J.B. Hunt Transport Services, Inc. (NASDAQ:JBHT) shares are trading lower after the company reported second-quarter 2024 results.

Operating revenue fell 7% Y/Y to $2.93 billion, missing the consensus of $3.05 billion.

Revenue declined mainly due to a 5% drop in gross revenue per load in Intermodal (JBI), coupled with decreased load volumes: 25% in Integrated Capacity Solutions (ICS), 9% in Truckload (JBT), and 9% in Dedicated Contract Services (DCS).

Meanwhile, the Final Mile Services (FMS) segment saw a 5% revenue growth, driven by new contracts implemented over the past year, alongside a 5% increase in revenue per load in ICS.

Total operating revenue, excluding fuel surcharge revenue, decreased by around 6% Y/Y in the quarter.

Operating income decreased 24% Y/Y to $205.7 million due to reduced revenue and increased expenses in insurance and claims, equipment, and certain personnel costs.

EPS of $1.32 missed the consensus of $1.57.

As of June 30, 2024, the company had cash and cash equivalents of about $54 million.

In the second quarter of 2024, the company repurchased shares worth $203 million. As of June-end, J.B. Hunt had around $163 million remaining under its share repurchase authorization.

Investors can gain exposure to the stock via IShares Trust IShares U.S. Transportation ETF (BATS:IYT) and SPDR S&P Transportation ETF (NYSE:XTN).

Price Action: JBHT shares are down 3.41% at $170.00 premarket at the last check Wednesday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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