Hub Group posts 16% increase in 2Q profit

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Hub Group Inc. reported income of $9.6 million for the second quarter ended June 30, an increase of 16 percent compared to the second quarter of 2009. Each of Hub Group’s three business lines contributed to the company’s overall revenue increase of 26 percent to $458 million.

Intermodal revenue increased 26 percent to $320 million, attributable to a 25 percent volume increase and an 8 percent increase for fuel, partially offset by a 7 percent decrease for price and mix. Truck brokerage revenue increased 21 percent to $86 million. Unyson Logistics revenue increased 38 percent to $52 million. Hub Group ended the quarter with $128 million in cash.

“The return of a robust freight market, coupled with the retention of our longstanding customer relationships and success in the bids this year, helped drive our impressive volume and earnings growth this quarter,” says David P. Yeager, chairman and chief executive officer of Hub Group, based in Downers Grove, Ill. “With the additional density, we have improved our drayage efficiencies and equipment utilization and look forward to meeting what we expect will be healthy demand in the second half of this year.”