NYSE$KNX
Knight-Swift Transportation Holdings Inc. · Q2 2023 earnings
Q2 2023 earnings · · Investor relations
Briefing
Knight-Swift reported a decrease in revenue and earnings for Q2 2023 due to soft demand and pressure on pricing, while LTL segment remained a bright spot.
Knight-Swift Transportation Holdings Inc. reported a decrease in net income attributable to Knight-Swift to $63.3 million, with GAAP earnings per diluted share at $0.39. Consolidated total revenue decreased by 20.8% to $1.6 billion, and consolidated operating income decreased by 71.1% to $94.0 million.
- Truckload Adjusted Operating Ratio was 91.8% with a 15.5% year-over-year decrease in revenue, excluding fuel surcharge and intersegment transactions.
- LTL Adjusted Operating Ratio was 85.1%, with revenues, excluding fuel surcharge and intersegment transactions, increasing 2.0% year-over-year.
- Logistics Adjusted Operating Ratio was 91.6% with a gross margin of 19.4%, while load count decreased 35.0% year-over-year.
- Intermodal segment had a 106.4% operating ratio, as revenue per load declined 24.5%, partially offset by load count growth of 4.0% year-over year.
Headline financials
Revenue & EPS history
Knight-Swift · Revenue · Quarterly
$1.55B
Revenue by segment
Knight-Swift · $1.45B total across 4 segments · Q2 2023
- Truckload$954M-19.8%66.0%
- LTL$267M-5.9%18.5%
- Logistics$120M-51.8%8.3%
- Intermodal$104M-21.5%7.2%
Forward guidance
Knight-Swift now expects that Adjusted EPS for full-year 2023 will range from $2.10 to 2.30, which includes a projected U.S. Xpress loss of $0.25 to $0.30 post acquisition, inclusive of incremental interest expense associated with the acquisition.
Tailwinds
- Truckload tractor count to be down modestly with miles per tractor improving slightly on a year-over-year basis in the second half of the year
- LTL revenue, excluding fuel surcharge increases modestly year-over-year with relatively stable sequential margin profile subject to typical seasonality
- Logistics volume and revenue per load remains under pressure in the third quarter before improving sequentially in the fourth quarter, with an operating ratio of approximately 90% for the year
- Intermodal Operating Ratio roughly breakeven for the full year with volumes up year-over-year
- Non-reportable to have modest revenue growth for the year and operating income in the second half roughly in line on a year-over-year basis as insurance losses are expected to moderate
Headwinds
- Truckload rates continue to be pressured, with a year-over-year decrease in overall revenue per mile of high single to low double digit percent for the full year
- U.S. Xpress projected loss of $0.25 to $0.30 post acquisition, inclusive of incremental interest expense associated with the acquisition.
- Expect approximately $20 million increase in interest expense in the second half of 2023 as compared to the first half, reflecting approximately $800 million additional debt from U.S. Xpress acquisition and assuming Fed hiking cycle is nearly complete
- Net cash capital expenditures for the full year 2023 expected range of $700 million - $750 million, which has been updated from $640 million to $690 million to include anticipated expenditures for U.S. Xpress.
- Expected tax rate of 25% to 26% for the full year 2023
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
-0.4%
Avg return
Earnings day
-0.1%
Avg return
5 days after
+1.8%
Avg return
30 days after
45%
30 / 66 earnings
Positive
+11.8%
Q3 2021
Best reaction
-9.4%
Q4 2014
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +2.8% | -0.5% | +7.3% | |
| Q4 2025 | +2.7% | -5.2% | +6.5% | |
| Q3 2025 | -7.2% | -7.7% | -6.8% | |
| Q2 2025 | -1.3% | -2.3% | -3.2% | |
| Q1 2025 | +1.9% | -1.0% | +8.2% | |
| Q4 2024 | +4.7% | +6.4% | -5.2% | |
| Q3 2024 | -1.6% | +1.9% | +9.1% | |
| Q2 2024 | +5.3% | +5.7% | +9.6% | |
| Q1 2024 | -4.2% | -4.8% | -3.1% | |
| Q4 2023 | +1.5% | +1.1% | +2.1% | |
| Q3 2023 | +8.3% | +6.2% | +8.8% | |
| Q2 2023 | -0.1% | +2.5% | +0.0% | |
| Q1 2023 | -0.5% | -3.2% | -3.9% | |
| Q4 2022 | +3.0% | +3.0% | +0.3% | |
| Q3 2022 | -6.9% | -3.0% | +9.6% | |
| Q2 2022 | +3.0% | +0.6% | +9.7% | |
| Q1 2022 | +3.6% | +5.2% | -2.1% | |
| Q4 2021 | -1.5% | +2.2% | -1.9% | |
| Q3 2021 | +11.8% | +9.3% | +12.3% | |
| Q2 2021 | +0.2% | +1.5% | +3.8% | |
| Q1 2021 | -5.0% | -6.2% | -1.9% | |
| Q4 2020 | -8.2% | -10.1% | -2.9% | |
| Q3 2020 | +0.6% | -0.5% | +6.2% | |
| Q2 2020 | +1.0% | -1.4% | +3.7% | |
| Q1 2020 | +0.4% | +6.2% | +13.4% | |
| Q4 2019 | +5.2% | +3.2% | -11.7% | |
| Q3 2019 | +0.1% | +0.6% | -2.8% | |
| Q2 2019 | -3.2% | -1.9% | -14.8% | |
| Q1 2019 | -0.8% | -2.5% | -14.3% | |
| Q4 2018 | +10.9% | +6.2% | +14.9% | |
| Q3 2018 | +10.6% | +3.9% | +8.1% | |
| Q2 2018 | -7.4% | -7.5% | -5.8% | |
| Q1 2018 | -6.4% | -7.1% | -3.7% | |
| Q4 2017 | +6.6% | +3.0% | +4.0% | |
| Q3 2017 | -6.4% | -6.9% | +3.5% | |
| Q2 2017 | -4.9% | -3.8% | +1.3% | |
| Q1 2017 | +0.1% | -1.7% | -4.6% | |
| Q4 2016 | -1.5% | +0.6% | -3.9% | |
| Q3 2016 | +3.3% | +4.3% | +25.4% | |
| Q2 2016 | +2.8% | +1.2% | -2.5% | |
| Q1 2016 | +0.1% | — | — | |
| Q4 2015 | -5.9% | — | — | |
| Q3 2015 | -6.4% | — | — | |
| Q2 2015 | -7.2% | — | — | |
| Q1 2015 | -2.9% | — | — | |
| Q4 2014 | -9.4% | — | — | |
| Q3 2014 | -2.0% | — | — | |
| Q2 2014 | +1.6% | — | — | |
| Q1 2014 | -2.0% | — | — | |
| Q4 2013 | +3.2% | — | — | |
| Q3 2013 | +1.1% | — | — | |
| Q2 2013 | +1.1% | — | — | |
| Q1 2013 | +1.8% | — | — | |
| Q4 2012 | -2.6% | — | — | |
| Q3 2012 | -0.7% | — | — | |
| Q2 2012 | -1.7% | — | — | |
| Q1 2011 | -2.2% | — | — | |
| Q1 2012 | -0.6% | — | — | |
| Q4 2011 | -1.4% | — | — | |
| Q4 2009 | -1.4% | — | — | |
| Q2 2011 | -1.4% | — | — | |
| Q3 2011 | -4.5% | — | — | |
| Q3 2010 | -4.5% | — | — | |
| Q2 2010 | -0.5% | — | — | |
| Q4 2010 | -0.5% | — | — | |
| Q1 2010 | +1.8% | — | — |
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