Landstar System Reports 11 Percent Increase in Diluted Earnings Per Share to a Third Quarter Record of $0.71
Truck transportation revenue hauled by independent business capacity owners ("BCOs") and truck brokerage carriers in the 2012 third quarter was
Trailing twelve-month return on average shareholder's equity was 39 percent and trailing twelve-month return on invested capital, net income divided by the sum of average equity plus average debt, was 29 percent.
"
Gerkens continued, "As I look at the 2012 fourth quarter, it is important to note that the 2012 fourth quarter is a thirteen week quarter whereas the 2011 fourth quarter was a fourteen week quarter. I estimate that the extra week in the 2011 fourth quarter contributed approximately
Although I am very confident in the long term outlook for
The following is a "safe harbor" statement under the Private Securities Litigation Reform Act of 1995. Statements contained in this press release that are not based on historical facts are "forward-looking statements". This press release contains forward-looking statements, such as statements which relate to
About
Landstar System, Inc. and Subsidiary |
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Consolidated Statements of Income |
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(Dollars in thousands, except per share amounts) |
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(Unaudited) |
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Thirty Nine Weeks Ended |
Thirteen Weeks Ended |
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September 29, |
September 24, |
September 29, |
September 24, |
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2012 |
2011 |
2012 |
2011 |
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Revenue |
$ 2,102,164 |
$ 1,931,560 |
$ 717,168 |
$ 684,013 |
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Investment income |
1,185 |
1,294 |
393 |
373 |
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Costs and expenses: |
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Purchased transportation |
1,603,865 |
1,459,660 |
548,162 |
518,300 |
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Commissions to agents |
162,728 |
153,165 |
56,036 |
54,990 |
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Other operating costs |
17,635 |
22,050 |
6,447 |
6,427 |
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Insurance and claims |
28,411 |
34,096 |
8,010 |
9,381 |
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Selling, general and administrative |
113,916 |
112,252 |
37,455 |
39,206 |
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Depreciation and amortization |
20,476 |
19,336 |
7,072 |
6,549 |
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Total costs and expenses |
1,947,031 |
1,800,559 |
663,182 |
634,853 |
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Operating income |
156,318 |
132,295 |
54,379 |
49,533 |
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Interest and debt expense |
2,312 |
2,340 |
818 |
735 |
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Income before income taxes |
154,006 |
129,955 |
53,561 |
48,798 |
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Income taxes |
58,203 |
49,642 |
20,460 |
18,640 |
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Net income |
95,803 |
80,313 |
33,101 |
30,158 |
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Less: Net loss attributable to noncontrolling interest |
- |
(62) |
- |
- |
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Net income attributable to Landstar System, |
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Inc. and subsidiary |
$ 95,803 |
$ 80,375 |
$ 33,101 |
$ 30,158 |
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Earnings per common share attributable to |
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Landstar System, Inc. and subsidiary |
$ 2.05 |
$ 1.69 |
$ 0.71 |
$ 0.64 |
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Diluted earnings per share attributable to |
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Landstar System, Inc. and subsidiary |
$ 2.04 |
$ 1.68 |
$ 0.71 |
$ 0.64 |
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Average number of shares outstanding: |
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Earnings per common share |
46,775,000 |
47,670,000 |
46,614,000 |
47,358,000 |
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Diluted earnings per share |
46,964,000 |
47,735,000 |
46,732,000 |
47,387,000 |
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Dividends paid per common share |
$ 0.170 |
$ 0.155 |
$ 0.060 |
$ 0.055 |
Landstar System, Inc. and Subsidiary |
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Consolidated Balance Sheets |
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(Dollars in thousands, except per share amounts) |
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(Unaudited) |
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Sept. 29, |
Dec. 31, |
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2012 |
2011 |
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ASSETS |
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Current assets: |
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Cash and cash equivalents |
$ 79,961 |
$ 80,900 |
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Short-term investments |
38,112 |
27,944 |
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Trade accounts receivable, less allowance |
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of $8,299 and $6,591 |
429,684 |
368,377 |
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Other receivables, including advances to independent |
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contractors, less allowance of $4,951 and $5,384 |
51,766 |
53,263 |
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Deferred income taxes and other current assets |
20,202 |
21,308 |
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Total current assets |
619,725 |
551,792 |
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Operating property, less accumulated depreciation |
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and amortization of $154,657 and $145,804 |
163,569 |
142,146 |
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Goodwill |
57,470 |
57,470 |
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Other assets |
68,618 |
57,041 |
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Total assets |
$ 909,382 |
$ 808,449 |
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LIABILITIES AND SHAREHOLDERS' EQUITY |
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Current liabilities: |
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Cash overdraft |
$ 26,719 |
$ 25,905 |
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Accounts payable |
212,653 |
163,307 |
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Current maturities of long-term debt |
19,366 |
17,212 |
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Insurance claims |
68,410 |
76,624 |
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Other current liabilities |
45,526 |
48,065 |
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Total current liabilities |
372,674 |
331,113 |
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Long-term debt, excluding current maturities |
99,748 |
115,130 |
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Insurance claims |
25,386 |
27,494 |
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Deferred income taxes and other non-current liabilities |
40,141 |
34,135 |
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Shareholders' equity: |
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Common stock, $0.01 par value, authorized 160,000,000 |
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shares, issued 66,855,922 and 66,602,486 shares |
669 |
666 |
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Additional paid-in capital |
172,455 |
165,712 |
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Retained earnings |
1,035,003 |
947,156 |
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Cost of 20,386,462 and 19,882,289 shares of common |
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stock in treasury |
(838,273) |
(813,684) |
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Accumulated other comprehensive income |
1,579 |
727 |
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Total shareholders' equity |
371,433 |
300,577 |
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Total liabilities and shareholders' equity |
$ 909,382 |
$ 808,449 |
Landstar System, Inc. and Subsidiary |
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Supplemental Information |
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(Unaudited) |
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Thirty Nine Weeks Ended |
Thirteen Weeks Ended |
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September 29, |
September 24, |
September 29, |
September 24, |
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2012 |
2011 |
2012 |
2011 |
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Revenue generated through (in thousands): |
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Business Capacity Owners (1) |
$ 1,057,109 |
$ 1,020,856 |
$ 355,861 |
$ 351,108 |
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Truck Brokerage Carriers |
886,532 |
747,122 |
307,600 |
274,731 |
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Rail intermodal |
55,002 |
53,991 |
18,782 |
19,159 |
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Ocean and air cargo carriers |
60,227 |
68,261 |
20,100 |
25,330 |
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Other (2) |
43,294 |
41,330 |
14,825 |
13,685 |
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$ 2,102,164 |
$ 1,931,560 |
$ 717,168 |
$ 684,013 |
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Number of loads: |
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Business Capacity Owners (1) |
616,200 |
601,990 |
201,050 |
199,260 |
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Truck Brokerage Carriers |
510,360 |
441,930 |
176,760 |
154,720 |
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Rail intermodal |
22,290 |
22,750 |
7,470 |
7,920 |
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Ocean and air cargo carriers |
11,760 |
12,150 |
3,850 |
4,200 |
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1,160,610 |
1,078,820 |
389,130 |
366,100 |
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Revenue per load: |
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Business Capacity Owners (1) |
$ 1,716 |
$ 1,696 |
$ 1,770 |
$ 1,762 |
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Truck Brokerage Carriers |
1,737 |
1,691 |
1,740 |
1,776 |
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Rail intermodal |
2,468 |
2,373 |
2,514 |
2,419 |
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Ocean and air cargo carriers |
5,121 |
5,618 |
5,221 |
6,031 |
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September 29, |
September 24, |
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2012 |
2011 |
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Truck Capacity Providers |
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Business Capacity Owners (1) (3) |
8,074 |
7,798 |
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Truck Brokerage Carriers: |
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Approved and active (4) |
20,474 |
18,402 |
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Approved |
9,315 |
9,088 |
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29,789 |
27,490 |
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Total available truck capacity providers |
37,863 |
35,288 |
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(1) Business Capacity Owners are independent contractors who provide truck capacity to the Company under exclusive |
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lease arrangements. |
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(2) Includes premium revenue generated by the insurance segment and warehousing and transportation management fee revenue |
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generated by the transportation logistics segment. |
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(3) Trucks provided by Business Capacity Owners were 8,596 and 8,314 at September 29, 2012 and September 24, 2011, respectively. |
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(4) Active refers to Truck Brokerage Carriers who have moved at least one load in the past 180 days. |
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SOURCE
Jim Gattoni, Landstar System, Inc., +1-904-398-9400