NASDAQ$HTLD

Heartland Express Inc · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Reported a net loss amidst a challenging freight environment, while making progress on debt reduction and acquisition integration.

Heartland Express reported a net loss of $9.3 million on operating revenue of $259.9 million for the third quarter of 2024. The company continues to face a challenging freight environment with lower demand and excess capacity. Despite these challenges, Heartland Express is focused on integrating acquisitions and reducing debt.

  • Operating revenue was $259.9 million.
  • Net loss was $9.3 million, with a basic loss per share of $0.12.
  • The operating ratio was 102.7%, and the non-GAAP adjusted operating ratio was 102.6%.
  • The company saw encouraging signs of a potential recovery in freight demand in October but does not expect impactful improvement until 2025.

Headline financials

Total Revenue

$260M

Previous: $295M-11.9%
EPS

-$0.12

Previous: -$0.14+14.3%
Operating Ratio

102.7%

Previous: 102.5%+0.2%
Adj. Operating Ratio

102.6%

No prior period
Capital Expenditures

-$26.2M

Previous: -$177M+85.2%
Free Cash Flow

-$35.5M

Previous: -$188M+81.1%
Net Income

-$9.28M

Previous: -$10.7M+13.3%
Operating Income

-$7.14M

Previous: -$7.44M+4.0%
Gross Profit

$241M

Previous: $278M-13.6%
Cash & Equivalents

$30.7M

Previous: $20.1M+52.9%
Total Assets

$1.36B

Previous: $1.58B-13.6%

Revenue & EPS history

Heartland Express · Revenue · Quarterly

$260M

Q3 2024-11.9%vs Q3 2023
Beat estimate in 7 of 14 quarters(50%)
ActualEstimate

Revenue by segment

Heartland Express · $19.5M total across 1 segment · Q1 2020

  • Fuel Surcharge
    $19.5M+14.7%

Forward guidance

Heartland Express expects to continue prioritizing capital towards further debt reductions throughout 2024 and 2025. The company anticipates net capital expenditures of approximately $35 to $40 million and $5 to $10 million of gains on disposal of property and equipment for the calendar year of 2024.

Tailwinds

  • Encouraging signs pointing to the early stages of a potential recovery in freight demand in October.
  • Operational improvements and debt reduction achieved through acquisition integration.
  • Legacy businesses (Heartland Express and Millis Transfer) outperformed recently-acquired entities.
  • Smith Transport and CFI improved their operating ratios in the trailing six months.
  • Commitment to stockholders through the payment of cash dividends.

Headwinds

  • Challenging freight environment continues to hamper consolidated operating results.
  • Prolonged recessionary period driven by lower freight demand and excess truck capacity.
  • Trucking assets have been underutilized.
  • Impactful improvement is not expected until 2025.
  • Underperformance of legacy businesses compared to long-term historical expectations.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

-0.2%

Avg return

Earnings day

-0.1%

Avg return

5 days after

+1.4%

Avg return

30 days after

46%

32 / 69 earnings

Positive

+12.7%

Q2 2018

Best reaction

-14.0%

Q3 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.4%+10.2%+19.3%
Q4 2025+3.1%+6.5%+0.4%
Q3 2025-1.1%-3.1%-1.9%
Q2 2025-1.4%+0.0%+0.5%
Q1 2025+1.3%+9.1%+3.6%
Q4 2024-2.2%-3.1%-13.7%
Q3 2024-3.0%-4.1%+10.4%
Q2 2024+2.7%+5.7%-2.2%
Q1 2024+0.5%+0.8%+10.2%
Q4 2023-1.7%-4.1%-4.8%
Q3 2023-14.0%-18.9%-7.8%
Q2 2023-7.8%-7.5%-9.8%
Q1 2023-0.1%+0.2%+8.6%
Q4 2022-7.2%-7.5%-4.2%
Q3 2022-8.0%-7.2%+9.8%
Q2 2022+5.1%+9.0%+10.4%
Q1 2022+3.9%+4.7%+1.5%
Q4 2021-0.7%-1.3%-8.9%
Q3 2021+1.7%+2.5%+6.6%
Q2 2021-1.1%-0.7%-0.8%
Q1 2021-2.7%-5.6%-6.8%
Q4 2020+1.9%+3.0%-1.5%
Q3 2020-7.7%-6.3%-6.7%
Q2 2020+6.3%+3.2%-0.6%
Q1 2020+1.6%+5.9%+8.1%
Q4 2019-4.1%-6.8%-1.9%
Q3 2019-6.4%-2.4%-4.0%
Q2 2019+7.0%+6.5%+5.7%
Q1 2019+5.9%+4.8%+1.3%
Q4 2018-1.0%-0.5%+5.0%
Q3 2018+5.6%+1.3%+6.9%
Q2 2018+12.7%+7.0%+7.2%
Q1 2018+1.1%-0.4%+5.1%
Q4 2017+3.5%-0.4%-6.5%
Q3 2017-11.0%-12.2%-11.3%
Q2 2017-2.0%-1.0%+5.5%
Q1 2017+5.3%+6.0%-1.3%
Q4 2016-2.0%-0.7%-0.5%
Q3 2016-0.7%-0.2%+18.2%
Q2 2016+2.7%+2.6%+6.4%
Q1 2016+9.3%
Q4 2015+4.6%
Q3 2015-12.7%
Q2 2015+10.6%
Q1 2015-5.7%
Q4 2014-4.9%
Q3 2014-3.8%
Q2 2014+8.6%
Q1 2014-3.6%
Q4 2013+0.9%
Q3 2013+2.0%
Q2 2013-0.1%
Q1 2013+0.2%
Q4 2012+4.1%
Q3 2012+0.4%
Q2 2012-0.1%
Q1 2012+1.7%
Q4 2011-0.9%
Q3 2011-1.2%
Q2 2011-7.4%
Q1 2010-2.8%
Q1 2011+1.8%
Q4 2008-2.4%
Q4 2010-2.4%
Q3 2010-0.7%
Q3 2009-0.7%
Q2 2010+1.5%
Q2 2009+1.5%
Q4 2009+1.5%

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