Hub Group 2025 Q3 Earnings Net Income Surges 22.6% Amid Revenue Decline

Hub Group (HUBG) reported mixed results for fiscal 2025 Q3, with revenue declining 5.3% year-over-year but earnings rising. The company’s EPS increased 23.1% to $0.48, and net income grew 22.6% to $28.93 million, driven by cost controls and intermodal efficiency.

Revenue

The Intermodal and Transportation Solutions segment reported $561 million in revenue, while the Logistics segment saw a decline to $402 million due to lower volume and revenue per load. U.S. operations contributed $905.8 million, with Mexican revenue rising to $28.7 million.

Earnings/Net Income

The EPS growth of 23.1% and net income increase of 22.6% highlight strong operational performance despite revenue challenges.

Post Earnings Price Action Review

Hub Group’s stock surged 3.86% to $36.83 on the day after its Q3 earnings release, driven by revenue beating estimates. However, the stock declined by -4.23% to $35.28 within six days, reflecting short-term volatility. The 30-day holding period remains incomplete in the provided data, but early performance suggests mixed outcomes for short-term traders.

CEO Commentary

Hub Group’s CEO emphasized strategic initiatives such as rail alignment and acquisitions to drive long-term growth. While the Logistics segment faced headwinds, the company remains focused on margin enhancement through network optimization and asset utilization.

Guidance

The company anticipates positive impacts from exiting truckload capacity, retail restocking demand, and a stronger used tractor market in 2025. No explicit guidance for Q4 was provided in the earnings report.

Additional News

The SEC 10-Q filing highlighted operational progress, including improved intermodal revenue per load and cost reductions. The Logistics segment’s challenges, however, underscore broader industry pressures in brokerage and final-mile delivery.