Universal Logistics Holdings, Inc. Reports Second Quarter 2025 Financial Results; Declares Dividend

Second Quarter 2025 Operating Revenues: $393.8 million, down 14.8% Second Quarter 2025 Operating Income: $19.9 million, down $27.2 million Second Quarter 2025 Earnings Per Share: $0.32 per share, down $0.85 per share Declares Quarterly Dividend: $0.105 per share , /PRNewswire/ -- Universal Logistics Holdings, Inc. (NASDAQ: ULH) today reported consolidated second quarter 2025 net income of $8.3 million, or $0.32 per basic and diluted share, on total operating revenues of $393.8 million. This compares to net income of $30.7 million, or $1.17 per basic and diluted share, during the second quarter 2024 on total operating revenues of $462.2 million. In the second quarter 2025, Universal's operating income decreased $27.2 million to $19.9 million, compared to $47.1 million in the second quarter one year earlier. As a percentage of operating revenue, operating margin for the second quarter 2025 was 5.1%, compared to 10.2% during the same period last year. EBITDA, a non-GAAP measure, decreased $28.6 million during the second quarter 2025 to $56.2 million, compared to $84.8 million one year earlier. As a percentage of operating revenue, EBITDA margin for the second quarter 2025 was 14.3%, compared to 18.4% during the same period last year. "Universal's results for the second quarter, although muted, were broadly in-line with our previously guided expectations," stated Tim Phillips, Universal's CEO. "Our contract logistics segment continues to deliver solid results and demonstrates the strategic advantage of Universal's diverse service offerings. Our trucking segment also performed well, sequentially growing their results on both the top and bottom lines. While our intermodal franchise continues to underperform, we are making progress on our profitability initiatives, narrowing our losses on a quarter-over-quarter basis. As we continue to navigate a persistently weak freight backdrop, we remain committed to delivering exceptional service to our customers and making strategic investments to drive our long-term growth initiatives." Segment Information: Contract Logistics Second Quarter 2025 Operating Revenues: $260.6 million, 1.1% decrease Second Quarter 2025 Operating Income: $21.8 million, 8.4% operating margin In the contract logistics segment, which includes our value-added and dedicated services, operating revenues decreased 1.1% to $260.6 million, compared to $263.6 million for the same period last year. This segment's operating revenues in the quarter included $55.0 million from the recent acquisition of Parsec, while its revenues in the same period last year included $44.6 million attributable to our specialty development project in Stanton, TN, which was completed last year. At the end of the second quarter 2025, we managed 87 value-added programs, including 20 rail terminal operations compared to a total of 68 programs at the end of the second quarter 2024. Included in this segment's revenues were also $7.3 million in separately identified fuel surcharges from dedicated transportation services, compared to $8.0 million during the same period last year. Second quarter 2025 income from operations decreased $31.1 million to $21.8 million, compared to $52.9 million during the same period last year. As a percentage of revenue, operating margin in the contract logistics segment for the quarter was 8.4%, compared to 20.1% during the same period last year. Intermodal Second Quarter 2025 Operating Revenues: $68.9 million, 13.5% decrease Second Quarter 2025 Operating (Loss): $(5.7) million, (8.2)% operating margin Operating revenues in the intermodal segment decreased 13.5% to $68.9 million in the second quarter, compared to $79.7 million for the same period last year. Included in intermodal segment revenues for the recently completed quarter were $8.2 million in separately identified fuel surcharges, compared to $10.9 million during the same period last year. Intermodal segment revenues also include other accessorial charges such as detention, demurrage and storage, which totaled $9.2 million during the quarter, compared to $8.1 million one year earlier. Load volumes declined 12.9%, while the average operating revenue per load, excluding fuel surcharges, improved slightly on a year-over-year basis. In the second quarter 2025, the intermodal segment experienced an operating loss of $(5.7) million compared to an operating loss of $(8.6) million during the same period last year. As a percentage of revenue, operating margin in the intermodal segment for the second quarter 2025 was (8.2)%, compared to (10.8)% one year earlier. Trucking Second Quarter 2025 Operating Revenues: $64.1 million, 29.9% decrease Second Quarter 2025 Operating Income: $3.3 million, 5.2% operating margin In the trucking segment, second quarter operating revenues decreased 29.9% to $64.1 million, compared to $91.4 million for the same period last year. This segment's quarterly revenues included $18.4 million of brokerage services this year, compared to $25.5 million during the same period last year. Also included in our trucking segment revenues for the quarter were $3.4 million in separately identified fuel surcharges, compared to $5.7 million in fuel surcharges during the same period last year. On a year-over-year basis, load volumes declined 22.6%, and the average operating revenue per load, excluding fuel surcharges, declined 8.9%. Income from operations in the second quarter decreased to $3.3 million compared to $4.4 million during the same period last year. As a percentage of revenue, operating margin in the trucking segment for the second quarter was 5.2% compared to 4.8% during the same period last year. Cash Dividend Universal Logistics Holdings, Inc. also announced today that its Board of Directors has declared a cash dividend of $0.105 per share of common stock. The dividend is payable to shareholders of record at the close of business on September 1, 2025 and is expected to be paid on October 1, 2025. Other Matters As of June 28, 2025, Universal held cash and cash equivalents totaling $24.3 million, and $9.9 million in marketable securities. Outstanding debt at the end of the second quarter 2025 was $798.6 million and capital expenditures totaled $84.3 million. Universal calculates and reports selected financial metrics not only for purposes of our lending arrangements but also in an effort to isolate and exclude the impact of non-operating expenses related to our corporate development activities. These statistics are described in more detail below in the section captioned "Non-GAAP Financial Measures." Conference call: We invite investors and analysts to our quarterly earnings conference call. Quarterly Earnings Conference Call Dial-in Details: Time: 10:00 a.m. Eastern Time Date: Friday, July 25, 2025 Call Toll Free: (800) 836-8184 International Dial-in: +1 (646) 357-8785 A replay of the conference call will be available through August 1, 2025, by calling (888) 660-6345 (toll free) or +1 (646) 517-4150 (toll) and using replay entry code 54416#. The call will also be available on investors.universallogistics.com. About Universal: Universal Logistics Holdings, Inc. ("Universal") is a holding company whose subsidiaries provide a variety of customized transportation and logistics solutions throughout the United States and in Mexico, Canada and Colombia. Our operating subsidiaries provide our customers with supply chain solutions that can be scaled to meet their changing demands. We offer our customers a broad array of services across their entire supply chain, including truckload, brokerage, intermodal, dedicated and value-added services. In this press release, the terms "us," "we," "our," or the "Company" refer to Universal and its consolidated subsidiaries. Forward Looking Statements Some of the statements contained in this press release might be considered forward-looking statements. These statements identify prospective information. Forward-looking statements can be identified by words such as: "expect," "anticipate," "intend," "plan," "goal," "prospect," "seek," "believe," "targets," "project," "estimate," "future," "likely," "may," "should" and similar references to future periods. Forward-looking statements are based on information available at the time and/or management's good faith belief with respect to future events and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in the statements. These forward-looking statements are subject to a number of factors that may cause actual results to differ materially from the expectations described. Additional information about the factors that may adversely affect these forward-looking statements is contained in Universal's reports and filings with the Securities and Exchange Commission. Universal assumes no obligation to update forward-looking statements to reflect actual results, changes in assumptions or changes in other factors affecting forward-looking information except to the extent required by applicable securities laws. UNIVERSAL LOGISTICS HOLDINGS, INC. Unaudited Condensed Consolidated Statements of Income (In thousands, except per share data) ‌ Thirteen Weeks Ended Twenty-six Weeks Ended June 28, June 29, June 28, June 29, 2025 2024 2025 2024 Operating revenues: Truckload services $ 45,922 $ 66,876 $ 83,700 $ 108,906 Brokerage services 19,571 53,661 39,836 113,274 Intermodal services 67,745 78,069 136,199 154,784 Dedicated services 81,828 90,715 166,835 179,031 Value-added services 178,728 172,843 349,613 398,075 Total operating revenues 393,794 462,164 776,183 954,070 ‌ Operating expenses: Purchased transportation and equipment rent 81,508 137,295 161,251 261,928 Direct personnel and related benefits 168,032 135,495 332,533 276,300 Operating supplies and expenses 50,335 63,558 101,662 156,382 Commission expense 4,395 8,890 8,651 15,500 Occupancy expense 11,803 10,442 23,056 21,010 General and administrative 14,026 14,699 27,203 28,205 Insurance and claims 7,599 7,873 14,563 15,041 Depreciation and amortization 36,203 36,809 71,691 57,510 Total operating expenses 373,901 415,061 740,610 831,876 Income from operations 19,893 47,103 35,573 122,194 Interest expense, net (8,852) (6,883) (17,075) (12,962) Other non-operating income 149 898 727 2,003 Income before income taxes 11,190 41,118 19,225 111,235 Provision for income taxes 2,874 10,384 4,895 28,044 Net income $ 8,316 $ 30,734 $ 14,330 $ 83,191 ‌ Earnings per common share: Basic $ 0.32 $ 1.17 $ 0.54 $ 3.16 Diluted $ 0.32 $ 1.17 $ 0.54 $ 3.16 ‌ Weighted average number of common shares outstanding: Basic 26,331 26,317 26,325 26,312 Diluted 26,341 26,352 26,341 26,341 ‌ Dividends declared per common share: $ 0.105 $ 0.105 $ 0.210 $ 0.210 UNIVERSAL LOGISTICS HOLDINGS, INC. Unaudited Condensed Consolidated Balance Sheets (In thousands) ‌ June 28,2025 December 31, 2024 Assets Cash and cash equivalents $ 24,338 $ 19,351 Marketable securities 9,862 11,590 Accounts receivable - net 254,807 293,646 Other current assets 104,378 85,226 Total current assets 393,385 409,813 Property and equipment - net 814,780 742,366 Other long-term assets - net 701,542 634,658 Total assets $ 1,909,707 $ 1,786,837 ‌ Liabilities and shareholders' equity Current liabilities, excluding current maturities of debt $ 212,186 $ 215,756 Debt - net 795,487 759,085 Other long-term liabilities 248,341 164,973 Total liabilities 1,256,014 1,139,814 Total shareholders' equity 653,693 647,023 Total liabilities and shareholders' equity $ 1,909,707 $ 1,786,837 UNIVERSAL LOGISTICS HOLDINGS, INC. Unaudited Summary of Operating Data ‌ Thirteen Weeks Ended Twenty-six Weeks Ended June 28, June 29, June 28, June 29, 2025 2024 2025 2024 Contract Logistics Segment: Average number of value-added direct employees 7,407 5,230 7,329 5,355 Average number of value-added full-time equivalents 48 168 42 138 Number of active value-added programs 87 68 87 68 ‌ Intermodal Segment: Number of loads (a) 94,327 108,326 195,797 213,363 Average operating revenue per load, excluding fuel surcharges (a) $ 556 $ 555 $ 540 $ 560 Average number of tractors 1,392 1,605 1,396 1,646 Number of depots 8 8 8 8 ‌ Trucking Segment: Number of loads 31,451 40,620 60,073 82,311 Average operating revenue per load, excluding fuel surcharges $ 1,927 $ 2,115 $ 1,902 $ 1,808 Average number of tractors 602 800 617 808 Average length of haul 369 390 381 396 ‌ (a) Excludes operating data from freight forwarding division in order to improve the relevance of the statistical data related to our brokerage services and improve the comparability to our peer companies. UNIVERSAL LOGISTICS HOLDINGS, INC. Unaudited Summary of Operating Data - Continued (Dollars in thousands) ‌ Thirteen Weeks Ended Twenty-six Weeks Ended June 28, June 29, June 28, June 29, 2025 2024 2025 2024 Operating Revenues by Segment: Contract logistics $ 260,556 $ 263,558 $ 516,448 $ 577,106 Intermodal 68,914 79,654 139,610 158,017 Trucking 64,069 91,440 119,652 161,095 Other 255 27,512 473 57,852 Total $ 393,794 $ 462,164 $ 776,183 $ 954,070 ‌ Income from Operations by Segment: Contract logistics $ 21,770 $ 52,901 $ 45,629 $ 134,367 Intermodal (5,676) (8,639) (16,385) (16,931 Trucking 3,340 4,384 5,530 8,053 Other 459 (1,543) 799 (3,295 Total $ 19,893 $ 47,103 $ 35,573 $ 122,194 Non-GAAP Financial Measures In addition to providing consolidated financial statements based on generally accepted accounting principles in the United States of America (GAAP), we are providing additional financial measures that are not required by or prepared in accordance with GAAP (non-GAAP). We present EBITDA and EBITDA margin, each a non-GAAP measure, as supplemental measures of our performance. We define EBITDA as net income plus (i) interest expense, net, (ii) income taxes, (iii) depreciation, and (iv) amortization. We define EBITDA margin as EBITDA as a percentage of total operating revenues. You are encouraged to evaluate these adjustments and the reasons we consider them appropriate for supplemental analysis. In accordance with the requirements of Regulation G issued by the Securities and Exchange Commission, we are presenting the most directly comparable GAAP financial measure and reconciling the non-GAAP financial measure to the comparable GAAP measure. Set forth below is a reconciliation of net income, the most comparable GAAP measure, to EBITDA for each of the periods indicated: Thirteen Weeks Ended Twenty-six Weeks Ended June 28, June 29, June 28, June 29, 2025 2024 2025 2024 ( in thousands) ( in thousands) EBITDA Net income $ 8,316 $ 30,734 $ 14,330 $ 83,191 Income tax expense 2,874 10,384 4,895 28,044 Interest expense, net 8,852 6,883 17,075 12,962 Depreciation 30,596 32,052 60,585 47,954 Amortization 5,607 4,757 11,106 9,556 EBITDA $ 56,245 $ 84,810 $ 107,991 $ 181,707 EBITDA margin (a) 14.3 % 18.4 % 13.9 % 19.0 % ‌ (a) EBITDA margin is computed by dividing EBITDA by total operating revenues for each of the periods indicated. We present EBITDA and EBITDA margin because we believe they assist investors and analysts in comparing our performance across reporting periods on a consistent basis by excluding items that we do not believe are indicative of our core operating performance. EBITDA has limitations as an analytical tool. Some of these limitations are: EBITDA does not reflect our cash expenditures, or future requirements, for capital expenditures or contractual commitments; EBITDA does not reflect changes in, or cash requirements for, our working capital needs; EBITDA does not reflect the significant interest expense, or the cash requirements necessary to service interest or principal payments, on our debts; Although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced in the future, and EBITDA does not reflect any cash requirements for such replacements; and Other companies in our industry may calculate EBITDA differently than we do, limiting its usefulness as a comparative measure. Because of these limitations, EBITDA and EBITDA margin should not be considered in isolation or as a substitute for performance measures calculated in accordance with GAAP. We compensate for these limitations by relying primarily on our GAAP results and only supplementally on EBITDA and EBITDA margin. SOURCE Universal Logistics Holdings, Inc. WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM? 440k+ Newsrooms & Influencers 9k+ Digital Media Outlets 270k+ Journalists Opted In

Universal Logistics Holdings, Inc. Reports Second Quarter 2025 Financial Results; Declares Dividend

FAQ

Why Bearish?

How important is it?

Why Short Term?

Related Companies

Related News