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Air Transport Services (ATSG) Q3 Earnings Miss, Decrease Y/Y
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Air Transport Services Group, Inc. (ATSG - Free Report) third-quarter 2023 quarterly earnings per share (EPS) (excluding 8 cents from non-recurring items) of 32 cents missed the Zacks Consensus Estimate of 49 cents and declined 46.7% year over year. Revenues of $523.1 million surpassed the Zacks Consensus Estimate of $522.7 million and rose 1.2% year over year.
Air Transport Services’ total fleet in service included 130 aircraft (18 passengers and 112 freighters) at the end of third-quarter 2023 compared with 124 a year ago.
Total operating expenses increased 7.4% to $477 million. We estimated a fall of 0.2% from third-quarter 2022 figures.
Adjusted EBITDA plunged 16% year over year to $137 million. We suggested 0.2% growth from third-quarter 2022 actuals.
Air Transport Services Group, Inc Price, Consensus and EPS Surprise
Operating cash flow fell to $117.5 million from $147.9 million a year ago. In the third quarter, adjusted free cash flow was $68.8 million compared with $91.4 million in the prior year.
Management expects 2023 adjusted EBITDA in the range of $560-$580 million (prior view: $610-$620 million). For 2023, ATSG is still projecting $785 million in total capex spend, including $545 million for growth and $240 million in sustaining capex. However, it further reduces its 2024 capex plan to $505 million, down $100 million in growth capex. Management suggests 2023 EPS in the $1.50-$1.70 band (prior view: $1.85 - $2.00).
United Airlines (UAL - Free Report) reported third-quarter 2023 earnings per share (excluding 23 cents from non-recurring items) of $3.65, which outpaced the Zacks Consensus Estimate of $3.40 and improved 29.9% year over year.
Operating revenues of $14,484 million outshined the Zacks Consensus Estimate of $14,441.8 million. The top line jumped 12.5% year over year due to upbeat air-travel demand.
J.B. Hunt Transport Services, Inc.’s (JBHT - Free Report) third-quarter 2023 earnings per share of $1.80 fell short of the Zacks Consensus Estimate of $1.85 and declined 30% year over year.
Total operating revenues of $3,163.8 million also lagged the Zacks Consensus Estimate of $3,224 million and tumbled 18% year over year.
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Air Transport Services (ATSG) Q3 Earnings Miss, Decrease Y/Y
Air Transport Services Group, Inc. (ATSG - Free Report) third-quarter 2023 quarterly earnings per share (EPS) (excluding 8 cents from non-recurring items) of 32 cents missed the Zacks Consensus Estimate of 49 cents and declined 46.7% year over year. Revenues of $523.1 million surpassed the Zacks Consensus Estimate of $522.7 million and rose 1.2% year over year.
Air Transport Services’ total fleet in service included 130 aircraft (18 passengers and 112 freighters) at the end of third-quarter 2023 compared with 124 a year ago.
Total operating expenses increased 7.4% to $477 million. We estimated a fall of 0.2% from third-quarter 2022 figures.
Adjusted EBITDA plunged 16% year over year to $137 million. We suggested 0.2% growth from third-quarter 2022 actuals.
Air Transport Services Group, Inc Price, Consensus and EPS Surprise
Air Transport Services Group, Inc price-consensus-eps-surprise-chart | Air Transport Services Group, Inc Quote
Operating cash flow fell to $117.5 million from $147.9 million a year ago. In the third quarter, adjusted free cash flow was $68.8 million compared with $91.4 million in the prior year.
Management expects 2023 adjusted EBITDA in the range of $560-$580 million (prior view: $610-$620 million). For 2023, ATSG is still projecting $785 million in total capex spend, including $545 million for growth and $240 million in sustaining capex. However, it further reduces its 2024 capex plan to $505 million, down $100 million in growth capex. Management suggests 2023 EPS in the $1.50-$1.70 band (prior view: $1.85 - $2.00).
Air Transport Services carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Performances of Other Transportation Companies
United Airlines (UAL - Free Report) reported third-quarter 2023 earnings per share (excluding 23 cents from non-recurring items) of $3.65, which outpaced the Zacks Consensus Estimate of $3.40 and improved 29.9% year over year.
Operating revenues of $14,484 million outshined the Zacks Consensus Estimate of $14,441.8 million. The top line jumped 12.5% year over year due to upbeat air-travel demand.
J.B. Hunt Transport Services, Inc.’s (JBHT - Free Report) third-quarter 2023 earnings per share of $1.80 fell short of the Zacks Consensus Estimate of $1.85 and declined 30% year over year.
Total operating revenues of $3,163.8 million also lagged the Zacks Consensus Estimate of $3,224 million and tumbled 18% year over year.