Werner Enterprises (WERN) Reports In-Line Q2 EPS
Werner Enterprises (NASDAQ: WERN) reported Q2 EPS of $0.86, in-line with the analyst estimate of $0.86. Revenue for the quarter came in at $649.8 million versus the consensus estimate of $648.82 million.
2021 Guidance Metrics and Assumptions
The following table summarizes our updated 2021 guidance and assumptions:
| 2021 Guidance | Prior (as of 4/28/21) | Actual (as of 6/30/21) | New (as of 7/29/21) | Commentary |
| TTS truck growth from BoY to EoY | 1% to 3%(annual) | (2)%(YTD21) | 1% to 4%(annual) | Includes ECM acquisition of 500 trucks |
| Gains on sales of equipment | $7M to $10M(2Q21) | $13.5M (2Q21) | $9M to $13M(3Q21) | Guidance based on lower sales volume, higher pricing and subject to timing of OEM new truck and trailer deliveries |
| Net capital expenditures | $275M to $300M(annual) | $103M(YTD21) | $275M to $300M(annual) | Larger net CapEx in 2H21 due to timing of OEM deliveries |
| TTS Guidance | ||||
| Dedicated RPTPW* growth | 3% to 5%(annual) | 2.4%(2Q21 vs. 2Q20) | 3% to 5%(annual) | Rates in 2Q21 vs. 2Q20 above guidance range, miles per truck lower due to fleet mix |
| One-Way Truckload (OWT) RPTM* growth | 13% to 16%(2Q21 vs. 2Q20) | 16.7%(2Q21 vs. 2Q20) | 16% to 19%(2H21 vs. 2H20) | New guidance includes the favorable impact of the ECM acquisition in 2H21 (16% of OWT fleet) |
| Assumptions | ||||
| Effective income tax rate | 24.5% to 25.5%(annual) | 25.5%(2Q21) | 24.5% to 25.5%(annual) | |
| Truck ageTrailer age | 2.0 yearsLow-to-mid “4” years | 2.0 years4.1 years | 2.0 yearsLow-to-mid “4” years | Reinvesting to maintain young fleet advantage, subject to timing of OEM deliveries |
* Net of fuel surcharge revenues
For earnings history and earnings-related data on Werner Enterprises (WERN) click here.