Wednesday, October 16, For Immediate Release

 

Press Release

 

Heartland Express, Inc. Reports Revenues and Earnings for the Third Quarter of 2002.

 

CORALVILLE, IOWA – October 16, 2002 – Heartland Express, Inc. (Nasdaq:  HTLD) announced today financial results for the third quarter ended September 30, 2002.  For the third quarter revenue increased 23.3% to $91.1 million from $73.9 million in the third quarter of 2001.  Net income increased 20.2% to $11.1 million from $9.2 million in the 2001 period.  Basic earnings per share were $0.22 compared to $0.18 for the third quarter of 2001.

 

For the nine months, revenue increased 12.5% to $248.8 from $221.1 during the same period in 2001.  Net income increased 13.8% to $31.6 million from $27.8 million in the 2001 period.  Basic earnings per share were $0.63 compared with $0.56 for the 2001 period. 

 

For the quarter, Heartland Express, Inc. posted an operating ratio (operating expenses as a percentage of gross revenues) of 82.3% and a 12.2% net margin.  The Company reported an operating ratio of 82.5% and a net margin of 12.5% in the third quarter of 2001.  The operating ratio for the nine months ended September 30, 2002 was 81.6% with a 12.7% net margin.

 

The Company ended the third quarter with cash, cash equivalents, and investments of $156.3 million, a $4.8 million decrease from the $161.1 million reported on December 31, 2001.  The Company’s balance sheet continues to be debt-free.

 

On February 19, 2002, Heartland effected a 57.68826% stock dividend.  This was the seventh stock dividend declared by Heartland Express, Inc. during the past eleven years.  The most recent stock dividend increased the total number of shares outstanding to 50.0 million.  All share and per share data for all prior periods have been adjusted to reflect the February 19, 2002 stock dividend.

 

On June 1, 2002, Heartland Express acquired the business and certain trucking assets of Great Coastal Express, Inc., a truckload carrier based near Richmond, Virginia.  Great Coastal is being operated as a division of Heartland Express.  The Great Coastal division is based in Chester, Virginia with terminal locations in Roanoke, Virginia, Baltimore, Maryland, and Charlotte, North Carolina.  The purchase of Great Coastal increases Heartland’s presence in the northeast operating region. 

 

This press release may contain statements that might be considered forward-looking statements or predictions of future operations. Such statements are based on management’s belief or interpretation of information currently available. These statements and assumptions involve certain risks and uncertainties. Actual events may differ from these expectations as specified from time to time in filings with the Securities and Exchange Commission.

 

 

Contact: Heartland Express, Inc.

John Cosaert

319-545-2728

 

 

 

 

 

 

 

 

HEARTLAND EXPRESS, INC.

AND SUBSIDIARIES

 

 

 

 

 

 

 

 

CONSOLIDATED STATEMENTS OF INCOME

(UNAUDITED)

 

 

 

 

 

 

 

 

 

Three months ended

Nine months ended

 

September 30,

September 30,

 

 

 

 

 

 

 

 

 

2002

 

2001

 

2002

 

2001

 

 

 

 

 

 

 

 

OPERATING REVENUE

$ 91,123,367

 

$  73,917,920

 

$ 248,753,449

 

$221,092,616

 

 

 

 

 

 

 

 

OPERATING EXPENSES:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Salaries, wages, benefits

$  29,341,346

 

$  21,969,335

 

$   78,931,009

 

$   65,188,099

 

 

 

 

 

 

 

 

   Rent and purchased transportation

   17,170,890

 

16,474,914

 

     48,834,154

 

     50,664,406

 

 

 

 

 

 

 

 

   Operations and maintenance

   14,921,425

 

    12,405,409

 

40,000,709

 

     36,714,887

 

 

 

 

 

 

 

 

   Taxes and licenses

     1,953,378

 

     1,586,127

 

       5,249,886

 

       4,489,242

 

 

 

 

 

 

 

 

   Insurance and claims

2,530,868

 

     1,779,205

 

7,373,504

 

       5,504,601

 

 

 

 

 

 

 

 

   Communications and utilities

        911,176

 

698,956

 

       2,240,502

 

       2,320,610

 

 

 

 

 

 

 

 

   Depreciation

     5,666,127

 

     4,279,356

 

14,027,837

 

12,723,996

 

 

 

 

 

 

 

 

   Other operating expenses

     2,460,928

 

     1,785,209

 

       6,251,675

 

       5,036,289

 

 

 

 

 

 

 

 

   (Gain) loss on disposal of fixed assets

37,759

 

              -

 

38,272

 

(104,763)

 

 

 

 

 

 

 

 

 

$  74,993,897

 

$  60,978,511

 

$ 202,947,548

 

$ 182,537,367

 

 

 

 

 

 

 

 

Operating income

$  16,129,470

  

$  12,939,409

  

$   45,805,901

  

$   38,555,249

 

 

 

 

 

 

 

 

   Interest income

     648,359

 

     1,022,472

 

       2,128,631

 

3,569,134

 

 

 

 

 

 

 

 

   Income before income taxes

$  16,777,829

 

$  13,961,881

 

$   47,934,532

 

$   42,124,383

 

 

 

 

 

 

 

 

   Federal and state income taxes

     5,704,463

 

4,746,965

 

     16,297,741

 

14,322,216

 

 

 

 

 

 

 

 

   Net income

$  11,073,366

 

$   9,214,916

 

$   31,636,791

 

$   27,802,167

 

 

 

 

 

 

 

 

   Earnings per common share: