We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Schneider (SNDR) Q4 Earnings Miss Estimates, Decrease Y/Y
Read MoreHide Full Article
Schneider National’s (SNDR - Free Report) fourth-quarter 2019 earnings (excluding 6 cents from non-recurring items) of 37 cents per share missed the Zacks Consensus Estimate by 2 cents. The bottom line also declined 24.5% year over year. Also, operating revenues dipped 12.5% to $1,156.3 million, lagging the Zacks Consensus Estimate of $1,224.6 million. Moreover, revenues (excluding fuel surcharge) decreased 12% to $1,040.5 million. Results were hampered by lower volumes and unfavorable pricing.
Schneider National, Inc. Price, Consensus and EPS Surprise
Moreover, income from operations (on a reported basis) plunged 34.1% to $78.1 million in the fourth quarter, mainly due to the $13.3-million charges regarding the first-to-final mile shutdown (FTFM) within the truckload unit. Adjusted income from operations declined 24% to $91.4 million in the December-end quarter. Also, adjusted operating ratio (operating expenses as a percentage of revenues) shrunk 140 basis points to 91.2%. Notably, lower the value of the ratio the better.
Segmental Highlights
Truckload revenues (excluding fuel surcharge) slipped 15% to $494.5 million. Average trucks (company trucks and owner-operated trucks) in the segment also fell 10.5% to 10,356. Further, revenue per truck per week for the segment dropped 4.3%. This downside was mainly due to unfavorable pricing. Income from operations in the segment was $40.4 million in the reported quarter, down 46%. Moreover, adjusted operating ratio deteriorated to 89.1% from 84.4% in the year-earlier period.
Intermodal revenues (excluding fuel surcharge) dipped 3% to $261.2 million, with revenue per order declining 4%, primarily due to a change in mix related to seasonal project orders. Segmental income from operations decreased 19% to $32.2 million as a result of higher third-party costs. Additionally, intermodal operating ratio deteriorated to 87.7% in the fourth quarter from the prior year’s 85.2%.
Logistics revenues (excluding fuel surcharge) dropped 19% to $227.8 million, primarily due to a customer in-sourcing activity in the segment’s import/export operations. Brokerage accounted for 85.7% of logistics revenues (excluding fuel surcharge) in the quarter compared with 77.9% in the prior year, with brokerage volume expanding 5% year over year.
However, net revenue compression primarily induced a 51% decline in segmental income from operations to $7.9 million. Further, operating ratio of the segment deteriorated to 96.5% from 95.3% in the fourth quarter of 2018.
2020 EPS View
This Zacks Rank #5 (Strong Sell) company expects full-year adjusted earnings per share between $1.25 and $1.35. The mid-point of the guided range ($1.30 per share) matches the Zacks Consensus Estimate. Meanwhile, the company anticipates net capital expenditures of approximately $310 million in the year.
Investors interested in the broader Transportation sector await fourth-quarter 2019 earnings reports from key players like Air Lease Corporation (AL - Free Report) , Expeditors International of Washington (EXPD - Free Report) and Hertz Global Holdings (HTZ - Free Report) .
Air Lease and Expeditors will announce results on Feb 14 and Feb 18, respectively. Hertz will release fourth-quarter earnings on Feb 24.
Breakout Biotech Stocks with Triple-Digit Profit Potential
The biotech sector is projected to surge beyond $775 billion by 2024 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases.
Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Our recent biotech recommendations have produced gains of +50%, +83% and +164% in as little as 2 months. The stocks in this report could perform even better.
Image: Bigstock
Schneider (SNDR) Q4 Earnings Miss Estimates, Decrease Y/Y
Schneider National’s (SNDR - Free Report) fourth-quarter 2019 earnings (excluding 6 cents from non-recurring items) of 37 cents per share missed the Zacks Consensus Estimate by 2 cents. The bottom line also declined 24.5% year over year. Also, operating revenues dipped 12.5% to $1,156.3 million, lagging the Zacks Consensus Estimate of $1,224.6 million. Moreover, revenues (excluding fuel surcharge) decreased 12% to $1,040.5 million. Results were hampered by lower volumes and unfavorable pricing.
Schneider National, Inc. Price, Consensus and EPS Surprise
Schneider National, Inc. price-consensus-eps-surprise-chart | Schneider National, Inc. Quote
Moreover, income from operations (on a reported basis) plunged 34.1% to $78.1 million in the fourth quarter, mainly due to the $13.3-million charges regarding the first-to-final mile shutdown (FTFM) within the truckload unit. Adjusted income from operations declined 24% to $91.4 million in the December-end quarter. Also, adjusted operating ratio (operating expenses as a percentage of revenues) shrunk 140 basis points to 91.2%. Notably, lower the value of the ratio the better.
Segmental Highlights
Truckload revenues (excluding fuel surcharge) slipped 15% to $494.5 million. Average trucks (company trucks and owner-operated trucks) in the segment also fell 10.5% to 10,356. Further, revenue per truck per week for the segment dropped 4.3%. This downside was mainly due to unfavorable pricing. Income from operations in the segment was $40.4 million in the reported quarter, down 46%. Moreover, adjusted operating ratio deteriorated to 89.1% from 84.4% in the year-earlier period.
Intermodal revenues (excluding fuel surcharge) dipped 3% to $261.2 million, with revenue per order declining 4%, primarily due to a change in mix related to seasonal project orders. Segmental income from operations decreased 19% to $32.2 million as a result of higher third-party costs. Additionally, intermodal operating ratio deteriorated to 87.7% in the fourth quarter from the prior year’s 85.2%.
Logistics revenues (excluding fuel surcharge) dropped 19% to $227.8 million, primarily due to a customer in-sourcing activity in the segment’s import/export operations. Brokerage accounted for 85.7% of logistics revenues (excluding fuel surcharge) in the quarter compared with 77.9% in the prior year, with brokerage volume expanding 5% year over year.
However, net revenue compression primarily induced a 51% decline in segmental income from operations to $7.9 million. Further, operating ratio of the segment deteriorated to 96.5% from 95.3% in the fourth quarter of 2018.
2020 EPS View
This Zacks Rank #5 (Strong Sell) company expects full-year adjusted earnings per share between $1.25 and $1.35. The mid-point of the guided range ($1.30 per share) matches the Zacks Consensus Estimate. Meanwhile, the company anticipates net capital expenditures of approximately $310 million in the year.
You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Upcoming Releases
Investors interested in the broader Transportation sector await fourth-quarter 2019 earnings reports from key players like Air Lease Corporation (AL - Free Report) , Expeditors International of Washington (EXPD - Free Report) and Hertz Global Holdings (HTZ - Free Report) .
Air Lease and Expeditors will announce results on Feb 14 and Feb 18, respectively. Hertz will release fourth-quarter earnings on Feb 24.
Breakout Biotech Stocks with Triple-Digit Profit Potential
The biotech sector is projected to surge beyond $775 billion by 2024 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases.
Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Our recent biotech recommendations have produced gains of +50%, +83% and +164% in as little as 2 months. The stocks in this report could perform even better.
See these 7 breakthrough stocks now>>