The Oak Brook, Ill.-based multi-modal transportation management company posted net income of $10.3 million for the quarter compared with nearly $18 million in the same 2016 period despite revenues growing 10.9 percent to $893.4 million.
Hub Group, Inc. saw net income tumble 42.5 percent year-over-year to $10.3 million in the first quarter of 2017, according to the company’s most recent financial statements.
The Oak Brook, Ill.-based transportation management company reported diluted earnings per common share (EPS) of $0.31 for the quarter compared with $0.51 per share in the same 2016 period, even as revenues jumped 10.9 percent to $893.4 million.
Operating income at the company’s Hub segment plummeted 48.4 percent to $11.6 million in Q1 2017 despite revenues growing 10.1 percent year-over-year to $677.1 million.
Hub Group’s Mode segment likewise reported operating income slipped 12 percent to $5.6 million on revenues that grew 15.8 percent to $241.9 million compared with Q1 2016.
Looking ahead to the remainder of 2017, Hub Group Chairman and CEO Dave Yeager said the company is projecting diluted EPS between $1.60 and $1.80 per share and capital expenditures of between $90 million and $100 million. The company reported diluted EPS of $2.20 for the full year in 2016, compared with $1.97 per share in 2015.
“Despite the current challenging market conditions, we remain committed to our strategy to increase market share by providing multi-modal solutions to our clients. We are making strategic investments in our people and technology to strengthen our competitive position in the market,” said Yeager, adding that Hub group will continue to seek out acquisitions to further diversify its service offerings.
Hub Group earnings tumble 42% in Q1
