J.B. Hunt Transport Services, Inc. · NASDAQ:JBHT
J.B. Hunt Transport Services — Q2 2016 Earnings Presentation
17 slides from J.B. Hunt Transport Services's earnings presentation, 2016
Slide 1: J.B. Hunt Transport Services, Inc. Q2 2016 Results
J.B. Hunt Transport Services, Inc. Q2 2016 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 statem
Slide 3: Distinct Complementary Businesses
Distinct Complementary Businesses 2Q 2016 Revenue Mix • Intermodal (JBI) 6% • Largest, 100% 53’ high-cube container fleet 12% • Largest drayage fleet in North America JBI • Priority loading and unloading at major rail DCS terminals ICS JBT • Dedicated Contract Services (DCS) 58% • Fleet creation, co
Slide 4: 2Q 2016 Results vs. 2Q 2015
2Q 2016 Results vs. 2Q 2015 • 2Q 2016 Revenue: $1.62 billion; up 5% • 2Q 2016 Revenue, excl FSC: $1.48 billion; up 9% • 2Q 2016 Operating Income: $176 million; up 1% • 2Q 2016 EPS: $0.92 vs. $0.88; up 5% • Segment Performance • Intermodal (JBI) • Revenue: $933 million; up 3% • Operating Income: $105
Slide 5: 2Q 2016 Results - Consolidated
2Q 2016 Results - Consolidated Revenue Operating Income (in millions) (in millions) $7,000 $800 $716 $700 $632 $6,165 $6,188 $577 $600 $530 $6,000 $500 $5,585 $444 $348 $400 $300 $248 $5,055 $176 $5,000 $200 $174 $4,527 $100 $- $3,793 2009 2010 2011 2012 2013 2014 2015 2Q 15 2Q 16 $4,000 Diluted EPS
Slide 6: Key Points
Key Points • Industry leading Intermodal franchise • Differentiated & specialized Dedicated business • Independent brokerage/management services • Lighter Truckload asset model 6
Slide 7: Segment Discussion
UNMATCHED CAPACITY. ali | | | qin! Atenas Segment Discussion
Slide 8: JBI - Intermodal
JBI - Intermodal JBI Revenue (in millions) $4,000 • Load volumes grew 9% over the same period in $3,687 $3,665 2015. $3,456 $3,500 • Eastern network realized load growth of 10% and $3,071 Transcontinental loads grew 8% as west coast $3,000 port volumes continued a more normal velocity $2,673 and rai
Slide 9: JBI Performance
JBI Performance JBI Revenue Change JBI Operating Income Change 15% 13% 25% 19% 15% 7% 3% 4% 5% 5% 3% -5% -1% -11% -5% -15% FY13/FY12 FY14/FY13 FY15/FY14 2Q Y/Y FY13/FY12 FY14/FY13 FY15/FY14 2Q Y/Y JBI Average Length of Haul JBI Revenue per Load 1,660 $2,200 1,656 $2,169 1,655 1,652 $2,100 $2,073 1,6
Slide 10: DCS - Dedicated
DCS - Dedicated DCS Revenue (in millions) $1,600 • Revenue increased 4% during the current $1,451 quarter over the same period in 2015. $1,394 $1,400 • Productivity excluding fuel surcharges $1,231 increased 1% over a year ago primarily from $1,200 better integration of assets between customer $1,08
Slide 11: DCS Performance
DCS Performance DCS Revenue Change DCS Operating Income Change 15% 14% 50% 13% 40% 40% 10% 30% 24% 20% 5% 4% 4% 10% 6% 0% -5% 0% -10% FY13/FY12 FY14/FY13 FY15/FY14 2Q Y/Y FY13/FY12 FY14/FY13 FY15/FY14 2Q Y/Y DCS Average Length of Haul DCS Loads 200 2,500,000 177 176 2,250,099 175 174 2,101,707 2,000
Slide 12: ICS - Non-Asset Based
ICS - Non-Asset Based ICS Revenue (in millions) $750 $718 • Revenue was up 17% compared to the second $699 $700 quarter 2015. $650 • Volumes increased 62% while revenue per load $600 decreased 28%, primarily due to freight mix $537 changes driven by customer demand and $550 lower fuel prices compare
Slide 13: ICS Performance
ICS Performance ICS Revenue Change ICS Operating Income Change 40% 125% 122% 35% 34% 110% 30% 95% 90% 25% 80% 20% 18% 17% 65% 15% 50% 10% 35% 20% 5% 20% 0% 5% -5% -3% -10% -3% FY13/FY12 FY14/FY13 FY15/FY14 2Q Y/Y FY13/FY12 FY14/FY13 FY15/FY14 2Q Y/Y ICS Gross Profit Margin ICS Loads 20% 600,000 542,
Slide 14: JBT - Truckload
JBT - Truckload JBT Revenue (in millions) $600 • Revenue for the current quarter was up 1% compared to the same period in 2015. $504 • Revenue excluding fuel surcharges increased $500 $479 $484 6%, primarily from an 11% increase in average $447 fleet count. $391 $386 $386 • Rate per loaded mile excl
Slide 15: JBT Performance
JBT Performance JBT Average Nonpaid Empty Miles Per Load JBT Average Length of Haul 90 500 448 460 88 87.2 435 411 86 400 83.8 84 300 82 79.3 80 200 78 76 73.9 100 74 72 0 70 2014 2015 2Q 15 2Q 16 2014 2015 2Q 15 2Q 16 JBT Loads JBT Revenue per Tractor per Week 400,000 370,555 366,297 $5,000 $4,068
Slide 16: 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
Slide 17: Balance Sheet
Balance Sheet J.B. HUNT TRANSPORT SERVICES, INC. Condensed Consolidated Balance Sheets (in thousands) (unaudited) June 30, 2016 December 31, 2015 ASSETS Current assets: Cash and cash equivalents $ 11,277 $ 5,566 Accounts Receivable 744,026 654,542 Prepaid expenses and other 71,705 197,817 Total curr
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