Landstar sees drop in Q1 earnings amid challenging freight environment (Courtesy of the Jacksonville Business Journal) — Amidst a challenging freight environment, Landstar System Inc. saw a drop in first-quarter earnings compared to the same period last year, with declining freight loads pushing down revenue and earnings per share.
The transportation services company brought in about $1.17 billion in revenue during the first quarter, down 18.4% from the $1.44 billion it saw in Q1 of 2023.
Net income fell to $47.1 million or $1.32 per share from $78.2 million or $2.17 per share a year ago.
Although a drop, those results beat analysts expectations.
Loads hauled via truck declined 13% and the revenue brought in by each load fell 7% year over year — although each metric fared slightly better than the company had laid out earlier.
“The Landstar team performed admirably in a challenging freight environment as both the number of loads hauled via truck and revenue per load on loads hauled via truck exceeded the high-end of the company’s guidance issued in our 2023 fourth quarter earnings release,” Landstar CEO Frank Lonegro said in a release.
Lonegro took over as CEO in December, replacing the retiring Gattoni.
The company is “laser-focused” on supporting its network of small-business owners and executing strategic growth initiatives and technology enhancements, the CEO said.
“Landstar is well positioned to capitalize when freight fundamentals improve,” Lonegro said, echoing the words of his predecessor during the company’s last earnings report.
Photo courtesy of Landstar.com