Earnings Lower for Forward Air, Hub Group, Rush Enterprises
Two freight transportation providers, Forward Air and Hub Group, along with dealer group Rush Enterprises, saw second quarter earnings drop.


Two freight transportation providers, Forward Air and Hub Group, along with one of the nation’s largest truck dealers, Rush Enterprises, reported second quarter earnings Tuesday, all showing declines from slight to moderate.
Forward Air
Forward Air Corp. (FWRD) saw its net income fall to $11.8 million, or 38 cents per diluted share, compared to $17.2 million, or 55 cents per diluted share, from the same time a year ago.
This happened as total revenue increased 28.8% to $249 million for the Tennessee-based time-definite trucking and related logistics provider.
Forward Air says the second quarter includes approximately $6.9 million in deal and integration costs associated with the acquisition of the trucking company Towne Air.

This resulted in adjusted income from operations of $26.8 million, compared with $27.6 million in the prior-year quarter. Adjusted net income for the period was $16 million, or 51 cents per diluted share, compared to $17.2 million, or 55 cents per diluted share a year earlier.
Bruce A. Campbell, chairman, president, and CEO, said during the quarter the company achieved a $1 billion rate run, but said the company underestimated the time and cost of integrating Towne Air into Forward Air’s operations.
“We challenged our people to have the Towne integration completed prior to the end of the second quarter. At this time, we estimate that we are 85% to 90% there,” he said. “While the Towne acquisition will definitely be a contributor to our second half 2015 results, it is important to understand the real value comes in our 2016 results and beyond.”
Forward Air also issued third quarter guidance saying revenue will increase between 23% and 27% from 2014, while earnings per share, minus the Towne Air integration costs, should be between 58 cents and 62 cents per diluted share, compared to 54 cents in the third quarter of 2014.
There are more details on the Forward Air website.
Hub Group

The intermodal trucking company Hub Group Inc. (HUBG) reported a small drop in second quarter income, totaling $18.5 million for the second quarter compared to $18.7 million a year earlier.
Diluted earnings for both periods were 51 cents per share for the Illinois-based provider, while revenue increased 1% to $900 million.
Second quarter intermodal revenue increased 2% to $465 million. Truck brokerage revenue increased 8% to $93 million.
Second quarter Unyson Logistics revenue declined 8% to $128 million.
Revenue for Hub’s specialty trucking business, Mode Transportation, increased 1% to $234 million.
You can find more information on Hub Group’s website.
Rush Enterprises
Mega-sized commercial truck dealer Rush Enterprises (RUSHB) saw net income slip to $19.6 million, or 48 cents per diluted share, in the second quarter of the year, compared to $19.8 million, or 49 cents per diluted share, the same time in 2014.

This happened as total revenue for the Texas-based company increased to $1.33 billion in the most recent quarter from $1.18 billion a year earlier.
"Moderate freight growth driven by general economic improvement contributed to our strong financial performance this quarter, and we outpaced the industry in Class 8 truck sales again, despite the decline in activity in the energy sector,” said W.M. "Rusty" Rush, chairman, CEO and president. “We also increased parts, service and body shop revenues compared to the second quarter of 2014."
During the quarter the company expanded the number of locations in its Rush Truck Centers network from 112 to 120.
Aftermarket services accounted for approximately 63% of the company's total gross profits. Parts, service and body shop revenue were up 6.7% compared to the second quarter of 2014, according to the company.
Rush's Class 8 truck sales increased 29% over the same time period, outpacing the industry and accounting for 6.8% of the U.S. Class 8 truck market.
Class 8 new truck sales this quarter were primarily the result of deliveries to large over-the-road fleets benefitting from a healthy economy, according to Rush. New and used stock truck sales also increased as a result of a large inventory of vehicles at its dealer locations.
Rush's Class 4-7 new truck sales accounted for 5.4% of the total U.S. market. Total U.S. Class 4-7 truck sales in the second quarter were 53,437 units, up 3% over the same time period in 2014.
Parts, service and body shop revenues were $353.3 million in the second quarter of 2015, compared to $331 million in the second quarter of 2014.
There is more information about the company’s financial performance on the Rush Enterprises website.
More Fleet Management

How Innovative Trucking Leaders Turn Change Into an Advantage
As the pace of change accelerates in trucking, the fleets that adapt best have more than the latest technology. They have cultures that embrace improvement.
Read More →
Freight Broker Bonds Just Got Harder to Get. Here's What That Means for Your Fleet.
When it gets harder for a freight broker to prove they are financially sound, the ones who cannot clear that bar get pushed out of the market. And those are exactly the brokers who used to leave motor carriers holding the bag.
Read More →
Long-Awaited Canadian Border Bridge to Open in Detroit
For trucking, the bridge opening should offer immediate improvements in efficiency and reliability, with new customs facilities, expanded inspection capacity, and direct freeway-to-freeway connections.
Read More →
Aurora Rolls Out Next Generation of Driverless Trucks for Commercial Freight
Aurora's latest autonomous trucks it's rolling out with International feature lower-cost hardware designed for a million miles as the company expands commercial driverless freight operations across the U.S. Sun Belt.
Read More →
Freight Tonnage Down, Rates up, as Lower Capacity Powers Trucking Recovery
The recovery from the freight recession continues to be driven by reduction in capacity rather than by increased demand.
Read More →
Think Your Trucking Fleet Isn't Using Much AI? Think Again
Shadow AI — the use of unauthorized artificial intelligence tools at work — is becoming increasingly common, putting sensitive company data at risk. Learn how trucking fleets can protect sensitive data while embracing AI.
Read More →
ArcBest Consolidates Brands, Cuts Workforce
The company will bring three business units under the ArcBest brand, eliminate about 2% of positions, and expects the changes to generate $40 million in annual savings.
Read More →
Trucking Fleets Faced Record Operating Costs During Third Year of Freight Recession
ATRI's annual operational cost report shows carriers trimmed fleets, delayed equipment purchases, and ran older trucks as expenses continued to outpace freight rates.
Read More →
Michelin Adds AI Assistant to MyConnectedFleet Platform
Michelin’s new generative AI tool delivers instant fleet insights, helping managers analyze fuel use, tire maintenance, vehicle status, and operational performance without manually creating reports.
Read More →
LytxOne Platform Now Features AI, Compliance, and Asset Tracking Tools
New enhancements add AI-powered insights, asset tracking, compliance automation, and configurable privacy controls to Lytx's all-in-one fleet management platform.
Read More →
