Landstar System, Inc. · NASDAQ:LSTR
Landstar System — Q4 2016 Earnings Presentation
14 slides from Landstar System's earnings presentation, Feb 1, 2017
Slide 1: Landstar System, Inc. Earnings Conference Call Fourth Quarter 2016
DESIGNED TO RESPOND BUILT TO DELIVER Landstar System, Inc. Earnings Conference Call Fourth Quarter 2016 February 1, 2017 Date Published: 02/01/2017
Slide 2: Safe Harbor Statement
The following is a “safe harbor” statement under the Private Securities Litigation Reform Act of 1995. Statements made during this presentation that are not based on historical facts are “forward looking statements.” During this presentation, I may make certain statements, containing forward-looking
Slide 3: Model Definition
Model Definition Landstar is a worldwide, asset-light provider of integrated transportation management solutions delivering safe, specialized transportation services to a broad range of customers utilizing a network of agents, third party capacity providers and employees. 3 Date Published: 02/01/201
Slide 4: The Network
The Network 2016 Results Agents $3.2 billion in revenue Approx. 1,200 1.8 million loadings 502 million dollar agents 9,439 BCO trucks (2016 year-end) Landstar 47,453 Carriers (2016 year-end) Employees 15,000+ Trailers (2016 year-end) Approx. 1,200 Capacity Customers 56,000+ 25,000+ 4 Date Published:
Slide 5: Transportation Management Services
Transportation Management Services Percentage of Revenue 4Q15 4Q16 Truck Transportation Truckload Van equipment 57% 61% Unsided/platform equipment 34% 29% Less-than-truckload 2% 2% Rail intermodal 3% 3% Ocean and air cargo 3% 2% 5 Date Published: 02/01/2017
Slide 6: Revenue
Revenue ($’s in thousands) Fiscal Year (1) Quarter (1) $3,500,000 $950,000 $3,321,091 $3,300,000 $892,829 $3,167,634 $848,602 $875,000 $3,100,000 $800,000 $2,900,000 $2,700,000 $725,000 $2,500,000 $650,000 2015 2016 4Q15 4Q16 Year over Prior Year Rate ( 2) Volume ( 3) Change Qtr over Prior Year Qtr
Slide 7: Truckload Loadings and Revenue per Load
Truckload Loadings and Revenue per Load (Excludes LTL) Van Equipment Number of Loads (1) Revenue per Load 340,000 $1,900 330,000 320,000 310,000 $1,800 300,000 290,000 $1,700 280,000 270,000 $1,600 260,000 250,000 240,000 $1,500 2Q15 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 4Q13 1
Slide 8: Industries Served
Industries Served As a Percentage of Revenue Quarter over Prior Year Quarter 4Q15 4Q16 Growth Consumer Durables 18.7 21.6 22% Machinery 13.7 14.2 9% Automotive 13.2 9.1 -27% Building Products 8.0 8.1 7% Metals 6.2 6.1 2% AA&E, Hazmat 6.7 7.2 14% Foodstuffs 5.0 5.5 15% Energy 3.9 3.1 -15% Other 24.6
Slide 9: Gross Profit and Gross Profit Margin
Gross Profit (1) and Gross Profit Margin (2) ($’s in thousands) Fiscal Year (3) Quarter (3) $550,000 $140,000 $525,000 $499,488 $132,781 $487,766 $500,000 $130,000 $475,000 $126,425 $450,000 $425,000 $120,000 $400,000 15.0% 15.4% 14.9% $375,000 14.9% $350,000 $110,000 2015 2016 4Q15 4Q16 Fiscal Year
Slide 10: Operating Income and Operating Margin
Operating Income and Operating Margin (1) ($’s in thousands) Fiscal Year (2) Quarter (2) $275,000 $75,000 $255,000 $68,000 $241,706 $62,648 $63,765 $235,000 $61,000 $223,251 $215,000 $54,000 $195,000 48.4% 45.8% 49.6% 48.0% $47,000 48.4% 4 $175,000 $40,000 2015 2016 4Q15 4Q16 Fiscal Year 4th Qtr Cha
Slide 11: Truck Capacity Data
Truck Capacity Data (All information is provided as of the end of the period) Dec 26, Dec 31, (2) 2015 2016 (2) BCO Independent Contractors 8,907 8,824 Truck Brokerage Carriers: Approved and Active (1) 29,728 31,471 Other Approved 14,715 15,982 44,443 47,453 Total Available Truck Capacity Providers
Slide 12: Key Balance Sheet and Cash Flow Statistics
Key Balance Sheet and Cash Flow Statistics ($’s in thousands) YTD YTD Dec 26, Dec 31, 2015 2016 Balance sheet (period end amounts): Debt to Capital 21% 20% Net Cash (1) $ 39,051 $ 107,153 Cash flow: Cash flow from operations $ 216,022 $ 190,242 Capital expenditures $ 4,804 $ 22,645 Share repurchases
Slide 13: Free Cash Flow / Share Purchases
Free Cash Flow (1) / Share Purchases (In Thousands) $250,000 50,000 $200,000 48,000 $150,000 46,000 $100,000 44,000 $50,000 42,000 $- 40,000 2012 2013 2014 2015 2016 Free Cash Flow Share Purchases Common Share Count (1) Free cash flow is defined as cash flow from operations less capital expenditures
Slide 14: Designed to Respond, Built to Deliver
DESIGNED TO RESPOND BUILT TO DELIVER 14 Date Published: 02/01/2017