Saia(US:SAIA)2025-04-28 20:13Financial Performance - Operating revenue for Q1 2025 was $787,575, an increase of 4.4% compared to $754,775 in Q1 2024[11] - Net income for Q1 2025 was $49,810, a decrease of 45.1% from $90,695 in Q1 2024[11] - Basic earnings per share for Q1 2025 was $1.86, down from $3.40 in Q1 2024, reflecting a decline of 45.4%[11] - Revenue for the first quarter of 2025 was $787,575,000, an increase of 4.4% compared to $754,775,000 in the first quarter of 2024[29] - Segment and consolidated net income for the first quarter of 2025 was $49,810,000, a decrease of 45.0% from $90,695,000 in the first quarter of 2024[29] - Basic earnings per share for the first quarter of 2025 was $1.86, down from $3.40 in the first quarter of 2024[31] - Diluted earnings per share decreased to $1.86 in Q1 2025 from $3.38 in Q1 2024, reflecting lower than expected revenues and increased operating expenses[51][63] - Consolidated operating income fell by 40.5% to $70.2 million in Q1 2025 from $117.9 million in Q1 2024, with an operating ratio of 91.1% compared to 84.4% in the prior year[50][60] Assets and Liabilities - Total current assets increased to $469,604 in Q1 2025 from $435,769 in Q4 2024, representing an increase of 7.8%[9] - Total assets rose to $3,365,221 in Q1 2025, up from $3,166,857 in Q4 2024, marking a growth of 6.3%[9] - Total liabilities increased to $1,004,794 in Q1 2025 from $855,586 in Q4 2024, an increase of 17.4%[9] - Long-term debt, less current portion, increased to $291,758 in Q1 2025 from $194,981 in Q4 2024, a rise of 49.5%[9] - Total debt as of March 31, 2025, was $295,527,000, compared to $200,294,000 as of December 31, 2024[34] - The company had outstanding borrowings of $191,000,000 under the Revolving Credit Facility as of March 31, 2025, up from $94,000,000 as of December 31, 2024[36] Cash Flow and Investments - Net cash provided by operating activities was $109,073 in Q1 2025, slightly up from $106,468 in Q1 2024[17] - The company generated $109.1 million in net cash from operating activities in Q1 2025, slightly up from $106.5 million in the same period last year[52] - Operating cash flows for Q1 2025 were $109.1 million, up from $106.5 million in Q1 2024, driven by changes in operating assets and liabilities[72] - Net cash used in investing activities decreased by $249.7 million to $202.1 million in Q1 2025, compared to $451.8 million in the same period last year[72] - The company anticipates net capital expenditures of approximately $650 million for 2025, with $206.6 million already committed as of March 31, 2025[74] Operational Metrics - LTL shipments per workday rose by 4.6%, with LTL tonnage increasing by 11.0% to 1.5 million tons and LTL shipments up by 2.9% to 2.2 million shipments in Q1 2025[49][58] - Salaries, wages, and employee benefits increased by 13.9% to $389.3 million in Q1 2025, primarily due to a company-wide wage increase and increased headcount[57][61] Debt and Financing - The company entered into a $350 million uncommitted Private Shelf Agreement on November 9, 2023, allowing for the issuance of senior notes[37] - The company issued senior promissory notes in an aggregate principal amount of $100 million on May 1, 2024, under the Private Shelf Agreement, bearing interest at 6.09% per annum[38] - The company was in compliance with its debt covenants under the Revolving Credit Facility and the Private Shelf Agreement as of March 31, 2025[35][40] - The Revolving Credit Facility was amended to increase commitments by $300 million to a total of $600 million, with a maturity date extended to December 9, 2029[75] - As of March 31, 2025, the company had outstanding borrowings of $191.0 million and letters of credit of $32.2 million under the Revolving Credit Facility[76] Market and Economic Outlook - The company anticipates potential risks including economic downturns, labor relations, and supply chain disruptions that could impact future performance[45] - The outlook remains dependent on external factors such as U.S. economic conditions, inflation, and regulatory changes, with potential impacts on demand for services[64] - U.S. trade policy changes, including a 10% baseline tariff on product imports effective April 2, 2025, may adversely impact the company's operations and financial condition[100] - The company continues to face uncertainty and volatility in financial markets due to trade restrictions and potential retaliatory actions from foreign governments[100] Shareholder Activity - During the period from February 1, 2025, to February 28, 2025, the company purchased 1,870 shares at an average price of $455.82[101] - In March 2025, the company purchased an additional 440 shares at an average price of $352.17[101] - The total number of shares purchased from January 1, 2025, to March 31, 2025, amounted to 2,310 shares[101] - No sales of Saia stock occurred during the periods of January 1, 2025, through March 31, 2025, under the Executive Capital Accumulation Plan[104] - The company has not adopted or terminated any trading plans intended to satisfy Rule 10b5-1(c) during the three months ended March 31, 2025[102] Other Financial Information - The financial information for the quarter ended March 31, 2025, includes condensed consolidated balance sheets and statements of operations, cash flows, and stockholders' equity[105] - The company has accrued approximately $3.3 million for uncertain tax positions and $93.7 million for claims and insurance liabilities as of March 31, 2025[84]