JBT is reducing its footprint – tractors down 11%, loads down 15%, but revenue/tractor per week is way up
Dedicated
Somehow they managed to reduce their operating income – while revenue /truck is up 5% and loads are up 15% – because truck numbers are up 1329. Most of these were conversions of private fleets 55% and home delivery 32% which they call “final mile services (FMS)”. Operating income decreased 9% from a year ago caused by:
- winter weather inefficiencies
- higher insurance and claims costs
- increased driver wages and recruiting costs; higher nondriver
- increased maintenance costs
- $1.9 million in additional non-cash amortization – i.e., not real (maybe absorbing goodwill from an acquisition)
What you don’t see when looking at the segments is that Revenue JUST increased slightly more ($319 MM) than expenses (300MM) – not good news for shareholders.
What you should take from all this data is confirmation of what you know already:
- Prices are up
- Brokers are making a killing
- It is hard to get drivers even with higher wages