J.B. Hunt Transport Services (JBHT) 8-K J. B. Hunt Transport Services, Inc. Reports Earnings for the Second Quarter 2012

Exhibit 99.1

J.B. Hunt Transport Services, Inc.	Contact: David G. Mee
615 J.B. Hunt Corporate Drive	Executive Vice President, Finance/Administration
Lowell, Arkansas 72745	and Chief Financial Officer
(NASDAQ: JBHT)	(479) 820-8363

FOR IMMEDIATE

RELEASE

J. B. HUNT TRANSPORT SERVICES, INC. REPORTS EARNINGS FOR THE SECOND QUARTER 2012

▪ Second Quarter 2012 Revenue:	$1.26 billion; up 9%
▪Second Quarter 2012 Operating Income:	$137million; up 21%
▪Second Quarter 2012 EPS:	67cents vs. 53 cents

LOWELL, ARKANSAS, July 16, 2012 - J. B. Hunt Transport Services, Inc., (NASDAQ:JBHT) announced second quarter 2012 net earnings of $80.5 million, or diluted earnings per share of 67 cents vs. second quarter 2011 net earnings of $65.7 million, or 53 cents per diluted share.

Total operating revenue for the current quarter was $1.26 billion, compared with $1.15 billion for the second quarter 2011. Load growth of 13% in Intermodal (JBI) and 16% in Integrated Capacity Solutions (ICS), helped drive a 13% and 23% increase in segment revenue, respectively. Dedicated Contract Services (DCS) segment revenue increased by 1% while Truck (JBT) segment revenue decreased by 3%. Current quarter total operating revenue, excluding fuel surcharges, also increased ­9% vs. the comparable quarter 2011.

Operating income for the current quarter totaled $137 million vs. $113 million for the second quarter 2011. Operating income increases from steady demand and higher volumes in JBI and ICS and lower fuel costs in DCS and JBT were partially offset by increases in rail and truck purchase transportation costs, driver wages, toll road charges, maintenance costs and safety costs compared to the same period a year ago.
 

Interest expense in the current quarter increased slightly due to increased debt levels.  The effective income tax rate for the quarter was 38.25% vs. 38.5% in 2011.

Segment Information:

Intermodal (JBI)

▪Second Quarter 2012 Segment Revenue:	$762million; up 13%
▪Second Quarter 2012 Operating Income:	$93.4 million; up 22%

Overall volumes increased 13% over the same period in 2011 in an environment of moderating fuel prices and less seasonally volatile freight demand.  Eastern network growth was 21% and transcontinental growth was 8% over the second quarter 2011.  Revenue grew 13% with the effect of traffic mix, customer rate increases and fuel surcharges keeping revenue per load virtually flat compared to a year ago.

Operating income increased 22% over prior year.  Benefits from steady demand, overall load growth and lower office personnel compensation costs were partially offset by increases in outsourced drayage costs, rail purchase transportation costs, fleet maintenance costs and driver wages.  The current period ended with 56,000 units of trailing capacity and 3,440 power units available to the dray fleet.

Dedicated Contract Services (DCS)

▪  Second Quarter 2012 Operating Revenue:	$267 million; up 1%
▪  Second Quarter 2012 Operating Income:	$33.2 million; up 21%

DCS revenue increased 1% during the current quarter while revenue excluding fuel surcharges also increased 1%. Productivity (revenue per truck per week) decreased slightly vs. 2011.  New accounts provided a net additional 235 revenue producing trucks by the end of the quarter, with the majority of the increase coming late in the quarter.

Operating income increased by 21% from a year ago.  The increase, primarily due to the transfer of assets to more profitable accounts and the decline in fuel costs throughout the quarter, was partially offset from higher safety costs, higher toll road charges and increased maintenance costs compared to 2011.

Truck (JBT)

▪  Second Quarter 2012 Segment Revenue:	$126million; down 3%
▪  Second Quarter 2012 Operating Income:	$ 8.8 million; up 27%

JBT revenue for the current quarter decreased 3% from the same period in 2011.  Revenue excluding fuel surcharges, also decreased 3%.  Rates per mile, excluding fuel surcharge increased 3.2%.  Rates from consistent shippers improved 2.5% compared to the same quarter a year ago. At the end of the period, JBT operated 2,396 tractors compared to 2,508 a year ago.

Operating income increased 27% compared to 2011.  Favorable changes in freight mix, strong seasonal spot pricing, steadily declining fuel costs and improvements in fuel efficiency were partially offset by increases in driver wages, independent contractor costs, lower utilization and higher empty miles compared to second quarter 2011.

Integrated Capacity Solutions (ICS)

▪  Second Quarter 2012 Segment Revenue:	$109million; up 23%
▪  Second Quarter 2012 Operating Income:	$ 2.0million; down 25%

ICS revenue increased 23% in the current quarter vs. the second quarter 2011, primarily due to a 16% increase in load volume.  While transactional volumes remained relatively flat, contractual volume growth accelerated in the second quarter as new bid awards were implemented.  Contractual business elevated to 60% of total volume in the second quarter vs. 52% in the prior year.

Operating income decreased 25% over the same period 2011 primarily due to a decline in gross profit margin. Gross profit margin decreased to 10.6% in the current quarter vs. 12.3% last year. Purchase transportation costs increased throughout the current period due to a tighter supply of qualified transportation providers in the marketplace.  Two new branch locations opened during the quarter bringing the total branch count to 14.  ICS’s carrier base increased 13% and the employee count increased 7% vs. second quarter 2011.

Cash Flow and Capitalization:

At June 30, 2012, we had a total of $679 million outstanding on various debt instruments compared to $664 million at June 30, 2011 and $749 million at December 31, 2011.

Our net capital expenditures for the six months ended June 30, 2012 approximated $171 million compared to $211 million for the same period 2011.  At June 30, 2012, we had cash and cash equivalents of $5.9 million.

We did not purchase any shares of our common stock during the quarter.  At June 30, 2012 we had approximately $503 million remaining under two separate share repurchase authorizations.  Actual shares outstanding at June 30, 2012 approximated 117.5 million.

This press release may contain forward-looking statements, which are based on information currently available.  Actual results may differ materially from those currently anticipated due to a number of factors, including, but not limited to, those discussed in Item 1A of our Annual Report filed on Form 10-K for the year ended December 31, 2011. We assume no obligation to update any forward-looking statement to the extent we become aware that it will not be achieved for any reason.  This press release and additional information will be available immediately to interested parties on our web site, www.jbhunt.com.

J.B. HUNT TRANSPORT SERVICES, INC.

Condensed Consolidated Statements of Earnings

(in thousands, except per share data)

(unaudited)

	Three Months Ended June 30
	2012					2011
	Amount		% Of Revenue			Amount		% Of Revenue
Operating revenues, excluding fuel surcharge revenues	$	1,005,519				$	924,689
Fuel surcharge revenues		249,611					225,166
Total operating revenues		1,255,130		100.0	%		1,149,855		100.0	%
Operating expenses
Rents and purchased transportation		616,723		49.2	%		536,688		46.7	%
Salaries, wages and employee benefits		255,864		20.4	%		255,462		22.2	%
Fuel and fuel taxes		113,085		9.0	%		120,276		10.5	%
Depreciation and amortization		56,227		4.5	%		52,551		4.6	%
Operating supplies and expenses		45,540		3.6	%		40,977		3.6	%
Insurance and claims		12,595		1.0	%		11,642		1.0	%
General and administrative expenses, net of asset dispositions		6,356		0.5	%		7,515		0.5	%
Operating taxes and licenses		7,323		0.6	%		6,883		0.6	%
Communication and utilities		4,202		0.3	%		4,418		0.4	%
Total operating expenses		1,117,915		89.1	%		1,036,412		90.1	%
Operating income		137,215		10.9	%		113,443		9.9	%
Net interest expense		6,929		0.5	%		6,706		0.6	%
Earnings before income taxes		130,286		10.4	%		106,737		9.3	%
Income taxes		49,835		4.0	%		41,041		3.6	%
Net earnings	$	80,451		6.4	%	$	65,696		5.7	%
Average diluted shares outstanding		120,027					123,285
Diluted earnings per share	$	0.67				$	0.53

J.B. HUNT TRANSPORT SERVICES, INC.

Condensed Consolidated Statements of Earnings

(in thousands, except per share data)

(unaudited)

	Six Months Ended June 30
	2012					2011
	Amount		% Of Revenue			Amount		% Of Revenue
Operating revenues, excluding fuel surcharge revenues	$	1,944,202				$	1,756,289
Fuel surcharge revenues		476,850					394,346
Total operating revenues		2,421,052		100.0	%		2,150,635		100.0	%
Operating expenses
Rents and purchased transportation		1,172,841		48.4	%		990,392		46.1	%
Salaries, wages and employee benefits		505,909		20.9	%		487,489		22.7	%
Fuel and fuel taxes		233,638		9.7	%		229,251		10.7	%
Depreciation and amortization		112,347		4.6	%		103,908		4.8	%
Operating supplies and expenses		85,351		3.5	%		77,625		3.6	%
Insurance and claims		23,640		1.0	%		21,489		1.0	%
General and administrative expenses, net of asset dispositions		10,350		0.4	%		14,396		0.6	%
Operating taxes and licenses		14,465		0.6	%		13,531		0.6	%
Communication and utilities		8,699		0.4	%		9,288		0.4	%
Total operating expenses		2,167,240		89.5	%		1,947,369		90.5	%
Operating income		253,812		10.5	%		203,266		9.5	%
Net interest expense		13,916		0.6	%		15,141		0.8	%
Earnings before income taxes		239,896		9.9	%		188,125		8.7	%
Income taxes		91,760		3.8	%		72,334		3.3	%
Net earnings	$	148,136		6.1	%	$	115,791		5.4	%
Average diluted shares outstanding		119,888					123,623
Diluted earnings per share	$	1.24				$	0.94

Financial Information By Segment

(in thousands)

(unaudited)

	Three Months Ended June 30
	2012						2011
	Amount			% Of Total			Amount			% Of Total
Revenue
Intermodal	$	762,043			61	%	$	675,974			59	%
Dedicated		267,310			21	%		264,166			23	%
Truck		126,180			10	%		129,974			11	%
Integrated Capacity Solutions		109,494			9	%		89,028			8	%
Subtotal		1,265,027			101	%		1,159,142			101	%
Intersegment eliminations		(9,897	)		(1	%)		(9,287	)		(1	%)
Consolidated revenue	$	1,255,130			100	%	$	1,149,855			100	%
Operating income
Intermodal	$	93,368			68	%	$	76,531			68	%
Dedicated		33,198			24	%		27,389			24	%
Truck		8,840			7	%		6,944			6	%
Integrated Capacity Solutions		1,956			1	%		2,614			2	%
Other (1)		(147	)		(0	%)		(35	)		(0	%)
Operating income	$	137,215			100	%	$	113,443			100	%

	Six Months Ended June 30
	2012						2011
	Amount			% Of Total			Amount			% Of Total
Revenue
Intermodal	$	1,456,159			60	%	$	1,252,877			58	%
Dedicated		523,162			22	%		502,622			23	%
Truck		254,337			10	%		249,072			12	%
Integrated Capacity Solutions		206,546			9	%		163,773			8	%
Subtotal		2,440,204			101	%		2,168,344			101	%
Intersegment eliminations		(19,152	)		(1	%)		(17,709	)		(1	%)
Consolidated revenue	$	2,421,052			100	%	$	2,150,635			100	%
Operating income
Intermodal	$	172,798			68	%	$	139,169			68	%
Dedicated		61,347			24	%		46,005			23	%
Truck		13,724			6	%		12,779			6	%
Integrated Capacity Solutions		6,020			2	%		5,193			3	%
Other (1)		(77	)		(0	%)		120			0	%
Operating income	$	253,812			100	%	$	203,266			100	%

      (1) Includes corporate support activity

Operating Statistics by Segment

(unaudited)

	Three Months Ended June 30
	2012			2011
Intermodal
Loads		354,790			315,067
Average length of haul		1,687			1,714
Revenue per load	$	2,148		$	2,145
Average tractors during the period *		3,379			2,830
Tractors (end of period)
Company-owned		3,057			2,759
Independent contractor		384			137
Total tractors		3,441			2,896
Net change in trailing equipment during the period		1,175			1,923
Trailing equipment (end of period)		56,012			50,189
Average effective trailing equipment usage		54,049			49,148
Dedicated
Loads		367,840			368,488
Average length of haul		203			203
Revenue per truck per week**	$	4,222		$	4,306
Average trucks during the period***		4,900			4,761
Trucks (end of period)
Company-owned		4,632			4,504
Independent contractor		17			16
Customer-owned (Dedicated operated)		422			316
Total trucks		5,071			4,836
Trailing equipment (end of period)		12,990			11,375
Average effective trailing equipment usage		13,856			12,797
Truck
Loads		118,500			113,170
Average length of haul		455			507
Loaded miles (000)		53,551			56,644
Total miles (000)		62,447			65,098
Average nonpaid empty miles per load		76.3			73.0
Revenue per tractor per week**	$	3,994		$	4,022
Average tractors during the period *		2,461			2,513
Tractors (end of period)
Company-owned		1,505			1,621
Independent contractor		891			887
Total tractors		2,396			2,508
Trailers (end of period)		9,234			9,173
Average effective trailing equipment usage		8,081			8,089
Integrated Capacity Solutions
Loads		74,112			63,887
Revenue per load	$	1,477		$	1,394
Gross profit margin		10.6	%		12.3	%
Employee count (end of period)		406			379
Approximate number of third-party carriers (end of period)		30,500			26,900

* Includes company-owned and independent contractor tractors

** Using weighted workdays

*** Includes company-owned, independent contractor, and customer-owned trucks

Operating Statistics by Segment

(unaudited)

	Six Months Ended June 30
	2012			2011
Intermodal
Loads		678,932			594,413
Average length of haul		1,695			1,728
Revenue per load	$	2,145		$	2,108
Average tractors during the period *		3,282			2,766
Tractors (end of period)
Company-owned		3,057			2,759
Independent contractor		384			137
Total tractors		3,441			2,896
Net change in trailing equipment during the period		1,506			4,523
Trailing equipment (end of period)		56,012			50,189
Average effective trailing equipment usage		52,323			47,497
Dedicated
Loads		719,027			714,141
Average length of haul		205			202
Revenue per truck per week**	$	4,146		$	4,157
Average trucks during the period***		4,891			4,707
Trucks (end of period)
Company-owned		4,632			4,504
Independent contractor		17			16
Customer-owned (Dedicated operated)		422			316
Total trucks		5,071			4,836
Trailing equipment (end of period)		12,990			11,375
Average effective trailing equipment usage		13,146			12,762
Truck
Loads		235,404			219,433
Average length of haul		477			520
Loaded miles (000)		111,102			112,851
Total miles (000)		128,711			129,084
Average nonpaid empty miles per load		75.1			71.6
Revenue per tractor per week**	$	3,905		$	3,846
Average tractors during the period*		2,538			2,531
Tractors (end of period)
Company-owned		1,505			1,621
Independent contractor		891			887
Total tractors		2,396			2,508
Trailers (end of period)		9,234			9,173
Average effective trailing equipment usage		8,117			8,128
Integrated Capacity Solutions
Loads		142,250			123,700
Revenue per load	$	1,452		$	1,324
Gross profit margin		12.4	%		13.4	%
Employee count (end of period)		406			379
Approximate number of third-party carriers (end of period)		30,500			26,900

* Includes company-owned and independent contractor tractors

** Using weighted workdays

*** Includes company-owned, independent contractor, and customer-owned trucks

J.B. HUNT TRANSPORT SERVICES, INC.

Condensed Consolidated Balance Sheets

(in thousands)

(unaudited)

	June 30, 2012		December 31, 2011
ASSETS
Current assets:
Cash and cash equivalents	$	5,887	$	5,450
Accounts Receivable		472,077		411,479
Prepaid expenses and other		62,461		96,613
Total current assets		540,425		513,542
Property and equipment		2,777,107		2,658,143
Less accumulated depreciation		981,317		931,273
Net property and equipment		1,795,790		1,726,870
Other assets		29,061		26,920
	$	2,365,276	$	2,267,332
LIABILITIES & STOCKHOLDERS' EQUITY
Current liabilities:
Current debt	$	100,000	$	50,000
Trade accounts payable		298,587		251,625
Claims accruals		43,980		42,364
Accrued payroll		57,683		77,107
Other accrued expenses		24,111		17,419
Total current liabilities		524,361		438,515
Long-term debt		579,462		699,177
Other long-term liabilities		49,723		45,382
Deferred income taxes		498,457		516,715
Stockholders' equity		713,273		567,543
	$	2,365,276	$	2,267,332

Supplemental Data

(unaudited)

	June 30, 2012		December 31, 2011
Actual shares outstanding at end of period (000)		117,550		116,932
Book value per actual share outstanding at end of period	$	6.07	$	4.85

	Six Months Ended June 30
		2012		2011
Net cash provided by operating activities (000)	$	260,579	$	307,673
Net capital expenditures (000)	$	170,880	$	210,963