Heartland Express Inc. reported a net income of $17.8 million for the second quarter of 2018, a 21.8 percent increase from last year’s second quarter, the company’s financial statements show.
The North Liberty, Iowa-based trucking and logistics provider’s operating revenues for the second quarter totaled $155.8 million, up 20.2 percent year-over-year, largely due to more miles driven following the acquisition of Interstate Distributor Co. (IDC), as well as higher fuel surcharge revenues compared to last year’s second quarter. Heartland Express acquired IDC in July 2017 from Saltchuk Resources for $113 million.
Heartland Express CEO Michael Gerdin said it has continued to invest in its drivers. “We just announced our second driver pay increase in the last 10 months,” Gerdin said. “These two driver pay increases together account for a consolidated pay increase of approximately $12 million annually to reward our committed, safe and hardworking drivers. It will also enable us to attract and retain more good drivers.”
At the close of Q2 2018, Heartland Express had a debt-free balance sheet, total assets of $785.3 million and stockholders’ equity of $581.8 million. Its tractor fleet averaged 1.5 years and its trailer fleet averaged 4.6 years at the end of the quarter.
Looking ahead, the company expects its capital expenditures for 2018 will range between $70 million and $80 million.