J.b. Hunt Transport Services, Inc. · NASDAQ:JBHT

J.b. Hunt Transport Services — Q1 2018 Earnings Presentation

18 slides from J.b. Hunt Transport Services's earnings presentation, 2018

  1. Slide 1: J.B. Hunt Q1 2018 Results

    J.B. HUNT Q1 2018 RESULTS Presented by CONFIDENTIAL 1

  2. 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

  3. Slide 3: Distinct and Complementary Businesses

    DISTINCT AND COMPLEMENTARY BUSINESSES 1Q 2018 Revenue Mix Intermodal (JBI) 5% Largest, 100% 53’ high-cube container fleet 15% Largest drayage fleet in North America JBI Priority loading and unloading at major rail terminals DCS Dedicated Contract Services (DCS) Fleet creation, conversion, and augmen

  4. Slide 4: 1Q 2018 Results vs. 1Q 2017

    1Q 2018 RESULTS VS. 1Q 2017 OVERVIEW SEGMENT PERFORMANCE 1Q 2018 Revenue: Intermodal (JBI) $1.95 billion; up 20% Revenue: $1.07 billion; up 14% Operating Income: $114 million; up 20% 1Q 2018 Revenue, excl FSC: $1.71 billion; up 17% Dedicated Contract Services (DCS) Revenue: $494.5 million; up 26% 1Q

  5. Slide 5: 1Q 2018 Results Consolidated

    1Q 2018 RESULTS CONSOLIDATED Operating Income (in millions) Revenue $800 (in millions) $716 $721 $700 $632 $8,000 $624 $600 $577 $7,190 $530 $444 $7,000 $500 $6,555 $348 $6,188 $400 $6,165 $6,000 $300 $5,585 $149 $169 $200 $5,055 $5,000 $100 $4,527 $- $3,793 2010 2011 2012 2013 2014 2015 2016 2017 1

  6. Slide 6: Key Points

    KEY POINTS • Industry leading Intermodal franchise • Differentiated and specialized Dedicated business • Independent brokerage/management services • Lighter Truckload asset model

  7. Slide 7: Segment Discussion

    SEGMENT DISCUSSION 7

  8. Slide 8: Intermodal (JBI)

    INTERMODAL (JBI) JBI load volumes grew 6% over the same period 2017. JBI Revenue Transcontinental loads grew 2%, and the Eastern network load (in millions) volume grew 12% compared to prior year. Revenue grew $4,500 approximately 14% reflecting the 6% volume growth and an 8% $4,084 increase in reven

  9. Slide 9: Intermodal (JBI) Performance

    INTERMODAL (JBI) PERFORMANCE JBI Revenue Change JBI Operating Income Change 14% 15% 25% 20% 20% 10% 15% 4% 5% 10% 0% 4% 5% -5% 0% -6% -5% -10% -6% -9% -10% -9% -15% -15% FY15/FY14 FY16/FY15 FY17/FY16 1Q Y/Y FY15/FY14 FY16/FY15 FY17/FY16 1Q Y/Y JBI Average Length of Haul JBI Revenue per Load 1,700 $2

  10. Slide 10: Dedicated (DCS)

    DCS revenue increased 26% during the current quarter over the DEDICATED (DCS) same period 2017. Productivity (revenue per truck per week) increased approximately 5% vs. 2017. Productivity excluding fuel surcharges increased approximately 2% primarily from customer DCS Revenue rate increases partiall

  11. Slide 11: Dedicated (DCS) Performance

    DEDICATED (DCS) PERFORMANCE DCS Revenue Change DCS Operating Income Change 30% 50% 26% 40% 40% 25% 30% 26% 20% 20% 15% 10% 12% 0% 10% 4% 6% -10% 5% -9% -20% -17% 0% -30% FY15/FY14 FY16/FY15 FY17/FY16 1Q Y/Y FY15/FY14 FY16/FY15 FY17/FY16 1Q Y/Y DCS Revenue Per Truck Per Week DCS Loads 4,500 3,000,000

  12. Slide 12: Integrated (ICS) Non-Asset Based

    INTEGRATED (ICS) NON-ASSET BASED ICS revenue increased 41% vs. first quarter 2017. Volumes increased 6% while revenue per load increased approximately ICS Revenue 34% primarily due to a more vibrant spot pricing market (in millions) $1,100 compared to the same period a year ago. Spot volumes $1,025

  13. Slide 13: Integrated (ICS) Performance

    INTEGRATED (ICS) PERFORMANCE ICS Revenue Change ICS Operating Income Change 50% 110% 99% 41% 90% 40% 70% 30% 22% 50% 20% 20% 20% 30% 1% 10% 10% -10% 0% -30% -3% -37% -10% -50% FY15/FY14 FY16/FY15 FY17/FY16 1Q Y/Y FY15/FY14 FY16/FY15 FY17/FY16 1Q Y/Y ICS Gross Profit Margin ICS Loads 20% 1,200,000 99

  14. Slide 14: Truckload (JBT)

    TRUCKLOAD (JBT) JBT revenue decreased 1% from the same quarter 2017. Revenue JBT Revenue excluding fuel surcharge decreased approximately 3% primarily (in millions) from a 15% decrease in load count partially offset by an increase $550 $504 in revenue per load. Revenue per load excluding fuel surcha

  15. Slide 15: Truckload (JBT) Performance

    TRUCKLOAD (JBT) PERFORMANCE JBT Average Length of Haul JBT Average Nonpaid Empty Miles Per Load 500 88 85.6 86 85.1 85.0 455 84.9 453 84 450 435 438 82 80 400 78 76 350 74 72 300 70 2016 2017 1Q 17 1Q 18 2016 2017 1Q 17 1Q 18 JBT Loads JBT Revenue per Tractor per Week 500,000 $5,000 385,298 370,591

  16. 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 supply-chains Po

  17. Slide 17: Balance Sheet

    BALANCE SHEET March 31, 2018 December 31, 2017 ASSETS Current assets: Cash and cash equivalents $ 7,082 $ 14,612 Accounts Receivable 900,903 920,767 Prepaid expenses and other 335,705 403,349 Total current assets: 7,243,690 7,338,728 Property and equipment 4,764,722 4,670,464 Less accumulated deprec

  18. Slide 18: Thank You

    THANK YOU 18

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