Multimodal transportation provider Schneider National used cost controls and improved pricing to offset weather disruptions and surging fuel costs during the first quarter.
Schneider (NYSE: SNDR) reported adjusted earnings per share of 12 cents in the period, which was 2 cents above consensus but 4 cents lower year over year. Consolidated revenue of $1.4 billion was in line with the prior year and just below the $1.42 billion consensus estimate.
Truckload revenue increased 1% y/y to $618 million, excluding fuel surcharges. A 1% decline in average trucks in service was more than offset by a 3% increase in revenue per truck per week (productivity). The company noted productivity gains across both its network (one-way) and dedicated fleets.
Productivity increased 7.3% y/y at its one-way fleet. The increase was mostly driven by improved truck utilization, with better pricing helping to a lesser degree. The company said price renewals are currently at the highest levels since 2021, noting an expectation for mid- to high-single-digit one-way contract rate increases through bid season. It will also seek double-digit rate increases with transactional shippers, as pricing at those accounts fell the most during the downturn.
The company said that some dedicated customers are looking to grow truck counts, with a focus on carrier partners providing high tender acceptance. It sold dedicated service on 150 trucks in the quarter but noted some near-term churn.
The TL unit reported a 96.7% adjusted operating ratio (inverse of operating margin), which was 80 basis points worse y/y.
Intermodal revenue declined 3% y/y to $254 million (excluding fuel), as a slight increase in load count was offset by a 4% decline in revenue per load. A shorter length of haul led to the yield decline. Schneider is seeing incremental intermodal conversion opportunities and said it has enough containers to accommodate double-digit volume growth.
Intermodal reported a 95.7% OR, which was 100 bps worse y/y. Lower yields and higher maintenance costs were headwinds. Container turns improved 1% in the period.
Logistics revenue (excluding fuel) fell 6% y/y to $312 million, as lower volumes were only partially offset by higher revenue per load. Even with a net revenue margin squeeze due to surging spot rates (higher purchased transportation costs), OR was only 30 bps worse y/y at 97.9%.
2026 outlook reiterated
Schneider reiterated its 2026 adjusted EPS guidance range of 70 cents to $1, noting “macro uncertainty has grown” in recent weeks. The outlook bracketed an 85-cent consensus estimate at the time of the print. (The company reported full-year 2025 adjusted EPS of 63 cents.)
Net debt leverage ended the quarter at 0.3x, flat with year-end 2025. Schneider reiterated net capex guidance of $400 million to $450 million for the year. Net capex totaled $289 million in 2025. It plans to use free cash flow to fund share repurchases, dividends and M&A.
Schneider previously announced President and CEO Mark Rourke will become executive chairman of the board on July 1. At that time, Jim Filter, Schneider executive vice president and president of transportation and logistics, will succeed Rourke as the company’s president and CEO. Filter is also expected to be appointed to the board at a later date.
Shares of SNDR were up 4.9% at 11:07 a.m. EDT on Friday compared to the S&P 500, which was up 0.5%.
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