Hub Group Inc. reported record diluted earnings per share for the quarter ended March 31 of $0.35, an increase of 21 percent compared to last year’s first-quarter diluted earnings per share of $0.29. Hub Group’s operating margin increased to 4.9 percent in the first quarter 2008 from 4.6 percent in 2007 due to growth, purchasing transportation more cost effectively, and cost control.
Hub Group’s revenue increased 8.1 percent to $425.0 million compared to $393.3 million in the first quarter of 2007. First-quarter intermodal revenue increased 5.2 percent to $302.8 million. Truck brokerage revenue was up 19.9 percent to $89.9 million this quarter. First-quarter logistics revenue increased 6.1 percent to $32.3 million. Gross margin increased to $57.5 million compared to $56.7 million in the first quarter of 2007.
“We are very pleased with our earnings per share growth and the performance of all three business lines,” said David P. Yeager, vice chairman and chief executive officer of Downers Grove, Ill.-based Hub Group. “Our efforts to increase productivity continue to help us control our costs. Thanks to our scalable asset-light model, we were able to generate impressive returns despite the weak economic conditions.”