Saia Reports Record Second Quarter Results

Thursday, 29. July 2021 13:30

JOHNS CREEK, Ga., July 29, 2021 (GLOBE NEWSWIRE) -- Saia, Inc. (Nasdaq: SAIA), a leading transportation provider offering national less-than-truckload (LTL), non-asset truckload, expedited and logistics services, today reported second quarter 2021 financial results. Diluted earnings per share in the quarter were $2.34 compared to $1.07 in the second quarter of 2020.

Highlights from the second quarter operating results were as follows:

Second Quarter 2021 Compared to Second Quarter 2020 Results

  • Revenue was $571.3 million, a 36.6% increase
  • Operating income was $82.9 million, a 132.4% increase
  • Operating ratio of 85.5 compared to 91.5
  • LTL shipments per workday increased 15.3%
  • LTL tonnage per workday increased 23.1%
  • LTL revenue per hundredweight increased 10.5%
  • LTL revenue per shipment rose 17.9% to $277

“It is great to report record second quarter results only about a year removed from the onset of the COVID-19 pandemic,” stated Saia President and CEO, Fritz Holzgrefe. “Our operating ratio of 85.5% in the quarter is the best OR for any quarter in our history. We had a very good quarter in terms of service and our cargo claims ratio of 0.54% is also a record,” added Holzgrefe. “Shipper demand remains strong early in the third quarter and we continue to hire drivers and dockworkers across all areas of our service map,” said Holzgrefe.

“We were pleased to announce the opening of our Hagerstown, Maryland terminal in June and we expect to open additional terminals during the second half of the year. We continue to maintain and operate one of the cleanest diesel fleets in the industry. During the quarter, we commenced pilot programs using alternative fuel tractors by adding two all-electric tractors and five compressed natural gas (CNG) tractors,” concluded Holzgrefe.

Saia Executive Vice President and Chief Financial Officer, Douglas Col added, “Total shipments in the second quarter were an all-time quarterly high and we are working hard to accommodate our customers’ needs in an environment where we are experiencing a very tight labor market.” “With rising operational costs, we focused more than ever on the profitability of the added volumes and our 10.5% increase in yield pushed our revenue per shipment to a record $277, up nearly 18% over last year,” said Col.

Financial Position and Capital Expenditures

Total debt was $61.0 million at June 30, 2021 and inclusive of the cash on-hand, net debt to total capital was 0.8%. This compares to total debt of $160.8 million and net debt to total capital of 13.1% at June 30, 2020.

Net capital investments were $100.0 million in the first half of 2021. This compares to $142.7 million in net capital investments during the first half of 2020. In 2021, we anticipate net capital expenditures will be approximately $275 million.

Conference Call

Management will hold a conference call to discuss quarterly results today at 10:00 a.m. Eastern Time. To participate in the call, please dial 877-886-2341 or 334-777-6979 referencing conference ID #9556386. Callers should dial in five to ten minutes in advance of the conference call. This call will be webcast live via the Company website at A replay of the call will be offered two hours after the completion of the call through August 26, 2021 at 1:00 p.m. Eastern Time. The replay will be available by dialing 888-203-1112.

Saia, Inc. (SAIA) offers customers a wide range of less-than-truckload, non-asset truckload, expedited and logistics services. With headquarters in Georgia, Saia LTL Freight operates 171 terminals with service across 44 states. For more information on Saia, Inc. visit the Investor Relations section at

Cautionary Note Regarding Forward-Looking Statements

The Securities and Exchange Commission encourages companies to disclose forward-looking information so that investors can better understand the future prospects of a company and make informed investment decisions. This news release may contain these types of statements, which are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995.

Words such as “anticipate,” “estimate,” “expect,” “project,” “intend,” “may,” “plan,” “predict,” “believe,” “should” and similar words or expressions are intended to identify forward-looking statements. Investors should not place undue reliance on forward-looking statements and the Company undertakes no obligation to publicly update or revise any forward-looking statements. All forward-looking statements reflect the present expectation of future events of our management as of the date of this news release and are subject to a number of important factors, risks, uncertainties and assumptions that could cause actual results to differ materially from those described in any forward-looking statements. These factors, risks, uncertainties and assumptions include, but are not limited to, (1) general economic conditions including downturns or inflationary periods in the business cycle; (2) operation within a highly competitive industry and the adverse impact from downward pricing pressures, including in connection with fuel surcharges, and other factors; (3) industry-wide external factors largely out of our control; (4) cost and availability of qualified drivers, purchased transportation and fuel; (5) claims expenses and other expense volatility, including for personal injury, cargo loss and damage, workers’ compensation, employment and group health plan claims; (6) cost and availability of insurance coverage, including the possibility the Company may be required to pay additional premiums, assume additional liability under its auto liability policy or be unable to obtain insurance coverage; (7) failure to successfully execute the strategy to expand our service geography; (8) costs and liabilities from the disruption in or failure of our technology or equipment essential to our operations, including as a result of cyber incidents, security breaches, malware or ransomware attacks; (9) failure to keep pace with technological developments; (10) labor relations, including the adverse impact should a portion of our workforce become unionized; (11) cost and availability of real property and revenue equipment; (12) capacity and highway infrastructure constraints; (13) risks arising from international business operations and relationships; (14) seasonal factors, harsh weather and disasters caused by climate change; (15) economic declines in the geographic regions or industries in which our customers operate; (16) the creditworthiness of our customers and their ability to pay for services; (17) our need for capital and uncertainty of the credit markets; (18) the possibility of defaults under our debt agreements (including violation of financial covenants); (19) failure to operate and grow acquired businesses in a manner that support the value allocated to acquired businesses; (20) dependence on key employees; (21) increased costs of healthcare benefits; (22) damage to our reputation from adverse publicity, including from the use of or impact from social media; (23) failure to make future acquisitions or to achieve acquisition synergies; (24) the effect of litigation and class action lawsuits arising from the operation of our business, including the possibility of claims or judgments in excess of our insurance coverages or that result in increases in the cost of insurance coverage or that preclude us from obtaining adequate insurance coverage in the future; (25) the potential of higher corporate taxes and new regulations, including with respect to climate change, employment and labor law, healthcare and securities regulation; (26) the effect of governmental regulations, including hours of service for drivers, engine emissions, the Compliance, Safety, Accountability (CSA) initiative, regulations of the Food and Drug Administration and Homeland Security, and healthcare and environmental regulations; (27) unforeseen costs from new and existing data privacy laws; (28) changes in accounting and financial standards or practices; (29) widespread outbreak of an illness or any other communicable disease, including the COVID-19 pandemic, or any other health crisis or business disruptions that may arise from the COVID-19 pandemic in the future; (30) increasing investor and customer sensitivity to social and sustainability issues, including climate change; (31) anti-terrorism measures and terrorist events; (32)  provisions in our governing documents and Delaware law that may have anti-takeover effects; (33) issuances of equity that would dilute stock ownership; and (34) other financial, operational and legal risks and uncertainties detailed from time to time in the Company’s SEC filings.

As a result of these and other factors, no assurance can be given as to our future results and achievements. Accordingly, a forward-looking statement is neither a prediction nor a guarantee of future events or circumstances and those future events or circumstances may not occur. You should not place undue reliance on the forward-looking statements, which speak only as of the date of this news release. We are under no obligation, and we expressly disclaim any obligation, to update or alter any forward-looking statements, whether as a result of new information, future events or otherwise, except as otherwise required by law.

CONTACT:    Saia, Inc.
       Investor Relations

Saia, Inc. and Subsidiaries 
Condensed Consolidated Balance Sheets 
(Amounts in thousands) 
  June 30, 2021 December 31, 2020 
Cash and cash equivalents $52,860  $25,308  
Accounts receivable, net  261,113   216,899  
Prepaid expenses and other  39,908   29,489  
Total current assets  353,881   271,696  
Cost  1,983,923   1,901,244  
Less: accumulated depreciation  826,983   765,217  
Net property and equipment  1,156,940   1,136,027  
OTHER ASSETS  30,609   27,336  
Total assets $1,647,395  $1,548,774  
Accounts payable $100,499  $89,381  
Wages and employees' benefits  65,187   55,392  
Other current liabilities  77,797   90,184  
Current portion of long-term debt  21,648   20,588  
Current portion of operating lease liability  19,764   20,209  
Total current liabilities  284,895   275,754  
Long-term debt, less current portion  39,378   50,388  
Operating lease liability, less current portion  88,208   95,321  
Deferred income taxes  123,000   119,818  
Claims, insurance and other  48,756   46,205  
Total other liabilities  299,342   311,732  
Common stock  26   26  
Additional paid-in capital  270,608   267,666  
Deferred compensation trust  (3,781)  (2,944) 
Retained earnings  796,305   696,540  
Total stockholders' equity  1,063,158   961,288  
Total liabilities and stockholders' equity $1,647,395  $1,548,774  

Saia, Inc. and Subsidiaries 
Consolidated Statements of Operations 
For the Quarters and Six Months Ended June 30, 2021 and 2020 
(Amounts in thousands, except per share data) 
  Second Quarter Six Months 
   2021   2020   2021   2020  
OPERATING REVENUE $571,333  $418,114  $1,055,407  $864,510  
Salaries, wages and employees' benefits  268,786   224,277   513,223   462,922  
Purchased transportation  62,481   26,406   107,512   56,465  
Fuel, operating expenses and supplies  90,664   65,902   175,565   148,801  
Operating taxes and licenses  14,559   13,743   28,897   28,139  
Claims and insurance  17,328   18,293   28,808   28,714  
Depreciation and amortization  34,659   33,664   70,031   66,254  
Loss (gain) from property disposals, net  (69)  148   (268)  (1,242) 
Total operating expenses  488,408   382,433   923,768   790,053  
OPERATING INCOME  82,925   35,681   131,639   74,457  
Interest expense  834   1,594   1,686   2,996  
Other, net  (430)  (751)  (561)  (204) 
Nonoperating expenses, net  404   843   1,125   2,792  
INCOME BEFORE INCOME TAXES  82,521   34,838   130,514   71,665  
Income tax expense  20,047   6,384   30,749   15,100  
NET INCOME $62,474  $28,454  $99,765  $56,565  
Average common shares outstanding - basic  26,332   26,134   26,309   26,102  
Average common shares outstanding - diluted  26,704   26,569   26,687   26,543  
Basic earnings per share $2.37  $1.09  $3.79  $2.17  
Diluted earnings per share $2.34  $1.07  $3.74  $2.13  

Saia, Inc. and Subsidiaries 
Condensed Consolidated Statements of Cash Flows 
For the six months ended June 30, 2021 and 2020 
(Amounts in thousands) 
  Six Months 
   2021   2020  
Net cash provided by operating activities $140,140  $148,233  
Net cash provided by operating activities  140,140   148,233  
Acquisition of property and equipment  (100,202)  (148,865) 
Proceeds from disposal of property and equipment  236   6,143  
Net cash used in investing activities  (99,966)  (142,722) 
Borrowing (repayment) of revolving credit agreement, net     34,071  
Proceeds from stock option exercises  3,678   2,591  
Shares withheld for taxes  (6,350)  (3,479) 
Other financing activity  (9,950)  (9,662) 
Net cash (used in) provided by financing activities  (12,622)  23,521  

Saia, Inc. and Subsidiaries
Financial Information
For the Quarters Ended June 30, 2021 and 2020
        Second Quarter  
  Second Quarter  % Amount/Workday  %
   2021   2020  Change 2021 2020 Change
Workdays      64 64  
Operating ratio 85.5%  91.5%        
LTL tonnage (1) 1,406   1,142  23.1 21.97 17.85 23.1
LTL shipments (1) 2,012   1,745  15.3 31.44 27.26 15.3
LTL revenue/cwt.$19.84  $17.95  10.5      
LTL revenue/cwt., excluding fuel surcharges$16.92  $16.01  5.7      
LTL revenue/shipment$277.24  $235.08  17.9      
LTL revenue/shipment, excluding fuel surcharges$236.43  $209.66  12.8      
LTL pounds/shipment 1,397   1,309  6.7      
LTL length of haul (2) 911   876  4.0      
(1)  In thousands.           
(2)  In miles.           

LTL operating statistics exclude transportation and logistics services where pricing is generally not determined by weight. The LTL operating statistics also exclude the adjustment required for financial statement purposes in accordance with the Company's revenue recognition policy.

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