We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
ZTO Express (ZTO) Shares Up 6.1% Since Q2 Earnings Release
Read MoreHide Full Article
ZTO Express’ (ZTO - Free Report) ) shares gained 6.1% since its second-quarter 2024 earnings release on Aug 20. Quarterly earnings of 47 cents per share improved year over year. Total revenues of $1.47 billion improved year over year.
Detailed Operational Statistics
Revenues from the core express delivery business improved 10.4% year over year, owing to 10.1% growth of parcel volume and stable parcel unit price. KA revenues, including delivery fees from direct sales organizations established to serve core express KA customers, increased 73.9% as the proportion of higher-value customers continued to increase.
Revenues from freight forwarding services fell 2.4% year over year.
Revenues from sales of accessories, largely consisting of sales of thermal paper used for digital waybills' printing, rose 24.1% year over year. Other revenues were mainly derived from financing services.
ZTO Express (Cayman) Inc. Price, Consensus and EPS Surprise
Gross profit improved 9.6% from the year-ago reported quarter on the back of revenue growth and cost productivity gain. Gross margin rate fell to 33.8% from 33.9% in the year-ago period.
Total operating expenses came in at RMB 405.3 million ($55.8 million) compared with RMB 425.7 million in the year-ago period.
ZTO Express exited the second quarter of 2024 with cash and cash equivalents of RMB 10.54 billion compared with RMB 12.58 billion at the first-quarter end.
2024 Guidance
ZTO Express continues to expect parcel volumes for 2024 in the range of 34.73-35.64 billion. The guidance represents an increase of 15-18% year over year.
Over the past six months, shares of ZTO have gained 8.2%, outperforming the industry’s rise of 1%.
Image Source: Zacks Investment Research
Performances of Other Transportation Companies
Delta Air Lines (DAL - Free Report) reported second-quarter 2024 earnings (excluding 35 cents from non-recurring items) of $2.36 per share, which marginally missed the Zacks Consensus Estimate of $2.37. Earnings decreased 11.9% on a year-over-year basis. Apart from high costs, the carrier blamed the discounting pressure at the low end of the market, which hurt its pricing power, for the disappointing performance.
Revenues of $16.65 billion surpassed the Zacks Consensus Estimate of $16.25 billion and increased 6.9% year over year, driven by upbeat air travel demand. Adjusted operating revenues (excluding third-party refinery sales) came in at $15.41 billion, up 5.4% year over year.
J.B. Hunt Transport Services, Inc. (JBHT - Free Report) reported disappointing second-quarter 2024 results wherein both earnings and revenues lagged the Zacks Consensus Estimate.
JBHT’s earnings of $1.32 per share missed the Zacks Consensus Estimate of $1.51 and declined 27% year over year.
JBHT’s total operating revenues of $2.93 billion missed the Zacks Consensus Estimate of $3.03 billion and fell 7% year over year. Total operating revenues, excluding fuel surcharge revenue, fell 6% year over year. The downfall was owing to a 5% decrease in gross revenue per load in Intermodal (JBI) and a decline in load volume of 25% in Integrated Capacity Solutions (ICS), 9% in Truckload (JBT), and 9% in Dedicated Contract Services (DCS). These were partially offset by the 5% revenue growth of Final Mile Services (FMS), primarily driven by new contracts implemented over the past year, and a 5% increase in revenue per load in ICS.
United Airlines Holdings, Inc. (UAL - Free Report) reported second-quarter 2024 earnings per share (excluding 18 cents from non-recurring items) of $4.14, which surpassed the Zacks Consensus Estimate of $3.97. Earnings decreased 17.7% on a year-over-year basis.
Operating revenues of $14.98 billion missed the Zacks Consensus Estimate of $15.13 billion. The top line increased 5.7% year over year due to upbeat air-travel demand. This was driven by a 5.2% rise in passenger revenues (which accounted for 91.2% of the top line) to $13.680 billion. Almost 44,375 passengers traveled on UAL flights in the second quarter, up 5.8% year over year.
See More Zacks Research for These Tickers
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
ZTO Express (ZTO) Shares Up 6.1% Since Q2 Earnings Release
ZTO Express’ (ZTO - Free Report) ) shares gained 6.1% since its second-quarter 2024 earnings release on Aug 20. Quarterly earnings of 47 cents per share improved year over year. Total revenues of $1.47 billion improved year over year.
Detailed Operational Statistics
Revenues from the core express delivery business improved 10.4% year over year, owing to 10.1% growth of parcel volume and stable parcel unit price. KA revenues, including delivery fees from direct sales organizations established to serve core express KA customers, increased 73.9% as the proportion of higher-value customers continued to increase.
Revenues from freight forwarding services fell 2.4% year over year.
Revenues from sales of accessories, largely consisting of sales of thermal paper used for digital waybills' printing, rose 24.1% year over year. Other revenues were mainly derived from financing services.
ZTO Express (Cayman) Inc. Price, Consensus and EPS Surprise
ZTO Express (Cayman) Inc. price-consensus-eps-surprise-chart | ZTO Express (Cayman) Inc. Quote
Gross profit improved 9.6% from the year-ago reported quarter on the back of revenue growth and cost productivity gain. Gross margin rate fell to 33.8% from 33.9% in the year-ago period.
Total operating expenses came in at RMB 405.3 million ($55.8 million) compared with RMB 425.7 million in the year-ago period.
ZTO Express exited the second quarter of 2024 with cash and cash equivalents of RMB 10.54 billion compared with RMB 12.58 billion at the first-quarter end.
2024 Guidance
ZTO Express continues to expect parcel volumes for 2024 in the range of 34.73-35.64 billion. The guidance represents an increase of 15-18% year over year.
Zacks Rank and Price Performance
Currently, ZTO Express carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Over the past six months, shares of ZTO have gained 8.2%, outperforming the industry’s rise of 1%.
Image Source: Zacks Investment Research
Performances of Other Transportation Companies
Delta Air Lines (DAL - Free Report) reported second-quarter 2024 earnings (excluding 35 cents from non-recurring items) of $2.36 per share, which marginally missed the Zacks Consensus Estimate of $2.37. Earnings decreased 11.9% on a year-over-year basis. Apart from high costs, the carrier blamed the discounting pressure at the low end of the market, which hurt its pricing power, for the disappointing performance.
Revenues of $16.65 billion surpassed the Zacks Consensus Estimate of $16.25 billion and increased 6.9% year over year, driven by upbeat air travel demand. Adjusted operating revenues (excluding third-party refinery sales) came in at $15.41 billion, up 5.4% year over year.
J.B. Hunt Transport Services, Inc. (JBHT - Free Report) reported disappointing second-quarter 2024 results wherein both earnings and revenues lagged the Zacks Consensus Estimate.
JBHT’s earnings of $1.32 per share missed the Zacks Consensus Estimate of $1.51 and declined 27% year over year.
JBHT’s total operating revenues of $2.93 billion missed the Zacks Consensus Estimate of $3.03 billion and fell 7% year over year. Total operating revenues, excluding fuel surcharge revenue, fell 6% year over year. The downfall was owing to a 5% decrease in gross revenue per load in Intermodal (JBI) and a decline in load volume of 25% in Integrated Capacity Solutions (ICS), 9% in Truckload (JBT), and 9% in Dedicated Contract Services (DCS). These were partially offset by the 5% revenue growth of Final Mile Services (FMS), primarily driven by new contracts implemented over the past year, and a 5% increase in revenue per load in ICS.
United Airlines Holdings, Inc. (UAL - Free Report) reported second-quarter 2024 earnings per share (excluding 18 cents from non-recurring items) of $4.14, which surpassed the Zacks Consensus Estimate of $3.97. Earnings decreased 17.7% on a year-over-year basis.
Operating revenues of $14.98 billion missed the Zacks Consensus Estimate of $15.13 billion. The top line increased 5.7% year over year due to upbeat air-travel demand. This was driven by a 5.2% rise in passenger revenues (which accounted for 91.2% of the top line) to $13.680 billion. Almost 44,375 passengers traveled on UAL flights in the second quarter, up 5.8% year over year.