Supply Chain Research

JB Hunt has launched the freight services sector fourth quarter earnings reports on an off-key note. A 16% rise in revenues was 4% better than analysts’ forecasts, likely reflecting the 5% rise in intermodal rates per load. Yet, that couldn’t prevent a drop in profitability to 12.5% (the lowest since at least 2013) vs. 13.5% expected as a result of increased payments to drivers. Price competition therefore remains fierce. Continued discipline on pricing will be important for the freight forwarding sector globally in 2018 in order to maintain profitability growth to 11.5% from 11.0% in 20...