For the year ending December 31, 2020, Schneider reported revenues of $4.55bn, a decrease of 4% compared to 2019. Income from operations, however, increased by 38% to $286.7m.
Schneider’s business segments have had a mixed year with Truckload and Intermodal revenues falling whilst Logistics saw an uptick in comparison to 2019.
Truckload remains the largest segment, accounting for 40% of revenues. The segment’s revenues (excluding fuel surcharge) for 2020 were $1.85bn, a decrease of $225.8m, or 10.9%, compared to 2019. The impact on revenue from lower network capacity levels was a contributing factor to the lower figures. Truckload income from operations was $187.8 in 2020, an increase of $128.8m, or 218.3%, compared to 2019. A crunch in capacity leading to higher freight rates as well as yield management actions pushed income up despite lower volumes.
Intermodal revenues (excluding fuel surcharge) for 2020 were $974.7m, a decrease of 3.3% or $33.1m y-o-y. Intermodal income from operations for 2020 was $75m, a decrease of $32.7m or 30.4%, compared to 2019. Again, a reduction in volumes and activity were factors in the losses during 2020.
Logistics revenues (excluding fuel surcharge) for 2020 were $1.1bn, an increase of $194.5m, or 20.8%, compared to 2019 due to volume growth and increased revenue through yield actions. Logistics income from operations for 2020 was $43.1m, an increase of $5.8m, or 15.5%, compared to 2019.
“For 2021, we expect constructive macroeconomic and demand conditions against an improving but constrained capacity backdrop,” noted Mark Rourke, Chief Executive Officer and President of Schneider. “Based on this operating environment, along with cost and productivity initiatives and further advancements of our platform and technology, our guidance for full-year 2021 adjusted diluted EPS is $1.45 to $1.60 and assumes a full-year effective tax rate of approximately 25%. In addition, our net capital expenditures guidance for full-year 2021 is approximately $425 million. We anticipate the majority of our capital expenditures will be for replacement and reduced fleet age with growth capital being deployed to dedicated, intermodal, and trailing equipment.”
Source: Schneider
