AI Takeaway
J.B. Hunt delivered strong Q2 FY2026 earnings growth, with revenue up 19.4% year over year to $3.50B, operating income up 31.5% to $259.5M, and net income up 40.7% to $181.0M, led by JBI volume/productivity gains and improved DCS results despite higher purchased transportation and fuel costs. Source: 10-Q Item 2 MD&A, pp.14-16.
EPS (Basic)
$1.92
++45.45% YoY
Operating Income
$259.45M
++31.52% YoY
Filed · Source: SEC EDGAR 10-Q filing
The company posted net income of $181.03M, up 40.7% from a year earlier, with diluted EPS of $1.91.
Second-quarter operating revenue increased 19.4% year over year to $3.50B, while operating expenses rose 18.5%, allowing operating income to rise 31.5% to $259.5M. Operating margin improved to 7.4% from 6.7%; revenue excluding fuel surcharges increased 11%.
Source: 10-Q Item 2 MD&A, pp.14-16
JBI revenue grew 22% year over year to $1.75B and operating income increased 58% to $150.9M. Load volumes rose 10% and gross revenue per load increased 11%, while management cited drayage productivity, fewer empty container moves, lower storage costs, and cost-to-serve initiatives as contributors to profit growth.
Source: 10-Q Item 2 MD&A, p.14
DCS revenue increased 9% to $921M and operating income rose 9% to $102.5M. Revenue per truck per week increased 9%, including a 2% increase excluding fuel surcharges, while average truck count was flat and customer retention was approximately 96%.
Source: 10-Q Item 2 MD&A, p.14
ICS revenue rose 49% to $388M, and the segment generated $1.7M of operating income versus a $3.6M operating loss a year earlier. However, its gross profit margin fell to 12.5% from 15.5% because third-party capacity tightening increased purchased transportation expense.
Source: 10-Q Item 2 MD&A, p.14
For the first six months of 2026, net capital expenditures were $144.9M, down from $399.1M a year earlier, primarily due to lower net equipment purchases. Management expects full-year 2026 net capital expenditures of $600M-$800M and reported $611.5M of net purchase commitments for 2026 and 2027.
Source: 10-Q Item 2 MD&A, p.19
J.B. Hunt depends on third parties, particularly rail service providers, transportation equipment manufacturers, third-party carriers, and independent contractors, to operate its business. Disruptions in rail service, equipment procurement, or third-party capacity could impair service levels, raise costs, and pressure operating results; purchased transportation costs increased 32.4% in Q2 FY2026.
Source: 10-Q Item 2 MD&A, pp.12, 15; 10-K Item 1A, p.20
The company states that it derives a significant portion of revenue from a few major customers. The loss of one or more major customers could have a material adverse effect on revenue and business results, particularly in dedicated or long-term service arrangements.
Source: 10-K Item 1A, p.20
Rapid fuel-cost changes can affect periodic results. In Q2 FY2026, fuel and fuel taxes expense increased 53.0% year over year, primarily due to higher fuel prices, illustrating the sensitivity of the cost base to fuel markets even though the company may recover part of the change through fuel surcharges.
Source: 10-K Item 1A, p.20; 10-Q Item 2 MD&A, p.15
The filing identifies insurance and claims expense as a factor that could significantly reduce earnings. In Q2 FY2026, insurance and claims expense increased 4.7%, primarily reflecting higher claim severity and higher insurance policy premiums, partly offset by lower claim volume.
Source: 10-K Item 1A, p.20; 10-Q Item 2 MD&A, p.15
J.B. Hunt's results can be materially affected by economic conditions, customer business cycles, government policies, seasonality, and competitive capacity. Excess industry capacity can pressure rates, while constrained capacity can increase third-party transportation costs; management cited tighter third-party capacity as a driver of margin pressure in ICS and JBT.
Source: 10-K Item 1A, p.20; 10-Q Item 2 MD&A, pp.14, 17
Reported EPS of $1.91 versus the $1.77 analyst consensus — a +7.9% beat for Q2 FY2026.
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Income | $259.45M | $197.27M | +31.52% |
Net Income | $181.03M | $128.62M | +40.75% |
EPS (Basic) | $1.92 | $1.32 | +45.45% |
EPS (Diluted) | $1.91 | $1.31 | +45.80% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Total Assets | $7.94B | $8.24B | -3.60% |
Current Assets | $1.81B | $1.69B | +7.50% |
Current Liabilities | $1.44B | $1.93B | -25.27% |
Stockholders' Equity | $3.66B | $3.66B | +0.05% |
Cash & Equivalents | $4.16M | $50.9M | -91.82% |
Long-Term Debt | $1.15B | $1.02B | +12.30% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Cash FlowYTD | $723.27M | $806.25M | -10.29% |
Investing Cash FlowYTD | $-144.95M | $-399.08M | +63.68% |
Financing Cash FlowYTD | $-591.44M | $-403.25M | -46.67% |
Dividends PaidYTD | $85.01M | $86.64M | -1.87% |
Share BuybacksYTD | $177.83M | $552.91M | -67.84% |
D&AYTD | $360.02M | $356.46M | +1.00% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
ROE | 5.0% | — | — |
ROA | 2.3% | — | — |
Current Ratio | $1.255 | — | — |
Expected release date, analyst estimates & what to watch
J.B. Hunt Transport Services delivered strong Q1 2026 earnings growth with net income up 20.2% YoY to $141.6M and EPS up 27.4% to $1.49, though operating cash flow declined 12.7% and long-term debt surged 48% to $1.30B.
JBHT delivered solid FY2025 earnings growth with net income up 4.8% to $598.3M and EPS up 10.0% to $6.16, supported by strong operating cash flow of $1.68B, though the balance sheet shows tightening liquidity with a current ratio below 1.0 and a sharp decline in cash.
Other companies in Cargo Ground Transportation
J.B. Hunt reported Q2 FY2026 operating revenue of $3.50B, up 19.4% from $2.93B a year earlier. Management attributed growth primarily to higher volumes in JBI, ICS, and JBT, higher JBI, ICS, and JBT revenue per load, and higher DCS productivity; revenue excluding fuel surcharges increased 11%. Source: 10-Q Item 2 MD&A, p.14.
Operating income increased 31.5% to $259.5M and net income rose 40.7% to $181.0M, with diluted EPS increasing 45.8% to $1.91. JBI operating income rose 58% to $150.9M and DCS operating income rose 9% to $102.5M, while ICS returned to a $1.7M profit but JBT recorded a $1.3M operating loss. Source: 10-Q Item 2 MD&A, pp.14-16; 10-Q Income Statement (XBRL).
The provided filing does not include Wall Street consensus estimates or management earnings guidance, so whether J.B. Hunt beat estimates cannot be determined from this 10-Q alone. Reported diluted EPS was $1.91, compared with $1.31 in the prior-year quarter. Source: 10-Q Income Statement (XBRL).
At June 30, 2026, J.B. Hunt had a 1.26x current ratio, $3.66B of stockholders' equity, and $1.15B of long-term debt. Management stated that liquid assets, operating cash generation, and its revolving credit facility should provide sufficient funds for foreseeable operating and capital needs; it also reported compliance with all financing covenants. Source: 10-Q Item 2 MD&A, p.19; 10-Q Balance Sheet (XBRL).
The filing highlights dependence on rail providers, third-party carriers, contractors, and equipment manufacturers, as well as customer concentration, fuel volatility, insurance and claims exposure, and freight-cycle risk. These risks are relevant because Q2 FY2026 purchased transportation costs rose 32.4% and fuel costs increased 53.0% year over year. Source: 10-K Item 1A, p.20; 10-Q Item 2 MD&A, p.15.