NASDAQ$JBHT

J.B.Hunt Transport Services Inc · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

J.B. Hunt's performance reflected resilience amidst the COVID-19 pandemic, with a focus on employee safety and customer service.

J.B. Hunt reported a challenging second quarter due to the COVID-19 pandemic, with approximately $11 million in specific costs related to the pandemic. Demand saw a stable cadence, especially in Dedicated and Intermodal, with signs of recovery in Highway Services and Final Mile. The company is cautiously optimistic, focusing on cost control and strategic growth discussions.

  • Prioritized employee safety and customer commitments throughout the pandemic.
  • Observed a stable demand cadence in Dedicated and Intermodal segments.
  • Experienced upward demand slant in Highway Services and Brokerage, though margins were challenging.
  • Focused on cost control, conservative capital expenditure, and contained hiring practices.

Headline financials

Total Revenue

$2.15B

Previous: $2.26B-5.1%
EPS (adj)

$1.14

Previous: $1.37-16.8%
Capital Expenditures

-$342M

Previous: -$555M+38.3%
Free Cash Flow

-$221M

Previous: -$421M+47.7%
Net Income

$122M

Previous: $134M-8.9%
Operating Income

$175M

Previous: $193M-9.3%
Gross Profit

-$128M

Previous: -$192M+33.4%
Cash & Equivalents

$275M

Previous: $6.88M+3895.0%
Total Assets

$5.55B

Previous: $5.42B+2.5%
Stock-Based Comp

$16M

Previous: $14.7M+8.6%

Revenue & EPS history

J.B.Hunt · Revenue · Quarterly

$2.15B

Q2 2020-5.1%vs Q2 2019
Beat estimate in 9 of 16 quarters(56%)
ActualEstimate

Revenue by segment

J.B.Hunt · $2.86B total across 5 segments · Q3 2023

  • Intermodal
    $1.28B-20.0%
  • Dedicated Contract Services
    $862M-8.1%
  • Integrated Capacity Solutions
    $350M-31.1%
  • Final Mile Services
    $186M+17.3%
  • Truckload
    $179M+21.4%

Forward guidance

J.B. Hunt remains cautious due to recent COVID-19 case increases, which could impact future performance. The company will maintain its focus on employee safety and customer service while monitoring import data, inventory levels, and retail sales to gauge future demand.

Tailwinds

  • Restarted strategic discussions on growth channel prospects.
  • Positioning for new investments in technology.
  • Potential demand-driven, rate-supported needs to expand fleet sizes.
  • Implementing new Dedicated and Final Mile contracts as sales come back online.
  • Experienced some of the lowest driver turnover ever in the past four months.

Headwinds

  • Recent COVID case count expansion creates uncertainty.
  • Holding back from directional changes from the current state of conservative thinking.
  • Spot opportunities were mostly nonexistent.
  • New prospects entering the early stages of pipeline due to limited engagement opportunities for the sales team.
  • Uncertainty of end consumer

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 Q2 2020

Historical avgQ2 2020

+0.8%

Avg return

Earnings day

+1.2%

Avg return

5 days after

+2.4%

Avg return

30 days after

61%

42 / 69 earnings

Positive

+22.1%

Q3 2025

Best reaction

-12.6%

Q3 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.2%+12.0%+17.0%
Q4 2025+3.1%+1.5%+7.4%
Q3 2025+22.1%+21.7%+17.3%
Q2 2025-0.7%-1.3%-4.5%
Q1 2025-7.7%-5.9%+9.6%
Q4 2024-7.6%-6.5%-8.9%
Q3 2024+2.7%+0.8%+5.2%
Q2 2024-3.4%-3.2%-1.4%
Q1 2024-9.2%-9.6%-8.4%
Q4 2023+3.7%+7.2%+10.4%
Q3 2023-9.2%-10.4%-9.2%
Q2 2023+6.5%+6.7%+3.6%
Q1 2023-1.0%-0.2%-2.6%
Q4 2022+4.8%+9.8%+6.8%
Q3 2022+1.3%-0.3%+8.2%
Q2 2022+3.0%+3.4%+14.1%
Q1 2022+1.1%-1.5%-5.3%
Q4 2021-0.7%-1.5%-7.0%
Q3 2021+7.9%+11.3%+13.7%
Q2 2021-0.4%+1.4%+5.0%
Q1 2021+1.8%-0.5%+4.3%
Q4 2020-1.0%-3.5%-3.0%
Q3 2020-12.6%-11.8%-8.9%
Q2 2020+5.0%+2.1%+5.3%
Q1 2020+6.2%+13.3%+4.0%
Q4 2019-3.3%-4.6%-8.1%
Q3 2019+5.5%+5.5%+6.7%
Q2 2019+5.2%+11.6%+4.9%
Q1 2019-6.0%-8.9%-10.4%
Q4 2018+9.4%+7.1%+17.2%
Q3 2018+4.2%+2.1%-3.7%
Q2 2018-0.2%-0.5%-0.4%
Q1 2018+5.7%+6.0%+11.0%
Q4 2017+2.5%+4.1%-0.1%
Q3 2017-6.2%-3.6%-6.0%
Q2 2017+0.2%-0.3%+5.9%
Q1 2017-0.2%+2.0%-6.3%
Q4 2016-3.6%-1.6%+3.1%
Q3 2016-1.3%-2.1%+14.1%
Q2 2016-5.2%-2.3%-3.4%
Q1 2016+3.5%
Q4 2015+3.8%
Q3 2015+3.0%
Q2 2015-1.4%
Q1 2015+4.5%
Q4 2014+1.2%
Q3 2014+3.3%
Q2 2014+5.5%
Q1 2014+4.1%
Q4 2013-3.8%
Q3 2013+0.8%
Q2 2013-0.3%
Q1 2013-3.8%
Q4 2012+6.5%
Q3 2012+6.9%
Q2 2012-6.7%
Q1 2012+2.8%
Q4 2011+1.2%
Q3 2011-2.6%
Q2 2011-0.3%
Q1 2010-1.9%
Q1 2011+0.9%
Q4 2010+2.0%
Q3 2010+0.4%
Q3 2009+0.4%
Q2 2010+1.5%
Q4 2008+1.5%
Q2 2009+1.5%
Q4 2009+1.5%

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