The asset-light trucking and logistics provider Landstar System has reported record first quarter net income of $27.6 million, or 61 cents per diluted share, on record first quarter revenue of $688 million.
Truck transportation revenue hauled by independent contractors and truck brokerage carriers in the was $645.2 million, or 94% of revenue, compared to $574.7 million, or 92% of revenue in the 2013 first quarter for the Florida-based company.
Revenue hauled by rail, air and ocean cargo carriers was $33.5 million, or 5% of revenue in the first quarter of this year.
“Strength in demand for truck transportation services that began in the 2013 fourth quarter increased as we moved through the 2014 first quarter,” said Landstar Chairman and CEO Henry Gerkens. “Overall, the number of loads hauled via truck in the 2014 first quarter increased 4% over the 2013 first quarter while revenue per load increased 8% over the same period.”
Gerkens said as the company moves into the second quarter, he expects that normal uptick in seasonal freight patterns will continue to drive strong demand for truck services.
“Supporting this expectation, demand for the company's truck services accelerated during the first few weeks of the April fiscal period,” he said. “During this period, the rate of growth in both the number of loads hauled and revenue per load on truck transportation revenue as compared to the comparable period of the prior year has exceeded the rate of growth experienced in the 2014 first quarter compared to the 2013 first quarter.”
He also anticipates 2014 second quarter revenue to be within a range of $750 million to $800 million, with diluted earnings per share to be in a range of 73 to 78 cents.
More information is on the Landstar website.