NASDAQ$WERN

Werner Enterprises Inc. · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

Werner Enterprises' financial performance decreased due to challenging macroeconomic conditions and freight market softness.

Werner Enterprises reported a decrease in total revenues and operating income for Q2 2023 compared to Q2 2022, while Logistics segment revenue grew. The company is progressing with its cost savings program and believes its diversified business model positions it well for future growth.

  • Total revenues decreased by 3% to $811.1 million.
  • Operating income decreased by 37% to $47.2 million.
  • Diluted EPS decreased by 58% to $0.47.
  • Logistics segment revenues grew by 10%.

Headline financials

Total Revenue

$811M

Previous: $836M-3.0%
EPS (adj)

$0.52

Previous: $0.87-40.2%
Operating Margin

5.8%

Previous: 9.0%-35.6%
Capital Expenditures

-$361M

Previous: -$227M-58.9%
Free Cash Flow

-$331M

Previous: -$155M-113.8%
Net Income

$29.9M

Previous: $72.3M-58.7%
Operating Income

$47.2M

Previous: $74.9M-37.0%
Gross Profit

$602M

Previous: $580M+3.8%
Cash & Equivalents

$46.5M

Previous: $54.4M-14.6%
Total Assets

$3.11B

Previous: $2.85B+9.0%
Stock-Based Comp

$2.89M

Previous: $3.06M-5.6%

Revenue & EPS history

Werner · Revenue · Quarterly

$811M

Q2 2023-3%vs Q2 2022
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Revenue by segment

Werner · $795M total across 2 segments · Q2 2023

  • Truckload Transportation Services
    $570M-7.1%
  • Werner Logistics
    $225M+10.1%

Forward guidance

Werner updated its 2023 guidance, adjusting fleet size, increasing net capital expenditures, and expecting growth in Dedicated RPTPW.

Tailwinds

  • Expect low single-digit percent increase YoY in Dedicated RPTPW with difficult comparisons.
  • Stabilizing OWT freight conditions in 3Q, then modest seasonal improvement in 4Q.
  • Adjusting fleet size to adapt to softer freight market.
  • Greater pace of refreshing the fleet to reduce average equipment age.
  • Expect annual effective tax rate in the range of 24.0% to 25.0%.

Headwinds

  • Adjusting fleet size to adapt to softer freight market.
  • Greater pace of refreshing the fleet to reduce average equipment age.
  • Stabilizing OWT freight conditions in 3Q, then modest seasonal improvement in 4Q.
  • One-Way Truckload RPTM growth expected to be (7)% to (4)% in 3Q23 vs. 3Q22.
  • Expect average truck and trailer ages of 2.2 years and 5.0 years, respectively, as of 12/31/23.

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 2023

Historical avgQ2 2023

+0.2%

Avg return

Earnings day

+0.0%

Avg return

5 days after

+0.3%

Avg return

30 days after

53%

36 / 68 earnings

Positive

+10.1%

Q1 2017

Best reaction

-9.7%

Q1 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+5.8%-0.1%+20.7%
Q4 2025-8.2%-9.0%-18.7%
Q3 2025+1.3%+4.9%+0.7%
Q1 2025-1.4%-7.1%-6.4%
Q4 2024-0.6%-0.4%-7.1%
Q3 2024-2.3%-1.7%+6.0%
Q2 2024-0.3%-5.2%-6.9%
Q1 2024+1.3%+4.6%+5.7%
Q4 2023+5.9%+4.8%-1.5%
Q3 2023-0.9%+2.4%+12.7%
Q2 2023-1.3%-1.9%-10.5%
Q1 2023-1.2%-1.1%-3.2%
Q4 2022-1.3%-4.1%-4.0%
Q3 2022-6.6%-0.2%+11.2%
Q2 2022-0.8%+0.2%-5.9%
Q1 2022+7.2%+7.3%+4.0%
Q4 2021-1.4%-1.9%+0.2%
Q3 2021-2.8%-1.9%-2.6%
Q2 2021+2.4%+3.1%+6.9%
Q1 2021+4.7%+5.9%+7.7%
Q4 2020+2.2%+5.9%+14.6%
Q3 2020-3.3%-3.8%+1.1%
Q2 2020+4.5%+2.7%+9.8%
Q1 2020-2.0%-2.4%+8.6%
Q4 2019+5.5%+2.7%-11.4%
Q3 2019+3.0%+2.9%-3.3%
Q2 2019-1.2%+0.5%-8.6%
Q1 2019-1.1%-7.3%-18.7%
Q4 2018+2.2%+0.4%+0.5%
Q3 2018+0.4%+1.6%+0.3%
Q2 2018-8.1%-7.6%-5.6%
Q1 2018-5.1%-8.6%+0.0%
Q4 2017-5.0%-6.9%-13.1%
Q3 2017+0.7%-0.3%-4.8%
Q2 2017+5.4%+1.4%+6.3%
Q1 2017+10.1%+12.0%+4.9%
Q4 2016+2.0%+1.3%+3.6%
Q3 2016+1.3%+5.7%+18.9%
Q2 2016+5.2%+2.5%-0.5%
Q1 2016-9.7%
Q4 2015+4.2%
Q3 2015+2.5%
Q2 2015+5.4%
Q1 2015-3.6%
Q4 2014-5.2%
Q3 2014+5.1%
Q2 2014-2.3%
Q1 2014+2.0%
Q4 2013+1.1%
Q3 2013+0.6%
Q2 2013-5.2%
Q1 2013+0.5%
Q4 2012-2.7%
Q3 2012-0.3%
Q2 2012-0.2%
Q1 2012+1.0%
Q4 2011-0.6%
Q3 2011+2.5%
Q2 2011+2.5%
Q1 2010+1.1%
Q1 2011+2.9%
Q4 2010+1.6%
Q4 2008+1.6%
Q3 2010+2.1%
Q3 2009+2.1%
Q2 2009-3.8%
Q2 2010-3.8%
Q4 2009-3.8%

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