Landstar System Reports $2.36 Billion Revenue, 1% Decrease in Loads Hauled

Landstar System, Inc. reported a revenue of $2.36 billion for the twenty-six weeks ended June 28, 2025, reflecting a decrease of 1% compared to $2.40 billion in the same period of the previous year. The decline in revenue was primarily attributed to a 1% decrease in the number of loads hauled, while revenue per load remained relatively stable. Net income for the period was $71.7 million, or $2.05 per share, down from $99.7 million, or $2.79 per share, in the prior year. The decrease in profitability was influenced by increased costs in insurance and claims, as well as other operating expenses.

In terms of operational metrics, the number of loads hauled via truck transportation decreased by approximately 1%, with truck transportation revenue accounting for 92% of total revenue. The company noted a significant drop in less-than-truckload and van transportation services, which saw decreases of 7% and 5%, respectively. Conversely, loads hauled via other truck transportation services increased by 26%. The average revenue per load for truck transportation increased by about 1%, driven by higher revenue from unsided/platform equipment.

Landstar's total current assets decreased to $1.24 billion as of June 28, 2025, from $1.32 billion at the end of the previous fiscal year. The company’s cash and cash equivalents also saw a decline, dropping to $359.2 million from $515.0 million. The decrease in cash flow from operating activities was notable, with $62.8 million generated in the current period compared to $142.3 million in the prior year, primarily due to unfavorable changes in working capital and decreased net income.

The company has been actively managing its capital structure, with shareholders' equity decreasing to $921.8 million from $972.4 million, largely due to stock repurchases and dividend payments. During the twenty-six-week period, Landstar repurchased 686,459 shares at a total cost of $103.3 million. The company declared dividends of $0.76 per share, totaling $26.6 million, while also addressing its long-term debt, which decreased to $85.4 million.

Looking ahead, Landstar's management remains focused on enhancing revenue through its network of independent commission sales agents and optimizing operational efficiencies. The company anticipates that its ability to adapt to market conditions and leverage technology will be crucial for future growth. However, management also acknowledged potential risks, including fluctuations in demand for transportation services and the impact of ongoing litigation related to a vehicular accident involving one of its subsidiaries.