Overview
- J.B. Hunt reported second-quarter results Wednesday with EPS of $1.91 and revenue of $3.5 billion, topping analyst forecasts and lifting operating income 32% to $259.5 million.
- Intermodal led the quarter with $1.75 billion in revenue, a 22% year-over-year rise, 10% volume growth, and a 58% jump in operating income to $150.9 million as customers moved freight to rail-connected services.
- Other businesses diverged: Dedicated Contract Services posted 9% revenue growth and higher operating income, Integrated Capacity Solutions swung to a small operating profit, while Truckload recorded a modest operating loss and Final Mile revenue and income fell.
- The company returned capital and strengthened its balance sheet by repurchasing about 392,000 shares for roughly $98 million and cutting total debt to about $1.15 billion from $1.72 billion a year earlier, sending the stock up as much as 9.5% after hours.
- Analysts raised targets and pointed to supply-side capacity tightening plus fuel-cost pressure as structural factors to watch that could sustain intermodal demand and pressure trucking rates and capacity going forward.