U.S. Xpress Enterprises (USX) Tops Q1 EPS by 1c, Revenues Beat

U.S. Xpress Enterprises (NYSE: USX) reported Q1 EPS of ($0.15), $0.01 better than the analyst estimate of ($0.16). Revenue for the quarter came in at $432.6 million versus the consensus estimate of $412.7 million.

First Quarter 2020 Financial Highlights

• Operating revenue of $432.6 million compared to $415.4 million in the first quarter of 2019
• Operating loss of $3.7 million compared to operating income of $12.6 million in the first quarter of 2019
• Operating ratio of 100.8% compared to 97.0% in the first quarter of 2019
• Net loss attributable to controlling interest of $9.2 million, or $0.19 per diluted share, included a $2.0 million, or $0.04 per share, loss on sale of an equity method investment compared to Net income attributable to controlling interest of $4.7 million in the first quarter of 2019
• Adjusted net loss attributable to controlling interest, a non-GAAP measure, of $7.2 million, or $.15 per diluted share, compared to Adjusted net income of $7.3 million in the first quarter of 2019

Eric Fuller, President and CEO, commented, “The spread of COVID-19 across our nation has dramatically impacted not only how we work but all aspects of our daily lives. In this period of uncertainty, we are committed to keeping our employees safe and our customers’ products moving across the country. U.S. Xpress provides an essential service to our customers and their customers as millions of Americans depend on us to ship their products and keep their store shelves stocked. To ensure we seamlessly maintain our operations, we have transitioned a majority of our office staff to a work from home environment, distributed protective gear to our drivers and shop personnel and designed shipper and receiver interaction processes for our drivers. We have also implemented procedures to ensure we are effectively communicating with our employees to keep them safe and informed. I am extremely proud of our entire organization and thankful for their tireless efforts during such an extraordinary time.”

Mr. Fuller noted, “The truckload freight environment has been lackluster for several quarters. Prior to the outbreak of COVID-19, we were seeing early signs of a broad market improvement. After the outbreak, during March, freight volumes and spot market pricing ramped up in response to the demand associated with consumer stockpiling and inventory restocking. While the outlook is uncertain, we believe we are well positioned as less than 4% of our revenues were generated by customers that closed during the peak of the pandemic and we did not experience a drop off in volumes.”

Mr. Fuller said, “Our Dedicated division continued to perform very well in the first quarter having delivered its fourth consecutive quarter of record productivity. We were pleased that average revenue per tractor per week remained above $4,000, while we grew the truck count in this division by 1.7% year over year. The execution in Dedicated continues to be outstanding and we will continue to grow the business over time as attractive opportunities arise

Outlook

Due to the economic uncertainty associated with COVID-19 and the associated impact on shippers, consumers, competitors, supply chains, financial markets, and the Company’s employees, U.S. Xpress is not offering guidance regarding a range of expected earnings per share or similar measures for future quarters. However, the Company does expect to have sufficient sources of liquidity to fund its operations through 2020 and beyond even under an extended economic downturn.

For earnings history and earnings-related data on U.S. Xpress Enterprises (USX) click here.

You May Also Be Interested In

• Tesla plans 'flying' Roadster stunt at SpaceX Texas site as early as August
• SVB & T Corporation (SVBT) Tops Q2 EPS by 275c
• Boost Run posts Q2 revenue of $31.1M, up 270% year over year