February 7, 2002 Jacksonville, FL - Landstar System, Inc. (NASDAQ: LSTR) reported 2001 fourth quarter net income of $11.6 million, or $1.40 per diluted share, in line with the consensus of analyst estimates as reported by FIRST CALL. During the 2000 fourth quarter net income was $15.9 million, or $1.85 per diluted share. Revenue was $347.8 million in the thirteen-week 2001 fourth quarter compared with $380.6 million in the fourteen-week 2000 fourth quarter.
Landstar's carrier group of companies generated $278.2 million of revenue in the 2001 thirteen-week period compared with $301.0 million of revenue in the 2000 fourteen-week period. Landstar's multimodal services group of companies reported revenue of $63.6 million in the 2001 thirteen-week period compared to $73.5 million in the 2000 fourteen-week period.
Net income for the 2001 fiscal year was $42.8 million, or $5.01 per diluted share, compared to net income of $45.2 million, or $5.03 per diluted share in the prior year. The 2000 fiscal year included $5.3 million of pre-tax non-recurring charges that reduced net income by $.35 per diluted share. Revenue was $1.393 billion in the 2001 fifty two-week fiscal year, compared to revenue of $1.418 billion in the fifty three-week 2000 fiscal year.
Revenue from Landstar's carrier group of companies was $1.098 billion in the 2001 full year period and revenue from the multimodal services group of companies was $270.8 million. In the 2000 fifty three-week fiscal year, the carrier group's revenue was $1.117 billion and the multimodal services group's revenue was $277.1 million. Signature Insurance Company had premium revenue of $23.7 million in the year ended December 29, 2001, down slightly from $24.4 million in the 2000 fiscal year.
"Once again, Landstar has reported outstanding results," said Landstar's Chairman and Chief Executive Officer Jeff Crowe. "The superiority of our business model was clearly demonstrated during the 2001 fourth quarter. Despite an economy that continued to soften, we were able to meet expectations. Landstar grew its truck count by 185 trucks in the quarter, ending the year at 8,779, 99 above year-end 2000," Crowe said. "I anticipate growing our truck count in 2002 by approximately 200 to 300 trucks. As a result of the increased number of trucks in our system, I believe we are well positioned to take advantage of opportunities as they arise during the upcoming year."
"For the 2001 year, return on equity remained high at 38 percent and return on invested capital, net income divided by the sum of average equity and average debt, was above 20 percent for the third consecutive year. Shareholder's equity represented 54 percent of capitalization, and EBITDA was $90 million in 2001. Our December 29, 2001 balance sheet remained strong. I believe Landstar's financial strength will provide us the platform to take advantage of future opportunities as they are presented."
"The near-term economic outlook continues to be uncertain. However, I remain confident in the ability of the Landstar business model to perform in this environment. Currently, I anticipate first quarter earnings to be within a range of $.90 to $1.05 per diluted share.
As reported by FIRST CALL, the range of estimates for the 2002 year is $5.35 to $6.00 per diluted share. Given the economic uncertainty, I am currently more comfortable at the low end of that range."
Landstar will provide a live webcast of its quarterly earnings conference call this afternoon at 2 p.m. EDT. To access the webcast visit the Company's website at www.landstar.com. Click on Investor Relations and then on the microphone at the top of the page. StreetEvents.com will also carry the broadcast live.
This press release contains forward-looking statements, such as statements that relate to Landstar's business objectives, plans, strategies and expectations. The words "believe", "anticipate", "expect", "should", and similar expressions identify forward-looking statements. While made in good faith and with a reasonable basis based on information currently available to Landstar's management, there is no assurance that such opinions, beliefs or expectations will be achieved or accomplished. Various factors could cause actual results and events to vary significantly from those expressed in any forward-looking statement. More detailed information about these factors is contained in Landstar's filings with the Securities and Exchange Commission. Such types of statements are intended to be forward-looking statements for purposes of the Private Securities Litigation Reform Act of 1995. The Company is under no obligation to update any forward-looking statement to the extent it becomes aware that it will not be achieved for any reason.
Landstar System, Inc. is headquartered in Jacksonville, Florida. The Landstar carrier group, comprised of Landstar Gemini, Inc., Landstar Inway, Inc., Landstar Ligon, Inc. and Landstar Ranger, Inc., delivers excellence in complete over-the-road transportation services. The Landstar multimodal group, comprised of Landstar Express America, Inc. and Landstar Logistics, Inc., delivers excellence in expedited, contract logistics and intermodal transportation services. All Landstar operating companies are certified to ISO 9001:2000 quality management system standards. Landstar System, Inc.'s common stock trades on The NASDAQ Stock Market® under the symbol LSTR.