J.B. Hunt Transport Services 2Q Earnings Miss

J.B. Hunt Transport Services Inc JBHT disclosed that its profit rose 2 percent on the back of 5 percent increase in revenue in the second quarter. However, this wasn't enough for the Street analysts. As a result, shares were down 2.6 percent on Monday.

J.B. Hunt Transport Services reported net earnings of $105 million, or earnings of $0.92 a share, up from $103 million or $0.88 a share in the year-ago quarter. This was short by $0.05 a share from the Street analysts' expectations of $0.97 a share.

Its total operating revenue grew 5 percent to $1.62 billion from $1.54 billion in the previous year quarter. This was in line with the Street predictions. Excluding fuel surcharges, operating revenues would have increased 9% vs. the comparable quarter 2015.

J.B. Hunt said its operating income rose modestly to $176 million from $174 million in the second quarter of 2015. The company blamed higher rail transportation costs, driver wages and recruiting and equipment ownership costs for not realizing the gains of volume growth, increases in revenue producing truck counts and higher equipment utilization.

Shares of the company shed 2.69 percent on Monday.