Werner Enterprises, Inc. · NASDAQ:WERN
Werner Enterprises — Q2 2025 Earnings Presentation
27 slides from Werner Enterprises's earnings presentation, Jul 29, 2025
Slide 1: 2Q25 Earnings Presentation
2Q25 EARNINGS PRESENTATION July 29, 2025 1
Slide 2: Disclosure Statement
DISCLOSURE STATEMENT This presentation may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and made pursuant to the safe harbor provisions of the Private Securities Lit
Slide 3: Business Overview
BUSINESS OVERVIEW DEREK LEATHERS Chairman and Chief Executive Officer
Slide 4: Werner Overview (WERN)
WERNER OVERVIEW (WERN) 6TH 69 2,314 TOTAL DRIVERS IN COMPANY YEARS IN OMAHA, NE LARGEST HISTORY WITH ONE MILLION OR MORE SAFE DRIVING BUSINESS HEADQUARTERS DEDICATED CARRIER IN U.S.3 MILES WITH WERNER 4,890 DEDICATED 4 ~ 85% DEDICATED CUSTOMER 2,655 ONE-WAY TRUCKLOAD 4 $1.8B 1.9% 1 1 2 2 12,879 330
Slide 5: DriveSM Strategy Supports 2025 Strategic Priorities
DRIVESM STRATEGY SUPPORTS 2025 STRATEGIC PRIORITIES WERNER DRIVESM BUILDING ON 5Ts AND SHAPING OUR FUTURE DRIVING GROWTH IN CORE BUSINESS • Expanding TTS & Logistics adjusted operating income margin • Increasing One-Way rates • Growing Dedicated fleet size DRIVING OPERATIONAL EXCELLENCE • Resolute f
Slide 6: 2Q25 Financial Highlights
2Q25 FINANCIAL HIGHLIGHTS 2Q25 Y/Y Change HIGHLIGHTS Revenues $753M (1)% • Revenues net of fuel surcharge increased $7M or 1% GAAP EPS $0.72 380% • New Dedicated startups are progressing as planned while improving margin and growing revenue per truck 28 of 30 Adj. EPS1 $0.11 quarters (36)% • One–Way
Slide 7: Comprehensive Logistics Portfolio Is Key Component of Our Strategy
COMPREHENSIVE LOGISTICS PORTFOLIO IS KEY COMPONENT OF OUR STRATEGY GREATER PORTFOLIO OF SOLUTIONS TO LARGE CUSTOMERS | EXPANDING REACH TO SMALL & MID-SIZED CUSTOMERS Comprehensive Efficiency U.S. and MX Coverage Specialized Service Approach Utilizing a single trailer pool Private & Rail-Owned Tailor
Slide 8: 2025 Updated Market Outlook
2025 UPDATED MARKET OUTLOOK • Truckload fundamentals stable through the end of the year, market close to equilibrium • Capacity continues to exit bringing balance closer to equilibrium due to much lower Class 8 net truck orders, heightened English Language Proficiency enforcement, ongoing challengin
Slide 9: Financial Results
FINANCIAL RESULTS CHRIS WIKOFF Executive Vice President, Treasurer and Chief Financial Officer
Slide 10: 2Q25 Results
2Q25 RESULTS ADJUSTED OPERATING INCOME1 ($M) TOTAL REVENUES ($M) AND ADJUSTED OPERATING MARGIN1 ADJUSTED EPS1 $811 20. 0% $12 0.0 18. 0% $11 0.0 $0.52 $10 0.0 16. 0% $0. 60 $90 .0 14. 0% $80 .0 $0. 50 12. 0% $51.1 $70 .0 $761 $60 .0 10. 0% $0. 40 $753 $50 .0 8.0 % $0. 30 $40 .0 $21.3 $0.17 $0.11 6.0
Slide 11: 2Q25 Truckload Transportation Services (TTS) Results
2Q25 TRUCKLOAD TRANSPORTATION SERVICES (TTS) RESULTS 2Q23 2Q24 2Q25 2Q25 vs. 2Q24 Revenues ($M) $570.2 $537.1 $517.6 (4)% Revenues, net FSC ($M) 1 $493.5 $467.1 $462.4 (1)% Adjusted Operating Income1 ($M) $47.9 $23.3 $12.8 (45)% Adjusted Operating Margin1, 2 9.7% 5.0% 2.8% (220) bps Adjusted Operati
Slide 12: TTS Fleet Metrics Update
TTS1 FLEET METRICS UPDATE TTS FLEET UP 1% Y/Y TO 7,545 AT QUARTER END | RPTPW UP 0.3%, INCREASING 24 OF LAST 30 QUARTERS TRUCKING REVENUES2 ($M) AVERAGE TRUCKS REVENUES / TRUCK / WEEK2 DEDICATED TRUCKLOAD $310 $4,517 $4,534 $4,542 $289 $287 5,276 4,901 4,855 2Q23 2Q24 2Q25 2Q23 2Q24 2Q25 2Q23 2Q24 2
Slide 13: 2Q25 Werner Logistics Results
2Q25 WERNER LOGISTICS RESULTS 2Q23 2Q24 2Q25 2Q25 vs. 2Q24 Revenues ($M) $224.5 $208.9 $221.2 6% Revenues, less purchased $39.2 $31.8 $32.9 3% transportation expense ($M)1 Adjusted Operating Income (loss) ($M)1 $5.5 $1.7 $5.9 246% Adjusted Operating Margin1 2.4% 0.8% 2.7% 190 bps Y/Y COMMENTARY (2Q2
Slide 14: Leaner Organization Should Lead to Improved Leverage
LEANER ORGANIZATION SHOULD LEAD TO IMPROVED LEVERAGE $45M+ COST CONTAINMENT 2025 Target FOCUS & DISCIPLINE 2023 $45M+ • Largely structural and sustainable Projected Savings • Disciplined approach through: ➢ Operational Execution $20M ➢ Leveraging Technology Savings Achieved through 2Q25 ➢ M&A Integr
Slide 15: Positive Cash Flow & Strong Balance Sheet
POSITIVE CASH FLOW & STRONG BALANCE SHEET CASH FLOW ($ millions) Solid Cash Flow & Liquidity $449 $474 $446 • Q2 operating cash flow of $46M and $75M YTD $409 $333 $330 • Low net CapEx at $66M Q2 and $58M YTD, down $318 $266 $60M or >50% Y/Y $235 $193 • Free cash flow YTD of 1.2% of revenues, down $
Slide 16: Disciplined Capital Allocation
DISCIPLINED CAPITAL ALLOCATION STRATEGIC PRIORITIES CAPEX REINVESTMENT FOR GROWTH Reinvestment for Long-Term Growth 2025 Net CapEx Priorities: • Reinvestments to maintain low-age, safe and modern trucks and trailers • Ongoing strategic reinvestment, although lower than historical ranges • Growth inv
Slide 17: 2025 Guidance Metrics and Assumptions
2025 GUIDANCE METRICS AND ASSUMPTIONS Prior 2025 Current 2025 Guidance Actual Guidance Commentary (as of 4/29/25) (as of 6/30/25) (as of 7/29/25) 2025 GUIDANCE TTS Truck Count from BoY to EoY 1% to 5% 1.3% 1% to 4% New Dedicated fleet implementation progressing. (annual) (YTD25) (annual) One-Way fle
Slide 18: Appendix
APPENDIX
Slide 19: Revenues Snapshot
REVENUES SNAPSHOT 2024 REVENUES 2024 REVENUES 2024 REVENUES BY SEGMENT BY VERTICAL BY CUSTOMER Top 50 Customers 2% Retail 62% Top 5 36% 27% 28% $3.0B Manufacturing TOTAL 16% Top 10 48% REVENUES 70% & Industrial 71% Food & Top 25 14% 65% Beverage Truckload Transportation Services (TTS) Logistics & 8%
Slide 20: Reconciliation of Non-GAAP Financial Measures – Consolidated
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES – CONSOLIDATED (Unaudited) (In thousands, except per share amounts) Non-GAAP Adjusted Operating Income and Non-GAAP Adjusted Operating Margin (1) Quarter Ended June 30, 2023 2024 2025 % of Op. % of Op. % of Op. $ Rev. $ Rev. $ Rev. Operating income and o
Slide 21: Reconciliation of Non-GAAP Financial Measures – Consolidated
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES – CONSOLIDATED (Unaudited) (In thousands, except per share amounts) Non-GAAP Adjusted Operating Revenues, Net of Fuel Surcharge (1) Quarter Ended June 30, 2023 2024 2025 $ $ $ Operating revenues — (GAAP) $ 811,096 $ 760,798 $ 753,148 Non-GAAP adjustments
Slide 22: Reconciliation of Non-GAAP Financial Measures – Consolidated
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES – CONSOLIDATED (Unaudited) (In thousands, except per share amounts) Non-GAAP Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA); Non-GAAP Net Debt; and Non-GAAP Net Debt to EBITDA Ratio (1), (12) LTM Year Ended December 31, June 30,
Slide 23: Reconciliation of Non-GAAP Financial Measures – Truckload Transportation Services
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES – TRUCKLOAD TRANSPORTATION SERVICES (TTS) SEGMENT (Unaudited) (In thousands) Non-GAAP Adjusted Operating Income and Non-GAAP Adjusted Operating Margin (1) Quarter Ended June 30, 2023 2024 2025 % of Op. % of Op. % of Op. $ Rev. $ Rev. $ Rev. Operating inc
Slide 24: Reconciliation of Non-GAAP Financial Measures – Truckload Transportation Services
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES – TRUCKLOAD TRANSPORTATION SERVICES (TTS) SEGMENT (Continued) (Unaudited) (In thousands) Non-GAAP Adjusted Operating Revenues, Net of Fuel Surcharge; Non-GAAP Adjusted Operating Expenses, Net of Fuel Surcharge; Non-GAAP Adjusted Operating Margin, Net of
Slide 25: Reconciliation of Non-GAAP Financial Measures – Werner Logistics Segment
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES – WERNER LOGISTICS SEGMENT (Unaudited) (In thousands) Non-GAAP Adjusted Operating Revenues, Less Purchased Transportation Expense (1) Quarter Ended June 30, 2023 2024 2025 $ $ $ Operating revenues — (GAAP) $ 224,549 $ 208,912 $ 221,177 Non-GAAP adjustmen
Slide 26: Reconciliation of Non-GAAP Financial Measures
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (1) Non-GAAP adjusted operating income; non-GAAP adjusted operating margin; non-GAAP adjusted operating margin, net of fuel surcharge; non-GAAP adjusted net income attributable to Werner; non-GAAP adjusted diluted earnings per share; non-GAAP free cash f
Slide 27: For More Information, Visit Werner.com
FOR MORE INFORMATION, VISIT WERNER.COM