Hunt Boasts Higher Earnings in Q3, Shares Dive

J B Hunt Transport Services Inc (NASDAQ: JBHT) announced third-quarter 2020 net earnings of $125.5 million, or diluted earnings per share of $1.18 vs. third-quarter 2019 net earnings of $118.4 million, or $1.10 cents per diluted share. Included in the third-quarter 2019 results were pre-tax charges of $44.2 million or $0.30 per share related to arbitration, including legal and interest charges.

Total operating revenue for the current quarter was $2.47 billion, compared with $2.36 billion for the third quarter 2019. Revenue performance was primarily driven by a 25% increase in revenue per load in Integrated Capacity Solutions (ICS), a 34% increase in the number of stops in Final Mile Services (FMS), a 9% increase in loads in Dedicated (DCS), and a 14% increase in loads in Truck (JBT), partially offset by a 5% decrease in revenue per load in Intermodal (JBI) and 32% decline in fuel surcharge revenue.

The amount of ICS operating revenue executed through Marketplace for J.B. Hunt 360° ® increased to $291 million from $205 million in third quarter 2019. JBI executed approximately $41 million of third-party dray cost, and JBT executed approximately $26 million of its independent contractor costs through the platform during this quarter.

Operating income for the current quarter totaled $175.5 million vs. $167.9 million for the third-quarter 2019. Operating income in third-quarter 2019 included $44.2 million in pre-tax charges related to the final award in the arbitration with BNSF Railway Company.

Shares retreated $6.59, or 4.6%. to $135.26.