NEW YORK - Schneider National, Inc. (NYSE:SNDR) shares are up 4% Wednesday after the transportation and logistics company reported third quarter earnings that missed expectations and slashed its full-year outlook, though the stock was trading in the red earlier in today's premarket session, down by around 10%.
The Green Bay, Wisconsin-based company posted adjusted earnings per share of $0.18 for the quarter, falling short of the $0.23 analysts had forecast. Revenue came in at $1.32 billion, slightly below estimates of $1.33 billion and down 2.7% from $1.35 billion in the same period last year.
Schneider National significantly lowered its full-year 2024 earnings guidance to a range of $0.66 to $0.72 per share, well below the previous consensus estimate of $0.82. The company cited challenging market conditions that have not supported additional investment in its Network truck business.
"While contract pricing continued its positive momentum since the beginning of the year, present market conditions still do not support additional investment at this time as carriers are not being compensated for the value provided," said Mark Rourke, President and CEO of Schneider National.
The company's Truckload segment saw income from operations decline 3% year-over-year to $23.7 million in Q3. However, its Intermodal business showed improvement, with income from operations rising 41% to $15.7 million.
Schneider National ended the quarter with $179 million in cash and cash equivalents. The company's board declared a quarterly dividend of $0.095 per share.
Despite the earnings miss and guidance cut, Rourke expressed confidence in the company's long-term strategy, stating "We are committed to maximizing shareholder value and advancing our enterprise for long-term success."
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