If this week’s earnings report from Landstar Systems is any indication, the rest of the year looks good for owner-operators.
“I would characterize the overall second quarter freight environment as a little choppy, but moving in an upward direction,” said Henry Gerkens, chairman, president and CEO of Landstar, the nation’s biggest owner-operator carrier. “Pricing continued to be strong.”
Landstar’s numbers were strong, too. Compared to the second quarter of 2010, this second quarter saw increased revenue ($676 million, from $642 million), increased net income ($29.6 million, from $24.4 million), and record diluted earnings per share.
Gerkens has rosy expectations for the current quarter: “Recent trends in June, and thus far in July, indicate continued strength in revenue per load with a relatively stable increase in the number of loads hauled month over prior year month. I expect these trends to continue throughout the 2011 third quarter.”
Affected tractors are equipped with an automated Eaton UltraShift Plus or Eaton Advantage Transmission with right hand stalk shifter. In the affected trucks, the display on the instrument panel can indicate “N” when the shifter is set into “D” or “R,” causing the truck not to move.