Hub Group’s 1Q ups profits

May 11, 2004
Third party logistics firm the Hub Group more than doubled its first quarter net income versus the same quarter in 2003, with much of that gain coming from the company’s logistics division.

Third party logistics firm the Hub Group more than doubled its first quarter net income versus the same quarter in 2003, with much of that gain coming from the company’s logistics division.

IL-based Hub said net income reached $2.7 million on total revenue of $328.3 million in the first quarter, compared to net income of $1.4 million on revenue of $329.3 million in the same period last year.

Transportation-related revenue -- generated by Hub’s intermodal, truckload brokerage and logistics business units -- increased 2.4% or $7.4 million in the first quarter compared to the same quarter of 2003. Intermodal revenue increased 1.1% to $230.5 million due primarily to an increase in volume, with truckload brokerage revenue increasing 0.7% to $51 million because of an increase in revenue per load.

Logistics revenue increased 12.5% to $39.7 million due primarily to an increase in volume. Finally, Hub Group Distribution Services (HGDS) revenue decreased 54.1% to $7.1 million in 2004 from $15.5 million in 2003 citing lower installation business.