Trucker Werner to Pay Shareholders $90 Million

At a time when many trucking companies are hard up for cash, Werner Enterprises says it will deliver $90 million in special dividends to shareholders next month.

It’s the second consecutive year Werner, a $2.2 billion carrier, will pay a special cash dividend to shareholders, in addition to its regular quarterly dividend of 5 cents per share.

The special dividend of $1.25 per share will be paid to holders of approximately 72 million shares Dec. 8, the company said. Analysts said the move is a good sign.

“This special dividend is not a surprise,” said R.W. Baird analyst Jon A. Langenfeld. “We view it as an indication of solid 2010 free cash flow expectations on a lower capital expenditure outlook and a confirmation of a firming in freight trends.”

Werner Enterprises saw its profit drop 15 percent in the third quarter to $19 million on $429.3 million in revenue, which was down 27 percent from a year ago.

The company reported seasonal improvement in volume as the quarter progressed. “Shipper destocking of inventory that occurred earlier this year has slowed and stabilized inventory levels, which had a sequentially positive impact on freight shipments,” it said.

Werner derives about 39 percent of its revenue from truckload carriage, 39 percent from dedicated carriage, and the remainder from logistics and freight management.

Contact William B. Cassidy at wcassidy@joc.com.