JB Hunt faces shipper caution in contract negotiations

Apr 25, 2025 at 04:24 PM CST
J.B. Hunt’s contracting process takes roughly 18 months to close, according to Brad Hicks, president of dedicated contract services. But the timing of when deals sign and close will drive the company’s ability to return to positive revenue and operating income growth in 2025. In Q1, revenue for the carrier dropped 1% to $2.92 billion, while operating income dropped 8% to $179 billion. The revenue decline was driven by dips across most of the carrier’s segments, including dedicated contract services, integrated capacity solutions, final mile and truckload. The caution from shippers to close contracts comes during a time of fluctuating tariff policy. President Donald Trump paused most country-specific tariffs for 90 days earlier this month while raising duties on imports from China to a combined 145%. The administration has also levied sector-specific duties, with more promised.

Apr 25, 2025 at 04:24 PM CST

J.B. Hunt’s contracting process takes roughly 18 months to close, according to Brad Hicks, president of dedicated contract services. But the timing of when deals sign and close will drive the company’s ability to return to positive revenue and operating income growth in 2025.

In Q1, revenue for the carrier dropped 1% to $2.92 billion, while operating income dropped 8% to $179 billion. The revenue decline was driven by dips across most of the carrier’s segments, including dedicated contract services, integrated capacity solutions, final mile and truckload.

The caution from shippers to close contracts comes during a time of fluctuating tariff policy. President Donald Trump paused most country-specific tariffs for 90 days earlier this month while raising duties on imports from China to a combined 145%. The administration has also levied sector-specific duties, with more promised.