Landstar System, Inc. · NASDAQ:LSTR
Landstar System — Q4 2024 Earnings Presentation
25 slides from Landstar System's earnings presentation, Jan 29, 2025
Slide 1: Landstar System, Inc. 4Q 2024 Earnings Conference Call
Exhibit 99.2 Landstar System, Inc. 4Q 2024 Earnings Conference Call Date
Slide 2: 4Q 2024 Forward-Looking Statements Disclaimer
4Q 2024 Forward-Looking Statements Disclaimer The following is a “safe harbor” statement under the Private Securities Litigation Reform Act of 1995. Statements made in this slide presentation that are not based on historical facts are “forward-looking statements.” This presentation may make certain
Slide 3: 4Q 2024 Non-GAAP Financial Measures
4Q 2024 Non-GAAP Financial Measures In this slide presentation, the Company provides the following information that may be deemed a non-GAAP financial measure: variable contribution, variable contribution margin and operating income as a percentage of variable contribution. Management believes varia
Slide 4: 4Q 2024 Executive Summary
4Q 2024 Executive Summary Frank Lonegro Chief Executive Officer 4
Slide 5: CEO Perspective
CEO Perspective Slide header R E S U L T S H I G H L I G H T S Dollars in Millions (except per share amounts) 4Q revenue performance • First year over year quarterly revenue growth since 3Q 2022 • 6% year over year revenue growth on our Metric 4Q 2024 4Q 2023 Chg. unsided/platform service offering •
Slide 6: Landstar Network and 4Q Operating Results
Landstar Network and 4Q Operating Results L A N D S T A R N E T W O R K 4Q R E S U L T S Agents Customers Capacity Employees $1.08B Truck Revenue ~1,050 23,000+ 78,000+ ~1,400 477K Truck Loadings $2,268 Truck Revenue per Load 485 Million $ Agents 8,843 BCO Trucks 70,245 Carriers 17,600+ Trailers DOT
Slide 7: Truck Capacity
Truck Capacity All information is provided as of the end of the applicable period A V A I L A B L E T R U C K C A P A C I T Y P R O V I D E R S Type of Capacity Dec 28, 2024 Dec 30, 2023 BCO Independent Contractors 8,082 9,024 Truck Brokerage Carriers (1) Approved and Active 43,718 49,111 Other Appr
Slide 8: 4Q 2024 Financial Results
4Q 2024 Financial Results Jim Todd Chief Financial Officer 8
Slide 9: Revenue
Revenue Slide header Dollars in Millions R E S U L T S V A R I A N C E (1) (2) Revenue Source Rate Vol. Chg. $1,209.3 $1,204.4 Truck 3.1% (3.4%) (0.4%) Rail Intermodal (14.1%) (12.3%) (24.6%) Ocean/Air 22.7% 11.8% 37.2% Insurance Premiums N/A N/A (12.4%) Total Revenue—— 0.4% 4Q 2024 4Q 2023 (1) Perc
Slide 10: Revenue Variances by Industry Served with Revenue Share Indicated
Revenue Variances by Industry Served with Revenue Share Indicated Amounts in Percent Transportation logistics revenue up 1% Y-O-Y Revenue Share Y-O-Y Change 4Q 2024 4Q 2023 Market Segment in Revenue 27.4 27.8 Consumer Durables (1) 13.7 13.7 Machinery 1 10.1 11.6 Automotive (12) 9.4 8.1 Building Prod
Slide 11: Gross Profit and Variable Contribution with Associated Margins
(1) (2) Gross Profit and Variable Contribution with Associated Margins Dollars in Millions R E S U L T S C H A N G E I N V C M A R G I N Gross Variable Amounts in % 4Q Profit Contribution 2023 14.8 $178.1 $166.5 (3) Revenue – Fixed (0.3) $124.6 $109.4 Revenue – Variable (0.5) Change in Mix/Other (0.
Slide 12: Operating Income as a Percentage of Gross Profit and Variable Contribution
Operating Income Slide header as a Percentage of Gross Profit and Variable Contribution Dollars in Millions R E S U L T S C H A N G E I N P E R C E N T A G E of Variable Contribution Operating Percentage of Amounts in % 4Q Income Gross Profit Variable Contribution 2023 41.9) 59.8% $74.6 Other operat
Slide 13: Key Balance Sheet and Cash Flow Statistics
Key Balance Sheet and Cash Flow Statistics Dollars in Millions (1) N E T C A S H S O U R C E S / U S E S O F C A S H (2) Year-to-date as of date indicated with Debt to Capital as of date indicated Cash Flow Type Dec 28, 2024 Dec 30, 2023 Cash flow from operations $ 286.6 $ 393.6 $469.6 $464.3 Cash c
Slide 14: 4Q 2024 1Q Guidance & Closing Remarks
4Q 2024 1Q Guidance & Closing Remarks Frank Lonegro Chief Executive Officer 14
Slide 15: 1Q Guidance
1Q Guidance Slide header Ü Consolidated Revenue of $1.075 - $1.175 billion – Truck Loads 7% below to 2% below prior year – Truck Revenue per Load 2% below to 3% above prior year Ü Earnings per Share of $1.05 — $1.25 – Insurance Expense to approximate 6.0% of BCO revenue – Effective Income Tax Rate o
Slide 16: 4Q 2024 Appendix
4Q 2024 Appendix 16
Slide 17: Revenue Breakdown by Service Type
Revenue Breakdown by Service Type P E R C E N T A G E O F R E V E N U E 4Q 2 0 2 4 by Service Type 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% T R U C K T R A N S P O R T A T I O N T R U C K L O A D Van — 49%, Unsided/Platform — 30% LTL — 2% OTHER TRUCK — 8% RAIL INTERMODAL — 2% OCEAN / AIR CARGO —
Slide 18: Truckload Loadings and Revenue per Truckload Trends
Truckload Loadings and Revenue per Truckload Trends V A N U N S I D E D / P L A T F O R M NUMBER OF LOADS NUMBER OF LOADS 400,000 150,000 300,000 100,000 200,000 50,000 100,000 0 0 REVENUE PER LOAD REVENUE PER LOAD $3,500 $3,500 $3,000 $3,000 $2,500 $2,500 $2,000 $2,000 $1,500 $1,500 $1,000 $1,000 $
Slide 19: Revenue – Fiscal Year
Revenue – Fiscal Year Slide header Dollars in Millions R E S U L T S V A R I A N C E (1) (2) Revenue Source Rate Vol. Chg. $5,303.3 Truck (1.7%) (8.4%) (10.0%) $4,819.2 Rail Intermodal (9.2%) (5.6%) (14.2%) Ocean/Air 3.6% 4.9% 8.7% Insurance Premiums N/A N/A (12.7%) Total Revenue—— (9.1%) 2024 2023
Slide 20: Gross Profit and Variable Contribution – Fiscal Year
Gross Profit and Variable Contribution – Fiscal Year with Associated Margins Dollars in Millions R E S U L T S C H A N G E I N V C M A R G I N Gross Variable Amounts in % 2024 Profit Contribution 2023 14.6 $772.4 (1) Revenue – Fixed 0.0 $681.3 $545.3 $456.0 Revenue – Variable (0.4) Change in Mix/Oth
Slide 21: Operating Income – Fiscal Year
Operating Income – Fiscal Year Slide header as a Percentage of Gross Profit and Variable Contribution Dollars in Millions R E S U L T S C H A N G E I N P E R C E N T A G E of Variable Contribution Operating Percentage of Amounts in % 2024 Income Gross Profit Variable Contribution 2023 44.6) 63.1% $3
Slide 22: Reconciliation of Gross Profit to Variable Contribution
Reconciliation of Gross Profit to Variable Contribution Dollars in Thousands Fiscal Years Ended Fiscal Quarters Ended Dec 28, Dec 30, Dec 28, Dec 30, 2024 2023 2024 2023 Revenue $ 4,819,245 $ 5,303,322 $ 1,209,330 $ 1,204,445 Costs of revenue: Purchased transportation 3 ,745,241 4 ,068,262 945,857 9
Slide 23: Free Cash Flow with Stock Purchases and Dividends
Free Cash Flow with Stock Purchases and Dividends Dollars and Shares in Millions 5 – Y E A R S U M M A R Y Cash Flow Item 2020 2021 2022 2023 2024 Cash flow from operations $ 211 $ 277 $ 623 $ 394 $ 287 (1) Cash capital expenditures $ 34 $ 24 $ 26 $ 26 $ 31 Free cash flow $ 177 $ 253 $ 597 $ 368 $ 2
Slide 24: DOT Accident Frequency per Million Miles Traveled by BCOs
(1) DOT Accident Frequency per Million Miles Traveled by BCOs 5 – Y E A R S U M M A R Y 0.70 0.65 0.65 0.62 0.60 0.59 0.60 0.57 0.55 0.50 2020 2021 2022 2023 2024 (1) A “DOT Accident” is defined, consistent with U.S. 49 CFR 390.5T, as an occurrence involving a commercial motor vehicle operating on a
Slide 25: Landstar System, Inc. 4Q 2024 Earnings Conference Call
Landstar System, Inc. 4Q 2024 Earnings Conference Call Date