Landstar Third-Quarter Revenue Growth Accelerates

The Tip Desk · November 8, 2026 · 3 min read

The freight network posted $1.512 billion of revenue, up 25%, as truck rates rose about 25% and loads about 3%.

Landstar System (LSTR), a technology-enabled, asset-light freight transportation and logistics provider, reported third-quarter revenue of $1.512 billion, up 25% from $1.205 billion a year earlier, as truck rates and volumes both moved higher.

That year-over-year gain accelerated from 18% growth in the second quarter and 2% in the first. President and Chief Executive Officer Frank Lonegro said the network generated truck revenue of $1.407 billion, an increase of 29% compared with the 2025 third quarter, with van and unsided/platform equipment each increasing more than 30%.

Truck revenue per load rose about 25% and the number of loads hauled via truck increased about 3%. Van equipment truckload revenue was $760 million, compared with $583 million a year earlier. Unsided/platform truckload revenue was $519 million, versus $386 million. Other truck transportation, largely power-only, was $104 million.

Truck transportation revenue hauled by independent business capacity owners and truck brokerage carriers was 93% of revenue, compared with 90% a year earlier. Net BCO truck additions were 165 in the third quarter, which the company said was the strongest quarterly improvement since the third quarter of 2021, after 68 additions in the second quarter. Trucks provided by BCO independent contractors were 8,709 as of September 26, 2026.

Ocean and air cargo carrier revenue was about $55 million, or 4% of revenue, versus $72 million, or 6%, a 23.4% decline that the company attributed to both rate and volume. Combined rail, air and ocean cargo carrier revenue was $83 million, or 5% of revenue, compared with $96 million, or 8%. Rail intermodal revenue was $28 million.

Gross profit rose 14% to $127 million, but gross profit margin compressed to 8.4% from 9.2%. Variable contribution, defined as revenue less the cost of purchased transportation and commissions to agents, increased 25% to $212 million, with variable contribution margin at 14.0%, versus 14.1% a year earlier.

Operating income was $65.5 million, up 149% from $26.3 million, and basic and diluted earnings per share were $1.42, up 154% from $0.56. The 2025 third-quarter results were negatively impacted by non-cash impairment charges of $30.1 million, or $0.66 a share, related to a strategic review of operations.

Third-quarter 2026 earnings were negatively impacted by highly elevated insurance and claim costs of $55.3 million, compared with $33.0 million in the 2025 third quarter. Those costs included about $13.0 million, or $0.29 a share, of adverse actuarial adjustments to insurance and claim reserves, and $8.0 million, or $0.18 a share, of prior-year development attributable to settlements of a 2024 brokered truck accident claim and a 2025 BCO accident. Lonegro said the company was not immune to insurance and claims inflation prevalent in the industry.

BCOs achieved a 5% year-over-year improvement in DOT accident frequency, according to Lonegro.

The company purchased 232,645 shares in the third quarter at an aggregate cost of $41.4 million, after no purchases in the second quarter, bringing year-to-date purchases through September 26, 2026 to 383,568 shares at about $64.0 million. It is authorized to purchase up to an additional 882,550 shares. The board declared a quarterly dividend of $0.44 a share payable December 8, 2026. Cash and short-term investments were about $351 million as of September 26, 2026. Trailing twelve-month return on average shareholders’ equity was 19% and return on invested capital was 18%.

Lonestar said October 2026 truck loads were approximately 7% above October 2025 and truck revenue per load approximately 29% above October 2025, slightly above typical September-to-October seasonal patterns.