand was not so buoyant then.
DAL reported revenues of $12,759 million, which missed the Zacks Consensus Estimate of $12,767.4 million. Driven by higher air-travel demand, total revenues increased 36.49% on a year-over-year basis.
Alaska Air Group, Inc. ALK reported first-quarter 2023 loss of 62 cents per share, wider than the Zacks Consensus Estimate of a loss of 48 cents. In the year-ago quarter, ALK incurred a loss of $1.33 per share.
ALK’s operating revenues of $ 2,196 million missed the Zacks Consensus Estimate of $2,202.5 million. The top line jumped 31% year over year, with passenger revenues accounting for 90.3% of the top line and increasing 31% owing to continued recovery in air-travel demand.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report