This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Werner Enterprises Reports Third Quarter 2012 Revenues And Earnings

We continued to buy new trucks and trailers to replace older equipment we sell or trade. The higher cost of new equipment results in higher depreciation expense. We continue to invest in environmentally friendly equipment solutions such as more aerodynamic truck features, idle reduction systems, tire inflation systems and trailer skirts which improve the mile per gallon efficiency of our fleet. Our net capital expenditures in third quarter 2012 were $58 million, which puts year-to-date net capital expenditures for 2012 at $180 million. We expect our net capital expenditures for the full year 2012 to be in a range of $210 million to $225 million. The average age of our truck fleet as of September 30, 2012 was 2.3 years, and we expect to further reduce our average truck age to approximately 2.2 years as of December 31, 2012.

To provide shippers with additional sources of managed capacity and network analysis, we continue to develop our non-asset-based VAS segment. VAS includes Brokerage, Freight Management, Intermodal and Werner Global Logistics (International).

       
Three Months Ended Nine Months Ended
September 30, September 30,
2012   2011 2012   2011
Value Added Services (amounts in thousands) $   % $   % $   % $   %
Operating revenues $   82,490 100.0 $   76,635 100.0 $   243,268 100.0 $   211,435 100.0
Rent and purchased
transportation expense 69,888   84.7 64,648   84.4 206,305   84.8 178,365   84.4
Gross margin 12,602 15.3 11,987 15.6 36,963 15.2 33,070 15.6
Other operating expenses 8,823   10.7 7,913   10.3 24,896   10.2 21,867   10.3
Operating income $   3,779   4.6 $   4,074   5.3 $   12,067   5.0 $   11,203   5.3
 

The following table shows the change in shipment volume and average revenue (excluding logistics fee revenue) per shipment for all VAS shipments.

               
Three Months Ended Nine Months Ended
September 30, September 30,
2012   2011 Difference % Change 2012   2011 Difference % Change
Total VAS shipments 65,989 65,343 646 1 % 201,185 188,450 12,735 7 %
Less: Non-committed
shipments to Truckload
segment 20,473   19,853   620   3 % 58,438   58,505   (67 ) 0 %
Net VAS shipments 45,516   45,490   26   0 % 142,747   129,945   12,802   10 %
Average revenue per          
shipment $   1,651   $   1,556   $ 95   6 % $   1,589   $   1,520   $   69   5 %
 

In third quarter 2012, VAS revenues increased $6 million or 8%, gross margin dollars increased 5% and operating income dollars decreased 7% compared to third quarter 2011.

5 of 8

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG

Markets

DOW 18,232.02 -53.72 -0.29%
S&P 500 2,126.06 -4.76 -0.22%
NASDAQ 5,089.3620 -1.4320 -0.03%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs