[ ] | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Nevada | 93-0926999 | |
(State or Other Jurisdiction | (I.R.S. Employer | |
of Incorporation or organization) | Identification No.) | |
901 North Kansas Avenue, North Liberty, Iowa | 52317 | |
(Address of Principal Executive Offices) | (Zip Code) |
Yes [X] | No [ ] |
Yes [X] | No [ ] |
Large accelerated filer [X] | Accelerated filer [ ] | Non-accelerated filer [ ] | Smaller reporting company [ ] |
Yes [ ] | No [ X ] |
Page | |
PART I - FINANCIAL INFORMATION | |
PART II - OTHER INFORMATION | |
HEARTLAND EXPRESS, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (in thousands, except per share amounts) (unaudited) | ||||||||
ASSETS | June 30, 2016 | December 31, 2015 | ||||||
CURRENT ASSETS | ||||||||
Cash and cash equivalents | $ | 77,607 | $ | 33,232 | ||||
Trade receivables, net | 57,009 | 61,009 | ||||||
Prepaid tires | 8,793 | 9,584 | ||||||
Other current assets | 11,468 | 8,316 | ||||||
Income tax receivable | 7,773 | 7,641 | ||||||
Deferred income taxes, net | — | 16,662 | ||||||
Total current assets | 162,650 | 136,444 | ||||||
PROPERTY AND EQUIPMENT | ||||||||
Land and land improvements | 39,258 | 37,899 | ||||||
Buildings | 48,372 | 47,837 | ||||||
Leasehold improvements | 1,703 | 1,703 | ||||||
Furniture and fixtures | 2,096 | 2,096 | ||||||
Shop and service equipment | 10,717 | 10,917 | ||||||
Revenue equipment | 573,994 | 571,281 | ||||||
Construction in progress | 30 | 213 | ||||||
676,170 | 671,946 | |||||||
Less accumulated depreciation | 225,482 | 197,948 | ||||||
Property and equipment, net | 450,688 | 473,998 | ||||||
GOODWILL | 100,212 | 100,212 | ||||||
OTHER INTANGIBLES, NET | 13,051 | 14,013 | ||||||
DEFERRED INCOME TAXES, NET | 4,222 | — | ||||||
OTHER ASSETS | 11,266 | 11,363 | ||||||
$ | 742,089 | $ | 736,030 | |||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
CURRENT LIABILITIES | ||||||||
Accounts payable and accrued liabilities | $ | 21,535 | $ | 7,516 | ||||
Compensation and benefits | 25,667 | 24,636 | ||||||
Insurance accruals | 22,330 | 21,573 | ||||||
Other accruals | 13,040 | 12,443 | ||||||
Total current liabilities | 82,572 | 66,168 | ||||||
LONG-TERM LIABILITIES | ||||||||
Income taxes payable | 12,433 | 16,228 | ||||||
Deferred income taxes, net | 94,337 | 112,118 | ||||||
Insurance accruals less current portion | 61,420 | 59,435 | ||||||
Other long-term liabilities | 8,000 | 12,153 | ||||||
Total long-term liabilities | 176,190 | 199,934 | ||||||
COMMITMENTS AND CONTINGENCIES (Note 14) | ||||||||
STOCKHOLDERS' EQUITY | ||||||||
Preferred stock, par value $.01; authorized 5,000 shares; none issued | — | — | ||||||
Capital stock, common, $.01 par value; authorized 395,000 shares; issued 90,689 in 2016 and 2015; outstanding 83,279 in 2016 and 84,115 in 2015, respectively | 907 | 907 | ||||||
Additional paid-in capital | 3,378 | 4,126 | ||||||
Retained earnings | 603,361 | 575,948 | ||||||
Treasury stock, at cost; 7,410 shares in 2016 and 6,574 in 2015, respectively | (124,319 | ) | (111,053 | ) | ||||
483,327 | 469,928 | |||||||
$ | 742,089 | $ | 736,030 |
HEARTLAND EXPRESS, INC. | ||||||||||||||||
AND SUBSIDIARIES | ||||||||||||||||
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ||||||||||||||||
(in thousands, except per share amounts) | ||||||||||||||||
(unaudited) | ||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2016 | 2015 | 2016 | 2015 | |||||||||||||
OPERATING REVENUE | $ | 160,791 | $ | 191,684 | $ | 323,577 | $ | 379,207 | ||||||||
OPERATING EXPENSES | ||||||||||||||||
Salaries, wages, and benefits | 61,524 | 70,904 | 126,990 | 141,900 | ||||||||||||
Rent and purchased transportation | 6,181 | 9,211 | 12,881 | 18,537 | ||||||||||||
Fuel | 24,394 | 34,196 | 45,588 | 68,452 | ||||||||||||
Operations and maintenance | 6,969 | 8,379 | 13,607 | 16,512 | ||||||||||||
Operating taxes and licenses | 3,943 | 4,378 | 7,834 | 9,192 | ||||||||||||
Insurance and claims | 4,979 | 3,469 | 13,072 | 10,113 | ||||||||||||
Communications and utilities | 1,060 | 1,453 | 2,265 | 2,996 | ||||||||||||
Depreciation and amortization | 25,847 | 26,876 | 51,552 | 52,850 | ||||||||||||
Other operating expenses | 5,898 | 6,747 | 10,831 | 14,505 | ||||||||||||
Gain on disposal of property and equipment | (4,511 | ) | (9,668 | ) | (5,800 | ) | (19,849 | ) | ||||||||
136,284 | 155,945 | 278,820 | 315,208 | |||||||||||||
Operating income | 24,507 | 35,739 | 44,757 | 63,999 | ||||||||||||
Interest income | 109 | 61 | 184 | 93 | ||||||||||||
Interest expense | — | — | — | (19 | ) | |||||||||||
Income before income taxes | 24,616 | 35,800 | 44,941 | 64,073 | ||||||||||||
Federal and state income taxes | 8,248 | 12,484 | 14,196 | 23,145 | ||||||||||||
Net income | $ | 16,368 | $ | 23,316 | $ | 30,745 | $ | 40,928 | ||||||||
Other comprehensive income, net of tax | — | — | — | — | ||||||||||||
Comprehensive income | $ | 16,368 | $ | 23,316 | $ | 30,745 | $ | 40,928 | ||||||||
Net income per share | ||||||||||||||||
Basic | $ | 0.20 | $ | 0.27 | $ | 0.37 | $ | 0.47 | ||||||||
Diluted | $ | 0.20 | $ | 0.27 | $ | 0.37 | $ | 0.47 | ||||||||
Weighted average shares outstanding | ||||||||||||||||
Basic | 83,248 | 87,814 | 83,308 | 87,802 | ||||||||||||
Diluted | 83,319 | 87,967 | 83,390 | 87,966 | ||||||||||||
Dividends declared per share | $ | 0.02 | $ | 0.02 | $ | 0.04 | $ | 0.04 |
HEARTLAND EXPRESS, INC | ||||||||||||||||||||
AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY | ||||||||||||||||||||
(in thousands, except per share amounts) | ||||||||||||||||||||
(unaudited) | ||||||||||||||||||||
Capital | Additional | |||||||||||||||||||
Stock, | Paid-In | Retained | Treasury | |||||||||||||||||
Common | Capital | Earnings | Stock | Total | ||||||||||||||||
Balance, December 31, 2015 | $ | 907 | $ | 4,126 | $ | 575,948 | $ | (111,053 | ) | $ | 469,928 | |||||||||
Net income | — | — | 30,745 | — | 30,745 | |||||||||||||||
Dividends on common stock, $0.04 per share | — | — | (3,332 | ) | — | (3,332 | ) | |||||||||||||
Repurchases of common stock | — | — | — | (14,678 | ) | (14,678 | ) | |||||||||||||
Stock-based compensation, net of tax | — | (748 | ) | — | 1,412 | 664 | ||||||||||||||
Balance, June 30, 2016 | $ | 907 | $ | 3,378 | $ | 603,361 | $ | (124,319 | ) | $ | 483,327 |
HEARTLAND EXPRESS, INC. | ||||||||
AND SUBSIDIARIES | ||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||
(in thousands) | ||||||||
(unaudited) | ||||||||
Six Months Ended June 30, | ||||||||
2016 | 2015 | |||||||
OPERATING ACTIVITIES | ||||||||
Net income | $ | 30,745 | $ | 40,928 | ||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||
Depreciation and amortization | 51,552 | 53,375 | ||||||
Deferred income taxes | (5,341 | ) | (2,063 | ) | ||||
Amortization of stock-based compensation, net of tax | 664 | 714 | ||||||
Gain on disposal of property and equipment | (5,800 | ) | (19,849 | ) | ||||
Changes in certain working capital items: | ||||||||
Trade receivables | 4,000 | 6,574 | ||||||
Prepaid expenses and other current assets | 308 | 1,368 | ||||||
Accounts payable, accrued liabilities, and accrued expenses | 5,696 | 6,441 | ||||||
Accrued income taxes | (3,927 | ) | 14,222 | |||||
Net cash provided by operating activities | 77,897 | 101,710 | ||||||
INVESTING ACTIVITIES | ||||||||
Proceeds from sale of property and equipment | 26,744 | 57,349 | ||||||
Purchases of property and equipment, net of trades | (42,353 | ) | (64,703 | ) | ||||
Change in designated funds for equipment purchases | — | (5,741 | ) | |||||
Change in other assets | 97 | 1,682 | ||||||
Net cash used in investing activities | (15,512 | ) | (11,413 | ) | ||||
FINANCING ACTIVITIES | ||||||||
Payments of cash dividends | (3,332 | ) | (1,759 | ) | ||||
Contingent consideration related to acquisition | — | (1,765 | ) | |||||
Repayments on line of credit | — | (24,600 | ) | |||||
Repurchases of common stock | (14,678 | ) | — | |||||
Net cash used in financing activities | (18,010 | ) | (28,124 | ) | ||||
Net increase in cash and cash equivalents | 44,375 | 62,173 | ||||||
CASH AND CASH EQUIVALENTS | ||||||||
Beginning of period | 33,232 | 17,303 | ||||||
End of period | $ | 77,607 | $ | 79,476 | ||||
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION | ||||||||
Interest paid | $ | — | $ | 40 | ||||
Cash paid during the period for income taxes, net of refunds | $ | 23,384 | $ | 10,802 | ||||
Noncash investing and financing activities: | ||||||||
Purchased property and equipment in accounts payable | $ | 9,334 | $ | 5,682 | ||||
Sold property and equipment in other current assets | $ | 2,501 | $ | 1,598 | ||||
Common stock dividends declared in accounts payable | $ | — | $ | 1,760 |
Amortization period (years) | Gross Amount | Accumulated Amortization | Net intangible assets | ||||||||||
(in thousands) | |||||||||||||
Customer relationships | 20 | $ | 7,600 | $ | 997 | $ | 6,603 | ||||||
Tradename | 6 | 7,400 | 3,236 | 4,164 | |||||||||
Covenants not to compete | 10 | 3,100 | 816 | 2,284 | |||||||||
Real estate options | 2.2 | 942 | 942 | — | |||||||||
$ | 19,042 | $ | 5,991 | $ | 13,051 |
(in thousands) | |||
Balance at December 31, 2015 | $ | 100,212 | |
Acquisitions | — | ||
Balance at June 30, 2016 | $ | 100,212 |
Three months ended June 30, 2016 | ||||||||||
Net Income (numerator) | Shares (denominator) | Per Share Amount | ||||||||
Basic EPS | $ | 16,368 | 83,248 | $ | 0.20 | |||||
Effect of restricted stock | — | 71 | ||||||||
Diluted EPS | $ | 16,368 | 83,319 | $ | 0.20 |
Three months ended June 30, 2015 | ||||||||||
Net Income (numerator) | Shares (denominator) | Per Share Amount | ||||||||
Basic EPS | $ | 23,316 | 87,814 | $ | 0.27 | |||||
Effect of restricted stock | — | 153 | ||||||||
Diluted EPS | $ | 23,316 | 87,967 | $ | 0.27 |
Six Months Ended June 30, 2016 | ||||||||||
Net Income (numerator) | Shares (denominator) | Per Share Amount | ||||||||
Basic EPS | $ | 30,745 | 83,308 | $ | 0.37 | |||||
Effect of restricted stock | — | 82 | ||||||||
Diluted EPS | $ | 30,745 | 83,390 | $ | 0.37 |
Six Months Ended June 30, 2015 | ||||||||||
Net Income (numerator) | Shares (denominator) | Per Share Amount | ||||||||
Basic EPS | $ | 40,928 | 87,802 | $ | 0.47 | |||||
Effect of restricted stock | — | 164 | ||||||||
Diluted EPS | $ | 40,928 | 87,966 | $ | 0.47 |
Three Months Ended June 30, 2016 | ||||||
Number of Shares of Restricted Stock Awards (in thousands) | Weighted Average Grant Date Fair Value | |||||
Unvested at beginning of period | 89.0 | $ | 17.68 | |||
Granted | 41.0 | 17.11 | ||||
Vested | (63.2 | ) | 14.27 | |||
Forfeited | — | — | ||||
Outstanding (unvested) at end of period | 66.8 | $ | 20.55 |
Six Months Ended June 30, 2016 | ||||||
Number of Shares of Restricted Stock Awards (in thousands) | Weighted Average Grant Date Fair Value | |||||
Unvested at beginning of period | 102.4 | $ | 18.36 | |||
Granted | 74.0 | 17.27 | ||||
Vested | (109.6 | ) | 16.06 | |||
Forfeited | — | — | ||||
Outstanding (unvested) at end of period | 66.8 | $ | 20.55 |
Three Months Ended June 30, 2015 | ||||||
Number of Shares of Restricted Stock Awards (in thousands) | Weighted Average Grant Date Fair Value | |||||
Unvested at beginning of period | 175.1 | $ | 16.49 | |||
Granted | 2.2 | 21.19 | ||||
Vested | (72.7 | ) | 14.30 | |||
Forfeited | — | — | ||||
Outstanding (unvested) at end of period | 104.6 | $ | 18.04 |
Six Months Ended June 30, 2015 | ||||||
Number of Shares of Restricted Stock Awards (in thousands) | Weighted Average Grant Date Fair Value | |||||
Unvested at beginning of period | 183.1 | $ | 16.78 | |||
Granted | 4.2 | 24.06 | ||||
Vested | (82.7 | ) | 15.73 | |||
Forfeited | — | — | ||||
Outstanding (unvested) at end of period | 104.6 | $ | 18.04 |
2016 | |||
(in thousands) | |||
Balance at January 1, 2016 | $ | 11,569 | |
Additions based on tax positions related to current year | 328 | ||
Additions for tax positions of prior years | — | ||
Reductions for tax positions of prior years | (108 | ) | |
Reductions due to lapse of applicable statute of limitations | (2,374 | ) | |
Settlements | — | ||
Balance at June 30, 2016 | $ | 9,415 |
Three months ended June 30, | |||||||
2016 | 2015 | ||||||
Payments for tractor purchases | $ | 4,300 | 22,795 | ||||
Receipts for tractor sales | — | (11,041 | ) | ||||
Revenue equipment lease payments | 265 | 799 | |||||
Payments for parts and services | 246 | 1,065 | |||||
Terminal lease payments | 466 | 963 | |||||
Terminal lease purchase option payment | — | 4,875 | |||||
$ | 5,277 | $ | 19,456 |
Six months ended June 30, | |||||||
2016 | 2015 | ||||||
Payments for tractor purchases | $ | 4,300 | 24,895 | ||||
Receipts for tractor sales | — | (19,567 | ) | ||||
Receipts for trailer sales | (108 | ) | — | ||||
Revenue equipment lease payments | 813 | 1,884 | |||||
Payments for parts and services | 783 | 2,426 | |||||
Terminal lease payments | 931 | 1,919 | |||||
Terminal lease purchase option payment | — | 4,875 | |||||
$ | 6,719 | $ | 16,432 |
GAAP to Non-GAAP Reconciliation Schedule: | ||||||||
Operating income, operating ratio, and adjusted operating ratio reconciliation (a) | ||||||||
(In thousands) | ||||||||
(unaudited) | ||||||||
Three Months Ended June 30, | ||||||||
2016 | 2015 | |||||||
Operating revenue | $ | 160,791 | $ | 191,684 | ||||
Less: Fuel surcharge revenue | 15,341 | 25,705 | ||||||
Operating revenue, excluding fuel surcharge revenue | 145,450 | 165,979 | ||||||
Operating expenses | 136,284 | 155,945 | ||||||
Less: Fuel surcharge revenue | 15,341 | 25,705 | ||||||
Adjusted operating expenses | 120,943 | 130,240 | ||||||
Operating income | $ | 24,507 | $ | 35,739 | ||||
Operating ratio | 84.8 | % | 81.4 | % | ||||
Adjusted operating ratio (a) | 83.2 | % | 78.5 | % |
Six Months Ended June 30, | ||||||||
2016 | 2015 | |||||||
Operating revenue | $ | 323,577 | $ | 379,207 | ||||
Less: Fuel surcharge revenue | 28,434 | 51,809 | ||||||
Operating revenue, excluding fuel surcharge revenue | 295,143 | 327,398 | ||||||
Operating expenses | 278,820 | 315,208 | ||||||
Less: Fuel surcharge revenue | 28,434 | 51,809 | ||||||
Adjusted operating expenses | 250,386 | 263,399 | ||||||
Operating income | $ | 44,757 | $ | 63,999 | ||||
Operating ratio | 86.2 | % | 83.1 | % | ||||
Adjusted operating ratio (a) | 84.8 | % | 80.5 | % |
Three Months Ended June 30, | Six months ended June 30, | |||||||||||
2016 | 2015 | 2016 | 2015 | |||||||||
Operating revenue | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | ||||
Operating expenses: | ||||||||||||
Salaries, wages, and benefits | 38.3 | % | 37.0 | % | 39.2 | % | 37.4 | % | ||||
Rent and purchased transportation | 3.8 | % | 4.8 | % | 4.0 | % | 4.9 | % | ||||
Fuel | 15.2 | % | 17.8 | % | 14.1 | % | 18.1 | % | ||||
Operations and maintenance | 4.3 | % | 4.4 | % | 4.2 | % | 4.4 | % | ||||
Operating taxes and licenses | 2.5 | % | 2.3 | % | 2.4 | % | 2.4 | % | ||||
Insurance and claims | 3.1 | % | 1.8 | % | 4.0 | % | 2.7 | % | ||||
Communications and utilities | 0.7 | % | 0.8 | % | 0.7 | % | 0.8 | % | ||||
Depreciation and amortization | 16.1 | % | 14.0 | % | 15.9 | % | 13.9 | % | ||||
Other operating expenses | 3.7 | % | 3.5 | % | 3.3 | % | 3.8 | % | ||||
Gain on disposal of property and equipment | (2.8 | )% | (5.0 | )% | (1.8 | )% | (5.2 | )% | ||||
84.8 | % | 81.4 | % | 86.2 | % | 83.1 | % | |||||
Operating income | 15.2 | % | 18.6 | % | 13.8 | % | 16.9 | % | ||||
Interest income | 0.07 | % | 0.03 | % | 0.06 | % | 0.02 | % | ||||
Interest expense | — | % | — | % | — | % | (0.01 | )% | ||||
Income before income taxes | 15.3 | % | 18.7 | % | 13.9 | % | 16.9 | % | ||||
Income taxes | 5.1 | % | 6.5 | % | 4.4 | % | 6.1 | % | ||||
Net income | 10.2 | % | 12.2 | % | 9.5 | % | 10.8 | % |
• | Our business is subject to general economic and business factors affecting the trucking industry that are largely out of our control, any of which could have a materially adverse effect on our operating results. |
• | Our growth may not continue at historical rates, if at all, and any decrease in revenues or profits may impair our ability to implement our business strategy, which could have a materially adverse effect on our results of operations. |
• | We are highly dependent on a few major customers, the loss of one or more of which could have a materially adverse effect on our business. |
• | Indebtedness under our Credit Agreement could have adverse consequences on our future operations. |
• | We have significant ongoing capital requirements that could affect our profitability if we are unable to generate sufficient cash from operations and obtain financing on favorable terms. |
• | Increased prices, reduced productivity, and restricted availability of new revenue equipment and decreased demand and value of used equipment may adversely affect our earnings and cash flows. |
• | If diesel fuel prices increase significantly, our results of operations could be adversely affected. |
• | Difficulty in attracting and retaining drivers, including independent contractors, may have a materially adverse effect on our business. |
• | If our independent contractors are deemed by regulators or judicial process to be employees, our business and results of operations could be adversely affected. |
• | We operate in a highly regulated industry, and increased costs of compliance with, or liability for violation of, existing or future regulations could have a materially adverse effect on our business. |
• | Safety-related evaluations and rankings under Compliance, Safety, Accountability (CSA) could adversely affect our profitability and operations, our ability to maintain or grow our fleet, and our customer relationships. |
• | Our operations are subject to various environmental laws and regulations, the violations of which could result in substantial fines or penalties. |
• | We are exposed to risks related to our acquisition of Gordon Trucking, Inc. ("GTI") and we may not be able to achieve the benefits we expected at the time of the acquisition. Any failure to implement our business strategy with respect to the GTI acquisition could negatively impact our business, financial condition and results of operations. |
• | We may not make acquisitions in the future, or if we do, we may not be successful in integrating the acquired company, either of which could have a materially adverse effect on our business. |
• | If we are unable to retain our key employees or find, develop, and retain terminal managers, our business, financial condition, and results of operations could be adversely affected. |
• | Seasonality and the impact of weather affect our operations profitability. |
• | We self-insure for a significant portion of our claims exposure, which could significantly increase the volatility of, and decrease the amount of, our earnings. |
• | We are dependent on computer and communications systems, and a systems failure could cause a significant disruption to our business. |
• | Concentrated ownership of our stock can influence shareholder decisions, may discourage a change in control, and may have an adverse effect on the share price of our stock. |
• | Efforts by labor unions could divert management's attention and could have a materially adverse effect on our operating results. |
ITEM 3. | QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK |
3.1 | Articles of Incorporation. Incorporated by reference to the Company's registration statement on Form S-1, Registration No. 33-8165, effective November 5, 1986. | ||
3.2 | Amended and Restated Bylaws. Incorporated by reference to the Company's Form 10-K, for the year ended December 31, 2007, dated February 28, 2008 | ||
3.3 | Certificate of Amendment to Articles of Incorporation. Incorporated by reference to the Company's Form 10-QA, for the quarter ended June 30, 1997, dated March 20, 1998. | ||
4.1 | Articles of Incorporation. Incorporated by reference to the Company's registration statement on Form S-1, Registration No. 33-8165, effective November 5, 1986. | ||
4.2 | Amended and Restated Bylaws. Incorporated by reference to the Company's Form 10-K, for the year ended December 31, 2007, dated February 28, 2008. | ||
4.3 | Certificate of Amendment to Articles of Incorporation. Incorporated by reference to the Company's Form 10-QA, for the quarter ended June 30, 1997, dated March 20, 1998. | ||
31.1* | Certification of Principal Executive Officer Pursuant to Rule 13a-14(a) and Rule 15d-14(a) of the Securities Exchange Act, as amended. | ||
31.2* | Certification of Principal Financial Officer Pursuant to Rule 13a-14(a) and Rule 15d-14(a) of the Securities Exchange Act, as amended. | ||
32.1* | Certification of Principal Executive Officer Pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. | ||
32.2* | Certification of the Principal Financial Officer Pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. | ||
101.INS** | XBRL Instance Document. | ||
101.SCH** | XBRL Taxonomy Extension Schema Document | ||
101.CAL** | XBRL Taxonomy Extension Calculation Linkbase Document | ||
101.DEF** | XBRL Taxonomy Extension Definition Linkbase Document | ||
101.LAB** | XBRL Taxonomy Extension Label Linkbase Document | ||
101.PRE** | XBRL Taxonomy Extension Presentation Linkbase Document |
HEARTLAND EXPRESS, INC. | ||
Date: | August 9, 2016 | By: /s/ John P. Cosaert |
John P. Cosaert | ||
Executive Vice President of Finance | ||
and Chief Financial Officer | ||
(Principal Accounting and Financial Officer) |
1. | I have reviewed this quarterly report on Form 10-Q of Heartland Express Inc. (the “Registrant”); | |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this quarterly report; | |
3. | Based on my knowledge, the financial statements and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the Registrant as of, and for, the periods presented in this quarterly report; | |
4. | The Registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rule 13a-15(f) and 15d-15(f)) for the Registrant and we have: | |
a) | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this quarterly report is being prepared; | |
b) | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; | |
c) | Evaluated the effectiveness of the Registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this quarterly report based on such evaluation; and | |
d) | Disclosed in this quarterly report any change in the Registrant’s internal control over financial reporting that occurred during the Registrant’s most recent fiscal quarter (the Registrant's fourth fiscal quarter in case of an annual report) that has materially affected, or is reasonably likely to materially affect, the Registrant’s internal control over financial reporting; and | |
5. | The Registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the Registrant’s independent registered public accounting firm and the audit committee of Registrant’s board of directors (or persons performing the equivalent functions): | |
a) | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Registrant’s ability to record, process, summarize and report financial information; and | |
b) | Any fraud, whether or not material, that involves management or other employees who have a significant role in the Registrant’s internal control over financial reporting. |
Date: | August 9, 2016 | By: | /s/ Michael J. Gerdin | |
Michael J. Gerdin | ||||
Chairman, President and Chief Executive Officer | ||||
(Principal Executive Officer) |
1. | I have reviewed this quarterly report on Form 10-Q of Heartland Express Inc. (the “Registrant”); | |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this quarterly report; | |
3. | Based on my knowledge, the financial statements and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the Registrant as of, and for, the periods presented in this quarterly report; | |
4. | The Registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rule 13a-15(f) and 15d-15(f)) for the Registrant and we have: | |
a) | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this quarterly report is being prepared; | |
b) | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; | |
c) | Evaluated the effectiveness of the Registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this quarterly report based on such evaluation; and | |
d) | Disclosed in this quarterly report any change in the Registrant’s internal control over financial reporting that occurred during the Registrant’s most recent fiscal quarter (the Registrant's fourth fiscal quarter in case of an annual report) that has materially affected, or is reasonably likely to materially affect, the Registrant’s internal control over financial reporting; and | |
5. | The Registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the Registrant’s independent registered public accounting firm and the audit committee of Registrant’s board of directors (or persons performing the equivalent functions): | |
a) | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Registrant’s ability to record, process, summarize and report financial information; and | |
b) | Any fraud, whether or not material, that involves management or other employees who have a significant role in the Registrant’s internal control over financial reporting. |
Date: | August 9, 2016 | By: | /s/ John P. Cosaert | |
John P. Cosaert | ||||
Executive Vice President-Finance | ||||
Treasurer and Chief Financial Officer | ||||
(Principal Accounting and Financial Officer) |
In connection with the Quarterly Report of Heartland Express, Inc. (the "Company"), on Form 10-Q for the period ended June 30, 2016 (the "Report"), filed with the Securities and Exchange Commission, I, Michael J. Gerdin, Chairman, President and Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to the best of my knowledge: | |
1. | The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, and |
2. | The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
Date: | August 9, 2016 | By: | /s/ Michael J. Gerdin | |
Michael J. Gerdin | ||||
Chairman, President and Chief Executive Officer |
In connection with the Quarterly Report of Heartland Express, Inc. (the "Company"), on Form 10-Q for the period ended June 30, 2016 (the "Report"), filed with the Securities and Exchange Commission, I, John P. Cosaert, Executive Vice President, Treasurer-Finance and Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to the best of my knowledge: | |
1. | The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, and |
2. | The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
Date: | August 9, 2016 | By: | /s/ John P. Cosaert | |
John P. Cosaert | ||||
Executive Vice President-Finance, Treasurer | ||||
and Chief Financial Officer |
Document and Entity Information - shares |
6 Months Ended | |
---|---|---|
Jun. 30, 2016 |
Aug. 05, 2016 |
|
Document Information [Line Items] | ||
Entity Registrant Name | HEARTLAND EXPRESS INC | |
Entity Central Index Key | 0000799233 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2016 | |
Document Fiscal Year Focus | 2016 | |
Document Fiscal Period Focus | Q2 | |
Current Fiscal Year End Date | --12-31 | |
Amendment Flag | false | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 83,286,495 |
Consolidated Balance Sheets Consolidated Balance Sheets (Parentheticals) - $ / shares shares in Thousands |
Jun. 30, 2016 |
Dec. 31, 2015 |
---|---|---|
Consolidated Balance Sheets Parentheticals [Abstract] | ||
Preferred Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Preferred Stock, Shares Authorized | 5,000 | 5,000 |
Preferred Stock, Shares Issued | 0 | 0 |
Common Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Common Stock, Shares Authorized | 395,000 | 395,000 |
Common Stock, Shares, Issued | 90,689 | 90,689 |
Common Stock, Shares, Outstanding | 83,279 | 84,115 |
Treasury Stock, Shares | 7,410 | 6,574 |
Consolidated Statements of Comprehensive Income - USD ($) shares in Thousands, $ in Thousands |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2016 |
Jun. 30, 2015 |
Jun. 30, 2016 |
Jun. 30, 2015 |
|
Income Statement [Abstract] | ||||
Operating Revenue | $ 160,791 | $ 191,684 | $ 323,577 | $ 379,207 |
Operating Expenses | ||||
Salaries, wages, and benefits | 61,524 | 70,904 | 126,990 | 141,900 |
Rent and purchased transportation | 6,181 | 9,211 | 12,881 | 18,537 |
Fuel | 24,394 | 34,196 | 45,588 | 68,452 |
Operations and maintenance | 6,969 | 8,379 | 13,607 | 16,512 |
Operating taxes and licenses | 3,943 | 4,378 | 7,834 | 9,192 |
Insurance and claims | 4,979 | 3,469 | 13,072 | 10,113 |
Communications and utilities | 1,060 | 1,453 | 2,265 | 2,996 |
Depreciation and amortization | 25,847 | 26,876 | 51,552 | 52,850 |
Other operating expenses | 5,898 | 6,747 | 10,831 | 14,505 |
Gain on disposal of property and equipment | (4,511) | (9,668) | (5,800) | (19,849) |
Total operating expenses | 136,284 | 155,945 | 278,820 | 315,208 |
Operating income | 24,507 | 35,739 | 44,757 | 63,999 |
Interest income | 109 | 61 | 184 | 93 |
Interest expense | 0 | 0 | 0 | (19) |
Income before income taxes | 24,616 | 35,800 | 44,941 | 64,073 |
Federal and state income taxes | 8,248 | 12,484 | 14,196 | 23,145 |
Net income | 16,368 | 23,316 | 30,745 | 40,928 |
Other comprehensive income, net of tax | 0 | 0 | 0 | 0 |
Comprehensive income | $ 16,368 | $ 23,316 | $ 30,745 | $ 40,928 |
Net income per share | ||||
Basic | $ 0.20 | $ 0.27 | $ 0.37 | $ 0.47 |
Diluted | $ 0.20 | $ 0.27 | $ 0.37 | $ 0.47 |
Weighted average shares outstanding | ||||
Basic | 83,248 | 87,814 | 83,308 | 87,802 |
Diluted | 83,319 | 87,967 | 83,390 | 87,966 |
Dividends declared per share | $ 0.02 | $ 0.02 | $ 0.04 | $ 0.04 |
Consolidated Statements of Stockholders' Equity - 6 months ended Jun. 30, 2016 - USD ($) $ in Thousands |
Total |
Capital Stock, Common |
Additional Paid-in Capital |
Retained Earnings |
Treasury Stock |
---|---|---|---|---|---|
Balance at Dec. 31, 2015 | $ 469,928 | $ 907 | $ 4,126 | $ 575,948 | $ (111,053) |
Net income | 30,745 | 0 | 0 | 30,745 | 0 |
Dividends on common stock, $0.04 per share | (3,332) | 0 | 0 | (3,332) | 0 |
Treasury Stock, Value, Acquired, Cost Method | (14,678) | 0 | 0 | 0 | (14,678) |
Stock-based compensation, net of tax | 664 | 0 | (748) | 0 | 1,412 |
Balance at Jun. 30, 2016 | $ 483,327 | $ 907 | $ 3,378 | $ 603,361 | $ (124,319) |
Consolidated Statement of Stockholders' Equity Parentheticals - $ / shares |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2016 |
Jun. 30, 2015 |
Jun. 30, 2016 |
Jun. 30, 2015 |
|
Dividends declared per share | $ 0.02 | $ 0.02 | $ 0.04 | $ 0.04 |
Basis of Presentation |
6 Months Ended |
---|---|
Jun. 30, 2016 | |
Basis of Presentation [Abstract] | |
Basis of Presentation | Basis of Presentation and New Accounting Pronouncements Heartland Express, Inc., (the “Company,” “we,” “us,” or “our”) is a holding company incorporated in Nevada, which owns all of the stock of Heartland Express Inc. of Iowa, Gordon Trucking, Inc. (“GTI”), Heartland Express Services, Inc., Heartland Express Maintenance Services, Inc., and A & M Express, Inc. We, and our subsidiaries, operate as one segment. We, together with our subsidiaries, are a short-to-medium haul truckload carrier (predominately 500 miles or less per load) with corporate headquarters in North Liberty, Iowa. We primarily provide nationwide asset-based dry van truckload service for major shippers from Washington to Florida and New England to California. The accompanying consolidated financial statements include the parent company, Heartland Express, Inc., and its subsidiaries, all of which are wholly owned. All material intercompany items and transactions have been eliminated in consolidation. The accompanying unaudited consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles ("GAAP") for interim financial information and with the instructions to Form 10-Q and Regulation S-X. Accordingly, they do not include all of the information and notes to the financial statements required by U.S. generally accepted accounting principles for complete financial statements. In the opinion of management, all normal, recurring adjustments considered necessary for a fair presentation have been included. The consolidated financial statements should be read in conjunction with the audited consolidated financial statements and accompanying notes for the year ended December 31, 2015 included in the Annual Report on Form 10-K of the Company filed with the Securities and Exchange Commission on February 29, 2016. Interim results of operations are not necessarily indicative of the results to be expected for the full year or any other interim periods. There were no changes to the Company's significant accounting policies during the six month period ended June 30, 2016, except as noted below in regards to the balance sheet classification of deferred taxes. In March, 2016, the Financial Accounting Standards Board (FASB) issued ASU 2016-09, "Compensation-Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting". This update seeks to simplify several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities and classification on the statement of cash flows. This update becomes effective for the company beginning January 1, 2017 with early adoption permitted. The Company is currently evaluating the impact of ASU 2016-09. In February, 2016, the FASB issued ASU 2016-02, "Leases". This update seeks to increase the transparency and comparability among entities by requiring public entities to recognize lease assets and lease liabilities on the balance sheet and disclose key information about leasing arrangements. To satisfy the standard’s objective, a lessee will recognize a right-of-use asset representing its right to use the underlying asset for the lease term and a lease liability for the obligation to make lease payments. Both the right-of-use asset and lease liability will initially be measured at the present value of the lease payments, with subsequent measurement dependent on the classification of the lease as either a finance or an operating lease. For leases with a term of 12 months or less, a lessee is permitted to make an accounting policy election by class of underlying asset not to recognize lease assets and lease liabilities. If a lessee makes this election, it should recognize lease expense for such leases generally on a straight-line basis over the lease term. In transition, lessees are required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. The modified retrospective approach includes a number of optional practical expedients that companies may elect to apply. These practical expedients relate to the identification and classification of leases that commenced before the effective date, initial direct costs for leases that commenced before the effective date, and the ability to use hindsight in evaluating lessee options to extend or terminate a lease or to purchase the underlying asset. The transition guidance also provides specific guidance for sale and leaseback transactions, build-to-suit leases, leveraged leases, and amounts previously recognized in accordance with the business combinations guidance for leases. The new standard is effective for public companies for annual periods beginning after December 15, 2018, and interim periods within those years, with early adoption permitted. The Company is currently evaluating the effect that adopting this standard will have on our consolidated financial statements. In November, 2015, the FASB issued Accounting Standards Update (ASU) 2015-17, "Balance Sheet Classification of Deferred Taxes". The ASU simplifies the current guidance, which requires entities to separately present deferred tax assets and liabilities as current and non-current in a classified balance sheet. The ASU will be effective for annual periods beginning after December 15, 2016, and interim periods within those years (with early adoption allowed). The Company adopted this guidance prospectively and classified deferred tax asset and deferred tax liability amounts, by tax jurisdiction, as non-currrent within our balance sheet beginning March 31, 2016 and for future periods. Prior periods presented have not been adjusted. In May, 2014, the FASB issued ASU 2014-09 which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The guidance will replace most existing revenue recognition in GAAP when it becomes effective. The original guidance was to be effective for fiscal years, and interim periods within those years, beginning after December 15, 2016. In July 2015, the FASB issued ASU 2015-14 and agreed to defer the effective date of this guidance by one year, with early adoption permitted on the original effective date. The new guidance permits the use of either the retrospective or cumulative effect transition method. In March 2016, the FASB issued ASU 2016-08 which amends the guidance around principal versus agent and clarifies the control principle of goods and services. We are evaluating the effect that the new guidance will have on our consolidated financial statements and related disclosures. We have not yet selected a transition method nor have we determined the effect of the standard on our ongoing financial reporting. |
Use of Estimates |
6 Months Ended |
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Jun. 30, 2016 | |
Use of Estimates [Abstract] | |
Use of Estimates | Use of Estimates The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. There were no significant changes in estimates and assumptions used by management related to our accounting policies during the three and six months ended June 30, 2016, except for a change in the assumptions related to the likelihood of future payouts which reduced the potential earn-out liability recorded related to an acquisition. |
Segment Information |
6 Months Ended |
---|---|
Jun. 30, 2016 | |
Segment Information [Abstract] | |
Segment Information | Segment Information We provide multiple transportation services across the United States (U.S.) and parts of Canada. We offer primarily asset-based transportation services in the dry van truckload market and also offer truckload temperature-controlled transportation services and non-asset based brokerage services. None of our transportation services or geographical-based regional terminals individually meet the definition of a segment. Our Chief Operating Decision Maker is our Chief Executive Officer who oversees and manages all of our transportation services and regional terminals, on a combined basis, including the legacy transportation services of acquired entities. As a result of the foregoing, we have determined that we have one segment, consistent with the authoritative accounting guidance on disclosures about segments of an enterprise and related information. |
Cash and Cash Equivalents |
6 Months Ended |
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Jun. 30, 2016 | |
Cash and Cash Equivalents [Abstract] | |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash equivalents are short-term, highly liquid investments with insignificant interest rate risk and original maturities of three months or less at acquisition. At June 30, 2016, restricted and designated cash and investments totaled $11.3 million and $11.4 million at December 31, 2015, all of which was included in other non-current assets in the consolidated balance sheets. The restricted funds represent deposits required by state agencies for self-insurance purposes and designated funds that are earmarked for a specific purpose and not for general business use. |
Prepaid Tires, Property, Equipment and Depreciation |
6 Months Ended |
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Jun. 30, 2016 | |
Property, Plant and Depreciation [Abstract] | |
Property, Equipment, and Depreciation | Prepaid Tires, Property, Equipment, and Depreciation Property and equipment are reported at cost, net of accumulated depreciation. Maintenance and repairs are charged to operations as incurred. Tires are capitalized separately from revenue equipment and are reported separately as “Prepaid tires” in the consolidated balance sheets and amortized over two years. Depreciation expense of $0.0 million and $0.3 million for the three months ended June 30, 2016 and 2015 and $0.0 million and $0.5 million for the six months ended June 30, 2016 and 2015, respectively, have been included in communication and utilities in the consolidated statements of comprehensive income. Depreciation for financial statement purposes is computed by the straight-line method for all assets other than tractors. We recognize depreciation expense on tractors using the 125% declining balance method. New tractors are depreciated to salvage values of $15,000 while new trailers are depreciated to salvage values of $4,000. |
Other Intangible, Net and Goodwill |
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Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Intangible Assets and Goodwill | Other Intangibles, Net and Goodwill All intangible assets determined to have finite lives are amortized over their estimated useful lives. The useful life of an intangible asset is the period over which the asset is expected to contribute directly or indirectly to future cash flows. There was no change in the gross amount of identifiable intangible assets during the three and six months ended June 30, 2016. Amortization expense of $0.5 million, $1.0 million and $0.6 million, $1.2 million for the three and six months ended June 30, 2016 and 2015, respectively, was included in depreciation and amortization in the consolidated statement of comprehensive income. Intangible assets subject to amortization consisted of the following at June 30, 2016:
Carrying amounts of goodwill were as follows:
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Earnings Per Share |
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Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share | Earnings per Share Basic earnings per share is based upon the weighted average common shares outstanding during each year. Diluted earnings per share is based on the basic weighted earnings per share with additional weighted common shares for common stock equivalents. During the three and six months ended June 30, 2016 and June 30, 2015, we had unvested shares of common stock to certain of our employees under the Company's 2011 Restricted Stock Award Plan. A reconciliation of the numerator (net income) and denominator (weighted average number of shares outstanding of the basic and diluted earnings per share ("EPS") for the three and six months ended June 30, 2016 and 2015 is as follows (in thousands, except per share data):
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Equity |
6 Months Ended |
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Jun. 30, 2016 | |
Share Repurchases [Abstract] | |
Stockholders' Equity | Equity In September 2001, our Board of Directors authorized a program to repurchase 15.4 million shares, adjusted for stock splits, of our common stock in open market or negotiated transactions using available cash, cash equivalents and investments which was subsequently amended in February, 2012. Upon completing the prior authorizations, the Board approved new authorizations of 4.8 million shares in November, 2015. Approximately 3.3 million shares remain authorized for repurchase under the program as of June 30, 2016. There were 0.0 million and 0.9 million shares repurchased in the open market during the three and six months ended June 30, 2016, respectively. There were no shares repurchased during the same periods in 2015. The authorization remains open at June 30, 2016 and has no expiration date. Shares repurchased during 2016 were accounted for as treasury stock. We account for treasury stock using the average cost method. The specific timing and amount of repurchases will be determined by market conditions, cash flow requirements, securities law limitations, and other factors. Repurchases are expected to continue from time to time, as conditions permit, until the number of shares authorized to be repurchased have been bought, or until the authorization to repurchase is terminated, whichever occurs first. The repurchase program may be suspended, modified, or discontinued at any time without prior notice. During the three and six months ended June 30, 2016 and 2015, our Board of Directors declared regular quarterly dividends totaling $1.7 million, $3.3 million, and $1.8 million, $3.5 million respectively. Future payment of cash dividends and the amount of such dividends will depend upon our financial conditions, our results of operations, our cash requirements, our tax treatment, and certain corporate law requirements, as well as factors deemed relevant by our Board of Directors. |
Stock-Based Compensation |
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Stock-Based Compensation [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock Based Compensation | Stock-Based Compensation In July 2011, a Special Meeting of Stockholders of Heartland Express, Inc. was held, at which meeting the approval of the Heartland Express, Inc. 2011 Restricted Stock Award Plan (the “Plan”) was ratified. The Plan is administered by the Compensation Committee of our Board of Directors. Per the terms of the awards, employees receiving awards will have all of the rights of a stockholder with respect to the unvested restricted shares including, but not limited to, the right to receive such cash dividends, if any, as may be declared on such shares from time to time and the right to vote such shares at any meeting of our stockholders. The Plan made available up to 0.9 million shares for the purpose of making restricted stock grants to our eligible officers and employees. As of June 30, 2016, there were 0.5 million shares that had been granted to employees. During December 2011, 0.4 million shares were granted to employees and no additional shares were granted during 2012. The shares granted in 2013 through 2016 have various vesting terms that range from immediate to four years from the date of grant. Once vested, there are no other restrictions on the awards. Compensation expense associated with these awards is based on the market value of our stock on the grant date. Our market closing price on December 14, 2011, grant date, was $13.57 and ranged between $13.86 and $18.18 on the various grant dates for the shares issued in 2013. The Company's market close price ranged between $21.72 and $27.47 on the various grant dates during 2014, ranged between $19.93 and $27.29 on the various grant dates during 2015, and ranged between $17.06 and $18.78 on the various grant dates during the six months ended June 30, 2016. There were no significant assumptions made in determining the fair value. Compensation expense associated with restricted stock awards is included in salaries, wages and benefits in the consolidated statements of comprehensive income. Compensation expense associated with restricted stock awards was $0.3 million and $1.0 million for the three and six months ended June 30, 2016, respectively. Compensation expense associated with restricted stock awards was $0.3 million and $0.6 million for the three and six months ended June 30, 2015, respectively. Unrecognized compensation expense was $0.8 million at June 30, 2016 which will be recognized over a weighted average period of 1.4 years. The following tables summarizes our restricted stock award activity for the three and six months ended June 30, 2016 and 2015.
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Long-Term Debt |
6 Months Ended |
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Jun. 30, 2016 | |
Line of Credit, Long-Term Debt [Abstract] | |
Long-Term Debt | Long-Term Debt In November 2013, we entered into a credit agreement (the “Credit Agreement”) by and among Wells Fargo Bank, National Association, (the “Bank”), Heartland Express, Inc. of Iowa as the borrower (the “Borrower”), us, GTI, and the other members of our consolidated group, as Guarantors. Pursuant to the Credit Agreement, the Bank provided a five-year, $250.0 million unsecured revolving line of credit. The line of credit is available for working capital, equipment financing, and general corporate purposes. The Bank's commitment decreased to $200.0 million on November 1, 2015, and decreases to $175.0 million from November 1, 2016 through October 31, 2018. The Credit Agreement is unsecured, with a negative pledge against all assets of our consolidated group, except for debt associated with permitted acquisitions, new purchase-money debt and capital lease obligations as described in the Credit Agreement. The Credit Agreement matures on October 31, 2018. The Borrower has the ability to terminate the commitment at any time at no additional cost to the Borrower. Borrowings under the Credit Agreement can either be, at Borrower's election, (i) one-month or three-month LIBOR (Index) plus 0.625%, floating, or (ii) Prime (Index) plus 0%, floating. There is a commitment fee on the unused portion of the Revolver at 0.0625%, due monthly. The Credit Agreement contains customary financial covenants including, but not limited to, (i) a maximum adjusted leverage ratio of 2:1, measured quarterly on a trailing twelve month basis, (ii) a minimum net income requirement of $1.00, measured quarterly on a trailing twelve month basis, (iii) a minimum tangible net worth of $200 million requirement, measured quarterly, and (iv) limitations on other indebtedness and liens. The Credit Agreement also includes customary events of default, conditions, representations and warranties, and indemnification provisions. We were in compliance with the respective financial covenants at June 30, 2016 and had no outstanding long-term debt at June 30, 2016 or December 31, 2015. Outstanding letters of credit associated with the revolving line of credit at June 30, 2016 were $5.5 million. As of June 30, 2016, the line of credit available for future borrowing was $194.5 million. |
Income Taxes |
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Jun. 30, 2016 | |||||||||||||||||||||||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||
Income Taxes | Income Taxes We use the asset and liability method of accounting for income taxes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amount of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Such amounts are adjusted, as appropriate, to reflect changes in tax rates expected to be in effect when temporary differences reverse. The effect of a change in tax rates on deferred taxes is recognized in the period that the change is enacted. A valuation allowance is recorded to reduce the Company's deferred tax assets to the amount that is more likely than not to be realized. We had no recorded valuation allowance at June 30, 2016 and December 31, 2015. Our effective tax rate was 33.5% and 34.9% for the three months ended and 31.6%, and 36.1% for the six months ended June 30, 2016 and 2015, respectively. The decrease in the effective tax rate for 2016 is primarily attributable to the favorable impact of the reversal of previously recorded accruals for penalties and interest related to uncertain tax positions where the applicable statute of limitations have now lapsed. We recognize the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. We record interest and penalties related to unrecognized tax benefits in income tax expense. At June 30, 2016 and December 31, 2015, we had a total of $9.4 million and $11.6 million in gross unrecognized tax benefits, respectively. Of this amount, $5.9 million and $7.3 million represents the amount of unrecognized tax benefits that, if recognized, would impact our effective tax rate as of June 30, 2016 and December 31, 2015. Unrecognized tax benefits were a net decrease of $1.3 million and $1.1 million during the three months ended June 30, 2016 and 2015, respectively. Unrecognized tax benefits were a net decrease of $2.2 million and $1.6 million during the six months ended June 30, 2016 and 2015, respectively. The net decreases during the three month periods of 2016 and 2015 were due mainly to the expiration of certain statutes of limitation net of additions with respective states. This had the effect of decreasing the effective state tax rate during these respective periods. The total net amount of accrued interest and penalties for such unrecognized tax benefits was $3.0 million and $4.7 million at June 30, 2016 and December 31, 2015 and is included in income taxes payable in the consolidated balance sheets. Income tax expense is increased each period for the accrual of interest on outstanding positions and penalties when the uncertain tax position is initially recorded. Income tax expense is reduced in periods by the amount of accrued interest and penalties associated with reversed uncertain tax positions due to lapse of applicable statute of limitations, when applicable or when a position is settled. Net interest and penalties included in income tax expense for the three month period ended June 30, 2016 and 2015 was a benefit of approximately $0.9 million and $0.7 million, respectively. Net interest and penalties included in income tax expense for the six month period ended June 30, 2016 and 2015 was a benefit of approximately $1.6 million and $1.2 million, respectively. Income tax expense was reduced during the three and six months ended June 30, 2016 and 2015 due to reversals of interest and penalties due to lapse of applicable statute of limitations and settlements, net of additions for interest and penalty accruals during the same period. These unrecognized tax benefits relate to risks associated with state income tax filing positions for our corporate subsidiaries. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
A number of years may elapse before an uncertain tax position is audited and ultimately settled. It is difficult to predict the ultimate outcome or the timing of resolution for uncertain tax positions. It is reasonably possible that the amount of unrecognized tax benefits could significantly increase or decrease within the next twelve months. These changes could result from the expiration of the statute of limitations, examinations or other unforeseen circumstances. We do not have any outstanding litigation related to tax matters. At this time, management’s best estimate of the reasonably possible change in the amount of gross unrecognized tax benefits to be a decrease of approximately $1.2 million to a decrease of $2.2 million during the next twelve months mainly due to the expiration of certain statute of limitations, net of additions. The federal statute of limitations remains open for the years 2013 and forward. Tax years 2005 and forward are subject to audit by state tax authorities depending on the tax code and administrative practice of each state. |
Operating Leases |
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Jun. 30, 2016 | |
Leases [Abstract] | |
Operating Leases | Operating Leases We have operating leases for certain revenue equipment. During 2016, the majority of these leases are with a commercial tractor dealership, whose owners include a board member. During 2015, a portion of our operating leases were with the noted commercial tractor dealership. Rent expense for these leases were $0.3 million and $0.8 million (including related-party rental payments totaling $0.3 million and $0.8 million) for the three and six months ended June 30, 2016, respectively. Rent expense for these leases were $0.9 million and $2.1 million (including related-party rental payments totaling $0.8 million, and $1.9 million), for the three and six months ended 2015, respectively. These expenses were included in rent and purchased transportation in the consolidated statements of comprehensive income. The various leases were terminated in June 2016. We lease certain terminal facilities under operating leases. A portion of these leases are with limited liability companies, whose members include a board member and a commercial tractor dealership whose owners include a board member. Rent expenses for terminal facilities were $0.5 million and $1.1 million (including related-party rental payments totaling $0.5 million and $0.9 million), for the three and six months ended June 30, 2016, respectively. Rent expenses for terminal facilities were $1.0 million and $2.1 million (including related-party rental payments totaling $1.0 million and $1.9 million), for the three and six months ended June 30, 2015, respectively. These expenses were included in rent and purchased transportation in the consolidated statements of comprehensive income. The various leases expire from 2016 through 2018 and contain purchase options and options to renew, except the Pacific, Washington location. We have renewal options and a right of first refusal on the sale of the Pacific, Washington location property. We are responsible for all taxes, insurance, and utilities related to the terminal leases. See Note 13 for additional information regarding related party transactions. |
Related Party |
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Related Party | Related Party We lease certain terminal facilities for operations under operating leases from certain limited liability companies, whose members include a board member and a commercial tractor dealership whose owners include a board member. These terminal facility leases started in November 2013 and have initial five year terms, purchase options, and options to renew excluding the Pacific, Washington location. The Pacific, Washington locations contains lease renewal options and a right of first refusal on any sale of the property. We purchased tractors from and sold tractors to the commercial tractor dealership noted above. We have operating leases for certain revenue equipment with the commercial tractor dealership and we also purchased parts and services from the same commercial tractor dealership. We owed the commercial tractor dealership $0.0 million and $0.1 million, included in accounts payable and accrued liabilities in the consolidated balance sheets at June 30, 2016 and December 31, 2015, respectively, for tractors delivered but not paid for prior to these dates and outstanding parts and services. The related payments (receipts) with related parties for the three and six months ended June 30, 2016 and 2015 (in thousands) were as follows:
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Commitments and Contingencies |
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Jun. 30, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies We are a party to ordinary, routine litigation and administrative proceedings incidental to its business. In the opinion of management, our potential exposure under pending legal proceedings is adequately provided for in the accompanying consolidated financial statements. The total estimated purchase commitments for tractors, net of tractor sale commitments, and trailer equipment, to be delivered through the remainder of 2016 was $22.4 million at June 30, 2016. |
Subsequent Events |
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Jun. 30, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | Subsequent Events We have evaluated events occurring subsequent to June 30, 2016. No events occurred requiring disclosure. |
Basis of Presentation Basis of Presentation (Policies) |
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Jun. 30, 2016 | |
Basis of Presentation [Abstract] | |
Basis of Presentation [Policy Text Block] | Basis of Presentation and New Accounting Pronouncements Heartland Express, Inc., (the “Company,” “we,” “us,” or “our”) is a holding company incorporated in Nevada, which owns all of the stock of Heartland Express Inc. of Iowa, Gordon Trucking, Inc. (“GTI”), Heartland Express Services, Inc., Heartland Express Maintenance Services, Inc., and A & M Express, Inc. We, and our subsidiaries, operate as one segment. We, together with our subsidiaries, are a short-to-medium haul truckload carrier (predominately 500 miles or less per load) with corporate headquarters in North Liberty, Iowa. We primarily provide nationwide asset-based dry van truckload service for major shippers from Washington to Florida and New England to California. The accompanying consolidated financial statements include the parent company, Heartland Express, Inc., and its subsidiaries, all of which are wholly owned. All material intercompany items and transactions have been eliminated in consolidation. The accompanying unaudited consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles ("GAAP") for interim financial information and with the instructions to Form 10-Q and Regulation S-X. Accordingly, they do not include all of the information and notes to the financial statements required by U.S. generally accepted accounting principles for complete financial statements. In the opinion of management, all normal, recurring adjustments considered necessary for a fair presentation have been included. The consolidated financial statements should be read in conjunction with the audited consolidated financial statements and accompanying notes for the year ended December 31, 2015 included in the Annual Report on Form 10-K of the Company filed with the Securities and Exchange Commission on February 29, 2016. Interim results of operations are not necessarily indicative of the results to be expected for the full year or any other interim periods. There were no changes to the Company's significant accounting policies during the six month period ended June 30, 2016, except as noted below in regards to the balance sheet classification of deferred taxes. In March, 2016, the Financial Accounting Standards Board (FASB) issued ASU 2016-09, "Compensation-Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting". This update seeks to simplify several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities and classification on the statement of cash flows. This update becomes effective for the company beginning January 1, 2017 with early adoption permitted. The Company is currently evaluating the impact of ASU 2016-09. In February, 2016, the FASB issued ASU 2016-02, "Leases". This update seeks to increase the transparency and comparability among entities by requiring public entities to recognize lease assets and lease liabilities on the balance sheet and disclose key information about leasing arrangements. To satisfy the standard’s objective, a lessee will recognize a right-of-use asset representing its right to use the underlying asset for the lease term and a lease liability for the obligation to make lease payments. Both the right-of-use asset and lease liability will initially be measured at the present value of the lease payments, with subsequent measurement dependent on the classification of the lease as either a finance or an operating lease. For leases with a term of 12 months or less, a lessee is permitted to make an accounting policy election by class of underlying asset not to recognize lease assets and lease liabilities. If a lessee makes this election, it should recognize lease expense for such leases generally on a straight-line basis over the lease term. In transition, lessees are required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. The modified retrospective approach includes a number of optional practical expedients that companies may elect to apply. These practical expedients relate to the identification and classification of leases that commenced before the effective date, initial direct costs for leases that commenced before the effective date, and the ability to use hindsight in evaluating lessee options to extend or terminate a lease or to purchase the underlying asset. The transition guidance also provides specific guidance for sale and leaseback transactions, build-to-suit leases, leveraged leases, and amounts previously recognized in accordance with the business combinations guidance for leases. The new standard is effective for public companies for annual periods beginning after December 15, 2018, and interim periods within those years, with early adoption permitted. The Company is currently evaluating the effect that adopting this standard will have on our consolidated financial statements. In November, 2015, the FASB issued Accounting Standards Update (ASU) 2015-17, "Balance Sheet Classification of Deferred Taxes". The ASU simplifies the current guidance, which requires entities to separately present deferred tax assets and liabilities as current and non-current in a classified balance sheet. The ASU will be effective for annual periods beginning after December 15, 2016, and interim periods within those years (with early adoption allowed). The Company adopted this guidance prospectively and classified deferred tax asset and deferred tax liability amounts, by tax jurisdiction, as non-currrent within our balance sheet beginning March 31, 2016 and for future periods. Prior periods presented have not been adjusted. In May, 2014, the FASB issued ASU 2014-09 which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The guidance will replace most existing revenue recognition in GAAP when it becomes effective. The original guidance was to be effective for fiscal years, and interim periods within those years, beginning after December 15, 2016. In July 2015, the FASB issued ASU 2015-14 and agreed to defer the effective date of this guidance by one year, with early adoption permitted on the original effective date. The new guidance permits the use of either the retrospective or cumulative effect transition method. In March 2016, the FASB issued ASU 2016-08 which amends the guidance around principal versus agent and clarifies the control principle of goods and services. We are evaluating the effect that the new guidance will have on our consolidated financial statements and related disclosures. We have not yet selected a transition method nor have we determined the effect of the standard on our ongoing financial reporting. |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. There were no significant changes in estimates and assumptions used by management related to our accounting policies during the three and six months ended June 30, 2016, except for a change in the assumptions related to the likelihood of future payouts which reduced the potential earn-out liability recorded related to an acquisition. |
Segment Reporting, Policy [Policy Text Block] | Segment Information We provide multiple transportation services across the United States (U.S.) and parts of Canada. We offer primarily asset-based transportation services in the dry van truckload market and also offer truckload temperature-controlled transportation services and non-asset based brokerage services. None of our transportation services or geographical-based regional terminals individually meet the definition of a segment. Our Chief Operating Decision Maker is our Chief Executive Officer who oversees and manages all of our transportation services and regional terminals, on a combined basis, including the legacy transportation services of acquired entities. As a result of the foregoing, we have determined that we have one segment, consistent with the authoritative accounting guidance on disclosures about segments of an enterprise and related information. |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents Cash equivalents are short-term, highly liquid investments with insignificant interest rate risk and original maturities of three months or less at acquisition. |
Property, Plant and Equipment, Policy [Policy Text Block] | Prepaid Tires, Property, Equipment, and Depreciation Property and equipment are reported at cost, net of accumulated depreciation. Maintenance and repairs are charged to operations as incurred. Tires are capitalized separately from revenue equipment and are reported separately as “Prepaid tires” in the consolidated balance sheets and amortized over two years. Depreciation for financial statement purposes is computed by the straight-line method for all assets other than tractors. We recognize depreciation expense on tractors using the 125% declining balance method. New tractors are depreciated to salvage values of $15,000 while new trailers are depreciated to salvage values of $4,000. |
Goodwill and Intangible Assets, Policy [Policy Text Block] | Other Intangibles, Net and Goodwill All intangible assets determined to have finite lives are amortized over their estimated useful lives. The useful life of an intangible asset is the period over which the asset is expected to contribute directly or indirectly to future cash flows. |
Earnings Per Share, Policy [Policy Text Block] | Earnings per Share Basic earnings per share is based upon the weighted average common shares outstanding during each year. Diluted earnings per share is based on the basic weighted earnings per share with additional weighted common shares for common stock equivalents. |
Income Tax, Policy [Policy Text Block] | Income Taxes We use the asset and liability method of accounting for income taxes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amount of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Such amounts are adjusted, as appropriate, to reflect changes in tax rates expected to be in effect when temporary differences reverse. The effect of a change in tax rates on deferred taxes is recognized in the period that the change is enacted. A valuation allowance is recorded to reduce the Company's deferred tax assets to the amount that is more likely than not to be realized. |
Income Tax Uncertainties, Policy [Policy Text Block] | We recognize the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. We record interest and penalties related to unrecognized tax benefits in income tax expense. |
Subsequent Events, Policy [Policy Text Block] | Subsequent Events We have evaluated events occurring subsequent to June 30, 2016. |
Other Intangible, Net and Goodwill (Tables) |
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Schedule of Finite-Lived Intangible Assets [Table Text Block] |
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Schedule of Goodwill [Table Text Block] | Carrying amounts of goodwill were as follows:
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Earnings Per Share (Tables) |
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Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] |
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Stock-Based Compensation (Tables) |
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Disclosure of restricted stock award activity | The following tables summarizes our restricted stock award activity for the three and six months ended June 30, 2016 and 2015.
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Income Taxes (Tables) |
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Reconciliation of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
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Related Party (Tables) |
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Schedule of Related Party Transactions [Table Text Block] | The related payments (receipts) with related parties for the three and six months ended June 30, 2016 and 2015 (in thousands) were as follows:
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Segment Information (Details) |
6 Months Ended |
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Jun. 30, 2016
segments
| |
Segment Information [Abstract] | |
Number of Segments | 1 |
Cash and Cash Equivalents (Details) - USD ($) $ in Millions |
Jun. 30, 2016 |
Dec. 31, 2015 |
---|---|---|
Cash and Cash Equivalents [Abstract] | ||
Restricted Cash and Investments, Current | $ 0.0 | |
Restricted Cash and Cash Equivalents, Noncurrent | $ 11.3 | $ 11.4 |
Prepaid Tires, Property, Equipment and Depreciation (Details) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2016 |
Jun. 30, 2015 |
Jun. 30, 2016 |
Jun. 30, 2015 |
|
Property, Plant and Equipment [Line Items] | ||||
Amortization Period of Tires | 2 years | |||
Tractors | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, Plant, and Equipment, Salvage Value | $ 15 | $ 15 | ||
Trailers | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, Plant, and Equipment, Salvage Value | 4 | 4 | ||
Communications and Utilities Expense | ||||
Property, Plant and Equipment [Line Items] | ||||
Depreciation | $ 0 | $ 300 | $ 0 | $ 500 |
Other Intangible, Net and Goodwill Changes carrying amount of goodwill (Details) $ in Thousands |
6 Months Ended |
---|---|
Jun. 30, 2016
USD ($)
| |
Intangible Assets and Goodwill [Abstract] | |
Goodwill, Beginning balance | $ 100,212 |
Acquisitions | 0 |
Goodwill, Ending Balance | $ 100,212 |
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2016 |
Jun. 30, 2015 |
Jun. 30, 2016 |
Jun. 30, 2015 |
|
Earnings Per Share [Abstract] | ||||
Net income | $ 16,368 | $ 23,316 | $ 30,745 | $ 40,928 |
Basic EPS, Shares | 83,248 | 87,814 | 83,308 | 87,802 |
Basic EPS, Per Share Amount | $ 0.20 | $ 0.27 | $ 0.37 | $ 0.47 |
Effect of restricted stock | $ 0 | $ 0 | $ 0 | $ 0 |
Effect of restricted stock, Shares | 71 | 153 | 82 | 164 |
Diluted EPS, Net Income | $ 16,368 | $ 23,316 | $ 30,745 | $ 40,928 |
Diluted EPS, Shares | 83,319 | 87,967 | 83,390 | 87,966 |
Diluted EPS, Per Share Amount | $ 0.20 | $ 0.27 | $ 0.37 | $ 0.47 |
Equity (Details) - USD ($) shares in Thousands, $ in Millions |
3 Months Ended | 6 Months Ended | |||
---|---|---|---|---|---|
Jun. 30, 2016 |
Jun. 30, 2015 |
Jun. 30, 2016 |
Jun. 30, 2015 |
Sep. 30, 2001 |
|
Share Repurchases [Abstract] | |||||
Stock Repurchase Shares Authorized | 15,400 | ||||
Number of Shares Authorized to be Repurchased | 3,296 | 3,296 | |||
Treasury Stock, Shares, Acquired | 0 | 0 | 922 | ||
Dividends, Common Stock, Cash | $ 1.7 | $ 1.8 | $ 3.3 | $ 3.5 |
Equity Dividends Paid (Details) - USD ($) $ in Millions |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2016 |
Jun. 30, 2015 |
Jun. 30, 2016 |
Jun. 30, 2015 |
|
Stockholders' Equity Attributable to Parent [Abstract] | ||||
Dividends, Common Stock, Cash | $ 1.7 | $ 1.8 | $ 3.3 | $ 3.5 |
Long-Term Debt (Details) |
6 Months Ended | |
---|---|---|
Jun. 30, 2016
USD ($)
|
Dec. 31, 2014
USD ($)
|
|
Debt Instrument [Line Items] | ||
Line of Credit Facility, Maximum Borrowing Capacity, Current | $ 250,000,000 | |
Line of Credit Facility, Maximum Borrowing Capacity, Period 2 | $ 200,000,000 | |
Line of Credit Facility, Maximum Borrowing Capacity, Period 3 | $ 175,000,000 | |
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.0625% | |
Debt Instrument, Covenant, Leverage Ratio | 2 | |
Debt Covenant, Minimum Net Income Requirement | $ 1 | |
Debt Instrument, Minimum Tangible Net Worth | 200,000,000 | |
letters of credit outstanding on a line of credit | 5,500,000 | |
Line of Credit Facility, Remaining Borrowing Capacity | $ 194,500,000 | |
London Interbank Offered Rate (LIBOR) [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Basis Spread on Variable Rate | 0.625% | |
Prime Rate [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Basis Spread on Variable Rate | 0.00% |
Operating Leases (Details) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2016 |
Jun. 30, 2015 |
Jun. 30, 2016 |
Jun. 30, 2015 |
|
Operating Leased Assets [Line Items] | ||||
Operating Leases, Rent Expense | $ 300 | $ 900 | $ 800 | $ 2,100 |
related party payment for terminal purchase | 0 | 4,875 | 0 | 4,875 |
Related Party | ||||
Operating Leased Assets [Line Items] | ||||
Operating Leases, Rent Expense | 265 | 799 | 813 | 1,884 |
Terminal Facilities | ||||
Operating Leased Assets [Line Items] | ||||
Operating Leases, Rent Expense | 500 | 1,000 | 1,100 | 2,100 |
Terminal Facilities | Related Party | ||||
Operating Leased Assets [Line Items] | ||||
Operating Leases, Rent Expense | $ 466 | $ 963 | $ 900 | $ 1,919 |
Related Party (Details) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | |||
---|---|---|---|---|---|
Jun. 30, 2016 |
Jun. 30, 2015 |
Jun. 30, 2016 |
Jun. 30, 2015 |
Dec. 31, 2015 |
|
Related Party Transaction [Line Items] | |||||
Due to Related Parties, Current | $ 0 | $ 0 | $ 100 | ||
Operating Leases, Rent Expense | 300 | $ 900 | 800 | $ 2,100 | |
related party payment for terminal purchase | 0 | 4,875 | 0 | 4,875 | |
Costs and Expenses, Related Party | 5,277 | 19,456 | 6,719 | 16,432 | |
Related Party | |||||
Related Party Transaction [Line Items] | |||||
Payments for tractor purchase | 4,300 | 22,795 | 4,300 | 24,895 | |
Receipts for tractor sales | 0 | (11,041) | 0 | (19,567) | |
Receipts for trailer sales | (108) | 0 | |||
Operating Leases, Rent Expense | 265 | 799 | 813 | 1,884 | |
Payments for parts and services | 246 | 1,065 | 783 | 2,426 | |
Terminal Facilities | |||||
Related Party Transaction [Line Items] | |||||
Operating Leases, Rent Expense | 500 | 1,000 | 1,100 | 2,100 | |
Terminal Facilities | Related Party | |||||
Related Party Transaction [Line Items] | |||||
Operating Leases, Rent Expense | $ 466 | $ 963 | $ 900 | $ 1,919 |
Commitments and Contingencies (Details) $ in Millions |
Jun. 30, 2016
USD ($)
|
---|---|
Commitments and Contingencies Disclosure [Abstract] | |
Unrecorded Unconditional Purchase Obligation | $ 22.4 |
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