Trucking faced a myriad of headwinds in 2016 that resulted in anemic growth in most segments of the industry. Chief among them was a nine-year high in retail inventory-to-sales ratios in the first quarter that led to weak demand throughout much of the freight network for the rest of the year. A contentious presidential election cycle further dampened optimism for business investments, and consumer spending was frozen until the election was over.
Both the general freight and refrigerated segments of the 2017 CCJ Top250 companies experienced stagnant financial results in 2016. Of those companies in the rankings that self-reported revenues for both 2015 and 2016, general freight revenues rose only 0.3 percent, and refrigerated revenues were flat at 0.0 percent.
Trucking companies serving the oil and gas and fracking markets also struggled with depressed market conditions through the first three quarters of 2016. According to companies in the flatbed/specialized/heavy haul and tank/bulk commodities segments that self-reported revenues for both 2015 and 2016, revenues were down 1.7 percent and 7.7 percent, respectively.
Those two segments were joined by household goods, for which CCJ Top 250 companies reported a 5.2 percent decrease in revenue, as well as a 3.4 percent decrease in reported revenue for motor vehicles despite strong car sales.
But 2016 wasn’t completely without merits. Carriers with competencies in last-mile and pickup-and-delivery services benefited from the growing e-commerce market. According to a report by the U.S. Department of Commerce, e-commerce represented roughly $390 billion of U.S. retail sales in 2016, a 15-percent increase from the previous year.
CCJ Top 250 Breakdown by Segment
