J.b. Hunt Transport Services, Inc. · NASDAQ:JBHT
J.b. Hunt Transport Services — Q2 2022 Earnings Presentation
20 slides from J.b. Hunt Transport Services's earnings presentation, 2022
Slide 1: J.B. Hunt Transport Services, Inc. Q2 2022 Results
J.B. HUNT TRANSPORT SERVICES, INC. Q2 2022 Results
Slide 2: Disclosure
DISCLOSURE This presentation and discussion may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “expects,” “anticipates,” “intends,” “estimates,” or similar expressions are intended to identify these forward-looking stateme
Slide 3: Distinct & Complementary Businesses
DISTINCT & COMPLEMENTARY BUSINESSES Intermodal (JBI) • Largest, 100% 53’ high-cube container fleet 2Q 2022 Revenue Mix • Largest drayage fleet in North America 7% • Priority loading and unloading at major rail terminals 7% JBI Dedicated Contract Services (DCS) • Fleet creation, conversion, and augme
Slide 4: 2Q 2022 Results vs. 2Q 2021
2Q 2022 RESULTS VS. 2Q 2021 OVERVIEW SEGMENT PERFORMANCE 2Q 2022 Revenue: Intermodal (JBI) $3.84 billion; up 32% Revenue: $1.83 billion; up 42% 2Q 2022 Revenue, excl FSC: Operating Income: $202.5 million; up 50% $3.16 billion; up 21% Dedicated Contract Services (DCS) Revenue: $863 million; up 39% 2Q
Slide 5: 2Q Results Consolidated
2Q RESULTS CONSOLIDATED Revenue Operating Income (in millions) (in millions) $1,046 $12,168 $12,000 $1,000 $800 $577 $716 $721 $681 $734 $713 $632 $624 $10,000 $600 $9,637 $9,165 $353 $400 $8,615 $242 $200 $8,000 $7,190 $- 2013 2014 2015 2016 2017 2018 2019 2020 2021 2Q 212Q 22 $6,555 $6,188 $6,165
Slide 6: Key Points
KEY POINTS • Industry leading Intermodal franchise • Differentiated and specialized Dedicated business • Independent brokerage/management services • Lighter Truckload asset model
Slide 7: Segment Discussion
SEGMENT DISCUSSION 7
Slide 8: Intermodal (JBI)
INTERMODAL (JBI) Intermodal volumes increased 8% over the same period in 2021. Eastern JBI Revenue network loads increased 13%, while transcontinental loads increased 5%. (in millions) Demand for intermodal capacity remained strong throughout the quarter, $6,000 however rail velocity and customer be
Slide 9: Intermodal (JBI) Performance
INTERMODAL (JBI) PERFORMANCE JBI Revenue Change JBI Operating Income Change 42% 90% 35% 70% 25% 50% 50% 41% 15% 17% 15% 30% 12% 5% 10% 1% -1% -10% -2% -4% -5% FY18/FY17 FY19/FY18 FY20/FY19 FY21/FY20 2Q Y/Y FY18/FY17 FY19/FY18 FY20/FY19 FY21/FY20 2Q Y/Y JBI Average Length of Haul JBI Revenue per Load
Slide 10: Dedicated (DCS)
DEDICATED (DCS) DCS Revenue (in millions) $2,578 DCS revenue increased 39% during the current quarter over the $2,600 same period 2021. Productivity (revenue per truck per week) $2,400 increased approximately 14% versus the prior period. Productivity $2,128 $2,196 excluding fuel surcharge revenue in
Slide 11: Dedicated (DCS) Performance
DEDICATED (DCS) PERFORMANCE DCS Revenue Change DCS Operating Income Change 50% 45% 42% 40% 39% 40% 35% 30% 30% 25% 17% 20% 20% 19% 15% 13% 13% 10% 10% 5% 3% 0% 0% -5% -3% FY19/FY18 FY20/FY19 FY21/FY20 2Q Y/Y FY19/FY18 FY20/FY19 FY21/FY20 2Q Y/Y DCS Revenue Per Truck Per Week DCS Loads 5,500 4,020,30
Slide 12: Integrated (ICS)
INTEGRATED (ICS) ICS Revenue (in millions) ICS revenue increased 3% in the current quarter over the same $2,538 period 2021. Overall segment volumes decreased 3% versus the prior-year period, which was consistent with truckload volume $2,400 performance. Revenue per load increased 5% compared to the
Slide 13: Integrated (ICS) Performance
INTEGRATED (ICS) PERFORMANCE ICS Revenue Change ICS Operating Income/(Loss) 60% 53% (in millions) 50% $60.0 $46.3 40% $40.0 30% $23.6 30% $20.0 23% $3.1 20% $0.0 ($20.0) ($11.1) 10% 3% 1% ($40.0) 0% FY18/FY17 FY19/FY18 FY20/FY19 FY21/FY20 2Q Y/Y ($44.7) ($60.0) 2019 2020 2021 2Q 21 2Q 22 ICS Gross P
Slide 14: Truckload (JBT)
TRUCKLOAD (JBT) JBT Revenue (in millions) JBT revenue increased 46% as compared to the same period in the $796 previous year. Revenue excluding fuel surcharge revenue increased $800 37% primarily due to increased load volume and higher revenue per $750 load excluding fuel surcharge revenue. Volume f
Slide 15: Truckload (JBT) Performance
TRUCKLOAD (JBT) PERFORMANCE JBT Average Trailers JBT Average Length of Haul 14,000 600 12,135 12,000 482 485 490 500 10,000 9,299 415 420 8,662 400 7,866 8,000 6,824 6,000 300 4,000 200 2,000 100 - 2019 2020 2021 2Q 21 2Q 22 - 2019 2020 2021 2Q 21 2Q 22 JBT Loads JBT Revenue per Load 500,000 445,812
Slide 16: Final Mile Services (FMS)
FINAL MILE SERVICES (FMS) FMS Revenue (in millions) $842 FMS revenue increased 21% compared to the same period 2021 $800 driven by the previously announced acquisition of Zenith Freight Lines, LLC (Zenith) that closed at the end of February, in addition $689 $700 to multiple customer contracts imple
Slide 17: Final Mile Services (FMS)
FINAL MILE SERVICES (FMS) FMS Operating Income/(Loss) FMS Revenue Change (in millions) 60% 51% $27.9 50% $25.0 $20.0 40% $12.8 $15.0 $10.7 30% $10.0 22% 22% 21% $5.0 20% $0.0 ($5.0) ($0.9) 10% ($10.0) ($8.8) 0% ($15.0) FY19/FY18 FY20/FY19 FY21/FY20 2Q Y/Y 2019 2020 2021 2Q 21 2Q 22 FMS Average Truck
Slide 18: Summary
SUMMARY Competitively differentiated Unique intermodal network Distinct advantages in dedicated segments Network economics and brand strength to penetrate new markets Complemented by industry dynamics Shippers need to reduce costs Shippers demand on-time service Increasingly complex supply chains Po
Slide 19: Balance Sheet
BALANCE SHEET June 30, 2022 December 31, 2021 ASSETS Current assets: Cash and cash equivalents $ 123,841 $ 355,549 Accounts Receivable, net 1,776,773 1,506,619 Prepaid expenses and other 381,304 451,201 Total current assets 2,281,918 2,313,369 Property and equipment 7,294,079 6,680,316 Less accumula
Slide 20: Thank You
THANK YOU [=a |}
J.B. Hunt Transport Services — Q2 2022 Earnings Presentation on 6ix