Logistic firm ArcBest's Q3 revenue beats estimates on higher shipments

Reuters
Nov 05
Logistic firm ArcBest's Q3 revenue beats estimates on higher shipments

Overview

  • ArcBest Q3 revenue of $1.05 bln, beating analyst expectations

  • Net income from continuing operations fell to $39.3 mln from $100.3 mln last year

  • Company returned over $66 mln to shareholders via share repurchases and dividends YTD

Outlook

  • Company did not provide specific financial guidance for future periods

Result Drivers

  • ASSET-BASED GROWTH - Growth in LTL shipments and tonnage driven by new core LTL customers, despite decline in weight per shipment

  • ASSET-LIGHT PRODUCTIVITY - Record shipment volumes and productivity in Asset-Light segment despite revenue decline due to smaller, lower-revenue shipments

  • COST MANAGEMENT - Improved cost per shipment and productivity gains despite higher operating expenses from labor and transportation costs

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

Beat

$1.05 bln

$1.03 bln (10 Analysts)

Q3 Net Income

$39.27 mln

Q3 Net Income continuing operations

$39.27 mln

Q3 Operating Expenses

$993.51 mln

Q3 Operating Income

$54.62 mln

Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 6 "hold" and no "sell" or "strong sell"

  • Wall Street's median 12-month price target for ArcBest Corp is $88.00, about 18.9% above its November 4 closing price of $71.39

  • The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 12 three months ago

Press Release: ID:nBwbyYqG4a

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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