J.B. Hunt: Boost in Intermodal Business

 

The company reported third-quarter earnings of $115.1 million,  surpassing Wall Street expectations. It posted revenue of $1.59 billion in the period, here also missing Street forecasts. Seven analysts surveyed by Zacks expected $1.62 billion.

 

Profits were driven by improving margins in the company’s intermodal unit, which transports shipping containers and makes up a majority of the company’s revenue, says a report in WSJ.

 

The growth in intermodal shipping has been driven by increased freight rates and lower maintenance costs. 

 

The Intermodal (JBI) division reported quarterly revenues of $948.8 million, down 1.5% year over year. Segmental results were hurt by the lingering effects of disruptive shipping patterns following the West Coast port disturbances. 

 

The results are a bright spot amid uncertainty among companies that focus on truckload freight services, which means they typically fill their trucks with goods from just one shipper, rather than several customers.