gains on sale Archives - Maritime Shipping News

Higher rates, gains produce record 2021 for Heartland Express

21 January 2022

Heartland Express posts 80.2% full-year OR in 2021

Truckload carrier Heartland Express leveraged record rates and gains on equipment sales to post earnings per share of $1 in 2021, an all-time high for the company since it began trading publicly in 1986. Cost inflation was more than offset by pricing and gains, producing an 80.2% adjusted operating ratio for the full year.

Earnings in the 2021 fourth quarter came in at 26 cents per share, 4 cents higher year-over-year and in line with analysts’ expectations, Heartland (NASDAQ: HTLD) announced...

https://www.freightwaves.com/news/higher-rates-gains-produce-record-2021-for-heartland-express

‘Don’t sweat’ big gains on equipment sales booked by carriers in Q3

9 November 2021

Carriers rack up huge gains on asset sales in third quarter

Many records were set by truckload carriers during the third quarter, including a line on the income statement often overlooked by industry observers: gains on sale. With truck demand at record levels and new equipment tough to find, values in the secondary market have soared and so too have the gains fleets are booking as they swap out old tractors for new.

Gains on the sale of revenue equipment, normally booked as an offset to operating expenses on the P&L, were some of the highest seen for...

https://www.freightwaves.com/news/dont-sweat-big-gains-on-equipment-sales-booked-by-carriers-in-q3

‘Unprecedented’ freight demand, labor challenges next year, Heartland Express says

14 October 2021

Labor headwinds persist throughout the supply chain

Truckload carrier Heartland Express recorded its best operating ratio Thursday since it began acquiring other carriers in 2013. The third-quarter result was a 75% adjusted OR, 650 basis points better year-over-year and 470 bps better than the second quarter.

The North Liberty, Iowa-based carrier expects the current freight market to continue moving forward.

“Freight demand has continued to be strong and has reached unprecedented levels throughout the third quarter of 2021 and we expect these...

https://www.freightwaves.com/news/unprecedented-freight-demand-labor-challenges-next-year-heartland-express-says

Why do gains on sale matter for carriers?

14 August 2021

Used equipment prices determine gains on sale

In trucking, gains and losses on asset sales typically center on the sale of revenue equipment like tractors and trailers, and to a lesser degree real estate. The gains booked on the disposal of assets can provide meaningful swings in quarterly earnings, sometimes determining whether a company beats or misses expectations.

The replacement of tractors and trailers is an ongoing event at most large fleets. Carriers look to replace equipment on a regular schedule, prior to the age when maintenance...

https://www.freightwaves.com/news/why-do-gains-on-sale-matter-for-carriers