Jacksonville, FL-based Landstar System has posted record earnings and revenues for the first quarter this year.
Profits rose a staggering 52% to $24.4 million on 21% higher revenues of $610 million. The carrier’s operating margin rising to 6.8% from 5.7% in the same quarter in 2005.
“Our first quarter performance [in 2006] was the best first quarter operating performance in our history,” said Landstar president & CEO Henry Gerkens. “These increases reflected strong revenue growth in our carrier segment of 15% and a 40% increase in revenue at our Landstar Global Logistics subsidiary. Also, truck brokerage revenue increased 34% and rail intermodal revenue increased 44%.”
He added that demand so far for trucking services remains strong. “Based upon the continuation of the current operating environment, I would anticipate revenue growth for the second quarter to be within a range of 16% to 20% compared to same period in 2005,” Gerkens noted.
