C.H. Robinson Worldwide, Inc. · NASDAQ:CHRW
C.H. Robinson Worldwide — Q4 2016 Earnings Presentation
21 slides from C.H. Robinson Worldwide's earnings presentation, Jan 31, 2017
Slide 1: Earnings Conference Call – Fourth Quarter 2016
Earnings Conference Call – Fourth Quarter 2016 February 1, 2017 John Wiehoff, Chairman & CEO Andrew Clarke, CFO Tim Gagnon, Director, Investor Relations Exhibit 99.2
Slide 2: Safe Harbor Statement
Safe Harbor Statement Except for the historical information contained herein, the matters set forth in this presentation and the accompanying earnings release are forward-looking statements that represent our expectations, beliefs, intentions or strategies concerning future events. These forward-loo
Slide 3: Results Q4 2016
Results Q4 2016 Three months ended December 31 in thousands, except per share amounts and headcount Twelve months ended December 31 Total revenues increased as a result of volume increases across all services. Net revenues decreased primarily as a result of truckload margin compression. Income from
Slide 4: Summarized Income Statement
Summarized Income Statement Personnel expenses decrease was primarily driven by lower variable compensation incentives and partially offset by average headcount growth. Selling, general, and administrative expenses increased due to higher claims, a higher provision for bad debt, and an increase in p
Slide 5: Other Financial Information
Other Financial Information Total debt balance $1.24 billion $500 million, 4.28% average coupon $740 million drawn on revolver, 1.92% current rate as of December 31, 2016 in thousands Three months ended Dec. 31 Twelve months ended Dec. 31 5
Slide 6: Capital Distribution
Capital Distribution Capital returned to shareholders during the year $245.4 million cash dividend $209.6 million in cash for repurchase activity 913,100 shares repurchased in the fourth quarter Average price $73.18 for the shares repurchased in the fourth quarter Target is to return approximately 9
Slide 7: Net Revenue by Service Line Q4 2016
Net Revenue by Service Line Q4 2016 Net revenues by service line for the enterprise (all segments). Sourcing net revenues does not include the Robinson Fresh transportation net revenues. in thousands Three months ended Dec. 31 Twelve months ended Dec. 31 7
Slide 8: North America Truckload Cost and Price Change
North America Truckload cost and price change chart represents truckload shipments from all segments. Transportation net revenue margin represents total Transportation results from all segments. The percent change in cost per mile net of fuel increased each month in the fourth quarter when compared
Slide 9: Transportation Results Q4 2016
Transportation Results Q4 2016(1) in thousands Three months ended Dec. 31 Twelve months ended Dec. 31 (1) Includes results across all segments. 9 Total revenues increased as a result of volume increases across all services. Fuel had an approximate 110 basis point inflationary impact on the transport
Slide 10: North American Surface Transportation (NAST) Results Q4 16
North American Surface Transportation (“NAST”) Results Q4 2016 Three months ended December 31 Twelve months ended December 31 Total revenue growth was driven by volume increases in all services. Net revenues decreased primarily as a result of lower truckload pricing to customers on a year-over-year
Slide 11: NAST Results by Service Line Q4 2016
NAST Results by Service Line Q4 2016 Truckload, Less Than Truckload, and Intermodal Net revenue decrease in the fourth quarter was a result of a lower price per mile net of fuel while purchased transportation cost net of fuel was approximately flat. Volume growth in the fourth quarter was primarily
Slide 12: Global Forwarding Results Q4 2016
Global Forwarding Results Q4 2016 Three months ended December 31 Twelve months ended December 31 The acquisition of APC Logistics added 14.7% to net revenue and 9% to average headcount in the fourth quarter of 2016 when compared to the fourth quarter of 2015. Net revenue growth was the result of str
Slide 13: Global Forwarding Results by Service Line Q4 2016
Global Forwarding Results by Service Line Q4 2016 Ocean, Air, and Customs Achieved strong volume growth in all Global Forwarding services. Air freight success associated with the strategic initiative to grow air freight market share. Cross-selling initiatives yielded continued successful results in
Slide 14: Robinson Fresh Results Q4 2016
Robinson Fresh results include revenues from sourcing and transportation services. Net revenue decrease was a result of lower net revenues in both sourcing and transportation services in the fourth quarter of 2016 compared to the fourth quarter of 2015. Income from operations decreased as a result o
Slide 15: Robinson Fresh Results Q4 2016 Sourcing
Robinson Fresh Results Q4 2016 Sourcing Sourcing net revenue decrease was primarily the result of a decrease in net revenue per case and changes in the services mix. Case volume increased approximately 2 percent in the fourth quarter of 2016 when compared to the fourth quarter of 2015. in thousands
Slide 16: Robinson Fresh Results Q4 2016 Transportation
Robinson Fresh Results Q4 2016 Transportation Transportation net revenue decrease was primarily a result of lower truckload price per mile net of fuel, while purchase transportation costs net of fuel were approximately flat. in thousands Three months ended Dec. 31 Twelve months ended Dec. 31 16 Does
Slide 17: All Other and Corporate Results Q4 2016
Results represent business from Managed Services, Other Surface Transportation outside of North America, and other miscellaneous operations. Headcount includes personnel from shared services, Managed Services, Other Surface Transportation, and other miscellaneous operations. All Other and Corporate
Slide 18: All Other and Corporate Results by Service Line Q4 2016
All Other and Corporate Results by Service Line Q4 2016 Managed Services and Other Surface Transportation Managed Services net revenue growth was a result of increases from both new and existing customers. Other Surface Transportation includes surface transportation outside of North America. Other S
Slide 19: Final Comments
Final Comments January to date total company net revenue per day, including APC Logistics, has decreased approximately 1 percent when compared to January 2016. We continue to execute through the challenging North America truckload cycle. APC integration a top priority. 2017 Investment Priorities Gro
Slide 20: Appendix A: 2012 Summarized Adjusted Income Statement
Appendix A: 2012 Summarized Adjusted Income Statement To assist investors in understanding our financial performance, we supplement the financial results that are generated in accordance with the accounting principles generally accepted in the United States, or GAAP, with non-GAAP financial measures
Slide 21: C.H. Robinson
@c.H. ROBINSON
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