J.B. Hunt Q2 Earnings & Revenues Lag Estimates, Decrease Y/Y

Core Insights - J.B. Hunt Transport Services, Inc. (JBHT) reported second-quarter 2025 earnings of $1.31 per share, missing the Zacks Consensus Estimate of $1.34 and reflecting a 0.8% year-over-year decline [1] - Total operating revenues reached $2.93 billion, slightly below the Zacks Consensus Estimate of $2.94 billion, remaining flat year over year [2] Financial Performance - Operating income decreased by 4% year over year to $197.3 million, attributed to rising casualty and group medical claims expenses, higher professional driver wages, and increased equipment-related costs [3] - Total operating revenues, excluding fuel surcharge revenue, increased by 1% year over year [2] Segment Performance - Intermodal division generated revenues of $1.44 billion, a 2% year-over-year increase, driven by a 6% increase in volume, although gross revenue per load decreased by 3% [4][5] - Dedicated Contract Services segment revenues remained flat at $847 million year over year, with a 3% decline in average trucks offset by a 3% increase in productivity [7] - Integrated Capacity Solutions revenues fell by 4% year over year to $260 million, with segment volume decreasing by 9% [9] - Truckload revenues grew by 5% year over year to $177 million, with an 8% increase in revenues excluding fuel surcharge [11] - Final Mile Services revenues declined by 10% year over year to $211 million, with operating income falling by 60% due to lower revenues and increased expenses [14] Liquidity and Share Buybacks - At the end of Q2 2025, JBHT had cash and cash equivalents of $50.9 million, up from $43 million in the previous quarter, while long-term debt increased to $1.01 billion from $880.2 million [15] - The company repurchased nearly 2.4 million shares for $319 million during the quarter, with approximately $335 million remaining under its share repurchase authorization [15]