Landstar System, Inc. · NASDAQ:LSTR
Landstar System — Q1 2025 Earnings Presentation
31 slides from Landstar System's earnings presentation, May 13, 2025
Slide 1: Landstar System Reports First Quarter Revenue of $1.153B and EPS of $0.85
For Immediate Release May 13, 2025 LANDSTAR SYSTEM REPORTS FIRST QUARTER REVENUE OF $1.153B AND EARNINGS PER SHARE OF $0.85 AND ANNOUNCES 11% INCREASE TO QUARTERLY DIVIDEND Jacksonville, FL - Landstar System, Inc. (NASDAQ: LSTR) (“Landstar” or the “Company”) today reported basic and diluted earnings
Slide 2: Landstar System press release, page 2
LANDSTAR SYSTEM/2 This charge currently reflects the total anticipated adverse financial impact to Landstar relating to the fraud, net of certain actual and anticipated recoveries and before taking into account the cost of legal and other professional fees as well as additional potential recoveries
Slide 3: Landstar System press release, page 3
LANDSTAR SYSTEM/3 quarter earnings release slide presentation, dated January 29, 2025 (the “2025 First Quarter Guidance”). Truck revenue per load decreased 0.6% in the 2025 first quarter as compared to the 2024 first quarter, below the mid-point of the guidance range of 2% below to 3% above prior ye
Slide 4: Webcast information and About Landstar
LANDSTAR SYSTEM/4 Landstar will provide a live webcast of its quarterly earnings conference call this morning at 8:30 a.m. ET. To access the webcast, visit www.investor.landstar.com; click on “Webcasts,” then click on “Landstar’s First Quarter 2025 Earnings Release Conference Call.” A slide presenta
Slide 5: Forward Looking Statements Disclaimer
LANDSTAR SYSTEM/5 Company’s results as compared to the results of peer companies; and (3) management considers this financial information in its decision making. Forward Looking Statements Disclaimer: The following is a “safe harbor” statement under the Private Securities Litigation Reform Act of 19
Slide 6: Consolidated Statements of Income
LANDSTAR SYSTEM/6 Landstar System, Inc. and Subsidiary Consolidated Statements of Income (Dollars in thousands, except per share amounts) (Unaudited) Thirteen Weeks Ended March 29, March 30, 2025 2024 Revenue $ 1,152,502 $ 1,171,043 Investment income 3,598 3,412 Costs and expenses: Purchased transpo
Slide 7: Consolidated Balance Sheets
LANDSTAR SYSTEM/7 Landstar System, Inc. and Subsidiary Consolidated Balance Sheets (Dollars in thousands, except per share amounts) (Unaudited) March 29, December 28, 2025 2024 ASSETS Current assets: Cash and cash equivalents $ 417,420 $ 515,018 Short-term investments 56,016 51,619 Trade accounts re
Slide 8: Supplemental Information
LANDSTAR SYSTEM/8 Landstar System, Inc. and Subsidiary Supplemental Information (Unaudited) Thirteen Weeks Ended March 29, March 30, 2025 2024 Revenue generated through (in thousands): Truck transportation Truckload: Van equipment $ 594,795 $ 628,304 Unsided/platform equipment 340,408 343,045 Less-t
Slide 9: Reconciliation of Gross Profit to Variable Contribution
LANDSTAR SYSTEM/9 Landstar System, Inc. and Subsidiary Reconciliation of Gross Profit to Variable Contribution (Dollars in thousands) (Unaudited) Thirteen Weeks Ended March 29, March 30, 2025 2024 Revenue $ 1,152,502 $ 1,171,043 Costs of revenue: Purchased transportation 897,878 905,521 Commissions
Slide 10: Landstar System, Inc. 1Q 2025 Earnings Conference Call
Landstar System, Inc. 1Q 2025 Earnings Conference Call Date
Slide 11: Forward-Looking Statements Disclaimer
1Q 2025 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 12: Non-GAAP Financial Measures
1Q 2025 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 13: Executive Summary
1Q 2025 Executive Summary Frank Lonegro Chief Executive Officer 4
Slide 14: CEO Perspective
CEO Perspective Slide header RESULTS HIGHLIGHTS Dollars in Millions (except per share amounts) 1Q revenue performance • Stronger than mid-point of guidance • For the first time in 15 years, the number of loads hauled via truck in 1Q exceeded the immediately preceding 4Q Metric 1Q 2025 1Q 2024 Chg. O
Slide 15: Landstar Network and 1Q Operating Results
Landstar Network and 1Q Operating Results LANDSTAR NETWORK 1Q R E S U L T S Agents Customers Capacity Employees $1.05B Truck Revenue ~1,030 23,000+ 88,000+ ~1,400 485K Truck Loadings $2,165 Truck Revenue per Load 485 Million $ Agents* 8,620 BCO Trucks 80,598 Carriers 17,300+ Trailers 0.69 DOT Accide
Slide 16: Truck Capacity
Truck Capacity All information is provided as of the end of the applicable period AVAILABLE TRUCK CAPACITY PROVIDERS Type of Capacity Mar 29, 2025 Dec 28, 2024 Mar 30, 2024 BCO Independent Contractors 7,871 8,082 8,619 Truck Brokerage Carriers Approved and Active (1) 47,323 43,718 45,919 Other Appro
Slide 17: Financial Results
1Q 2025 Financial Results Jim Todd Chief Financial Officer 8
Slide 18: Revenue
Revenue Slide header Dollars in Millions RESULTS VARIANCE Revenue Source Rate (1) Vol. (2) Chg. $1,171.0 $1,152.5 Truck (0.6%) (1.2%) (1.8%) Rail Intermodal (10.4%) (14.0%) (22.9%) Ocean/Air 16.1% 4.6%) 21.4% Insurance Premiums N/A N/A (10.6%) 1Q 2025 1Q 2024 Total Revenue — — (1.6%) (1) Percentage
Slide 19: Revenue Variances by Industry Served
Revenue Variances by Industry Served with Revenue Share Indicated Amounts in Percent Transportation logistics revenue down 1% Y-O-Y Revenue Share Y-O-Y Change 1Q 2025 1Q 2024 Market Segment in Revenue 29.0 28.1 Consumer Durables 2 14.4 13.5 Machinery 5 9.1 11.7 Automotive (23) 8.7 8.6 Building Produ
Slide 20: Gross Profit and Variable Contribution
Gross Profit (1) and Variable Contribution (2) with Associated Margins Dollars in Millions RESULTS CHANGE IN VC MARGIN Gross Variable Amounts in % 1Q Profit Contribution 2024 14.4 $161.3 $168.2 Change in Mix/Other (0.3) $113.9 $98.3 Revenue – Fixed (3) (0.2) Revenue – Variable 0.1 8.5% 9.7% 14.0% 14
Slide 21: Operating Income
Operating Income Slide header as a Percentage of Gross Profit and Variable Contribution Dollars in Millions RESULTS CHANGE IN PERCENTAGE of Variable Contribution Operating Percentage of Amounts in % 1Q Income Gross Profit Variable Contribution 2024 35.6) $60.0 52.6% Insurance and claims (8.9) $39.4
Slide 22: Key Balance Sheet and Cash Flow Statistics
Key Balance Sheet and Cash Flow Statistics Dollars in Millions N E T C A S H (1) SOURCES / USES OF CASH with Debt to Capital (2) as of date indicated Cash Flow Type 1Q 2025 1Q 2024 Cash flow from operations $ 55.7 $ 94.2 $465.2 Capital expenditures $ 1.9 $ 9.3 Free cash flow (3) $ 53.8 $ 84.9 $379.5
Slide 23: 2Q Closing Remarks
1Q 2025 2Q Closing Remarks Frank Lonegro Chief Executive Officer 14
Slide 24: 2Q Current Market Update and Historical Trends
Slide header 2Q Current Market Update and Historical Trends Current Market Update - April business activity: – Truck Loads: April approximately 2% below April 2024 – Modestly below typical March to April month-to-month historical trends – Truck Revenue per Load: April approximately 1% above April
Slide 25: Appendix
1Q 2025 Appendix 16
Slide 26: 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 1Q 2 0 2 5 by Service Type 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% TRU C K TRAN S P ORTATI ON TRUCKLOAD Van — 52%, Unsided/Platform — 29% LTL — 2% OTHER TRUCK — 8% RAIL INTERMODAL — 2% OCEAN / AIR CARGO — 6% ALL OTHER — 2% C
Slide 27: Truckload Loadings and Revenue per Truckload Trends
Truckload Loadings and Revenue per Truckload Trends VAN UNSIDED / PLATFORM 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 $500 $500 $- $-
Slide 28: Reconciliation of Gross Profit to Variable Contribution
Reconciliation of Gross Profit to Variable Contribution Dollars in Thousands Thirteen Weeks Ended March 29, March 30, 2025 2024 Revenue $ 1,152,502 $ 1,171,043 Costs of revenue: Purchased transportation 897,878 905,521 Commissions to agents 93,314 97,282 Variable costs of revenue 991,192 1,002,803 T
Slide 29: Free Cash Flow with Stock Purchases and Dividends
Free Cash Flow with Stock Purchases and Dividends Dollars and Shares in Millions 5–YEAR SUMMARY Cash Flow Item 2020 2021 2022 2023 2024 Cash flow from operations $ 211 $ 277 $ 623 $ 394 $ 287 Cash capital expenditures(1) $ 34 $ 24 $ 26 $ 26 $ 31 Free cash flow $ 177 $ 253 $ 597 $ 368 $ 256 Share rep
Slide 30: DOT Accident Frequency
DOT Accident (1) Frequency per Million Miles Traveled by BCOs 5–YEAR SUMMARY 0.70 0.65 0.65 0.62 0.60 0.60 0.59 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 highway in
Slide 31: Landstar System, Inc. 1Q 2025 Earnings Conference Call
Landstar System, Inc. 1Q 2025 Earnings Conference Call Date