Segment Reporting

6 Months Ended

Jun. 30, 2024

Segment Reporting [Abstract]

Segment Reporting

NOTE 4. Segment Reporting

We have two reportable segments: Intermodal and Transportation Solutions (“ITS”) and Logistics which are based primarily on the services each segment provides. Our ITS segment includes our asset-light business lines: intermodal and dedicated trucking. Our Logistics segment includes our non-asset business lines: managed transportation, truck brokerage, final mile, consolidation, warehousing and fulfillment.

Intermodal and Transportation Solutions. Our Intermodal and Transportation Solutions segment offers high service, nationwide door-to-door intermodal transportation, providing value, visibility and reliability in both transcontinental and local lanes by combining rail transportation with local trucking. This segment includes our trucking operations which provides our customers with local pickup and delivery (referred to as “drayage”) as well as high service local and regional trucking transportation using equipment dedicated to their needs. We arrange for the movement of our customers’ freight in one of our approximately 50,000 containers. We contract with railroads to provide transportation for the long-haul portion of the shipment between rail terminals. Drayage between origin or destination and rail terminals are provided by our own trucking operations and third parties with whom we contract. Our dedicated service operation offers fleets of equipment and drivers to each customer on a contract basis, as well as the management and infrastructure to operate according to the customer’s high service expectations. As of June 30, 2024, our trucking transportation operation consisted of approximately 2,200 tractors, 2,900 employee drivers and 4,300 trailers. We also contract for services with approximately 400 independent owner-operators.

Logistics. Our Logistics segment offers a wide range of services including transportation management, freight brokerage services, shipment optimization, load consolidation, mode selection, carrier management, load planning and execution, warehousing, fulfillment, cross-docking, consolidation services and final mile delivery. These services include a full range of trucking transportation services, including dry van, expedited, less-than-truckload, refrigerated and flatbed, all of which is provided by third party carriers with whom we contract. We also leverage proprietary technology along with collaborative relationships with third party service providers to deliver cost savings and performance-enhancing supply chain services to our clients. Our transportation management offering also serves as a source of volume for our ITS segment.

The following tables summarize our financial and operating data by segment (in thousands):

	Three Months Ended						Six Months Ended
Operating Revenue	June 30,						June 30,
	2024			2023			2024			2023
Intermodal and Transportation Solutions	$	561,033		$	614,632		$	1,113,066		$	1,323,881
Logistics		459,088			453,549			939,312			922,690
Inter-segment eliminations		(33,626	)		(27,719	)		(66,390	)		(53,844	)
Total operating revenue	$	986,495		$	1,040,462		$	1,985,988		$	2,192,727
	Three Months Ended						Six Months Ended
Operating Income	June 30,						June 30,
	2024			2023			2024			2023
Intermodal and Transportation Solutions	$	13,639		$	31,777		$	26,670		$	80,981
Logistics		25,889			30,293			49,997			59,294
Total operating income	$	39,528		$	62,070		$	76,667		$	140,275
	Three Months Ended						Six Months Ended
Depreciation and Amortization	June 30,						June 30,
	2024			2023			2024			2023
Intermodal and Transportation Solutions	$	27,270		$	27,117		$	54,319		$	54,003
Logistics		10,502			8,269			21,784			16,832
Total depreciation and amortization	$	37,772		$	35,386		$	76,103		$	70,835

Separate balance sheets are not presented by segment to our Chief Operating Decision Maker (“CODM”). Our CODM uses consolidated asset information to make capital decisions.