Heartland Express Inc. on Tuesday, July 22, announced financial results for the quarter and six months ended June 30. Operating revenues for the quarter increased 10.4 percent to $164.6 million from $149.1 million in the second quarter of 2007. Net income decreased 13.2 percent to $17.2 million from $19.8 million.
The North Liberty, Iowa-based company said the driving components were the continued historical highs in fuel prices and decreases in gains on sales of property and equipment offset by a favorable tax expense adjustment.
For the six-month period, operating revenues increased 7.2 percent to $313.6 from $292.5 million during the same period in 2007. Net income decreased 24.8 percent to $31.9 million from $42.4 million.
The company also said it anticipated beginning a tractor fleet upgrade in the third quarter that is expected to include the purchase of about 1,600 International ProStar tractors. Delivery of tractors is scheduled to begin during the third quarter of 2008 and will continue through 2009. The company also will take delivery of 400 2009 Wabash trailers during the second half of 2008.
Management believes the company has adequate liquidity to meet these capital requirements through cash generated through operations and existing cash and cash equivalents.