More Transports Confirm Shipping Pickup
After the close, three large transportation companies — UPS, trucking/logistics company Landstar and JB Hunt — all confirmed what railroad CSX had been saying: the shipping business is improving.
For these companies, it's not so much about earnings (they were above expectations) it's about revenue growth. LSTR saw a 17 percent increase in revenues; it was the first time they saw a year over year quarterly increase in revenues since the third quarter of 2008. They said second quarter earnings would be $0.44 to $0.49, above consensus of $0.42.
CEO said Henry Gerkens said, "The freight environment continues to improve...I expect these trends to continue throught the 2010 second quarter."
For JBHT, revenues also increased 17 percent.
While revenues for UPS were up only 7 percent, above expectations of a gain of 5.6 percent.
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