Werner Enterprises issues Q3 profit warning
Werner Enterprises issued a negative third-quarter earnings preannouncement on Monday, citing higher fuel, driver and insurance claims costs as the culprits. The post Werner Enterprises issues Q3 profit warning appeared first on FreightWaves .
Werner Enterprises has issued an earnings guidance warning for the third quarter, projecting adjusted earnings per share of 15 to 16 cents, which is significantly lower than the current estimate of 36 cents. The company cited 18 cents in cumulative cost headwinds, driven by increased diesel fuel prices, higher recruitment and retention expenses for drivers, and a reserve adjustment for prior insurance claims.
Revenue guidance for the period was $946 million to $951 million, slightly below analysts' expectations of $953.6 million. Werner's prior guidance anticipated a 10% to 13% year-over-year increase in revenue per total mile at its one-way fleet, which was 10% higher year-over-year in the second quarter. The outlook also projected a 3% to 5% year-over-year increase in revenue per truck per week for the dedicated fleet, which comprises 80% of the TL network.
The company's third-quarter results are expected to be released on October 27 after the market closes.
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