Swift Transportation Co. SWFT -3.79% and Hub Group Inc. HUBG -14.18% both lowered earnings guidance for the first quarter on Monday, citing weaker-than-anticipated volumes and an oversupply of trucks that pushed down the prices they charge shippers. Swift, which on Monday said it would merge with Knight Transportation Inc., KNX -3.60% revised first-quarter earnings guidance to 9 cents to 10 cents, from 11 cents to 16 cents previously. “The demand is still soft,” Hub Group Chief Executive David Yeager said Tuesday. Both Swift’s and Hub Group predicted conditions would improve in the second half of 2017. Hub Group is working to diversify its business so as to not be as vulnerable to swings in the intermodal market, its main business.

Source: Wall Street Journal April 11, 2017 17:52 UTC