Air Transport Services Group (ATSG Quick Quote -) reported fourth quarter 2021 earnings per share (excluding 8 cents for non-recurring items) of 52 cents, in line with Zacks Consensus estimates. Summarized year-over-year growth of 36.8% due to impressive revenue performance. Revenue not only grew 20.8% year-over-year to $482 million, but also exceeded the Zacks Consensus Estimate of $446 million.
Revenue growth was driven by increased revenues in the ACMI (Aircraft, Crew, Maintenance and Insurance) Services and Cargo Aircraft Management (CAM) segments. Before offsets, revenues in the ACMI Services segment grew 21.2% to $333.79 million. Revenues in the CAM segment increased 26.53 percent to $105.48 million, while revenues from other operations declined slightly to $94.34 million.
CAM segment revenue increased in the reported quarter due to the addition of four 767-300 freighters on external lease compared to the same period last year. Segment revenue from external customers increased by 31% in the December quarter. ACMI Services segment revenue benefited from better airline operations. Block time increased 19 percent year-over-year in the quarter.
ATSG's total fleet consists of 131 aircraft (19 passenger and 112 freighter) at the end of the fourth quarter of 2021, compared to 114 aircraft at the end of the fourth quarter of 2020. Of the 130 aircraft, CAM owns 120. Total operating expenses increased 18.3% to $402.37 million in the December quarter and fuel costs increased 78.4% as fuel prices soared.
ATSG currently has a Zacks Rank #3 (hold) and expects 2022 Adjusted EBITDA of $640 million, nearly $100 million above the 2021 level. Capital expenditures in 2022 are expected to be $590 million ($390 million for growth and $200 million for sustaining capital). Driven by the strength of its freighter leasing and airline operations, ATSG expects adjusted earnings per share of $2 in 2022, up 20% from the level reported in 2021. This is expected to be above the Zacks Consensus Estimate of $1.86.
You can see.
Let's take a look at some of the other revenue releases from the Zacks division.
Washington Expeditors International (EXPD Quick Quote – ) reported fourth quarter 2021 earnings of $2.66 per share, beating the Zacks Consensus Estimate of $2.02. Profits were up more than 100% year-over-year. The results benefited from a higher air freight T position.
Expeditors' total revenue of $5,396.3 million exceeded the Zacks Consensus Estimate of $4,257.0 million and was also up significantly year-over-year. All market segments improved revenue.
GATX Corporation (GATX Quick Quote – ) reported fourth quarter 2021 earnings per share (11 cents excluding non-recurring items) of $1.58, beating the Zacks Consensus Estimate of $1.07. Earnings were up more than 200% year-over-year.
GATX's total revenues increased 5.3% to $321.0 million, primarily due to a 5.2% increase in lease revenues to $288.4 million. Leasing revenue contributed 89.8 percent of revenue.
Werner Enterprises (WERN Quick Quote – ) reported fourth-quarter 2021 earnings per share (excluding 2 cents for non-recurring items) of $1.13, beating the Zacks Consensus Estimate of 96 cents. Profits were up 27% year-over-year.
Werner's total revenues of $765.2 million also exceeded the Zacks Consensus Estimate of $725.1 million. The 23.4 percent year-over-year revenue increase was primarily due to higher revenue from the trucking services and logistics segments.