What's in the Cards for ZTO Express' (ZTO) in Q2 Earnings?
ZTO Express’ ZTO is scheduled to report second-quarter 2023 results on Aug 29, after market close.
ZTO Express has an impressive earnings surprise history, having outperformed the Zacks Consensus Estimate in each of the preceding four quarters, the average beat being 24.13%.
ZTO Express (Cayman) Inc. Price and EPS Surprise
ZTO Express (Cayman) Inc. price-eps-surprise | ZTO Express (Cayman) Inc. Quote
Let’s see how things have shaped up for ZTO Express this earnings season.
Q2 Expectations
The Zacks Consensus Estimate for ZTO Express’ second-quarter 2023 revenues is pegged at $1.41 billion, indicating 9.02% year-over-year growth. The top line is expected to have benefited from strength at the express delivery services unit.
On the flip side, escalating operating expenses, primarily due to higher selling, general and administrative expenses (SG&A), continue to bother ZTO’s bottom line. Increases in compensation, benefits and office expenditures are leading to higher SG&A expenses. Notably, the Zacks Consensus Estimate for ZTO’s second-quarter 2023 earnings has remained unchanged in the past 90 days.
What Our Model Says
Our proven model does not conclusively predict an earnings beat for ZTO Express this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
ZTO Express has an Earnings ESP of 0.00% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks.
Highlights of Q1
ZTO Express’ first-quarter 2023 earnings of 34 cents per share beat the Zacks Consensus Estimate of 24 cents and improved year over year. Total revenues of $1,308.1 million missed the Zacks Consensus Estimate of $1,379.3 million. However, the top line improved year over year, owing to a rise in revenues at the express delivery services unit (contributing 93.4% to the top line).
Here is the second quarter of 2023 earnings reports of stocks from the Zacks Services industry.
Schneider National, Inc. (SNDR) reported second-quarter 2023earnings of 45 cents per share, which beat the Zacks Consensus Estimate by a penny but declined 38% from the year-ago quarter’s levels. Operating revenues of $1,346.5 million lagged the Zacks Consensus Estimate of $1,459 million and fell 23% year over year. Revenues (excluding fuel surcharge) decreased 20% to $1,190.9 million.
C.H. Robinson Worldwide, Inc. (CHRW) second-quarter 2023 earnings of 90 cents per share came in line with the Zacks Consensus Estimate and declined 66.2% year over year. Total revenues of $4421.9 million lagged the Zacks Consensus Estimate of $4646.5 million and declined 35% year over year owing to lower pricing in the company’s ocean and truckload services.
Quarterly results were impacted by soft freight markets globally. Overall, weak demand, high inventories and excess capacity led to a more competitive marketplace and subdued transportation rates.
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C.H. Robinson Worldwide, Inc. (CHRW) : Free Stock Analysis Report
ZTO Express (Cayman) Inc. (ZTO) : Free Stock Analysis Report
Schneider National, Inc. (SNDR) : Free Stock Analysis Report
