Werner Enterprises has reported its finances for the second quarter of 2015 ended June 30. The company reported Q2 revenue of $534.64m, a decline of 1.38% year-on-year. The company also reported operating income of $52.21m, an increase of 23.34% over Q2 of 2014. Accordingly the company’s margin stood at 9.77%.
Revenue was assisted by rising freight demand which, in second quarter 2015, continues to be stronger than the prior five years, with the exception of the same period in 2014 which was rebounding from severe winter weather in first quarter 2014 that temporarily backed up the freight network. This demand was in itself driven by a gradually improving economy in the retail, consumer products and grocery products markets primarily served by us are contributing to strong freight demand. However a fall in fuel surcharges that reflected the fall in oil prices resulted in an overall decline in revenue.
Average revenues per tractor per week, net of fuel surcharge, increased 3.5% in second quarter 2015 compared to second quarter 2014. Continued focus on securing driver friendly, highly productive freight and improved freight selection using the company’s proprietary freight optimization system enabled Werner Enterprises to maintain its average miles per truck compared to the second quarter of 2014. This increase in revenue per tractor was largely driven by rising demand along with constrained industry capacity. In combination with falling fuel prices and a more modern and efficient fleet these factors resulted in the sharp rise in operating income.
