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What changed in J.B. Hunt's 10-K — 2024 vs 2025

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Paragraph-level year-over-year comparison of J.B. Hunt's 2024 and 2025 10-K annual filings, covering the Business, Risk Factors, Legal Proceedings, Cybersecurity, MD&A and Market Risk sections. Every new, removed and edited paragraph is highlighted side-by-side so you can see exactly what management changed in the 2025 report.

+157 added−156 removedSource: 10-K (2026-02-24) vs 10-K (2025-02-21)

Top changes in J.B. Hunt's 2025 10-K

157 paragraphs added · 156 removed · 131 edited across 7 sections

Item 1. Business

Business — how the company describes what it does

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Biggest changeFMS also operates 1,137 owned pieces of trailing equipment and 104 customer-owned trailers. The FMS segment employed 2,587 people, including 1,280 drivers and 338 delivery and material assistants, at December 31, 2024. FMS revenue for 2024 was $910 million. JBT Segment The service offering in this segment is full-load, dry-van freight, utilizing tractors and trailers operating over roads and highways.
Biggest changeAt December 31, 2025, this segment operated 1,085 company-owned trucks, 169 customer-owned trucks, and 39 independent contractor trucks. FMS also operated 1,091 owned pieces of trailing equipment and 98 customer-owned trailers. The FMS segment employed 2,271 people, including 1,113 drivers and 294 delivery and material assistants, at December 31, 2025. FMS revenue for 2025 was $824 million.
We believe this is essential for our people to grow and thrive, and for innovative ideas to be fostered and problems to be solved. Throughout this approach, we fulfill our mission to provide long-term value for our people, customers, and shareholders.
We believe this is essential for our people to grow and thrive, for innovative ideas to be fostered, and problems to be solved. Throughout this approach, we fulfill our mission to provide long-term value for our people, customers, and shareholders.
If current regulatory requirements become more stringent or new environmental laws and regulations regarding climate change are introduced, we could be required to make significant expenditures or abandon certain activities. We continue to monitor the actions of the FMCSA and other regulatory agencies and evaluate all proposed rules to determine their impact on our operations. 7
If current regulatory requirements become more stringent or new environmental laws and regulations regarding climate change are introduced, we could be required to make significant expenditures or abandon certain activities. 7 We continue to monitor the actions of the FMCSA and other regulatory agencies and evaluate all proposed rules to determine their impact on our operations.
The DOT periodically conducts reviews and audits to ensure our compliance with federal safety requirements, and we report certain accident and other information to the DOT. Our operations into and out of Canada and Mexico are subject to regulation by those countries as well as U.S. Customs and Boarder Protection with respect to cross-border trade and security compliance.
The DOT periodically conducts reviews and audits to ensure our compliance with federal safety requirements, and we report certain accident and other information to the DOT. Our operations into and out of Canada and Mexico are subject to regulation by those countries as well as U.S. Customs and Border Protection with respect to cross-border trade and security compliance.
In accordance with our typical arrangements, we bill the customer for all services, and we, in turn, pay all third parties for their portion of transportation services provided. Human Capital Resources General Despite operating over 189,000 pieces of transportation equipment, our single greatest asset and one of the factors differentiating us from our competitors is our service-oriented people.
In accordance with our typical arrangements, we bill the customer for all services, and we, in turn, pay all third parties for their portion of transportation services provided. Human Capital Resources General Despite operating over 190,000 pieces of transportation equipment, our single greatest asset and one of the factors differentiating us from our competitors is our service-oriented people.
In addition, we had 2,303 independent contractors who operate their own tractors but transport freight in our trailing equipment. We operate with standardized tractors in as many fleets as possible, particularly in our JBI and JBT fleets. Due to our customers’ preferences and the actual business application, our DCS fleet is extremely diversified.
In addition, we had 2,350 independent contractors who operate their own tractors but transport freight in our trailing equipment. We operate with standardized tractors in as many fleets as possible, particularly in our JBI and JBT fleets. Due to our customers’ preferences and the actual business application, our DCS fleet is extremely diversified.
Culture and Belonging We work to foster a culture where all employees feel welcomed, valued, respected, safe, and heard, and where the actions of our people reflect our company values. We measure ourselves through listening to our employees in surveys, focus groups, and town hall meetings with leadership.
Culture and Inclusion We work to foster a culture where all employees feel welcomed, valued, respected, safe, and heard, and where the actions of our people reflect our company values. We measure ourselves through listening to our employees in surveys, focus groups, and town hall meetings with leadership.
In addition, our Employee Resource Groups (ERGs), Inclusion Office, and Inclusion Council work together to further a culture of inclusivity. The Company’s seven ERGs are open to all of our employees and offer opportunities for professional development and networking. Career and Opportunity Providing career opportunities for our people is an ongoing commitment.
In addition, our Employee Resource Groups (ERGs), Inclusion Office, and Inclusion Council work together to further a culture of inclusivity. The Company’s seven ERGs are open to all of our employees and offer opportunities for community and networking. Career and Opportunity Providing career opportunities for our people is an ongoing commitment.
From new and expanded benefit programs to case management support to shortened eligibility waiting periods and more, we are continually assessing our offerings in a competitive and ever-changing healthcare landscape. Paid leave is another key component of this focus, and we offer benefit plans that comply with all applicable laws.
From new and expanded benefit programs to case management support and more, we are continually assessing our offerings in a competitive and ever-changing healthcare landscape. Paid leave is another key component of this focus, and we offer benefit plans that comply with all applicable laws.
We primarily utilize third-party carriers’ tractor and trailing equipment for our ICS segment. Our FMS segment primarily utilizes straight trucks or similar equipment through third-party carriers, while the JBT segment operates primarily 53-foot dry-van trailers. 6 As of December 31, 2024, our company-owned tractor and truck fleet consisted of 19,326 units.
We primarily utilize third-party carriers’ tractor and trailing equipment for our ICS segment. Our FMS segment primarily utilizes straight trucks or similar equipment through third-party carriers, while the JBT segment operates primarily 53-foot dry-van trailers. As of December 31, 2025, our company-owned tractor and truck fleet consisted of 18,843 units.
Financial wellness is also included in our focus, and we provide seed funding for healthcare savings accounts and opportunities to participate in 401(k) retirement plans. We are a company that prioritizes a supportive and safe work environment.
Financial wellness is also included in our focus, and we provide seed funding for healthcare savings accounts, opportunities to participate in 401(k) retirement plans with company matching, and other financial literacy resources. 6 We are a company that prioritizes a supportive and safe work environment.
We believe operating with relatively newer revenue equipment provides better customer service, attracts quality drivers, improves fuel efficiency and lowers maintenance expense. At December 31, 2024, the average age of our combined tractor fleet was 2.4 years, while our containers averaged 9.6 years of age and our trailers averaged 6.5 years.
We believe operating with relatively newer revenue equipment provides better customer service, attracts quality drivers, improves fuel efficiency and lowers maintenance expense. At December 31, 2025, the average age of our combined tractor fleet was 2.7 years, while our containers averaged 10.5 years of age and our trailers averaged 7.1 years.
By performing our own drayage services, we are able to provide a cost-competitive, seamless coordination of the combined rail and dray movements for our customers. JBI operates 122,272 pieces of company-owned trailing equipment systemwide. The fleet primarily consists of 53-foot, high-cube containers and is designed to take advantage of intermodal double-stack economics and superior ride quality.
By performing our own drayage services, we are able to provide a cost-competitive, seamless coordination of the combined rail and dray movements for our customers. At December 31, 2025, JBI operated 124,838 pieces of company-owned trailing equipment systemwide. The fleet primarily consists of 53-foot, high-cube containers and is designed to take advantage of intermodal double-stack economics and superior ride quality.
Hunt 360 offers instant access to a wide array of technology-driven solutions for customers and carriers. Through the platform, businesses of all sizes can quote and book shipments, view analytics, and gain visibility into freight movement.
In addition to our sales teams, J.B. Hunt 360 offers instant access to a wide array of technology-driven solutions for customers and carriers. Through the platform, businesses of all sizes can quote and book shipments, view analytics, and gain visibility into freight movement.
These include but are not limited to competitive compensation and benefits, paid time off, employee retirement plans, bonus and other incentive compensation plans, modern equipment and support, employee listening programs connecting feedback with business action, leadership development, recognition, and tuition assistance.
These include but are not limited to competitive compensation and benefits, paid time off, employee retirement plans, bonus and other incentive compensation plans, modern equipment and support, employee listening programs connecting feedback with business action, leadership development, recognition, and various other programs to benefit employees and their families.
Pricing of our contracts typically involves cost-plus arrangements, with our fixed costs being recovered regardless of equipment utilization, but is customized based on the amount of invested capital and the duration of the contract. At December 31, 2024, this segment operated 12,048 company-owned trucks, 598 customer-owned trucks, and one independent contractor truck.
Pricing of our contracts typically involves cost-plus arrangements, with our fixed costs being recovered regardless of equipment utilization, but is customized based on the amount of invested capital and the duration of the contract. At December 31, 2025, this segment operated 11,878 company-owned trucks and 761 customer-owned trucks.
We provide many transportation services that meet the supply chain logistics needs of shippers. We generally market all of our service offerings through a nationwide sales and marketing network. We use specific sales forces in DCS and FMS due to the length, complexity, and specialization of the sales cycle. In addition to our sales teams, J.B.
Our customer base includes a large number of Fortune 500 companies. We provide many transportation services that meet the supply chain logistics needs of shippers. We generally market all of our service offerings through a nationwide sales and marketing network. We use specific sales forces in DCS and FMS due to the length, complexity, and specialization of the sales cycle.
Thousands of employees have had the chance to move jobs or be promoted into new roles, and thousands more have participated in leadership training over their careers, including training opportunities for field and office positions.
Thousands of employees have had the chance to move jobs or be promoted into new roles, and thousands more have participated in leadership training over their careers, including training opportunities for field and office positions. In addition to benefits for our employees, family members of employees are also eligible to apply for the J.B.
JBI Segment The transportation service offerings of our JBI segment utilize arrangements with most major North American rail carriers to provide intermodal freight solutions for our customers throughout the continental United States, Canada, and Mexico.
OPERATING SEGMENTS Segment information is also included in Note 13 to our Consolidated Financial Statements. JBI Segment The transportation service offerings of our JBI segment utilize arrangements with most major North American rail carriers to provide intermodal freight solutions for our customers throughout the continental United States, Canada, and Mexico.
Marketing and Operations We transport, or arrange for the transportation of, a wide range of freight, including general merchandise, specialty consumer items, appliances, forest and paper products, food and beverages, building materials, soaps and cosmetics, automotive parts, agricultural products, electronics, and chemicals. Our customer base includes a large number of Fortune 500 companies.
Marketing and Operations We transport, or arrange for the transportation of, a wide range of freight, including general merchandise, specialty consumer items, appliances, home furnishings, forest and paper products, rubber and plastic products, food and beverages, building materials, apparel and accessories, soaps and cosmetics, automotive parts, agricultural products, electronics, and chemicals.
ICS also provides the majority of our single-source logistics management services for customers desiring to outsource their transportation functions and utilize our proven supply chain technology and design expertise to improve efficiency. ICS operates multiple remote sales offices or branches, as well as on-site logistics personnel working in direct contact with customers.
ICS also provides the majority of our single-source logistics management services for customers desiring to outsource their transportation functions and utilize our proven supply chain technology and design expertise to improve efficiency.
We own and maintain our own chassis fleet, consisting of 103,850 units. The containers and chassis are uniquely designed so that they may only be paired together for optimal productivity, which we feel creates an operational competitive advantage. JBI also manages a fleet of 6,153 company-owned tractors and contracts 349 independent contractor trucks.
We own and maintain our own chassis fleet, consisting of 104,474 units at December 31, 2025. The containers and chassis are uniquely designed so that they may only be paired together for optimal productivity, which we feel creates an operational competitive advantage.
None of our employees are represented by unions or covered by collective bargaining agreements. 5 In managing the Company’s business, our executive leadership focuses on various human capital measures and objectives designed to address the attraction, development, and retention of personnel across the dimensions of culture, career, and wellness.
We also had arrangements with 2,350 independent contractors to transport freight in our trailing equipment. None of our employees are represented by unions or covered by collective bargaining agreements. In managing the Company’s business, our executive leadership focuses on investments in our employees across the dimensions of culture, career, and wellness designed to increase talent attraction, development, and retention.
DCS also operates 27,149 owned pieces of trailing equipment and 4,897 customer-owned trailers. The DCS segment employed 15,521 people, including 13,173 drivers and 39 delivery and material assistants, at December 31, 2024. DCS revenue for 2024 was $3.40 billion.
DCS also operated 26,767 owned pieces of trailing equipment and 5,218 customer-owned trailers. The DCS segment employed 15,131 people, including 12,835 drivers and 43 delivery and material assistants, at December 31, 2025. DCS revenue for 2025 was $3.38 billion.
FMS provides both asset and non-asset (brokerage) big and bulky delivery and installation services, as well as fulfillment, retail-pooling distributions, and LTL services. FMS contracts with customers range from one to five years, with the average being approximately three years. At December 31, 2024, this segment operated 1,123 company-owned trucks, 206 customer-owned trucks, and 36 independent contractor trucks.
FMS Segment FMS provides last-mile delivery services to customers through a network of cross-dock and other delivery system locations. FMS provides both asset and non-asset (brokerage) big and bulky delivery and installation services, as well as fulfillment, retail-pooling distributions, and LTL services. FMS contracts with customers range from one to five years, with the average being approximately three years.
Wellness and Safety The health and well-being of our workforce has always been a priority as safety is ingrained into our corporate culture and is a company value. We strive to conduct all of our operations as safely as possible. Many of our employees participate in regular job-specific safety training programs.
Hunt Scholarship Program for Families, offering the opportunity to receive up to $10,000 over four years. Wellness and Safety The health and well-being of our workforce has always been a priority as safety is ingrained into our culture and is a company value. We strive to conduct all of our operations as safely as possible.
In addition, our Million Mile Safe Driving and Recognition Awards Program has for more than 25 years recognized and rewarded our drivers who dedicate themselves to accident-free driving. Since its inception in 1996, the program has awarded more than $40 million in safe driving bonuses, and in 2024, surpassed 5,000 drivers who have achieved one million safe miles.
Since its inception in 1996, the program has awarded more than $42 million in safe driving bonuses and surpassed 5,300 drivers who have achieved one million safe miles.
We strive to provide a supportive and safe work environment for its employees, where diverse and innovative ideas can be fostered to solve problems and provide value-added services for our customers. We put forth our best effort to support initiatives that benefit our people and reflect our company values of integrity, respect, innovation, safety, and excellence.
We strive to provide a supportive and safe work environment for our employees, where their innovative ideas can be fostered to solve problems and provide value-added services for our customers.
We use independent contractors or third-party carriers who agree to transport freight in our trailers as well as available company-owned tractors and employee drivers. At December 31, 2024, the JBT segment operated 12,895 company-owned trailers, two company-owned tractors, and employed 266 people, three of whom were drivers.
We typically pick up freight at the dock or specified location of the shipper and transport the load directly to the location of the consignee. We use independent contractors or third-party carriers who agree to transport freight in our trailers as well as available company-owned tractors and employee drivers.
At December 31, 2024, the total JBI employee count was 9,253, including 8,117 company drivers and 4 delivery and material assistants. Revenue for the JBI segment in 2024 was $5.96 billion. DCS Segment DCS focuses on private fleet conversion and creation in replenishment and specialized equipment.
At December 31, 2025, JBI also managed a fleet of 5,880 company-owned tractors and contracted 308 independent contractor trucks and had 8,704 total employees, including 7,606 company drivers and four delivery and material assistants. Revenue for the JBI segment in 2025 was $5.98 billion. DCS Segment DCS focuses on private fleet conversion and creation in replenishment and specialized equipment.
JBT offers these services through our J.B. Hunt 360box® program which utilizes our J.B. Hunt 360 platform to access capacity and offer efficient drop trailer solutions to our customers. We typically pick up freight at the dock or specified location of the shipper and transport the load directly to the location of the consignee.
JBT Segment The service offering in this segment is full-load, dry-van freight, utilizing tractors and trailers operating over roads and highways. JBT offers these services through our J.B. Hunt 360box® program which utilizes our J.B. Hunt 360 platform to access capacity and offer efficient drop trailer solutions to our customers.
At December 31, 2024, we had 1,917 independent contractors operating in the JBT segment. JBT revenue for 2024 was $702 million.
At December 31, 2025, the JBT segment operated 12,658 company-owned trailers and employed 276 people. At December 31, 2025, we had 2,003 independent contractors operating in the JBT segment. JBT revenue for 2025 was $734 million.
As always, we continue to ingrain safety into our corporate culture and strive to conduct all of our operations as safely as possible. 3 OPERATING SEGMENTS Segment information is also included in Note 13 to our Consolidated Financial Statements.
We are the only road transportation company to make the Dow Jones Best-in-Class North America Index and are one of just five companies in the overall transportation industry group. 3 As always, we continue to ingrain safety into our corporate culture and strive to conduct all of our operations as safely as possible.
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Efforts to improve fleet fuel efficiency and reduce greenhouse gas emissions are ongoing. We are an Environmental Protection Agency (EPA) SmartWay® Transport Partner, and a proud thirteen-time recipient of the EPA’s SmartWay® Excellence Award (awarded consecutively through 2021 before the award program was paused in 2022 and 2023.
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Efforts to improve fleet fuel efficiency and reduce greenhouse gas emissions are ongoing. We were named to the Dow Jones Best-In-Class North America Index in February 2025, which demonstrates our company’s progress toward reducing our environmental impact and enhancing the value we create for our employees, customers, and communities.
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In 2024 we were listed in Smartway's High Performer List which highlights companies who have achieved significant shipping and freight efficiencies that merit special attention.
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This index represents the top 20% of North America’s largest 600 companies in the S&P Global Brand Marketing Index based on long-term economic, environmental and social criteria.
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At December 31, 2024, the ICS segment employed 590 people, with approximately 110,000 available third-party carriers. ICS revenue for 2024 was $1.14 billion. 4 FMS Segment FMS provides last-mile delivery services to customers through a nationwide network of cross-dock and other delivery system network locations, with 98% of the continental U.S. population living within 150 miles of a network location.
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ICS operates multiple remote sales offices or branches, as well as on-site logistics personnel working in direct contact with customers. 4 At December 31, 2025, the ICS segment employed 575 people, with approximately 126,000 available third-party carriers. ICS revenue for 2025 was $1.11 billion.
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As of December 31, 2024, we had 33,646 employees, which consisted of 22,573 company drivers, 9,266 office personnel, 1,426 maintenance technicians, and 381 delivery and material assistants. We also had arrangements with 2,303 independent contractors to transport freight in our trailing equipment.
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We put forth our best effort to support initiatives that benefit our people and reflect our company values of integrity, respect, innovation, safety, and excellence. 5 As of December 31, 2025, we had 31,750 employees, which consisted of 21,554 company drivers, 8,481 office personnel, 1,374 maintenance technicians, and 341 delivery and material assistants.
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In addition to offering tuition assistance for degree programs or certifications to our employees, family members of employees are also eligible to apply for the J.B. Hunt Scholarship Program for Families, offering the opportunity to receive $2,500 each school year, and up to $10,000 over four years.
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Many of our employees participate in regular job-specific safety training programs. In addition, for the past 30 years, our Million Mile Safe Driving and Recognition Awards Program has been recognizing and rewarding our drivers who dedicate themselves to accident-free driving.

Item 1A. Risk Factors

Risk Factors — what could go wrong, per management

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Biggest changeOur JBI business segment utilizes railroads in the performance of its transportation services. The majority of these services are provided pursuant to contractual relationships with the railroads. While we have agreements with a number of Class I railroads, the majority of our business travels on the BNSF and the Norfolk Southern railways.
Biggest changeWe depend on third parties in the operation of our business, particularly rail service providers, transportation equipment manufacturers, third party carriers and independent contractors. Our JBI business segment utilizes railroads in the performance of its transportation services. The majority of these services are provided pursuant to contractual relationships with the railroads.
A reduction in or termination of our services by one or more of our major customers could have a material adverse effect on our business and operating results. 10 A determination that independent contractors are employees could expose us to various liabilities and additional costs.
A reduction in or termination of our services by one or more of our major customers could have a material adverse effect on our business and operating results. A determination that independent contractors are employees could expose us to various liabilities and additional costs.
If we should fail to comply with applicable environmental regulations, we could be subject to substantial fines or penalties and to civil and criminal liability. We are also subject to existing and potential future laws and regulations with regards to public policy on climate change.
If we should fail to comply with applicable environmental regulations, we could be subject to substantial fines or penalties and to civil and criminal liability. 8 We are also subject to existing and potential future laws and regulations with regards to public policy on climate change.
Rapid increases in fuel costs or shortages of fuel could have a material adverse effect on our operations or future profitability. As of December 31, 2024, we had no derivative financial instruments to reduce our exposure to fuel-price fluctuations. Insurance and claims expenses could significantly reduce our earnings.
Rapid increases in fuel costs or shortages of fuel could have a material adverse effect on our operations or future profitability. As of December 31, 2025, we had no derivative financial instruments to reduce our exposure to fuel-price fluctuations. Insurance and claims expenses could significantly reduce our earnings.
Our future insurance and claims expenses might exceed historical levels, which could reduce our earnings. We have experienced substantial increases in the severity of auto liability claims which have exceeded our insurance coverage layers, which has adversely impacted our operating results in recent periods.
Our future insurance and claims expenses might exceed historical levels, which could reduce our earnings. We have experienced substantial increases in the cost of auto liability claims and in recent periods these increases have exceeded our insurance coverage layers, which has adversely impacted our operating results.
If the number of claims for which we are self-insured increases or the severity of such claims continues to increase, our operating results could be further adversely affected. We have policies in place for 2025 with substantially the same terms as our 2024 policies for personal injury, property damage, workers’ compensation, and cargo loss or damage.
If the number of claims for which we are self-insured increases or the cost of such claims continues to increase, our operating results could be further adversely affected. We have policies in place for 2026 with substantially the same terms as our 2025 policies for personal injury, property damage, workers’ compensation, and cargo loss or damage.
Our inability to defend ourselves against one or more significant litigation claims could have a material adverse effect on our financial results. We rely significantly on our information technology systems, a disruption, failure or security breach of which or an inability to keep pace with technological advances could have a material adverse effect on our business.
Our inability to defend ourselves against one or more significant litigation claims could have a material adverse effect on our financial results. We rely significantly on our information technology systems, a disruption, failure or security breach of which could have a material adverse effect on our business.
Future growth strategies for our operating segments may involve the acquisition of one or more businesses. We could have difficulty integrating acquired companies’ assets, personnel and operations with our own.
Acquisitions or business combinations may disrupt or have a material adverse effect on our operations or earnings. Future growth strategies for our operating segments may involve the acquisition of one or more businesses. We could have difficulty integrating acquired companies’ assets, personnel and operations with our own.
A significant disruption, failure or security breach in our information technology systems could have a material adverse effect on our business, which could include operational disruptions, loss of confidential information, external reporting delays or errors, legal claims, or damage to our business reputation.
A significant disruption, failure or security breach in our information technology systems could have a material adverse effect on our business, which could include operational disruptions, loss of confidential information, external reporting delays or errors, legal claims, or damage to our business reputation. 11 An inability to develop, adopt, and integrate new or enhanced technologies, including rapidly evolving artificial intelligence, could have a material adverse effect on our business.
However, it is possible that other federal or state legislation or regulations could be enacted or that various authorities could assert a position that re-classifies independent contractors as employees.
We believe we are in compliance with all applicable independent contractor classification requirements. However, it is possible that other federal or state legislation or regulations could be enacted or that various authorities could assert a position that re-classifies independent contractors as employees.
One customer accounted for approximately 11% of our total revenue for the year ended December 31, 2024. Our JBI, ICS, and JBT segments typically do not have long-term contracts with their customers.
For the calendar year ended December 31, 2025, our top 10 customers, based on revenue, accounted for approximately 33% of our revenue. Our JBI, ICS, and JBT segments typically do not have long-term contracts with their customers.
If current regulatory requirements become more stringent or new environmental laws and regulations regarding climate change are introduced, we could be required to make significant expenditures or abandon certain activities, which could have a material adverse effect on our business and operating results. 8 We depend on third parties in the operation of our business, particularly rail service providers, transportation equipment manufacturers, third party carriers and independent contractors.
If current regulatory requirements become more stringent or new environmental laws and regulations regarding climate change are introduced, we could be required to make significant expenditures or abandon certain activities, which could have a material adverse effect on our business and operating results.
The extent to which a pandemic will impact general economic and business conditions is highly uncertain and unpredictable; however, any of these factors could have a significant adverse effect on our financial condition and results of operations.
The extent to which a pandemic will impact general economic and business conditions is highly uncertain and unpredictable; however, any of these factors could have a significant adverse effect on our financial condition and results of operations. 10 Risks Related to Our Business We derive a significant portion of our revenue from a few major customers, the loss of one or more of which could have a material adverse effect on our business.
The transportation services provided by these railroads have been in recent years and may from time to time in the future be impacted by contractual disagreements, labor disruptions or shortages, and other rail network inefficiencies.
While we have agreements with a number of Class I railroads, the majority of our business travels on the BNSF and the Norfolk Southern railways. The transportation services provided by these railroads have been in recent years and may from time to time in the future be impacted by contractual disagreements, labor disruptions or shortages, and other rail network inefficiencies.
We operate in a regulated industry, and increased direct and indirect costs of compliance with, or liability for violation of, existing or future regulations could have a material adverse effect on our business.
If these expenses increase further and we are unable to offset the increase with higher freight rates, our earnings could be materially and adversely affected. 9 We operate in a regulated industry, and increased direct and indirect costs of compliance with, or liability for violation of, existing or future regulations could have a material adverse effect on our business.
We have mitigated our exposure to these risks through the establishment and maintenance of technology security programs and disaster recovery plans, but these mitigating activities may not be sufficient.
We have mitigated our exposure to these risks through the establishment and maintenance of technology security programs and disaster recovery plans, but these mitigating activities may not anticipate or prevent every attack or failure, particularly as threat actors and technologies evolve, nor may they fully prevent or mitigate all adverse impacts.
Further, these agencies could institute new laws, rules or regulations or issue interpretation changes to existing regulations at any time.
Further, these agencies could institute new laws, rules or regulations or issue interpretation changes to existing regulations at any time. Compliance with new laws, rules or regulations could substantially impair labor and equipment productivity, increase our costs or impact our ability to offer certain services.
Federal and state legislation as well as tax and other regulatory authorities have sought to assert that independent contractors in the transportation service industry are employees rather than independent contractors. Recently issued rulemaking by the U.S.
Federal and state legislation as well as tax and other regulatory authorities have sought to assert that independent contractors in the transportation service industry are employees rather than independent contractors. The laws of several states, including California, apply stricter tests for determining whether an independent contractor should be classified as an employee.
Compliance with new laws, rules or regulations could substantially impair labor and equipment productivity, increase our costs or impact our ability to offer certain services. 9 Difficulty in attracting and retaining drivers and delivery personnel could affect our profitability and ability to grow.
Difficulty in attracting and retaining drivers and delivery personnel could affect our profitability and ability to grow.
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We purchase insurance coverage for the amounts above which we are self-insured. If these expenses increase and we are unable to offset the increase with higher freight rates, our earnings could be materially and adversely affected.
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We purchase insurance coverage for the amounts above which we are self-insured. As a result of the increased cost of auto liability claims across the transportation industry, insurance premiums for auto liability coverage have increased substantially in recent years.
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Risks Related to Our Business We derive a significant portion of our revenue from a few major customers, the loss of one or more of which could have a material adverse effect on our business. For the calendar year ended December 31, 2024, our top 10 customers, based on revenue, accounted for approximately 35% of our revenue.
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Increasingly sophisticated cyber-attacks such as ransomware and AI-powered phishing scams could compromise the confidentiality, integrity, or availability of these systems, disrupt network and terminal operations, delay freight movements, or result in data loss or exfiltration.
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Department of Labor, which took effect on March 11, 2024, and the laws of several states, including California, apply stricter tests for determining whether an independent contractor should be classified as an employee. We believe we are in compliance with all applicable independent contractor classification requirements.
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We operate in a rapidly evolving, technology-driven environment, and if we do not timely identify, prioritize, develop, and successfully integrate new or enhanced technologies into our operations, our service quality, efficiency, and competitiveness could suffer. Technology initiatives can be complex and costly, with risks of delays, defects, and training hurdles.
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We also could experience an inability to keep pace with technological advances, resulting in our information technology platforms becoming obsolete or our competitors developing related or similar service offerings more effective than ours. 11 Acquisitions or business combinations may disrupt or have a material adverse effect on our operations or earnings.
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Anticipated benefits from these initiatives may not be realized on the expected timeline or at all. In addition, competitors may introduce and scale new technologies more quickly or effectively than we do, which could diminish our competitive position, compress margins, and result in lost business opportunities.
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The rapid evolution and adoption of artificial intelligence(AI) and any efforts we may make to incorporate it into our business may amplify cyber, legal, and operational risks. AI adoption may introduce or amplify risks, including inaccurate or biased outputs that are difficult to detect, governance and model-risk challenges, privacy and intellectual property concerns, and evolving legal disclosure obligations.
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AI can also increase cybersecurity exposure as threat actors leverage AI to enhance social-engineering and intrusion techniques. Implementing and maintaining AI capabilities can be complex and costly, anticipated benefits may not be realized and expected timelines or at all, and failures could harm our operations, reputation, results of operations, and financial condition.

Item 1C. Cybersecurity

Cybersecurity — threats and controls disclosure

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Biggest changeWe engaged third-party experts for the initial development of the IT risk management program, including preparation of the program charter, IT risk register, and responsibility assignment matrix. We use these external engagements to provide multiple assessments of our cybersecurity functions, including a compromise assessment, a security posture assessment, and a cyber-defense assessment.
Biggest changeAssessments and Audits The Company uses various methods to assess our cybersecurity maturity and IT risk management program, including periodic self-assessments and engagements of independent third-party assessors and consultants. We engaged third-party experts for the initial development of the IT risk management program, including preparation of the program charter, IT risk register, and responsibility assignment matrix.
These subsequent reviews occur at different intervals, based on the nature of the business relationship, the type of data being exchanged (if any), and the overall potential impact to the Company, and include consideration of factors such as the third party’s cybersecurity capabilities, data protections and privacy measures, and technical capabilities as related to required integrations with the Company’s systems.
These subsequent reviews occur at different intervals, based on the nature of the business relationship, the type of data being exchanged (if any), and the overall potential impact to the Company, and include consideration of factors such as the third party’s cybersecurity capabilities, data protections and privacy measures, and AI and technical capabilities as related to required integrations with the Company’s systems.
Material Findings from Cybersecurity Risks The Company faces many of the same risks and has experienced similar cybersecurity incidents as other transportation providers. None of these risks or incidents to date have materially affected our business strategy, operations, or financial condition. Governance The Board of Directors maintains oversight of risks from cybersecurity-related threats, primarily through the Audit Committee.
Material Findings from Cybersecurity Risks The Company faces many of the same risks and has experienced similar cybersecurity incidents as other transportation providers. None of these risks or incidents to date have materially affected our business strategy, operations, or financial condition. 13 Governance The Board of Directors maintains oversight of risks from cybersecurity-related threats, primarily through the Audit Committee .
The IRT is responsible for reporting details of the incident and its impact on the business to the Executive Leadership Team (ELT) and making key recommendations for managing operations. The ELT is responsible for advising the Board of any material cybersecurity incidents. Both the ELT and the IRT have participated in formal cybersecurity response training. 13
The IRT is responsible for reporting details of the incident and its impact on the business to the Executive Leadership Team (ELT) and making key recommendations for managing operations. The ELT is responsible for advising the Board of any material cybersecurity incidents. Both the ELT and the IRT have participated in formal cybersecurity response training.
The Company maintains a risk register to document and track IT risks, including factors such as: ● Categories (including but not limited to cybersecurity, data privacy, governance, and application development) ● Likelihood and impact ● Initial risk score ● Mitigating controls and/or remediations ● Residual risk score ● Plan for remediation ● Risk stage ● Reviewers/owners ● Approvals/exceptions The Company’s Governance, Risk, and Compliance (GRC) team maintains the IT risk register and reports updates to the IT Risk Council, which meets regularly.
The Company maintains a risk register to document and track IT risks, including factors such as: ● Categories (including but not limited to cybersecurity, data privacy, governance, application development, and AI) 12 ● Likelihood and impact ● Initial risk score ● Mitigating controls and/or remediations ● Residual risk score ● Plan for remediation ● Risk stage ● Reviewers/owners ● Approvals/exceptions The Company’s Governance, Risk, and Compliance (GRC) team maintains the IT risk register and reports updates to the IT Risk Council, which meets regularly.
The IT Risk Council is made up of members representing the Company’s cybersecurity, network, server, client, database, and software teams. Cybersecurity Operations and Incident Response Capabilities The Company maintains a Cybersecurity Operations Center (CSOC) comprised of in-house staff, contracted personnel, and other third-party security service providers.
The IT Risk Council is made up of members representing the Company’s cybersecurity, network, server, client, database, and software teams. Cybersecurity Operations and Incident Response Capabilities The Company maintains a Cybersecurity Operations Center (CSOC) comprised of in-house employees, contracted personnel, and other third-party security service providers.
Our Vice President of Engineering and Technology, has more than 30 years of expertise with the Company in cybersecurity, engineering, governance, risk, and compliance, having successfully led numerous projects for the Company. Their backgrounds provide them with a comprehensive understanding of cybersecurity challenges and solutions.
Our Vice President of Engineering and Technology, has more than 31 years of expertise with the Company in cybersecurity, engineering, governance, risk, and compliance, having successfully led numerous projects for the Company. Their backgrounds provide them with a comprehensive understanding of cybersecurity challenges and solutions.
Our Senior Vice President of Engineering and Technology has more than 34 years of IT experience and has led initiatives in IT application development, IT operations, cloud computing, cybersecurity, business continuity, governance, compliance, and enterprise risk management across various industries.
Our Senior Vice President of Engineering and Technology has more than 35 years of IT experience and has led initiatives in IT application development, IT operations, cloud computing, cybersecurity, business continuity, governance, compliance, and enterprise risk management across various industries.
Our CIO has over 30 years of experience leading data and technology initiatives and has held executive and senior leadership roles across Fortune 500 companies.
Our CIO has over 31 years of experience leading data and technology initiatives and has held executive and senior leadership roles across Fortune 500 companies.
Vice President of Engineering & Technology is scheduled to meet with the Audit Committee such that the Board and the Committee receive updates on at least a quarterly basis. Other updates are provided throughout the year to the Audit Committee and the Board, as needed.
Three additional times a year the CIO or the Senior Vice President of Engineering and Technology meets with the Audit Committee who subsequently provides an update to the Board, such that the Board and the Committee receive updates on at least a quarterly basis. Other updates are provided throughout the year to the Audit Committee and the Board, as needed.
Members of this team include representatives of our CSOC and Networking Operations Center, as well as cloud/server engineering, network engineering, enterprise data, identity and access management, GRC, end-user computing, application development, and IT leadership teams. 12 Assessments and Audits The Company uses various methods to assess our cybersecurity maturity and IT risk management program, including periodic self-assessments and engagements of independent third-party assessors and consultants.
Members of this team include representatives of our CSOC and Networking Operations Center, as well as cloud/server engineering, network engineering, enterprise data, identity and access management, GRC, end-user computing, application development, and IT leadership teams.
Risks Associated with Third-Party Service Providers The Company’s GRC oversees assessments of third-party service providers in collaboration with our IT contracts, data privacy, technical architecture, and legal teams. An initial review for any cybersecurity threat is completed when the provider is onboarded, with subsequent periodic reviews conducted thereafter.
An initial review for any cybersecurity threat is completed when the provider is onboarded, with subsequent periodic reviews conducted thereafter.
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The Audit Committee holds a separate annual in-person meeting with the Company’s Chief Information Officer (CIO) and subsequently provides an update to the Board. The Company’s CIO also attends a second annual meeting directly with the full Board of Directors. Beginning in 2025, in addition to these annual meetings, the CIO or the Sr.
Added
We use these external engagements to provide multiple assessments of our cybersecurity functions, including a compromise assessment, a security posture assessment, and a cyber-defense assessment . Risks Associated with Third-Party Service Providers The Company’s GRC oversees assessments of third-party service providers in collaboration with our IT contracts, data privacy, technical architecture, and legal teams.
Added
The Company’s Chief Information Officer (CIO) meets directly with the full Board of Directors at least annually.

Item 2. Properties

Properties — owned and leased real estate

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Biggest changeA summary of our principal facilities in locations throughout the U.S. follows: Type Acreage Maintenance Shop/ Cross-dock Facility (square feet) Office Space (square feet) Maintenance and support facilities 577 949,000 205,000 Cross-dock and delivery system facilities 98 3,810,000 138,000 Corporate headquarters campus, Lowell, Arkansas 140 - 707,000 Branch sales offices - - 164,000 Other facilities, offices, and parking yards 825 864,000 298,000
Biggest changeA summary of our principal facilities in locations throughout the U.S. follows: Type Acreage Maintenance Shop/ Cross-dock Facility (square feet) Office Space (square feet) Maintenance and support facilities 662 1,317,966 278,413 Cross-dock and delivery system facilities 94 3,437,616 126,552 Corporate headquarters campus, Lowell, Arkansas 218 - 704,059 Branch sales offices - - 110,312 Other facilities, offices, and parking yards 671 541,495 234,318 14
ITEM 2. PROPERTIES We own our corporate headquarters in Lowell, Arkansas. In addition, we own or lease buildings in Lowell that we utilize for administrative support and warehousing. We also own or lease 54 other significant facilities across the United States where we perform maintenance on our equipment, provide bulk fuel, and employ personnel to support operations.
ITEM 2. PROPERTIES We own our corporate headquarters in Lowell, Arkansas. In addition, we own or lease buildings in Lowell that we utilize for administrative support and warehousing. We also own or lease 59 other significant facilities across the United States where we perform maintenance on our equipment, provide bulk fuel, and employ personnel to support operations.
These facilities vary in size from 1 to 39 acres. Each of our business segments utilizes these facilities. In addition, we have 111 leased or owned facilities in our FMS cross-dock and other delivery system networks and multiple leased or owned remote sales offices or branches in our ICS segment.
These facilities vary in size from one to 43 acres. Each of our business segments utilizes these facilities. In addition, we have 106 leased or owned facilities in our FMS cross-dock and other delivery system networks and multiple leased or owned remote sales offices or branches in our ICS segment.

Item 5. Market for Registrant's Common Equity

Market for Common Equity — stock, dividends, buybacks

8 edited+3 added−1 removed1 unchanged
Biggest changeWe have removed Stericycle, Inc. from our peer group as it was acquired by Waste Management, Inc. in November 2024. The graph assumes the value of the investment in our common stock, in the two indexes, and in the peer group (including reinvestment of dividends) was $100 on December 31, 2019 and tracks it through December 31, 2024.
Biggest changeThe graph assumes the value of the investment in our common stock, in the two indexes, and in each of the peer groups (including reinvestment of dividends) was $100 on December 31, 2020 and tracks it through December 31, 2025. The stock price performance included in this graph is not necessarily indicative of future stock price performance.
ITEM 5. MARKET FOR REGISTRANT ’ S COMMON EQUITY, RELATED SHAREHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES Our common stock is traded on the NASDAQ Global Select Market (NASDAQ) under the symbol “JBHT.” At December 31, 2024, we were authorized to issue up to 1 billion shares of our common stock, and 167.1 million shares were issued.
ITEM 5. MARKET FOR REGISTRANT ’ S COMMON EQUITY, RELATED SHAREHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES Our common stock is traded on the NASDAQ Global Select Market (NASDAQ) under the symbol “JBHT.” At December 31, 2025, we were authorized to issue up to 1 billion shares of our common stock, and 167.1 million shares were issued.
The peer group consists of 13 companies: CH Robinson Worldwide Inc, CSX Corp, Expeditors International Of Washington Inc, Hub Group Inc, Knight-Swift Transportation Holdings Inc, Norfolk Southern Corp, Old Dominion Freight Line Inc, Republic Services Inc, Ryder System Inc, Schneider National Inc, Union Pacific Corp, Waste Management Inc and XPO Inc.
The peer group labeled “2024 Peer Group” consists of 13 companies: CH Robinson Worldwide, Inc., CSX Corporation, Expeditors International Of Washington, Inc., Hub Group, Inc., Knight-Swift Transportation Holdings, Inc., Norfolk Southern Corporation, Old Dominion Freight Line, Inc., Republic Services, Inc., Ryder System, Inc., Schneider National, Inc., Union Pacific Corporation, Waste Management, Inc. and XPO, Inc.
This stock repurchase program has no expiration date. Stock Performance Graph The following graph compares the cumulative 5-year total return of shareholders of our common stock with the cumulative total returns of the S&P 500 index, Nasdaq Transportation index, and a customized peer group.
This current stock repurchase program has no expiration date. 15 Stock Performance Graph The following graph compares the cumulative 5-year total return of shareholders of our common stock with the cumulative total returns of the S&P 500 index, Nasdaq Transportation index, and two customized peer groups.
We had 100.6 million and 103.2 million shares outstanding as of December 31, 2024 and 2023 respectively. On February 18, 2025, we had 893 shareholders of record of our common stock.
We had 94.6 million and 100.6 million shares outstanding as of December 31, 2025 and 2024, respectively. On February 17, 2026, we had 855 shareholders of record of our common stock.
On January 23, 2025, we announced an increase in our quarterly cash dividend from $0.43 to $0.44 per share, which was paid February 21, 2025, to shareholders of record on February 7, 2025. We currently intend to continue paying cash dividends on a quarterly basis.
On January 22, 2026, we announced an increase in our quarterly cash dividend from $0.44 to $0.45 per share, which was paid February 20, 2026, to shareholders of record on February 6, 2026. We currently intend to continue paying cash dividends on a quarterly basis. However, no assurance can be given that future dividends will be paid.
However, no assurance can be given that future dividends will be paid. 14 Purchases of Equity Securities The following table summarizes purchases of our common stock during the three months ended December 31, 2024: Period Total Number of Common Shares Purchased Average Price Paid Per Common Share Purchased Total Number of Shares Purchased as Part of a Publicly Announced Plan (1) Maximum Dollar Amount of Shares That May Yet Be Purchased Under the Plan (in millions) (1) October 1 through October 31, 2024 37,247 $ 166.21 37,247 $ 961 November 1 through November 30, 2024 52,815 181.11 52,815 951 December 1 through December 31, 2024 398,656 175.30 398,656 882 Total 488,718 $ 175.24 488,718 $ 882 (1) On August 16, 2024, our Board of Directors authorized the purchase of up to $1 billion of our common stock.
Purchases of Equity Securities The following table summarizes purchases of our common stock during the three months ended December 31, 2025: Period Total Number of Common Shares Purchased Average Price Paid Per Common Share Purchased Total Number of Shares Purchased as Part of a Publicly Announced Plan (1) Maximum Dollar Amount of Shares That May Yet Be Purchased Under the Plan (in millions) (1) October 1 through October 31, 2025 215,115 $ 167.49 215,115 $ 1,070 November 1 through November 30, 2025 627,757 165.51 627,757 968 December 1 through December 31, 2025 - - - 968 Total 842,872 $ 166.02 842,872 $ 968 (1) On August 16, 2024, our Board of Directors authorized the purchase of up to $1 billion of our common stock.
The stock price performance included in this graph is not necessarily indicative of future stock price performance. Years Ended December 31, 2019 2020 2021 2022 2023 2024 J.B.
Years Ended December 31, 2020 2021 2022 2023 2024 2025 J.B.
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Hunt Transport Services, Inc. $ 100.00 $ 118.10 $ 177.90 $ 153.12 $ 177.00 $ 152.66 S&P 500 100.00 118.40 152.39 124.79 157.59 197.02 Nasdaq Transportation 100.00 106.29 120.41 97.55 130.87 133.76 Peer Group 100.00 119.84 159.21 136.89 163.47 167.78 ITEM 6. [Reserved] 15
Added
On October 22, 2025, our Board of Directors authorized the purchase of up to an additional $1 billion of our common stock to be effective upon exhausting the 2024 authorization, which occurred in November 2025.
Added
The peer group labeled “2025 Peer Group” consists of 14 companies: CH Robinson Worldwide, Inc., CSX Corporation, Expeditors International Of Washington, Inc., Hub Group, Inc., Knight-Swift Transportation Holdings, Inc., Norfolk Southern Corporation, Old Dominion Freight Line, Inc., Republic Services, Inc., Ryder System, Inc., Schneider National, Inc., Union Pacific Corporation, United Rentals, Inc., Waste Management, Inc. and XPO, Inc.
Added
Hunt Transport Services, Inc. $ 100.00 $ 150.63 $ 129.65 $ 149.87 $ 129.26 $ 148.91 S&P 500 100.00 128.71 105.40 133.10 166.40 196.16 Nasdaq Transportation 100.00 113.28 91.78 123.12 125.85 138.77 2024 Peer Group 100.00 132.85 114.23 136.40 140.00 154.19 2025 Peer Group 100.00 133.25 115.77 140.98 146.86 162.46 16 ITEM 6. [Reserved]

Item 7. Management's Discussion & Analysis

Management's Discussion & Analysis (MD&A) — revenue / margin commentary

50 edited+10 added−14 removed24 unchanged
Biggest changeThe following tables summarize financial and operating data by segment: Operating Revenue by Segment Years Ended December 31, (in millions) 2024 2023 JBI $ 5,956 $ 6,208 DCS 3,396 3,543 ICS 1,141 1,390 FMS 910 918 JBT 702 789 Total segment revenues 12,105 12,848 Intersegment eliminations (18 ) (18 ) Total $ 12,087 $ 12,830 Operating Income by Segment Years Ended December 31, (in millions) 2024 2023 JBI $ 430 $ 569 DCS 376 405 ICS (56 ) (44 ) FMS 60 47 JBT 21 16 Total $ 831 $ 993 20 Operating Data by Segment Years Ended December 31, 2024 2023 JBI Loads 2,090,732 2,044,980 Average length of haul (miles) 1,692 1,673 Revenue per load $ 2,849 $ 3,035 Average tractors during the period (1) 6,368 6,488 Tractors (end of period) 6,502 6,380 Trailing equipment (end of period) 122,272 118,171 Average effective trailing equipment usage 104,103 99,374 DCS Loads 3,985,221 4,274,677 Average length of haul (miles) 181 175 Revenue per truck per week (2) $ 5,075 $ 5,184 Average trucks during the period (3) 12,988 13,290 Trucks (end of period) 12,647 13,252 Trailing equipment (end of period) 32,046 32,600 Average effective trailing equipment 32,639 32,408 ICS Loads 609,854 764,839 Revenue per load $ 1,872 $ 1,818 Gross profit margin 16.1 % 13.4 % Employee count (end of period) 590 861 Approximate number of third-party carriers (end of period) 110,000 122,100 Marketplace for J.B.
Biggest changeThe following tables summarize financial and operating data by segment: Operating Revenue by Segment Years Ended December 31, (in millions) 2025 2024 JBI $ 5,975 $ 5,956 DCS 3,376 3,396 ICS 1,109 1,141 FMS 824 910 JBT 734 702 Total segment revenues 12,018 12,105 Intersegment eliminations (19 ) (18 ) Total $ 11,999 $ 12,087 Operating Income by Segment Years Ended December 31, (in millions) 2025 2024 JBI $ 450 $ 430 DCS 377 376 ICS (10 ) (56 ) FMS 27 60 JBT 21 21 Total $ 865 $ 831 21 Operating Data by Segment Years Ended December 31, 2025 2024 JBI Loads 2,138,191 2,090,732 Average length of haul (miles) 1,643 1,692 Revenue per load $ 2,795 $ 2,849 Average tractors during the period (1) 6,350 6,368 Tractors (end of period) 6,188 6,502 Trailing equipment (end of period) 124,838 122,272 Average effective trailing equipment usage 105,630 104,103 DCS Loads 3,885,463 3,985,221 Average length of haul (miles) 177 181 Revenue per truck per week (2) $ 5,190 $ 5,075 Average trucks during the period (3) 12,659 12,988 Trucks (end of period) 12,639 12,647 Trailing equipment (end of period) 32,090 32,046 Average effective trailing equipment usage 33,038 32,639 ICS Loads 553,126 609,854 Revenue per load $ 2,005 $ 1,872 Gross profit margin 14.5 % 16.1 % Employee count (end of period) 575 590 Approximate number of third-party carriers (end of period) 126,400 110,000 Marketplace for J.B.
We periodically review the useful lives and salvage values of our revenue equipment and evaluate our long-lived assets for impairment. We have not identified any impairment to these assets at December 31, 2024. We have agreements with our primary tractor suppliers for residual or trade-in values for certain new equipment.
We periodically review the useful lives and salvage values of our revenue equipment and evaluate our long-lived assets for impairment. We have not identified any impairment to these assets at December 31, 2025. We have agreements with our primary tractor suppliers for residual or trade-in values for certain new equipment.
We were fully insured for workers’ compensation claims for nearly all states. We have policies in place for 2025 with substantially the same terms as our 2024 policies for personal injury, property damage, workers’ compensation, and cargo loss or damage.
We were fully insured for workers’ compensation claims for nearly all states. We have policies in place for 2026 with substantially the same terms as our 2025 policies for personal injury, property damage, workers’ compensation, and cargo loss or damage.
For a comparison of the years ended December 31, 2023 and 2022, refer to Management's Discussion and Analysis of Financial Condition and Results of Operations included in our annual report on Form 10-K for the year ended December 31, 2023.
For a comparison of the years ended December 31, 2024 and 2023, refer to Management's Discussion and Analysis of Financial Condition and Results of Operations included in our annual report on Form 10-K for the year ended December 31, 2024.
We consider our critical accounting policies and estimates to be those that require us to make more significant judgments and estimates when we prepare our financial statements and include the following: Workers ’ Compensation and Accident Costs We purchase insurance coverage for a portion of expenses related to employee injuries, vehicular collisions, accidents, and cargo damage.
We consider our critical accounting policies and estimates to be those that require us to make more significant judgments and estimates when we prepare our financial statements and include the following: Workers’ Compensation and Accident Costs We purchase insurance coverage for a portion of expenses related to employee injuries, vehicular collisions, accidents, and cargo damage.
The amounts of self-insurance change from time to time based on measurement dates, policy expiration dates, and claim type. For 2023 and 2024, we were self-insured for $500,000 per occurrence as well as subject to coverage-layer-specific, aggregated reimbursement limits of covered excess claims for personal injury and property damage.
The amounts of self-insurance may change from time to time based on measurement dates, policy expiration dates, and claim type. For 2024 and 2025, we were self-insured for $500,000 per occurrence as well as subject to coverage-layer-specific, aggregated reimbursement limits of covered excess claims for personal injury and property damage.
The applicable interest rates under this agreement are based on either the Secured Overnight Financing Rate (SOFR), or a Base Rate, depending upon the specific type of borrowing, plus an applicable margin and other fees. At December 31, 2024, we had a cash balance of $47 million.
The applicable interest rates under this agreement are based on either the Secured Overnight Financing Rate (SOFR), or a Base Rate, depending upon the specific type of borrowing, plus an applicable margin and other fees. At December 31, 2025, we had a cash balance of $17 million.
ITEM 7. MANAGEMENT ’ S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS The following discussion of our results of operations and financial condition should be read in conjunction with our financial statements and related notes in Item 8. This discussion contains forward-looking statements.
ITEM 7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS The following discussion of our results of operations and financial condition should be read in conjunction with our financial statements and related notes in Item 8. This discussion contains forward-looking statements.
In doing so, the recorded liability considers future claims growth and provides a reserve for incurred-but-not-reported claims. We do not discount our estimated losses. At December 31, 2024, we had current accruals of approximately $232 million and long-term accruals of approximately $369 million for estimated claims.
In doing so, the recorded liability considers future claims growth and provides a reserve for incurred-but-not-reported claims. We do not discount our estimated losses. At December 31, 2025, we had current accruals of approximately $283 million and long-term accruals of approximately $444 million for estimated claims.
The revolving line of credit authorizes us to borrow up to $1.0 billion under a five-year term expiring September 2027, and allows us to request an increase in the revolving line of credit total commitment by up to $300 million and to request two one-year extensions of the maturity date.
The revolving line of credit authorizes us to borrow up to $1.0 billion under a five-year term expiring November 2030, and allows us to request an increase in the revolving line of credit total commitment by up to $400 million and to request two one-year extensions of the maturity date.
Percentage of Operating Revenues Percentage Change Between Years 2024 2023 Operating revenues 100.0 % 100.0 % (5.8 )% Operating expenses: Rents and purchased transportation 44.5 45.8 (8.4 ) Salaries, wages and employee benefits 26.7 25.4 (0.8 ) Depreciation and amortization 6.3 5.8 3.1 Fuel and fuel taxes 5.4 5.9 (13.2 ) Operating supplies and expenses 4.1 4.0 (2.7 ) Insurance and claims 2.6 2.5 (0.6 ) General and administrative expenses, net of asset dispositions 2.5 2.0 11.6 Operating taxes and licenses 0.6 0.6 (3.3 ) Communication and utilities 0.4 0.3 3.9 Total operating expenses 93.1 92.3 (4.9 ) Operating income 6.9 7.7 (16.3 ) Net interest expense 0.6 0.4 23.0 Earnings before income taxes 6.3 7.3 (18.8 ) Income taxes 1.6 1.6 (8.7 ) Net earnings 4.7 % 5.7 % (21.6 )% 2024 Compared With 2023 Consolidated Operating Revenues Our total consolidated operating revenues decreased 5.8% to $12.09 billion in 2024, compared to $12.83 billion in 2023.
Percentage of Operating Revenues Percentage Change Between Years 2025 2024 Operating revenues 100.0 % 100.0 % (0.7 )% Operating expenses: Rents and purchased transportation 44.2 44.5 (1.3 ) Salaries, wages and employee benefits 27.0 26.7 0.1 Depreciation and amortization 6.0 6.3 (6.1 ) Fuel and fuel taxes 5.3 5.4 (2.9 ) Operating supplies and expenses 4.3 4.1 3.3 Insurance and claims 2.8 2.6 6.7 General and administrative expenses, including asset dispositions 2.2 2.5 (8.1 ) Operating taxes and licenses 0.6 0.6 (1.4 ) Communication and utilities 0.4 0.4 (0.5 ) Total operating expenses 92.8 93.1 (1.1 ) Operating income 7.2 6.9 4.1 Net interest expense 0.6 0.6 (1.1 ) Earnings before income taxes 6.6 6.3 4.6 Income taxes 1.6 1.6 3.8 Net earnings 5.0 % 4.7 % 4.8 % 2025 Compared With 2024 Consolidated Operating Revenues Our total consolidated operating revenues decreased 0.7% to $12.00 billion in 2025, compared to $12.09 billion in 2024.
At December 31, 2024, we have recorded current assets of $237 million and long-term assets of $192 million of expected reimbursement for covered excess claims, other insurance deposits, and prepaid insurance premiums. 16 Revenue Equipment We operate a significant number of tractors, trucks, containers, chassis, and trailers in connection with our business.
At December 31, 2025, we had recorded current assets of $255 million and long-term assets of $235 million of expected reimbursement for covered excess claims, other insurance deposits, and prepaid insurance premiums. 17 Revenue Equipment We operate a significant number of tractors, trucks, containers, chassis, and trailers in connection with our business.
At December 31, 2024, we were authorized to borrow up to $1.5 billion through a revolving line of credit and committed term loans, which is supported by a credit agreement with a group of banks.
At December 31, 2025, we were authorized to borrow up to $1.7 billion through a revolving line of credit and committed term loans, pursuant to a credit agreement with a group of banks.
LIQUIDITY AND CAPITAL RESOURCES Net cash provided by operating activities totaled $1.48 billion in 2024, compared to $1.74 billion in 2023. The decrease was primarily due to decreased earnings of approximately $157 million and the timing of general working capital activities. Net cash used in investing activities totaled $664 million in 2024, compared with $1.69 billion in 2023.
LIQUIDITY AND CAPITAL RESOURCES Net cash provided by operating activities totaled $1.68 billion in 2025, compared to $1.48 billion in 2024. The increase was primarily due to increased earnings and the timing of general working capital activities. Net cash used in investing activities totaled $575 million in 2025, compared with $664 million in 2024.
We registered these offerings and the sale of the notes under the Securities Act of 1933, pursuant to a shelf registration statement filed in January 2019. These notes are unsecured obligations and rank equally with our existing and future senior unsecured debt.
All other subsidiaries of the parent are minor. We registered these offerings and the sale of the notes under the Securities Act of 1933, pursuant to shelf registration statements filed in January 2019 and February 2023, respectively. Both notes are unsecured obligations and rank equally with our existing and future senior unsecured debt.
Our dividend policy is subject to review and revision by the Board of Directors, and payments are dependent upon our financial condition, liquidity, earnings, capital requirements, and other factors the Board of Directors may deem relevant. We paid a $0.42 per share quarterly dividend in 2023 and a $0.43 per share quarterly dividend in 2024.
Our dividend policy is subject to review and revision by the Board of Directors, and payments are dependent upon our financial condition, liquidity, earnings, capital requirements, and other factors the Board of Directors may deem relevant.
See Note 6, Income Taxes, in our Consolidated Financial Statements for a discussion of our current tax contingencies. 17 RESULTS OF OPERATIONS The following table sets forth items in our Consolidated Statements of Earnings as a percentage of operating revenues and the percentage increase or decrease of those items compared with the prior year.
RESULTS OF OPERATIONS The following table sets forth items in our Consolidated Statements of Earnings as a percentage of operating revenues and the percentage increase or decrease of those items compared with the prior year.
These senior notes were issued by J.B. Hunt Transport Services, Inc., a parent-level holding company with no significant tangible assets or operations. The notes are guaranteed on a full and unconditional basis by our wholly-owned operating subsidiary. All other subsidiaries of the parent are minor.
Interest payments under these notes are due semiannually in March and September of each year beginning September 2025. Both senior notes were issued by J.B. Hunt Transport Services, Inc., a parent-level holding company with no significant tangible assets or operations. The notes are guaranteed on a full and unconditional basis by our wholly-owned operating subsidiary.
The decrease resulted primarily from a decrease in equipment purchases, net of proceeds from the sale of equipment. Net cash used in financing activities was $826 million in 2024, compared with $58 million in 2023.
The decrease resulted primarily from a decrease in equipment purchases, net of proceeds from the sale of equipment. Net cash used in financing activities was $1.1 billion in 2025, compared with $826 million in 2024. This increase resulted primarily from an increase in current year treasury stock purchases.
Significant judgment is required in determining and assessing the impact of complex tax laws and certain tax-related contingencies on our provision for income taxes.
To the extent we establish a valuation allowance, we include an expense as part of our income tax provision. 18 Significant judgment is required in determining and assessing the impact of complex tax laws and certain tax-related contingencies on our provision for income taxes.
These payments are classified as purchased transportation expense. Operating supplies and expenses decreased 2.7% in 2024 compared with 2023, driven primarily by lower equipment maintenance costs, decreased towing expenses, lower tolls expense, and decreased other operating supply costs compared to 2023.
These payments are classified as purchased transportation expense. Operating supplies and expenses increased 3.3% in 2025 compared with 2024, driven primarily by higher equipment maintenance costs, increased tire expense, and higher tolls expense, partially offset by lower travel and entertainment expenses and towing costs, compared to 2024.
Salaries, wages and employee benefit costs decreased 0.8% in 2024 from 2023. This decrease was primarily related to a decrease in employee headcounts, partially offset by an increase in group medical benefit expenses and wage increases.
Salaries, wages and employee benefit costs increased 0.1% in 2025 from 2024. This increase was primarily related to higher incentive compensation and an increase in group medical benefit expenses, partially offset by lower employee headcounts.
To the extent we believe recovery does not meet the more likely than not threshold, a valuation allowance is established. To the extent we establish a valuation allowance, we include an expense as part of our income tax provision.
To the extent we believe recovery does not meet the more likely than not threshold, a valuation allowance is established.
We may redeem for cash some or all of the notes based on a redemption price set forth in the note indenture. Our $250 million of 3.85% senior notes matured in March 2024. The entire outstanding balance was paid in full at maturity. Our financing arrangements require us to maintain certain covenants and financial ratios.
We may redeem for cash some or all of the notes based on a redemption price set forth in the note indenture. Our financing arrangements require us to maintain certain covenants and financial ratios. At December 31, 2025, we were in compliance with all covenants and financial ratios.
We have fuel surcharge programs in place with the majority of our customers. These programs typically involve a specified computation based on the change in national, regional, or local fuel prices.
Fuel and fuel taxes expense decreased 2.9% in 2025 compared with 2024, due primarily to a decrease in the price of fuel during 2025 and decreased road miles. We have fuel surcharge programs in place with the majority of our customers. These programs typically involve a specified computation based on the change in national, regional, or local fuel prices.
Further, a number of years may elapse before a particular matter for which we have established an accrual is audited and resolved.
Further, a number of years may elapse before a particular matter for which we have established an accrual is audited and resolved. See Note 6, Income Taxes, in our Consolidated Financial Statements for a discussion of our current tax contingencies.
For our senior credit facility term loans maturing in 2025, it is our intent to pay the entire outstanding balances in full, on or before the maturity dates, using our existing cash balance, revolving line of credit or other sources of long-term financing.
For our senior notes maturing in 2026, it is our intent to pay the entire outstanding balances in full, on or before the maturity dates, using our existing cash balance, revolving line of credit or other sources of long-term financing. 24 We believe our liquid assets, cash generated from operations, and revolving line of credit will provide sufficient funds for our operating and capital requirements for the foreseeable future.
Our ICS segment had an operating loss of $56 million in 2024 compared to an operating loss of $44 million in 2023, primarily due to decreased revenue and integration costs related to the BNSFL acquisition, which included the impairment or accelerated amortization of certain acquired intangible, information system, and lease assets totaling $26 million.
In addition, 2024 included integration and transition costs related to the 2023 purchase of the brokerage assets of BNSFL which included the impairment or accelerated amortization of certain acquired intangible, information system, and lease assets totaling $26 million.
At December 31, 2024, we were in compliance with all covenants and financial ratios. We are currently committed to spend approximately $677 million, net of proceeds from sales or trade-ins, during the years 2025 and 2026, as well as an additional $89 million thereafter. These expenditures will relate primarily to the acquisition of tractors, containers, chassis, and other trailing equipment.
We are currently committed to spend approximately $107.3 million, net of proceeds from sales or trade-ins, during the year 2026. These expenditures will relate primarily to the acquisition of tractors, containers, chassis, and other trailing equipment. We had no other off-balance sheet arrangements as of December 31, 2025.
Revenue per load excluding fuel surcharges decreased 4% compared to 2023. Operating income of the JBI segment decreased to $430 million in 2024, from $569 million in 2023.
Eastern network load volumes increased 10% and transcontinental loads decreased 2% compared to 2024. Revenue per load excluding fuel surcharges decreased 1% compared to 2024. Operating income of the JBI segment increased to $450 million in 2025, from $430 million in 2024.
The increase in rate was primarily due to discrete tax items recorded in 2023 that were not incurred in 2024. 19 Segments We operated five business segments during 2024. The operation of each of these businesses is described in our Notes to Consolidated Financial Statements.
Our effective income tax rate was 24.7% in 2025 and 24.8% in 2024. 20 Segments We operated five business segments during 2025. The operation of each of these businesses is described in our Notes to Consolidated Financial Statements.
Our second largest cost item is salaries and wages, the largest portion of which is driver pay, which includes a large variable component. Our senior notes consist of $700 million of 3.875% senior notes due March 2026, issued in March 2019. Interest payments under these notes are due semiannually in March and September of each year, beginning September 2019.
The first is $700 million of 3.875% senior notes due March 2026, issued in March 2019. Interest payments under these notes are due semiannually in March and September of each year, beginning September 2019. The second is $750 million of 4.90% senior notes due March 2030, issued in March 2025.
Hunt 360 revenue (millions) $ 395.8 $ 765.6 FMS Stops 4,316,578 4,596,715 Average trucks during the period (3) 1,373 1,540 JBT Loads 389,832 410,091 Revenue per load $ 1,800 $ 1,925 Average length of haul 629 652 Tractors (end of period) Company-owned 2 27 Independent contractor 1,917 1,931 Total tractors 1,919 1,958 Trailers (end of period) 12,895 13,561 Average effective trailing equipment usage 12,552 13,000 (1) Includes company-owned and independent contractor tractors (2) Using weighted workdays (3) Includes company-owned, independent contractor, and customer-owned trucks 21 JBI Segment JBI segment revenue decreased 4% to $5.96 billion in 2024, from $6.21 billion in 2023.
Hunt 360 revenue (millions) $ 349.1 $ 395.8 FMS Stops 3,831,619 4,316,578 Average trucks during the period (3) 1,321 1,373 JBT Loads 432,794 389,832 Revenue per load $ 1,695 $ 1,800 Average length of haul 596 629 Tractors (end of period) Company-owned - 2 Independent contractor 2,003 1,917 Total tractors 2,003 1,919 Trailers (end of period) 12,658 12,895 Average effective trailing equipment usage 12,152 12,552 (1) Includes company-owned and independent contractor tractors (2) Using weighted workdays (3) Includes company-owned, independent contractor, and customer-owned trucks 22 JBI Segment JBI segment revenue was $5.98 billion in 2025, relatively flat when compared to $5.96 billion in 2024, primarily due to a 2% increase in load volume, partially offset by a 2% decrease in revenue per load, which is the combination of changes in freight mix, customer rate changes, and fuel surcharge revenue.
Operating income of our DCS segment decreased to $376 million in 2024, from $405 million in 2023. The decrease is primarily due to decreased revenue, higher insurance premiums expense, and higher new account start-up costs, partially offset by decreased equipment-related costs, lower personnel costs, decreased loss on equipment sales, and the maturing of new business onboarded over the past year.
Operating income of our DCS segment increased to $377 million in 2025, from $376 million in 2024. The increase is primarily due to the maturing of new business onboarded over the past year, lower bad debt expense, and overall cost management initiatives, partially offset by lower revenue, increased equipment maintenance costs and higher group medical benefit expenses.
FMS Segment FMS segment revenue decreased 1% to $910 million in 2024 from $918 million in 2023, primarily due to general weakness in customer demand and loss of business due to internal efforts to improve revenue quality across certain accounts, partially offset by improved revenue quality at underperforming accounts and the addition of multiple new customer contracts implemented over the past year.
FMS Segment FMS segment revenue decreased 10% to $824 million in 2025 from $910 million in 2024, primarily due to general weakness in customer demand, loss of business due to internal efforts to improve revenue quality across certain accounts, and customer mix. Operating income of our FMS segment decreased to $27 million in 2025, from $60 million in 2024.
On January 23, 2025, we announced an increase in our quarterly cash dividend from $0.43 to $0.44 per share, which was paid February 21, 2025, to shareholders of record on February 7, 2025. We currently intend to continue paying cash dividends on a quarterly basis. However, no assurance can be given that future dividends will be paid.
We paid a $0.42 per share quarterly dividend in 2023, a $0.43 per share quarterly dividend in 2024, and a $0.44 per share quarterly dividend in 2025. On January 22, 2026, we announced an increase in our quarterly cash dividend from $0.44 to $0.45 per share, which was paid February 20, 2026, to shareholders of record on February 6, 2026.
DCS Segment DCS segment revenue decreased 4% to $3.40 billion in 2024, from $3.54 billion in 2023. Productivity, defined as revenue per truck per week, decreased 2% compared to 2023. Productivity, excluding fuel surcharge revenue, remained flat, primarily due to decreased asset utilization and increased idle equipment, offset by contractual index-based rate increases. Customer retention rates were approximately 90%.
Productivity, excluding fuel surcharge revenue, increased 3%, primarily due to contractual index-based rate increases, increased asset utilization, and reduced idle equipment. However, these productivity improvements in 2025 were more than offset by a 3% decline in average trucks, when compared to 2024. Customer retention rates were approximately 94%.
General and administrative expenses increased 11.6% from 2023, primarily due to an increase in building and yard rental expense, higher agent services expense, increased technology costs, and higher bad debt expense, partially offset by lower advertising costs and lower net losses from sale or disposal of assets.
General and administrative expenses decreased 8.1% from 2024, primarily due to a decrease in building and yard rental expense, lower professional services expense, decreased technology costs, and lower bad debt expense. Net loss from sale or disposal of assets was $13.7 million in 2025, compared to a net loss from sale or disposal of assets of $14.6 million in 2024.
Overall volumes decreased 20%, while revenue per load increased 3%, primarily due to higher contractual and spot rates and changes in customer freight mix when compared to 2023. The decrease in revenue was partially offset by additional revenue from the acquisition of the brokerage assets of BNSFL in the third quarter 2023.
ICS Segment ICS segment revenue decreased 3% to $1.11 billion in 2025, from $1.14 billion in 2024. Overall volumes decreased 9%, while revenue per load increased 7%, primarily due to higher contractual and spot rates and changes in customer freight mix when compared to 2024.
Contractual business was 61% of the total load volume and 61% of the total revenue in 2024, compared to 64% of the total load volume and 63% of the total revenue in 2023.
Contractual business was 64% of both total load volume and total revenue in 2025, compared to 61% for both in 2024. Our ICS segment had an operating loss of $10 million in 2025 compared to an operating loss of $56 million in 2024.
Net loss from sale or disposal of assets was $14.6 million in 2024, compared to a net loss from sale or disposal of assets of $27.8 million in 2023. Net interest expense for 2024 increased by 23.0% compared with 2023, due primarily to an increase in effective interest rates on our debt and an increase in our average debt balance.
Net interest expense for 2025 decreased by 1.1% compared with 2024, due primarily to a decrease in effective interest rates on our debt, partially offset by an increase in our average debt balance. Income tax expense increased 3.8% in 2025, due primarily to increased taxable earnings in 2025.
This decrease was primarily due to lower volume within DCS, ICS and JBT, decreased revenue per load within JBI and JBT, and decreased revenue and stop counts in FMS. Fuel surcharge revenues decreased 17.4% to $1.53 billion in 2024, compared to $1.85 billion in 2023. Revenues, excluding fuel surcharge revenues, decreased 3.8% from 2023.
This decrease was primarily due to decreased revenue per load within JBI and JBT, lower volume within ICS, reduced truck count in DCS, and decreased revenue and stop counts in FMS, partially offset by higher volume in JBI and JBT, higher revenue per load in ICS, and increased productivity in DCS.
This management's discussion and analysis provides comparisons of material changes in the consolidated financial statements for the years ended December 31, 2024 and 2023.
Hunt’s 360box volume increased 9% in 2025, when compared to 2024, as JBT continues to leverage the J.B. Hunt 360 platform to grow capacity and capabilities for this service offering. This management's discussion and analysis provides comparisons of material changes in the consolidated financial statements for the years ended December 31, 2025 and 2024.
Under our senior credit facility, we had a $280.0 million outstanding balance on the revolving line of credit and a $500.0 million outstanding balance of term loans at an average interest rate of 5.48%. 23 We continue to evaluate the possible effects of current economic conditions and reasonable and supportable economic forecasts on operational cash flows, including the risks of declines in the overall freight market and our customers' liquidity and ability to pay.
We continue to evaluate the possible effects of current economic conditions and reasonable and supportable economic forecasts on operational cash flows, including the risks of declines in the overall freight market and our customers' liquidity and ability to pay. We regularly monitor working capital and maintain frequent communication with our customers, suppliers and service providers.
Operating income of our FMS segment increased to $60 million in 2024, from $47 million in 2023. The increase in operating income was primarily due to improvements in revenue quality, lower personnel expenses, a $4.2 million net benefit from offsetting claim settlements, and overall cost management, partially offset by higher purchased transportation expense.
Insurance and claims expense increased 6.7% in 2025, primarily due to an increase in cost per claim, higher insurance policy premium expense, and the absence of a $4.2 million net benefit from claim settlements recorded in 2024, partially offset by lower cargo claims expense in 2025.
We regularly monitor working capital and maintain frequent communication with our customers, suppliers and service providers. A large portion of our cost structure is variable. Purchased transportation expense represents more than half of our total costs and is heavily tied to load volumes.
A large portion of our cost structure is variable. Purchased transportation expense represents more than half of our total costs and is heavily tied to load volumes. Our second largest cost item is salaries and wages, the largest portion of which is driver pay, which includes a large variable component. Our senior notes consist of two separate issuances.
Rents and purchased transportation costs decreased 8.4% in 2024, primarily due to a decrease in rail and truck carrier purchased transportation rates within JBI, ICS and JBT segments and decreased ICS and JBT load volume, which decreased services provided by third-party rail and truck carriers during the current year.
Consolidated Operating Expenses Our 2025 consolidated operating expenses decreased 1.1% from 2024, while year-over-year revenue decreased 0.7%, resulting in a 2025 operating ratio of 92.8% compared to 93.1% in 2024. 19 Rents and purchased transportation costs decreased 1.3% in 2025, primarily due to a decrease in ICS load volumes, which reduced the use of third-party truck carriers, and changes in the mix of third-party rail carriers within JBI, partially offset by increased JBI and JBT load volumes, compared to 2024.
The committed term loans authorized us to borrow up to an additional $500 million during the nine-month period beginning September 27, 2022, due September 2025, which we exercised in June 2023.
The committed term loans authorize us to borrow up to an additional $700 million during the six-month period beginning November 25, 2025, and if funded, will mature in November 2028.
Excluding fuel surcharges, revenue for 2024 decreased 9% compared to 2023, primarily due to a 5% decrease in revenue excluding fuel surcharge revenue per load and a 5% decrease in load volume compared to 2023. Total average effective trailer count in 2024 was 12,552 compared to 13,000 in 2023.
Revenue, excluding fuel surcharge revenue, for 2025 increased 6% compared to 2024, primarily due to an 11% increase in load volume, partially offset by a 5% decrease in revenue per load, excluding fuel surcharge revenue.
Depreciation and amortization expense increased 3.1% in 2024, primarily due to the addition of tractors and trailing equipment within JBI and additional depreciation and amortization expense resulting from the recent business acquisition of BNSF Logistics, LLC (BNSFL), partially offset by the impact of the change in expected useful lives of our container fleet and equipment reductions within DCS. 18 Fuel and fuel taxes expense decreased 13.2% in 2024 compared with 2023, due primarily to a decrease in the price of fuel during 2024 and decreased road miles.
Depreciation and amortization expense decreased 6.1% in 2025, primarily due to an increase in the expected useful lives of our chassis and trailer fleets, the absence in 2025 of depreciation and amortization expense related to the 2023 business acquisition of BNSF Logistics, LLC (BNSFL), and the reduction in DCS truck counts, partially offset by higher intermodal container counts.
Removed
Consolidated Operating Expenses Our 2024 consolidated operating expenses decreased 4.9% from 2023, while year-over-year revenue decreased 5.8%, resulting in a 2024 operating ratio of 93.1% compared to 92.3% in 2023.
Added
Fuel surcharge revenues decreased 3.5% to $1.48 billion in 2025, compared to $1.53 billion in 2024. Revenues, excluding fuel surcharge revenues, decreased 0.3% from 2024.
Removed
Insurance and claims expense decreased 0.6% in 2024, primarily due to lower reserve expense for claims subject to insurance coverage-layer-specific aggregated limits and lower claim volume, partially offset by increased cost per claim and higher insurance policy premium expense.
Added
The increase is primarily due to improved network balance and increased efficiency throughout our drayage fleet, lower third-party rail purchased transportation expense due to mix, and improvements associated with our overall cost management initiatives.
Removed
Income tax expense decreased 8.7% in 2024, due primarily to decreased taxable earnings in 2024, partially offset by a higher effective income tax rate. Our effective income tax rate was 24.8% in 2024 and 22.1% in 2023.
Added
These benefits were partially offset by higher driver and non-driver wages, increased equipment maintenance costs, higher insurance claims and premiums expense, and higher group medical benefit expenses. DCS Segment DCS segment revenue decreased 1% to $3.38 billion in 2025, from $3.40 billion in 2024. Productivity, defined as revenue per truck per week, increased 2% compared to 2024.
Removed
This decrease in revenue was primarily a result of a 6% decrease in revenue per load, which is the combination of changes in freight mix, customer rate changes, and fuel surcharge revenue, partially offset by a 2% increase in load volume. Eastern network load volumes decreased 1% and transcontinental loads increased 5% compared to 2023.
Added
The decrease in operating loss is primarily due to lower personnel salary and wages expense, lower cargo claims expense, reduced technology costs, and overall cost management initiatives.
Removed
The decrease is primarily due to decreased revenue, increased maintenance and equipment-related costs, increased insurance premiums expense, and higher driver wages and benefits, partially offset by lower rail and third-party dray purchased transportation expense. In addition, JBI incurred $16 million in expense for the segment’s portion of an additional casualty claims reserve in 2023.
Added
Gross profit margin decreased to 14.5% in the current year versus 16.1% in 2024, primarily from lower gross profit margin on contractual business and less project business compared to 2024. ICS’s carrier base increased 15% when compared to 2024, following a decline in 2024 due to changes in carrier qualification requirements.
Removed
In addition, DCS incurred $20 million in expense for the segment’s portion of an additional casualty claims reserve in 2023. ICS Segment ICS segment revenue decreased 18% to $1.14 billion in 2024, from $1.39 billion in 2023.
Added
This decrease was primarily due to lower revenue, higher insurance premium and claims expense, and the absence of a $4.2 million net benefit from claim settlements recorded in 2024. These items were partially offset by lower personnel-related costs and facility rental expenses. 23 JBT Segment JBT segment revenue increased 5% to $734 million in 2025, from $702 million in 2024.
Removed
These items were partially offset by lower personnel expenses and reduced equipment rental expense during 2024. Gross profit margin increased to 16.1% in the current year versus 13.4% in 2023. Approximately $396 million of ICS revenue for 2024 was executed through the Marketplace for J.B. Hunt 360 compared to $766 million in 2023.
Added
Total average effective trailer count in 2025 was 12,152 compared to 12,552 in 2024, while trailer turns in 2025 were up 15% from 2024, primarily due to continued focus on improving trailer utilization and maintaining network balance. At the end of 2025, JBT operated 2,003 tractors compared to 1,919 at the end of 2024.
Removed
ICS’s carrier base decreased 10% when compared to 2023, primarily due to changes in carrier qualification requirements. In addition, ICS incurred $10 million in expense for the segment’s portion of an additional casualty claims reserve in 2023.
Added
Operating income of our JBT segment was $21 million for both 2025 and 2024 as higher third-party purchased transportation costs, increased insurance premium and claims expense, and higher maintenance related costs were offset by increased revenue, lower personnel-related expenses and a continued focus on cost management initiatives and productivity. J.B.
Removed
In addition, FMS incurred $3 million in expense for the segment’s portion of an additional casualty claims reserve in 2023. 22 JBT Segment JBT segment revenue decreased 11% to $702 million in 2024, from $789 million in 2023.
Added
We currently intend to continue paying cash dividends on a quarterly basis. However, no assurance can be given that future dividends will be paid.
Removed
At the end of 2024, JBT operated 1,919 tractors, predominantly independent contractors, compared to 1,958 at the end of 2023. Operating income of our JBT segment increased to $21 million in 2024, from $16 million in 2023.
Added
Under our senior credit facility, we had a $26.8 million outstanding balance on the revolving line of credit, at an average interest rate of 4.62%.
Removed
The increase in operating income was driven primarily by lower personnel expenses, lower equipment-related costs and overall cost management initiatives, partially offset by higher insurance premiums expense. In addition, JBT incurred $4 million in expense for the segment’s portion of an additional casualty claims reserve in 2023.
Removed
This increase resulted primarily from an increase in current year treasury stock purchases, retirement of long-term debt, and lower net borrowings from revolving lines of credit in 2024.
Removed
We believe our liquid assets, cash generated from operations, and revolving line of credit will provide sufficient funds for our operating and capital requirements for the foreseeable future.
Removed
We had no other off-balance sheet arrangements as of December 31, 2024.

Item 7A. Quantitative and Qualitative Disclosures About Market Risk

Market Risk — interest-rate, FX, commodity exposure

6 edited+0 added−0 removed2 unchanged
Biggest changeITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK Interest rate risk can be quantified by measuring the financial impact of a near-term adverse increase in short-term interest rates on variable-rate debt outstanding. Our total long-term debt consists of both fixed and variable interest rate facilities. Our senior notes have a fixed interest rate of 3.875%.
Biggest changeITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK Interest rate risk can be quantified by measuring the financial impact of a near-term adverse increase in short-term interest rates on variable-rate debt outstanding. Our total long-term debt consists of both fixed and variable interest rate facilities. Our senior notes have fixed interest rates ranging from 3.875% to 4.90%.
To date, we have not entered into any foreign currency forward exchange contracts or other derivative financial instruments to hedge the effects of adverse fluctuations in foreign currency exchange rates. 24 The price and availability of diesel fuel are subject to fluctuations due to changes in the level of global oil production, seasonality, weather, and other market factors.
To date, we have not entered into any foreign currency forward exchange contracts or other derivative financial instruments to hedge the effects of adverse fluctuations in foreign currency exchange rates. 25 The price and availability of diesel fuel are subject to fluctuations due to changes in the level of global oil production, seasonality, weather, and other market factors.
Although we conduct business in foreign countries, international operations are not material to our consolidated financial position, results of operations, or cash flows. Additionally, foreign currency transaction gains and losses were not material to our results of operations for the year ended December 31, 2024.
Although we conduct business in foreign countries, international operations are not material to our consolidated financial position, results of operations, or cash flows. Additionally, foreign currency transaction gains and losses were not material to our results of operations for the year ended December 31, 2025.
These fixed-rate facilities reduce the impact of changes to market interest rates on future interest expense. Our senior credit facility and term loan have variable interest rates, which are based on either SOFR or a Base Rate, depending upon the specific type of borrowing, plus an applicable margin and other fees.
These fixed-rate facilities reduce the impact of changes to market interest rates on future interest expense. Our senior credit facility has variable interest rates, which are based on either SOFR or a Base Rate, depending upon the specific type of borrowing, plus an applicable margin and other fees.
As of December 31, 2024, we had no derivative financial instruments to reduce our exposure to fuel-price fluctuations.
As of December 31, 2025, we had no derivative financial instruments to reduce our exposure to fuel-price fluctuations.
At December 31, 2024, the average interest rate under our senior credit facility and term loan was 5.48%. Our earnings would be affected by changes in these short-term variable interest rates. At our current level of borrowing, a one-percentage-point increase in our applicable rate would reduce annual pretax earnings by $7.8 million.
At December 31, 2025, the average interest rate under our senior credit facility and term loan was 4.62%. Our earnings would be affected by changes in these short-term variable interest rates. At our current level of borrowing, a one-percentage-point increase in our applicable rate would reduce annual pretax earnings by $0.3 million.

Other JBHT 10-K year-over-year comparisons