WERN earnings analysis
What we found in WERN's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Werner delivered strong reported revenue growth in Q2 2026, with $933.927 million of revenue, up approximately 24% year over year and 15.5% sequentially, helped in part by the FirstFleet acquisition. However, GAAP EPS was only $0.11 versus $0.72 a year earlier and $0.23 consensus, while reported operating income was $16.921 million. Management's operating assumptions were mixed: TTS growth was reduced, Dedicated growth was raised, and net capital-expenditure guidance increased to $215-$250 million. The principal concerns are FirstFleet integration and control risks, higher leverage and interest-rate exposure, and incomplete recovery of fuel-cost inflation.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Revenue accelerated sharply
- Q2 revenue was $933.927 million, up from $809 million in Q1 2026 and $753 million in Q2 2025, representing approximately 15.5% sequential growth and 24.0% year-over-year growth.
- Adjusted earnings improved
- Adjusted operating income increased to $27.578 million, while adjusted EPS was $0.22. Revenue also exceeded the $913.820 million consensus estimate by approximately $20.1 million.
- FirstFleet added material revenue
- FirstFleet contributed $169.1 million of Q2 revenue and $277.0 million of six-month revenue following its January 27, 2026 acquisition, providing a material source of reported growth.
- Swap protection limits rate exposure
- Management reported $465.0 million of variable-rate debt effectively fixed at 5.84% through interest-rate swaps, reducing exposure on that portion of borrowings.
- Core disclosure controls effective
- Disclosure controls were concluded effective at a reasonable-assurance level, although FirstFleet's internal controls remain excluded from the assessment while integration continues.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- GAAP earnings remain pressured
- GAAP EPS was $0.11 versus $0.72 in Q2 2025 and $0.23 consensus, while reported operating income was $16.921 million despite adjusted operating income of $27.578 million. The comparison was affected by a prior-year litigation-related liability reversal.
- FirstFleet integration risk
- FirstFleet's $413.2 million of assets are excluded from management's internal-control assessment as integration continues. The acquisition includes 11 locations and could cause service disruptions, fail to deliver anticipated savings, or increase leverage.
- Floating-rate debt creates exposure
- The company had $328.0 million of variable-rate debt not covered by the effectively fixed-rate borrowing described in the filing; a hypothetical one-percentage-point increase in SOFR and commercial-paper rates would raise interest expense by approximately $4.4 million over 12 months.
- Fuel cost recovery is incomplete
- Fuel surcharges recover a majority, but not all, of diesel-cost increases, and the company had no derivative financial instruments for fuel-price protection as of June 30, 2026.
- TTS growth outlook was reduced
- Management lowered TTS average truck-count growth assumptions to 16%-18% from 23%-28%, signaling a meaningful moderation in the expected pace of the company's principal growth initiative.
- Higher planned capital spending
- Net capital-expenditure guidance increased to $215-$250 million from $185-$225 million, raising planned investment by $30 million at the low end and $25 million at the high end.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $0.11
- Operating margin
- 1.8%
- Segment
- Transportation Services: quantitative segment revenue breakdown was not provided in the supplied filing text; management reduced 2026 TTS average truck-count growth assumptions to 16%-18% from 23%-28%.
- Segment
- Dedicated: management increased 2026 revenue-per-truck-per-week growth assumptions to 3%-5% from flat to 3%.
- Segment
- Logistics: prior-period analysis indicated the segment moved to a loss, but the supplied filing text does not include the segment loss amount.
- Segment
- FirstFleet acquisition: contributed $169.1 million of revenue in Q2 2026 and $277.0 million in the first six months of 2026.
What they said about what is next.
No explicit revenue or EPS guidance was provided in the supplied 10-Q text. Quantitative operating assumptions were mixed: TTS average truck-count growth was reduced to 16%-18% from 23%-28%, Dedicated revenue-per-truck-per-week growth was increased to 3%-5% from flat to 3%, net capital-expenditure guidance was increased to $215-$250 million from $185-$225 million, and the tax-rate outlook was maintained at 25.5%-26.5%.
The filing reads about the same as the one before it.
What came before.
- 10-Q · May 8, 2026
- Werner Enterprises reported Q1 2026 results with revenues of $808.6M, a year-over-year increase of 13.6%, but slightly below the consensus estimate of $812.1M. While operating income improved significantly from a loss…
- 10-K · February 26, 2026
- Werner positions itself as one of the largest U.S. truckload carriers with a two-segment strategy (Truckload Transportation Services and Werner Logistics) focused on scale, safety, and a mix of dedicated and one-way…
- 10-Q · November 7, 2025
- Werner reported Q3 2025 revenues of $771,499,000, up versus Q3 2024 ($745,701,000) but recorded an operating loss of $13,021,000 and diluted EPS of $(0.34) for the quarter (Q3 2024 diluted EPS $0.11). Logistics revenue…
- 10-Q · August 11, 2025
- Werner reported Q2 operating revenues of $753,148,000 and delivered a marked profit recovery: operating income rose to $66,321,000 and diluted EPS to $0.72 (vs $0.15 a year ago). Truckload revenue softened while Werner…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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