Schneider National (SNDR) Q4 2024 earnings summary

Executive summary

• Achieved year-over-year earnings improvement across all segments in Q4 2024, first since Q2 2022, driven by margin expansion, disciplined cost management, and market alignment.

• Completed $421 million acquisition of Cowan Systems in December 2024, expanding Dedicated fleet to 70% of Truckload segment and broadening vertical market reach.

• Intermodal and Logistics segments contributed 56% of segment revenues and 52% of segment earnings in Q4 2024.

• Freight market showed signs of recovery and seasonality, with spot prices exceeding contract prices late in Q4 and customers more receptive to rate restoration.

• Maintained focus on structural improvements: optimizing capital allocation, disciplined freight selection, customer experience, and cost containment.

Financial highlights

• Q4 2024 operating revenues were $1.372 billion (up from $1.195 billion in Q4 2023); revenues excluding fuel surcharge were $1.2 billion.

• Adjusted income from operations for Q4 2024 was $45 million, up 40% year-over-year; adjusted diluted EPS was $0.20, up from $0.16.

• Truckload Q4 revenues (ex-fuel) rose 2% to $560 million; operating income up 5% to $20 million; operating ratio 96.5%.

• Intermodal Q4 revenues (ex-fuel) up 6% to $276 million; operating income up 177% to $17 million; operating ratio improved to 93.8%.

• Logistics Q4 revenues (ex-fuel) down 5% to $324 million; operating income up 39%; operating ratio improved to 97.4%.

Outlook and guidance

• 2025 adjusted diluted EPS guidance: $0.90–$1.20, assuming a 23–24% tax rate.

• 2025 net capital expenditures guidance: $400–$450 million, focused on Dedicated and Intermodal growth.

• Management anticipates improved freight market conditions, margin restoration, and asset returns in 2025.

• Expect Truckload Network to return to profitability in H2 2025; Dedicated and Intermodal segments to drive top-line and earnings growth.

• Long-term margin targets: Truckload 12–16%, Intermodal 10–14%, Logistics 3–5% (revised down due to mix shift toward traditional brokerage).