Key Takeaways

Shares of J.B. Hunt Transport Services ( JBHT ) tumbled 7% Friday, a day after the big shipping firm reported a drop in sales as volumes fell.

The company reported fourth-quarter revenue tumbled 5% year-over-year to $3.15 billion, with earnings per share (EPS) of $1.53. Both were short of Visible Alpha estimates.

All its divisions posted sales losses. Intermodal revenue was down 2% to $1.60 billion on changes in mix of freight, customer rates, and fuel surcharge revenue. It slid 5% to $839 million at its Dedicated Contract Services unit because of lower average truck revenue. The Integrated Capacity Solutions division revenue dipped 15% to $308 million as volume sank 22%. Sales were lower at Final Mile Services (-6%) and Truckload (-7%) segments as well.

CEO Says 2024 Was 'Continuation of the Challenging Freight Environment'

CEO Shelley Simpson said 2024 "was a continuation of the challenging freight environment," according to a transcript of the earnings call provided by AlphaSense. Simpson added that the company is focused on "a path to repair and improve our financial performance," and that while market dynamics "remain uncertain around the timing and magnitude of a potential inflection, our focus in 2025 is to grow and begin to repair our margins ."

Including Friday morning's declines, J.B. Hunt Transport Services shares have fallen about 10% in the past year.

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