Loading...
•
Dec 31, 2020
Hub Group Q4 2020 Earnings Report
Announced fourth quarter results with revenue growth and strategic investments.
Key Takeaways
Hub Group reported a 6% increase in revenue for the fourth quarter of 2020, driven by strong freight market conditions and growth with strategic customers. Net income was $22.4 million, or $0.67 per diluted share, which includes expenses related to insurance claims, restructuring charges, and acquisition-related expenses. The company continues to invest in its business, including container and tractor fleets, and completed the acquisition of NSD to expand its service offering.
Revenue increased by 6% to $953 million compared to Q4 2019.
Intermodal revenue increased by 5% due to a 9% increase in volume.
Truck brokerage revenue grew by 27% despite an 8% decline in volume.
Acquired NSD for $90 million in cash, expanding last mile delivery capabilities.
Hub Group
Hub Group
Hub Group Revenue by Segment
Revenue by Segment
Logistics Revenue
CapyFin.com Forward Guidance
The company expects capital expenditures for fiscal year 2021 to range from $150 million to $170 million, primarily for containers, tractors, and technology investments. They plan to add approximately 2,500 containers and 750 tractors.
Positive Outlook
- Investments to support growth in the business.
- Addition of approximately 2,500 containers.
- Net growth of approximately 2,000 containers after retirements.
- Addition of approximately 750 tractors.
- 500 tractors for replacements of older units and 250 to support growth in drayage and dedicated fleets.