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ACT Research: TL Contract Rates Down, LTL Revenue Growth Dropped in Q3’19

Posted by Jennifer McNealy on Jan 24, 2020 4:28:59 PM

According to ACT Research’s recently released Transportation Digest, truckload contract rates turned negative in Q3’19, down 2% year-over-year, and loaded miles per tractor fell 5% in the same time period. In Q3’19, less-than-truckload revenue growth, net fuel, also turned negative, falling 1.6% year-over-year.

The report, which combines ACT’s proprietary data analysis from a wide variety of industry sources, paints a comprehensive picture of trends impacting transportation and commercial vehicle markets. This monthly report is designed as a quick look into transportation insights for use by fleet and trucking executives, reviewing top-level considerations such as for-hire indices, freight, heavy and medium duty segments, the US trailer market, used truck sales information, and an overview of the US macro economy.

animation - 2020-01-27T101704.645“In the truckload market, based on our publicly-traded carrier database, ACT is seeing some carriers move assets to more stable dedicated contracts, even as a weak freight environment has exposed carriers to a bit more spot freight,” said Kenny Vieth, ACT’s President and Senior Analyst. He added, “While the loaded miles for these carriers are down, it is still a bit better than we saw in the previous quarter as the soft freight environment met near-record high US tractor capacity growth.”

Regarding the less-than-truckload segment, Vieth commented, “The carriers we track in our database represent about 70% of the LTL industry, and we saw revenue growth drop in 2019’s third quarter, as tonnage declines worsened and yields softened modestly. Tonnage dropped for the fourth consecutive quarterly.

ACT Research is recognized as the leading publisher of commercial vehicle truck, trailer, and bus industry data, market analysis and forecasts for the North America and China markets. ACT’s analytical services are used by all major North American truck and trailer manufacturers and their suppliers, as well as banking and investment companies. ACT Research is a contributor to the Blue Chip Economic Indicators and a member of the Wall Street Journal Economic Forecast Panel. ACT Research executives have received peer recognition, including election to the Board of Directors of the National Association for Business Economics, appointment as Consulting Economist to the National Private Truck Council, and the Lawrence R. Klein Award for Blue Chip Economic Indicators’ Most Accurate Economic Forecast over a four-year period. ACT Research senior staff members have earned accolades including Chicago Federal Reserve Automotive Outlook Symposium Best Overall Forecast, Wall Street Journal Top Economic Outlook, and USA Today Top 10 Economic Forecasters. More information can be found at www.actresearch.net.

ACT’s 62nd seminar is scheduled for February 11-13, 2020, and will feature trucker, electrification, and economic panels, as well as discussions on near-term demand of North American commercial vehicle markets and the pending impact of electrification on the market in the near future. A commercial vehicle database workshop is also being planned in conjunction with this semi-annual event.

Click below to:

Access seminar information.

Access information about ACT’s Transportation Digest.

Access more information about additional ACT’s Transportation Publications and Services, click here.

Access December's Transportation Digest Press Release.

Access In the News Page.

 

Topics: Press Releases, Transportation Digest, class 8 trucks, medium duty truck, commercial vehicle sales data, truck market, north american trucking, class 8 truck, american truck and trailer, commercial truck and trailer, transportation industry news, trucking, HeavyDuty, heavy duty truck

About ACT Research

We're the leading publisher of industry data, market analysis, and economic forecasting services for the commercial vehicle and transportation industries.

2019 Lawrence R. Klein Award Winner: Most Accurate Economic Forecast 2015-2019

  Partner to LMC Automotive and the Chinese State Information Center

  Contributor to the Blue Chip Financial and Wall Street Journal Consensus Economic Forecast


 

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