2023-05-24 06:55:02 ET
Landstar System ( NASDAQ: LSTR ) after pointing to a challenging freight environment and setting guidance below expectations.
The transportation services company expects Q2 revenue of $1.325B to $1.375B vs. the prior range of $1.40B to $1.456B and the consensus mark of $1.42B. Landstar ( LSTR ) also sees EPS of $1.75 to $1.85 vs. a prior range of $1.90 to $2.00 and $1.97 consensus. Of note, truck load volume is currently trending below last year by 16% to 18%.
CEO Jim Gattoni noted that through the first several weeks of April, truck revenue per load has thus far sequentially trended slightly below historical patterns, while the number of loads hauled via truck through the first several weeks of Q2 has sequentially trended a bit further below those historical patterns.
"After several years where past trends were less applicable in light of the impact of the pandemic, I anticipate that as we move into May, we will begin to experience truck revenue per load and truck load volume sequential trends closer to pre-pandemic, historical patterns. Assuming that truck revenue per load and truck load volume sequential trends are in fact closer to pre-pandemic, historical patterns, I expect revenue per load on loads hauled via truck to be in a range of 12% to 14% below the 2022 second quarter and the number of loads hauled via truck to be in a range of 14% to 16% below the 2022 second quarter."
Shares of Landstar ( LSTR ) fell 2.88 % in premarket trading to $170.00.
More on Landstar:
- Landstar earnings call transcript
- Growth metrics on Landstar
- Seeking Alpha's Quant Rating for Landstar
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Landstar System falls after warning on challenging freight environment