USX US Xpress Enterprises Inc

Company surpasses $2.0 billion in operating revenue for the Full Year 2022

U.S. Xpress Enterprises, Inc. (NYSE: USX) today announced financial and operating results for the fourth quarter and full year 2022.

Fourth Quarter 2022 Highlights (compared to Fourth Quarter 2021 unless noted otherwise)

• Operating revenue of $542.5 million compared to $531.6 million
• Operating loss of $5.7 million compared to operating loss of $5.1 million
• Sequentially, Realignment Plan-related cost savings were approximately $8.0 million in the fourth quarter, which on an annualized basis represents $32.0 million in fixed cost savings
• The Company has successfully completed the realignment of its Truckload Segment designed to improve operating profitability and cash flow as well as pay down debt in 2023
• The Company generated $43.5 million in cash from operations and had liquidity of $106.1 million exiting 2022

“For the full year, we generated record operating revenue, identified significant fixed costs that we are taking out of the business, and realigned our Truckload segment to improve operating profitability going forward,” said Eric Fuller, President, and CEO. “In the fourth quarter, sequential rate pressure from our spot market exposure and higher fuel costs more than offset the positive contributions from our Dedicated and Brokerage businesses as well as the progress made from our Realignment Plan. In 2023, we will continue to focus on execution, servicing our customers at a high level and reducing our spot market exposure. We believe the benefits from these initiatives combined with our lower fixed cost structure will become apparent as the market turns.”

Fourth Quarter and Full Year 2022 Financial Performance

Quarter Ended December 31, Year Ending December 31,

 

2022

 

 

2021

 

 

2022

 

 

2021

 

Operating revenue

$

542,451

 

$

531,605

 

$

2,161,170

 

$

1,948,526

 

Revenue, excluding fuel surcharge

 

475,209

 

 

487,280

 

 

1,896,149

 

 

1,794,278

 

Operating income (loss)

 

(5,668

)

 

(5,110

)

 

(22,150

)

 

18,429

 

Net income (loss) attributable to controlling interest

 

(11,211

)

 

(5,286

)

 

(40,457

)

 

10,870

 

Earnings (losses) per diluted share

 

(0.22

)

 

(0.10

)

 

(0.79

)

 

0.21

 

Adjusted net income (loss) attributable to controlling interest1

 

(9,161

)

 

(1,995

)

 

(32,150

)

 

8,158

 

Adjusted earnings (losses) per diluted share1

$

(0.18

)

$

(0.04

)

$

(0.63

)

$

0.16

 

Operating Ratio Truckload operating ratio

 

102.6

%

 

102.0

%

 

102.0

%

 

99.0

%

Brokerage operating ratio

 

92.1

%

 

97.2

%

 

95.5

%

 

99.2

%

Operating ratio

 

101.0

%

 

101.0

%

 

101.0

%

 

99.1

%

Adjusted operating ratio1

 

101.2

%

 

100.2

%

 

101.2

%

 

98.7

%

1 See "Non-GAAP Financial Measures" section of this earnings release for more detail including GAAP to Non-GAAP reconciliations.

Operating revenue was $542.5 million, an increase of 2.0%, compared to the fourth quarter of 2021. Revenue, excluding fuel surcharge, was $475.2 million, a decrease of 2.5% compared to the fourth quarter of 2021.

Operating loss was $5.7 million for the fourth quarter of 2022 compared to $5.1 million in the fourth quarter of 2021.

Net loss attributable to controlling interest for the fourth quarter of 2022 was $11.2 million, or $0.22 per diluted share, compared to $5.3 million, or $0.10 per diluted share, in the fourth quarter of 2021.

Adjusted net loss attributable to controlling interest1, which excludes an unrealized loss on a strategic equity investment, for the fourth quarter of 2022 was $9.2 million, which compares to $2.0 million in the fourth quarter of 2021. As a reminder, adjusted net loss attributable to controlling interest1 for the fourth quarter of 2021 excluded a non-cash impairment charge in addition to an unrealized loss on a strategic equity investment.

Truckload Segment

Quarter Ended December 31, Year Ending December 31,

 

2022

 

 

2021

 

 

2022

 

 

2021

 

Truckload revenue

$

464,077

 

$

419,747

 

$

1,824,855

 

$

1,567,520

 

Truckload revenue, excluding fuel surcharge

 

396,835

 

 

375,422

 

 

1,559,834

 

 

1,413,272

 

Operating income (loss)

 

(11,890

)

 

(8,230

)

 

(37,311

)

 

15,323

 

Operating ratio

 

102.6

%

 

102.0

%

 

102.0

%

 

99.0

%

Adjusted operating income (loss)1

$

(11,890

)

$

(3,896

)

$

(37,937

)

$

19,657

 

Adjusting operating ratio1

 

103.0

%

 

101.0

%

 

102.4

%

 

98.6

%

1 - See "Non-GAAP Financial Measures" section of this earnings release for more detail including GAAP to Non-GAAP reconciliations.

Truckload revenue, excluding fuel surcharge, was $396.8 million, an increase of 5.7%, compared to the fourth quarter of 2021. The increase was primarily due to a combination of a 13.4% increase in average available tractors and a 2.0% increase in overall average revenue per tractor per week as compared to the fourth quarter of 2021.

Truckload segment operating loss was $11.9 million, an increase of 44.5%, compared to the fourth quarter of 2021. The increased operating loss was due to the Company’s spot market exposure, which combined with weaker overall freight volumes caused the average revenue per mile in the over-the-road (OTR) division to decrease by $0.06 per mile compared to the fourth quarter of 2021. In addition, net fuel expense was $0.09 per mile higher compared to the fourth quarter of 2021. These headwinds more than offset the cost savings in the quarter from the Company’s Realignment Plan as well as the higher revenue per tractor per week in the Company’s Dedicated division and the higher revenue miles per tractor in the Company’s OTR division, which were captured across a larger fleet size compared to the fourth quarter of 2021.

Mr. Fuller commented, “I am proud of the progress that our team made since we announced the Realignment Plan in early September. During the quarter, the rate pressure we experienced from our spot market exposure more than offset the operational progress we made. It’s important to highlight that had spot rates been at parity with contracted rates, we would have generated an additional approximately $26 million in operating income in the quarter. The team is working with an extreme sense of urgency to reduce our spot market exposure and I expect that this work combined with further improvements in our OTR utilization, and our lower fixed cost structure, will lead to incremental earnings as the market turns.”

Brokerage Segment

Quarter Ended December 31, Year Ending December 31,

 

2022

 

 

2021

 

 

2022

 

 

2021

 

Brokerage revenue

$

78,374

 

$

111,858

 

$

336,315

 

$

381,006

 

Purchased transportation

 

61,019

 

 

96,927

 

 

272,660

 

 

332,863

 

Other operating expenses

 

11,133

 

 

11,811

 

 

48,494

 

 

45,037

 

Operating income

$

6,222

 

$

3,120

 

$

15,161

 

$

3,106

 

Operating ratio

 

92.1

%

 

97.2

%

 

95.5

%

 

99.2

%

Load count

 

28,745

 

 

48,551

 

 

133,422

 

 

179,178

 

Brokerage revenue was $78.4 million, a decrease of 29.9% compared to the fourth quarter of 2021. The decrease in Brokerage revenue was driven by a 40.8% decrease in load count which more than offset the 18.3% increase in revenue per load compared to the fourth quarter of 2021. The year-over-year decline in load count was primarily due to an increase in allocation of available freight to the Company’s asset-based OTR fleet which increased by 15.1% compared to the fourth quarter of 2021.

Brokerage operating income was $6.2 million, an increase of 99.4% compared to the fourth quarter of 2021. This increase was due to the higher revenue per load and lower purchased transportation expense in the fourth quarter as compared to the fourth quarter of 2021.

Liquidity and Capital Allocation

At the end of the fourth quarter of 2022, the Company had $106.1 million of liquidity (defined as cash balances plus availability under the Company’s revolving credit facility), $481.9 million of net debt (defined as long-term debt, including current maturities less cash balances), and $242.3 million of stockholders’ equity.

For the full year 2022, capital expenditures, net of proceeds, were $153.1 million, and exclude equipment financed under operating leases.

For the full year 2023, the Company expects capital expenditures, net of proceeds to be less than $75.0 million while maintaining the average age of its fleet at less than 2.5 years and to exit 2023 with more liquidity than it had exiting 2022.

As a reminder, most of the Company’s annual capital expenditures relate to tractors and trailers, for which the Company generally uses a combination of loan financing agreements and finance lease arrangements to fund these acquisitions.

Outlook

Mr. Fuller commented, “We made tremendous progress in 2022 realigning our Truckload operations and getting back to the basics in our OTR division. This message has been well received by our customers, and while the freight market is currently challenging, we will continue to focus on execution, servicing our customers at a high level, and reducing our spot market exposure. We expect the benefits from these initiatives combined with the cost savings from our Realignment Plan to positively impact our financial results as the market turns.”

Conference Call Information

The Company will host a conference call and simultaneous webcast to discuss its fourth quarter 2022 financial and operating results on February 9, 2023, at 5:00 p.m. ET. The conference call can be accessed live by dialing 1-888-800-8518 or, for international callers, 1-646-307-1863 and asking to be joined to the US Xpress Fourth Quarter 2022 Earnings Conference Call. The simultaneous webcast can be accessed on the Investor Relations website at investor.usxpress.com.

Supplemental Financial Information

Additional information regarding the Company’s operating results is provided below as well as on the Company’s investor page at investor.usxpress.com.

(1) Non-GAAP Financial Measures

In addition to our net income determined in accordance with U.S. generally accepted accounting principles (‘‘GAAP’’), we evaluate operating performance using certain non-GAAP measures, including Adjusted Operating Ratio, Adjusted Operating Income (Loss), Adjusted Net Income (Loss) Attributable to Controlling Interest, and Adjusted EPS (on a consolidated and, as applicable, segment basis). Management believes the use of non-GAAP measures assists investors and securities analysts in understanding the ongoing operating performance of our business by allowing more effective comparison between periods. Further, management uses non-GAAP Adjusted Operating Ratio, Adjusted Operating Income (Loss), Adjusted Net Income (Loss) Attributable to Controlling Interest, and Adjusted EPS measures on a supplemental basis to remove items that may not be an indicator of performance from period-to-period. In addition, management uses net debt, defined as long-term debt, including current maturities less cash balance. Management uses this metric to monitor the Company’s financial leverage and believes it is useful to investors and securities analysts as it provides insight into our financial strength. The non-GAAP information provided is used by our management and may not be comparable to similar measures disclosed by other companies. The non-GAAP measures used herein have limitations as analytical tools and should not be considered measures of income generated by our business or discretionary cash available to us to invest in the growth of our business. You should not consider the non-GAAP measures used herein in isolation or as substitutes for analysis of our results as reported under GAAP. Management compensates for these limitations by relying primarily on GAAP results and using non-GAAP financial measures on a supplemental basis.

Non-GAAP Reconciliation - Adjusted Operating Income and Adjusted Operating Ratio (unaudited)   Quarter Ended December 31, Year Ending December 31, (in thousands)

 

2022

 

 

2021

 

 

2022

 

 

2021

 

GAAP Presentation: Total revenue

$

542,451

 

$

531,605

 

$

2,161,170

 

$

1,948,526

 

Total operating expenses

 

(548,119

)

 

(536,715

)

 

(2,183,320

)

 

(1,930,097

)

Operating income (loss)

$

(5,668

)

$

(5,110

)

$

(22,150

)

$

18,429

 

Operating ratio

 

101.0

%

 

101.0

%

 

101.0

%

 

99.1

%

  Non-GAAP Presentation Total revenue

$

542,451

 

$

531,605

 

$

2,161,170

 

$

1,948,526

 

Fuel surcharge

 

(67,242

)

 

(44,325

)

 

(265,021

)

 

(154,248

)

Revenue, excluding fuel surcharge

 

475,209

 

 

487,280

 

 

1,896,149

 

 

1,794,278

 

  Total operating expenses

 

548,119

 

 

536,715

 

 

2,183,320

 

 

1,930,097

 

Adjusted for: Fuel surcharge

 

(67,242

)

 

(44,325

)

 

(265,021

)

 

(154,248

)

Impairment charges1

 

-

 

 

(4,334

)

 

(4,218

)

 

(4,334

)

Gain on sale of terminal2

 

-

 

 

-

 

 

4,002

 

 

-

 

Adjusted operating expenses

 

480,877

 

 

488,056

 

 

1,918,083

 

 

1,771,515

 

Adjusted operating income (loss)

$

(5,668

)

$

(776

)

$

(21,934

)

$

22,763

 

Adjusted operating ratio

 

101.2

%

 

100.2

%

 

101.2

%

 

98.7

%

  1During the first and third quarter of 2022, we incurred a non-cash adjustment due to the write off of obsolete technology 2During the second quarter of 2022, we recognized a gain of $4,002 on sale of terminal which was leased to a former subsidiary Non-GAAP Reconciliation - Truckload Adjusted Operating Income and Adjusted Operating Ratio (unaudited)   Quarter Ended December 31, Year Ending December 31, (in thousands)

 

2022

 

 

2021

 

 

2022

 

 

2021

 

Truckload GAAP Presentation: Total Truckload revenue

$

464,077

 

$

419,747

 

$

1,824,855

 

$

1,567,520

 

Total Truckload operating expenses

 

(475,967

)

 

(427,977

)

 

(1,862,166

)

 

(1,552,197

)

Truckload operating income (loss)

$

(11,890

)

$

(8,230

)

$

(37,311

)

$

15,323

 

Truckload operating ratio

 

102.6

%

 

102.0

%

 

102.0

%

 

99.0

%

  Truckload Non-GAAP Presentation Total Truckload revenue

$

464,077

 

$

419,747

 

$

1,824,855

 

$

1,567,520

 

Fuel surcharge

 

(67,242

)

 

(44,325

)

 

(265,021

)

 

(154,248

)

Revenue, excluding fuel surcharge

 

396,835

 

 

375,422

 

 

1,559,834

 

 

1,413,272

 

  Total Truckload operating expenses

 

475,967

 

 

427,977

 

 

1,862,166

 

 

1,552,197

 

Adjusted for: Fuel surcharge

 

(67,242

)

 

(44,325

)

 

(265,021

)

 

(154,248

)

Impairment charges1

 

-

 

 

(4,334

)

 

(3,376

)

 

(4,334

)

Gain on sale of terminal2

 

-

 

 

-

 

 

4,002

 

 

-

 

Truckload Adjusted operating expenses

 

408,725

 

 

379,318

 

 

1,597,771

 

 

1,393,615

 

Truckload Adjusted operating income (loss)

$

(11,890

)

$

(3,896

)

$

(37,937

)

$

19,657

 

Truckload Adjusted operating ratio

 

103.0

%

 

101.0

%

 

102.4

%

 

98.6

%

  1During the first and third quarter of 2022, we incurred a non-cash adjustment due to the write off of obsolete technology 2During the second quarter of 2022, we recognized a gain of $4,002 on sale of terminal which was leased to a former subsidiary Non-GAAP Reconciliation - Adjusted Net Income and EPS (unaudited)   Quarter Ended December 31, Year Ending December 31, (in thousands, except per share data)

 

2022

 

 

2021

 

 

2022

 

 

2021

 

GAAP: Net income (loss) attributable to controlling interest

$

(11,211

)

$

(5,286

)

$

(40,457

)

$

10,870

 

Adjusted for: Income tax provision (benefit)

 

(3,323

)

 

(4,299

)

 

(13,179

)

 

433

 

Income (loss) before income taxes attributable to controlling interest

$

(14,534

)

$

(9,585

)

$

(53,636

)

$

11,303

 

Unrealized loss (gain) on equity investment1

 

2,107

 

 

452

 

 

12,096

 

 

(7,677

)

Gain on sale of terminal2

 

-

 

 

-

 

 

(4,002

)

 

-

 

Gain on sale of equity method investment3

 

-

 

 

-

 

 

(1,258

)

 

-

 

Impairment charges4

 

-

 

 

4,334

 

 

4,218

 

 

4,334

 

Adjusted income (loss) before income taxes

 

(12,427

)

 

(4,799

)

 

(42,582

)

 

7,960

 

Adjusted income tax (benefit)

 

(3,266

)

 

(2,804

)

 

(10,432

)

 

(198

)

Non-GAAP: Adjusted net income (loss) attributable to controlling interest

$

(9,161

)

$

(1,995

)

$

(32,150

)

$

8,158

 

  GAAP: Earnings (losses) per diluted share

$

(0.22

)

$

(0.10

)

$

(0.79

)

$

0.21

 

Adjusted for: Income tax expense attributable to controlling interest

 

(0.06

)

 

(0.09

)

 

(0.26

)

 

0.01

 

Income (loss) before income taxes attributable to controlling interest

$

(0.28

)

$

(0.19

)

$

(1.05

)

$

0.22

 

Unrealized loss (gain) on equity investment1

 

0.04

 

 

0.01

 

 

0.24

 

 

(0.15

)

Gain on sale of terminal2

 

-

 

 

-

 

 

(0.08

)

 

-

 

Gain on sale of equity method investment3

 

-

 

 

-

 

 

(0.02

)

 

-

 

Impairment charges4

 

-

 

 

0.09

 

 

0.08

 

 

0.08

 

Adjusted income (loss) before income taxes

 

(0.24

)

 

(0.09

)

 

(0.83

)

 

0.15

 

Adjusted income tax (benefit)

 

(0.06

)

 

(0.05

)

 

(0.20

)

 

(0.01

)

Non-GAAP: Adjusted earnings (losses) per diluted share attributable to controlling interest

$

(0.18

)

$

(0.04

)

$

(0.63

)

$

0.16

 

  1During 2022 and 2021, we recognized an unrealized loss (gain) on a strategic equity investment 2During the second quarter of 2022, we recognized a gain of $4,002 on sale of terminal which was leased to a former subsidiary 3During the first quarter of 2022, we incurred a gain on sale related to an equity method investment in a former wholly owned subsidiary of $1,258 4During the first and third quarter of 2022, we incurred a non-cash adjustment due to the write off of obsolete technology

Forward-Looking Statements

This press release contains certain statements that may be considered forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and such statements are subject to the safe harbor created by those sections and the Private Securities Litigation Reform Act of 1995, as amended. Such statements may be identified by their use of terms or phrases such as "expects," "estimates," "projects," "believes," "anticipates," "plans," "intends," “outlook,” “strategy,” “optimistic,” “will,” “could,” “should,” “may,” “focus,” “seek,” “potential,” “continue,” “goal,” “target,” “objective,” derivations thereof, and similar terms and phrases. In this press release, such statements may include, but are not limited to, statements in the "Outlook" section, statements regarding the freight environment, future utilization, the expected impact of the Company’s realignment plan, the Company’s spot market exposure, cost structure, Truckload operations and OTR division, and any other statements concerning: any projections of earnings, revenues, cash flows, capital expenditures, compliance with financial covenants, or other financial items; any statement of plans, strategies, or objectives for future operations; any statements regarding future economic or industry conditions or performance; and any statements of belief and any statements of assumptions underlying any of the foregoing. Forward-looking statements are based upon the current beliefs and expectations of our management and are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified, which could cause future events and actual results to differ materially from those set forth in, contemplated by, or underlying the forward-looking statements. The following factors, among others, could cause actual results to differ materially from those in the forward-looking statements: general economic conditions, including inflation and consumer spending; political conditions and regulations, including future changes thereto; changes in tax laws or in their interpretations and changes in tax rates; future insurance premiums and claims experience, including adverse changes in claims experience and loss development factors, or additional changes in management's estimates of liability based upon such experience and development factors that cause our expectations of insurance premiums and claims expense to be inaccurate or otherwise impacts our results; impact of pending or future legal proceedings; future market for used revenue equipment and real estate; future revenue equipment prices and availability; future capital expenditures, including equipment purchasing and leasing plans and equipment turnover (including expected trade-ins); fleet age; future depreciation and amortization; changes in management’s estimates of the need for new tractors and trailers; future ability to generate sufficient cash from operations and obtain financing on favorable terms to meet our significant ongoing capital requirements; our ability to maintain compliance with the provisions of our credit agreement; freight environment, including freight demand, rates, capacity, and volumes; future asset utilization; loss of one or more of our major customers; our ability to renew dedicated service offering contracts on the terms and schedule we expect; surplus inventories, recessionary economic cycles, and downturns in customers' business cycles; strikes, work slowdowns, or work stoppages at the Company, customers, ports, or other shipping related facilities; increases or rapid fluctuations in fuel prices, as well as fluctuations in surcharge collection, including, but not limited to, changes in customer fuel surcharge policies and increases in fuel surcharge bases by customers; interest rates, fuel taxes, tolls, and license and registration fees; increases in compensation for and difficulty in attracting and retaining qualified professional drivers and independent contractors; independent contractors we contract could be deemed by regulators or the judicial process to be employees; seasonal factors such as harsh weather conditions that increase operating costs; competition from trucking, rail, intermodal, and brokerage (including digital brokerage) competitors; changes in regulatory requirements that increase costs, decrease efficiency, or reduce the availability of drivers; safety-related evaluations and rankings under the Federal Motor Carrier Safety Administration’s Compliance, Safety, Accountability program; increasing attention on environmental, social and governance matters; future safety performance; our ability to reduce, or control increases in, operating costs; future third-party service provider relationships and availability; execution of the Company’s current business strategy or changes in the Company’s business strategy; the ability of the Company’s infrastructure to support future organic or inorganic growth; our ability to identify acceptable acquisition candidates, consummate acquisitions, and integrate acquired operations; our ability to adapt to changing market conditions and technologies, including the future use of autonomous tractors; disruptions to our information technology; the cost of and our ability to effectively and efficiently implement technology initiatives; costs, diversion of management’s attention, and potential payments made in connection with the multiple class action lawsuits a stockholder derivative lawsuit arising out of our IPO; credit, reputational and relationship risks of certain of our current and former equity investments; the dual class structure of our common stock has the effect of concentrating voting control with certain members of the Fuller and Quinn families, which limits or precludes the ability of other stockholders to influence corporate matters; our ability to maintain effective internal controls without material weaknesses; and the impact of the coronavirus outbreak or other similar outbreaks. Readers should review and consider these factors along with the various disclosures by the Company in its press releases, stockholder reports, and filings with the Securities and Exchange Commission. We disclaim any obligation to update or revise any forward-looking statements to reflect actual results or changes in the factors affecting the forward-looking information.

About U.S. Xpress

Through its subsidiaries, U.S. Xpress Enterprises, Inc. offers customers over-the-road, dedicated, and brokerage services. Founded in 1985, the Company utilizes a combination of smart technology, a modern fleet of tractors and a network of highly trained, professional drivers to efficiently move freight for a wide variety of customers. U.S. Xpress implements a range of digital initiatives and technology to drive innovation in the industry, streamline the value chain for customers and improve the overall driver experience.

Condensed Consolidated Income Statements (unaudited) Quarter Ended December 31, Year Ending December 31, (in thousands, except per share data)

 

2022

 

 

2021

 

 

2022

 

 

2021

 

Operating Revenue: Revenue, excluding fuel surcharge

$

475,209

 

$

487,280

 

$

1,896,149

 

$

1,794,278

 

Fuel surcharge

 

67,242

 

 

44,325

 

 

265,021

 

 

154,248

 

Total operating revenue

 

542,451

 

 

531,605

 

 

2,161,170

 

 

1,948,526

 

Operating Expenses: Salaries, wages and benefits

 

187,432

 

 

174,538

 

 

726,308

 

 

619,983

 

Fuel and fuel taxes

 

87,335

 

 

51,973

 

 

328,037

 

 

182,875

 

Vehicle rents

 

29,254

 

 

24,375

 

 

104,121

 

 

90,085

 

Depreciation and amortization, net of (gain) loss

 

25,456

 

 

16,880

 

 

82,289

 

 

81,976

 

Purchased transportation

 

118,710

 

 

175,969

 

 

533,014

 

 

634,271

 

Operating expense and supplies

 

47,822

 

 

42,138

 

 

191,654

 

 

147,779

 

Insurance premiums and claims

 

28,283

 

 

24,424

 

 

115,735

 

 

83,376

 

Operating taxes and licenses

 

3,883

 

 

4,297

 

 

15,663

 

 

14,490

 

Communications and utilities

 

3,741

 

 

4,610

 

 

14,856

 

 

12,639

 

General and other operating

 

16,203

 

 

17,511

 

 

71,643

 

 

62,623

 

Total operating expenses

 

548,119

 

 

536,715

 

 

2,183,320

 

 

1,930,097

 

Operating Income (Loss)

 

(5,668

)

 

(5,110

)

 

(22,150

)

 

18,429

 

Other Expenses (Income): Interest expense, net

 

6,073

 

 

3,716

 

 

19,054

 

 

14,532

 

Other, net

 

2,107

 

 

452

 

 

10,838

 

 

(7,677

)

 

8,180

 

 

4,168

 

 

29,892

 

 

6,855

 

Income (Loss) Before Income Taxes

 

(13,848

)

 

(9,278

)

 

(52,042

)

 

11,574

 

Income Tax Provision (Benefit)

 

(3,323

)

 

(4,299

)

 

(13,179

)

 

433

 

Net Income (Loss)

 

(10,525

)

 

(4,979

)

 

(38,863

)

 

11,141

 

Net Income attributable to non-controlling interest

 

686

 

 

307

 

 

1,594

 

 

271

 

Net Income (Loss) attributable to controlling interest

$

(11,211

)

$

(5,286

)

$

(40,457

)

$

10,870

 

  Income (Loss) Per Share Basic earnings (losses) per share

$

(0.22

)

$

(0.10

)

$

(0.79

)

$

0.22

 

Basic weighted average shares outstanding

 

51,602

 

 

50,598

 

 

51,311

 

 

50,370

 

Diluted earnings (losses) per share

$

(0.22

)

$

(0.10

)

$

(0.79

)

$

0.21

 

Diluted weighted average shares outstanding

 

51,602

 

 

50,598

 

 

51,311

 

 

52,167

 

  Condensed Consolidated Balance Sheets (unaudited) December 31, December 31, (in thousands)

 

2022

 

 

2021

 

Assets Current assets: Cash and cash equivalents

$

2,275

 

$

5,695

 

Customer receivables, net of allowance of $990 and $11, respectively

 

222,794

 

 

231,687

 

Other receivables

 

17,676

 

 

18,046

 

Prepaid insurance and licenses

 

13,847

 

 

13,867

 

Operating supplies

 

8,410

 

 

9,550

 

Assets held for sale

 

25,759

 

 

11,831

 

Other current assets

 

46,642

 

 

32,020

 

Total current assets

 

337,403

 

 

322,696

 

Property and equipment, at cost

 

980,607

 

 

890,933

 

Less accumulated depreciation and amortization

 

(397,806

)

 

(370,112

)

Net property and equipment

 

582,801

 

 

520,821

 

Other assets: Operating lease right-of-use assets

 

333,498

 

 

292,347

 

Goodwill

 

59,221

 

 

59,221

 

Intangible assets, net

 

23,784

 

 

24,129

 

Other

 

44,758

 

 

50,829

 

Total other assets

 

461,261

 

 

426,526

 

Total assets

$

1,381,465

 

$

1,270,043

 

Liabilities and Stockholders' Equity Current liabilities: Accounts payable

$

111,222

 

$

126,910

 

Book overdraft

 

4,213

 

 

7,096

 

Accrued wages and benefits

 

35,457

 

 

45,011

 

Claims and insurance accruals

 

73,372

 

 

44,309

 

Other accrued liabilities

 

8,703

 

 

5,962

 

Current portion of operating leases

 

105,078

 

 

88,375

 

Current maturities of long-term debt and finance leases

 

124,033

 

 

85,117

 

Total current liabilities

 

462,078

 

 

402,780

 

Long-term debt and finance leases, net of current maturities

 

360,175

 

 

290,392

 

Less debt issuance costs

 

(310

)

 

(357

)

Net long-term debt and finance leases

 

359,865

 

 

290,035

 

Deferred income taxes

 

9,718

 

 

24,301

 

Other long-term liabilities

 

22,878

 

 

14,457

 

Claims and insurance accruals, long-term

 

50,825

 

 

54,819

 

Noncurrent operating lease liability

 

230,505

 

 

205,362

 

Commitments and contingencies

 

-

 

 

-

 

Stockholders' Equity: Common stock

 

515

 

 

505

 

Additional paid-in capital

 

273,781

 

 

267,621

 

Retained earnings (deficit)

 

(32,017

)

 

8,440

 

Stockholders' equity

 

242,279

 

 

276,566

 

Noncontrolling interest

 

3,317

 

 

1,723

 

Total stockholders' equity

 

245,596

 

 

278,289

 

Total liabilities and stockholders' equity

$

1,381,465

 

$

1,270,043

 

  Condensed Consolidated Cash Flow Statements (unaudited) Year Ending December 31, (in thousands)

 

2022

 

 

2021

 

Operating activities Net income (loss)

$

(38,863

)

$

11,141

 

Adjustments to reconcile net income (loss) to net cash provided by operating activities: Deferred income tax benefit

 

(14,583

)

 

(861

)

Depreciation and amortization

 

82,756

 

 

82,975

 

Gains on sale of property and equipment

 

(467

)

 

(999

)

Share based compensation

 

5,287

 

 

6,244

 

Other

 

332

 

 

684

 

Unrealized loss (gain) on investment

 

12,096

 

 

(7,677

)

Changes in operating assets and liabilities Receivables

 

6,839

 

 

(38,556

)

Prepaid insurance and licenses

 

99

 

 

398

 

Operating supplies

 

1,234

 

 

(465

)

Other assets

 

(149

)

 

(20,578

)

Accounts payable and other accrued liabilities

 

(1,564

)

 

41,345

 

Accrued wages and benefits

 

(9,553

)

 

4,916

 

Net cash provided by operating activities

 

43,464

 

 

78,567

 

Investing activities Payments for purchases of property and equipment

 

(199,134

)

 

(192,366

)

Proceeds from sales of property and equipment

 

46,020

 

 

95,369

 

Net cash used in investing activities

 

(153,114

)

 

(96,997

)

Financing activities Borrowings under lines of credit

 

494,196

 

 

334,512

 

Payments under lines of credit

 

(421,896

)

 

(310,612

)

Borrowings under long-term debt

 

130,336

 

 

124,721

 

Payments of long-term debt and finance leases

 

(95,054

)

 

(137,661

)

Payments of financing costs

 

-

 

 

(100

)

Tax withholding related to net share settlement of restricted stock awards

 

(440

)

 

(1,237

)

Proceeds from long-term consideration for sale of subsidiary

 

648

 

 

617

 

Proceeds from issuance of common stock under ESPP

 

1,323

 

 

1,284

 

Book overdraft

 

(2,883

)

 

7,096

 

Net cash provided by financing activities

 

106,230

 

 

18,620

 

Net change in cash and cash equivalents

 

(3,420

)

 

190

 

Cash and cash equivalents Beginning of year

 

5,695

 

 

5,505

 

End of period

$

2,275

 

$

5,695

 

  Truckload Statistics (unaudited)   Quarter Ended December 31, % Year Ending December 31, %

 

2022

 

2021

Change

 

2022

 

2021

Change

Over-the-road (OTR) Average revenue per tractor per week1

$

3,638

$

3,610

0.8

%

$

3,808

$

3,732

2.0

%

Average revenue per mile1

$

2.417

$

2.481

(2.6

%)

$

2.492

$

2.333

6.8

%

Average revenue miles per tractor per week

 

1,505

 

1,455

3.4

%

 

1,528

 

1,600

(4.5

%)

Average tractors

 

4,160

 

3,614

15.1

%

 

3,858

 

3,442

12.1

%

  Dedicated Average revenue per tractor per week1

$

4,792

$

4,617

3.8

%

$

4,823

$

4,359

10.6

%

Average revenue per mile1

$

3.022

$

2.714

11.3

%

$

2.926

$

2.518

16.2

%

Average revenue miles per tractor per week

 

1,586

 

1,701

(6.8

%)

 

1,648

 

1,731

(4.8

%)

Average tractors

 

2,812

 

2,533

11.0

%

 

2,696

 

2,564

5.1

%

  Consolidated Average revenue per tractor per week1

$

4,104

$

4,025

2.0

%

$

4,225

$

4,000

5.6

%

Average revenue per mile1

$

2.669

$

2.586

3.2

%

$

2.679

$

2.416

10.9

%

Average revenue miles per tractor per week

 

1,538

 

1,556

(1.2

%)

 

1,577

 

1,656

(4.8

%)

Average tractors

 

6,972

 

6,147

13.4

%

 

6,553

 

6,006

9.1

%

  Average tractors - Company owned

 

6,077

 

5,066

20.0

%

 

5,605

 

4,731

18.5

%

Owner operators

 

895

 

1,081

(17.2

%)

 

948

 

1,275

(25.6

%)

Total average tractors

 

6,972

 

6,147

13.4

%

 

6,553

 

6,006

9.1

%

  Miles driven - Total company miles

 

132,990

 

114,713

15.9

%

 

503,250

 

450,493

11.7

%

Total independent contractor miles

 

21,922

 

26,459

(17.1

%)

 

93,635

 

127,596

(26.6

%)

Total miles

 

154,912

 

141,172

9.7

%

 

596,885

 

578,089

3.3

%

  Independent contractor fuel surcharge

$

10,799

$

8,420

28.3

%

$

44,972

$

32,503

38.4

%

1 Excluding fuel surcharge revenues

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20230209005165/en/

Investor Contact Matt Garvie Vice President, Investor Relations (423)-633-7153 mgarvie@usxpress.com