Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jul. 01, 2017 | Jul. 24, 2017 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jul. 1, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | LSTR | |
Entity Registrant Name | LANDSTAR SYSTEM INC | |
Entity Central Index Key | 853,816 | |
Current Fiscal Year End Date | --12-30 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 41,946,994 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jul. 01, 2017 | Dec. 31, 2016 |
Current Assets | ||
Cash and cash equivalents | $ 222,102 | $ 178,897 |
Short-term investments | 51,167 | 66,560 |
Trade accounts receivable, less allowance of $5,311 and $5,161 | 480,467 | 463,102 |
Other receivables, including advances to independent contractors, less allowance of $6,049 and $5,523 | 20,518 | 18,567 |
Other current assets | 19,291 | 10,281 |
Total current assets | 793,545 | 737,407 |
Operating property, less accumulated depreciation and amortization of $202,050 and $190,374 | 259,346 | 272,843 |
Goodwill | 31,134 | 31,134 |
Other assets | 75,249 | 55,207 |
Total assets | 1,159,274 | 1,096,591 |
Current Liabilities | ||
Cash overdraft | 34,145 | 36,251 |
Accounts payable | 224,928 | 219,409 |
Current maturities of long-term debt | 41,356 | 45,047 |
Insurance claims | 29,077 | 26,121 |
Other current liabilities | 56,998 | 53,483 |
Total current liabilities | 386,504 | 380,311 |
Long-term debt, excluding current maturities | 77,639 | 93,257 |
Insurance claims | 30,402 | 26,883 |
Deferred income taxes and other noncurrent liabilities | 55,239 | 53,583 |
Shareholders' Equity | ||
Common stock, $0.01 par value, authorized 160,000,000 shares, issued 67,696,487 and 67,585,675 shares | 677 | 676 |
Additional paid-in capital | 203,410 | 199,414 |
Retained earnings | 1,575,342 | 1,512,993 |
Cost of 25,749,493 and 25,747,541 shares of common stock in treasury | (1,167,600) | (1,167,437) |
Accumulated other comprehensive loss | (2,339) | (3,089) |
Total shareholders' equity | 609,490 | 542,557 |
Total liabilities and shareholders' equity | $ 1,159,274 | $ 1,096,591 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jul. 01, 2017 | Dec. 31, 2016 |
Allowance on trade accounts receivable | $ 5,311 | $ 5,161 |
Allowance on other receivables | 6,049 | 5,523 |
Accumulated depreciation and amortization on operating property | $ 202,050 | $ 190,374 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, authorized shares | 160,000,000 | 160,000,000 |
Common stock, issued shares | 67,696,487 | 67,585,675 |
Treasury stock, shares | 25,749,493 | 25,747,541 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 01, 2017 | Jun. 25, 2016 | Jul. 01, 2017 | Jun. 25, 2016 | |
Revenue | $ 870,434 | $ 775,223 | $ 1,651,342 | $ 1,486,867 |
Investment income | 608 | 363 | 1,022 | 743 |
Costs and expenses: | ||||
Purchased transportation | 667,588 | 589,415 | 1,263,111 | 1,129,743 |
Commissions to agents | 70,282 | 64,839 | 134,080 | 123,931 |
Other operating costs, net of gains on asset sales/dispositions | 7,503 | 6,585 | 14,400 | 13,992 |
Insurance and claims | 13,893 | 16,094 | 28,406 | 30,307 |
Selling, general and administrative | 40,861 | 36,905 | 79,184 | 71,519 |
Depreciation and amortization | 9,897 | 8,655 | 19,831 | 17,093 |
Total costs and expenses | 810,024 | 722,493 | 1,539,012 | 1,386,585 |
Operating income | 61,018 | 53,093 | 113,352 | 101,025 |
Interest and debt expense | 819 | 888 | 1,902 | 1,777 |
Income before income taxes | 60,199 | 52,205 | 111,450 | 99,248 |
Income taxes | 22,689 | 19,891 | 41,557 | 37,750 |
Net income | $ 37,510 | $ 32,314 | $ 69,893 | $ 61,498 |
Earnings per common share | $ 0.89 | $ 0.77 | $ 1.67 | $ 1.45 |
Diluted earnings per share | $ 0.89 | $ 0.76 | $ 1.66 | $ 1.45 |
Average number of shares outstanding: | ||||
Earnings per common share | 41,935,000 | 42,235,000 | 41,907,000 | 42,315,000 |
Diluted earnings per share | 42,010,000 | 42,357,000 | 42,004,000 | 42,424,000 |
Dividends per common share | $ 0.09 | $ 0.08 | $ 0.18 | $ 0.16 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 01, 2017 | Jun. 25, 2016 | Jul. 01, 2017 | Jun. 25, 2016 | |
Net income | $ 37,510 | $ 32,314 | $ 69,893 | $ 61,498 |
Other comprehensive income: | ||||
Unrealized holding gains on available-for-sale investments, net of tax expenses of $89, $217, $54 and $117 | 101 | 215 | 165 | 397 |
Foreign currency translation gains | 448 | 254 | 585 | 837 |
Other comprehensive income | 549 | 469 | 750 | 1,234 |
Comprehensive income | $ 38,059 | $ 32,783 | $ 70,643 | $ 62,732 |
Consolidated Statements of Com6
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 01, 2017 | Jun. 25, 2016 | Jul. 01, 2017 | Jun. 25, 2016 | |
Unrealized holding gains on available-for-sale investments, tax expenses | $ 54 | $ 117 | $ 89 | $ 217 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jul. 01, 2017 | Jun. 25, 2016 | |
OPERATING ACTIVITIES | ||
Net income | $ 69,893 | $ 61,498 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization of operating property | 19,831 | 17,093 |
Non-cash interest charges | 127 | 112 |
Provisions for losses on trade and other accounts receivable | 3,601 | 2,951 |
Gains on sales/disposals of operating property | (701) | (1,761) |
Deferred income taxes, net | 1,766 | 6,043 |
Stock-based compensation | 2,237 | 2,066 |
Changes in operating assets and liabilities: | ||
(Increase) decrease in trade and other accounts receivable | (22,917) | 57,274 |
Increase in other assets | (12,658) | (2,939) |
Increase (decrease) in accounts payable | 8,829 | (36,238) |
Increase (decrease) in other liabilities | 3,316 | (8,907) |
Increase in insurance claims | 6,475 | 7,943 |
NET CASH PROVIDED BY OPERATING ACTIVITIES | 79,799 | 105,135 |
INVESTING ACTIVITIES | ||
Sales and maturities of investments | 33,486 | 23,454 |
Purchases of investments | (34,360) | (24,377) |
Purchases of operating property | (6,628) | (8,955) |
Proceeds from sales of operating property | 2,793 | 4,791 |
NET CASH USED BY INVESTING ACTIVITIES | (4,709) | (5,087) |
FINANCING ACTIVITIES | ||
Decrease in cash overdraft | (2,106) | (5,254) |
Dividends paid | (7,544) | (6,782) |
Proceeds from exercises of stock options | 1,962 | 900 |
Taxes paid in lieu of shares issued related to stock-based compensation plans | (365) | (1,690) |
Excess tax benefits from stock-based awards | 277 | |
Purchases of common stock | (26,485) | |
Principal payments on capital lease obligations | (24,417) | (23,001) |
NET CASH USED BY FINANCING ACTIVITIES | (32,470) | (62,035) |
Effect of exchange rate changes on cash and cash equivalents | 585 | 837 |
Increase in cash and cash equivalents | 43,205 | 38,850 |
Cash and cash equivalents at beginning of period | 178,897 | 114,520 |
Cash and cash equivalents at end of period | $ 222,102 | $ 153,370 |
Consolidated Statement of Chang
Consolidated Statement of Changes in Shareholders' Equity - 6 months ended Jul. 01, 2017 - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Retained Earnings | Treasury Stock at Cost | Accumulated Other Comprehensive (Loss) Income |
Beginning Balance (in shares) at Dec. 31, 2016 | 67,585,675 | 25,747,541 | ||||
Beginning Balance at Dec. 31, 2016 | $ 542,557 | $ 676 | $ 199,414 | $ 1,512,993 | $ (1,167,437) | $ (3,089) |
Net income | 69,893 | 69,893 | ||||
Dividends ($0.18 per share) | (7,544) | (7,544) | ||||
Issuance of stock related to stock-based compensation plans (in shares) | 110,812 | 1,952 | ||||
Issuance of stock related to stock-based compensation plans | 1,597 | $ 1 | 1,759 | $ (163) | ||
Stock-based compensation | 2,237 | 2,237 | ||||
Other comprehensive income | 750 | 750 | ||||
Ending Balance (in shares) at Jul. 01, 2017 | 67,696,487 | 25,749,493 | ||||
Ending Balance at Jul. 01, 2017 | $ 609,490 | $ 677 | $ 203,410 | $ 1,575,342 | $ (1,167,600) | $ (2,339) |
Consolidated Statement of Chan9
Consolidated Statement of Changes in Shareholders' Equity (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jul. 01, 2017 | Jun. 25, 2016 | Jul. 01, 2017 | Jun. 25, 2016 | |
Dividends per common share | $ 0.09 | $ 0.08 | $ 0.18 | $ 0.16 |
Business Description
Business Description | 6 Months Ended |
Jul. 01, 2017 | |
Business Description | The consolidated financial statements include the accounts of Landstar System, Inc. and its subsidiary, Landstar System Holdings, Inc., and reflect all adjustments (all of a normal, recurring nature) which are, in the opinion of management, necessary for a fair statement of the results for the periods presented. The preparation of the consolidated financial statements requires the use of management’s estimates. Actual results could differ from those estimates. Landstar System, Inc. and its subsidiary are herein referred to as “Landstar” or the “Company.” Significant intercompany accounts have been eliminated in consolidation. |
Share-based Payment Arrangement
Share-based Payment Arrangements | 6 Months Ended |
Jul. 01, 2017 | |
Share-based Payment Arrangements | (1) Share-based Payment Arrangements As of July 1, 2017, the Company had two employee equity incentive plans, the 2002 employee stock option and stock incentive plan (the “ESOSIP”) and the 2011 equity incentive plan (the “2011 EIP”). No further grants can be made under the ESOSIP. The Company also has a stock compensation plan for members of its Board of Directors, the Amended and Restated 2013 Directors Stock Compensation Plan (as amended and restated as of May 17, 2016, the “2013 DSCP”). 6,000,000 shares of the Company’s common stock were authorized for issuance under the 2011 EIP and 115,000 shares of the Company’s common stock were authorized for issuance under the 2013 DSCP. The ESOSIP, 2011 EIP and 2013 DSCP are each referred to herein as a “Plan,” and, collectively, as the “Plans.” Amounts recognized in the financial statements with respect to these Plans are as follows (in thousands): Twenty Six Weeks Ended Thirteen Weeks Ended July 1, 2017 June 25, 2016 July 1, 2017 June 25, 2016 Total cost of the Plans during the period $ 2,237 $ 2,066 $ 1,243 $ 966 Amount of related income tax benefit recognized during the period (1,814 ) (836 ) (687 ) (365 ) Net cost of the Plans during the period $ 423 $ 1,230 $ 556 $ 601 Included in income tax benefits recognized in the twenty-six-week periods ended July 1, 2017 and June 25, 2016 were income tax benefits of $270,000 and $172,000, respectively, recognized on disqualifying dispositions of the Company’s common stock by employees who obtained shares of common stock through exercises of incentive stock options. Also included in income tax benefits recognized in the twenty-six-week period ended July 1, 2017 were excess tax benefits from stock-based awards of $751,000, as required by the Company’s adoption of Accounting Standards Update 2016-09 during the first fiscal quarter of 2017. See Note 10, Recent Accounting Pronouncements, for further information. As of July 1, 2017, there were 78,682 shares of the Company’s common stock reserved for issuance under the 2013 DSCP and 4,747,396 shares of the Company’s common stock reserved for issuance in the aggregate under the ESOSIP and 2011 EIP. Restricted Stock Units The following table summarizes information regarding the Company’s outstanding restricted stock unit (“RSU”) awards with either a performance condition or a market condition under the Plans: Number of Weighted Average Grant Date RSUs Fair Value Outstanding at December 31, 2016 378,238 $ 50.46 Granted 67,577 $ 76.90 Forfeited (56,771 ) $ 45.35 Outstanding at July 1, 2017 389,044 $ 55.80 During the twenty-six-week period ended July 1, 2017, the Company granted RSUs with a performance condition. RSUs with a performance condition granted on February 2, 2017 may vest on January 31 of 2020, 2021 and 2022 based on growth in operating income and diluted earnings per share from continuing operations as compared to the results from the 2016 fiscal year. Outstanding RSUs at both December 31, 2016 and July 1, 2017 include RSUs with a performance condition and RSUs with a market condition, as further described below. RSUs with a performance condition vest over a 5 year period from the date of grant based on growth in operating income and diluted earnings per share as compared to a base year, being the year immediately preceding the year of grant. At the time of grant, the target number of common shares available for issuance under the February 2, 2017, January 29, 2016 and January 27, 2015 grants equals 100% of the number of RSUs granted, and the maximum number of common shares available for issuance under the February 2, 2017, January 29, 2016 and January 27, 2015 grants equals 200% of the number of RSUs granted. In the event actual results exceed the target, the number of shares that will be granted will exceed the number of RSUs granted. The maximum number of common shares available for issuance under grants made prior to 2015 equals 100% of the number of RSUs granted. The fair value of an RSU with a performance condition was determined based on the market value of the Company’s common stock on the date of grant, discounted for lack of marketability for a minimum post-vesting holding requirement. The discount rate due to lack of marketability used for RSU award grants with a performance condition for all periods was 7%. With respect to RSU awards with a performance condition, the Company reports compensation expense over the life of the award based on an estimated number of units that will vest over the life of the award, multiplied by the fair value of an RSU. On May 1, 2015, the Company granted 20,000 RSUs that vest based on a market condition. These RSUs may vest on April 30 of 2019, 2020 and 2021 based on the Company’s total shareholder return (“TSR”) compound annual growth rate over the vesting periods, adjusted to reflect dividends (if any) paid during such periods and capital adjustments as may be necessary. The target number of common shares available for issuance under the May 1, 2015 grant equals 100% of the number of RSUs granted, and the maximum number of common shares available for issuance under the May 1, 2015 grant equals 150% of the number of RSUs granted. In the event actual results exceed the target TSR compound annual growth rate, the number of shares that will be granted will exceed the number of RSUs granted. The fair value of this RSU award was determined at the time of grant based on the expected achievement of the market condition at the end of each vesting period. With respect to these RSU awards with a market condition, compensation expense is recognized ratably over the requisite service period under an award based on the fair market value of the award at the time of grant, regardless of whether the market condition is satisfied. Previously recognized compensation cost would be reversed, however, if the employee terminated employment prior to completing such requisite service period. The Company recognized approximately $1,309,000 and $1,130,000 of share-based compensation expense related to RSU awards in the twenty-six-week periods ended July 1, 2017 and June 25, 2016, respectively. As of July 1, 2017, there was a maximum of $33.3 million of total unrecognized compensation cost related to RSU awards granted under the Plans with an expected average remaining life of approximately 3 years. With respect to RSU awards with a performance condition, the amount of future compensation expense to be recognized will be determined based on future operating results. Stock Options The following table summarizes information regarding the Company’s outstanding stock options under the Plans: Number of Weighted Average Weighted Average Aggregate Intrinsic Options outstanding at December 31, 2016 372,561 $ 48.24 Exercised (114,009 ) $ 46.10 Forfeited (600 ) $ 54.93 Options outstanding at July 1, 2017 257,952 $ 49.16 4.3 $ 9,399 Options exercisable at July 1, 2017 237,452 $ 48.53 4.1 $ 8,802 The total intrinsic value of stock options exercised during the twenty-six-week periods ended July 1, 2017 and June 25, 2016 was $4,480,000 and $1,236,000, respectively. As of July 1, 2017, there was $157,000 of total unrecognized compensation cost related to non-vested stock options granted under the Plans. The unrecognized compensation cost related to these non-vested options is expected to be recognized during 2017. Non-vested Restricted Stock and Deferred Stock Units The following table summarizes information regarding the Company’s outstanding shares of non-vested restricted stock and Deferred Stock Units (defined below) under the Plans: Number of Shares and Deferred Stock Weighted Average Grant Date Fair Value Non-vested at December 31, 2016 28,409 $ 58.91 Granted 39,267 $ 83.45 Vested (16,227 ) $ 61.50 Non-vested at July 1, 2017 51,449 $ 76.83 The fair value of each share of non-vested restricted stock issued and Deferred Stock Unit granted under the Plans are based on the fair value of a share of the Company’s common stock on the date of grant. Shares of non-vested restricted stock are subject to vesting in three equal annual installments either on the first, second and third anniversary of the date of the grant or the third, fourth and fifth anniversary of the date of the grant, or 100% on the first anniversary of the date of the grant. For restricted stock awards granted under the 2013 DSCP plan, each recipient may elect to defer receipt of shares and instead receive restricted stock units (“Deferred Stock Units”), which represent contingent rights to receive shares of the Company’s common stock on the date of recipient separation from service from the Board of Directors, or, if earlier, upon a change in control event of the Company. Deferred Stock Units become vested 100% on the first anniversary of the date of the grant. Deferred Stock Units do not represent actual ownership in shares of the Company’s common stock and the recipient will not have voting rights or other incidents of ownership until the shares are issued. However, Deferred Stock Units do contain the right to receive dividend equivalent payments prior to settlement into shares. As of July 1, 2017, there was $3,500,000 of total unrecognized compensation cost related to non-vested shares of restricted stock and Deferred Stock Units granted under the Plans. The unrecognized compensation cost related to these non-vested shares of restricted stock and Deferred Stock Units is expected to be recognized over a weighted average period of 3 years. |
Income Taxes
Income Taxes | 6 Months Ended |
Jul. 01, 2017 | |
Income Taxes | (2) Income Taxes The provisions for income taxes for both the 2017 and 2016 twenty-six-week periods were based on estimated annual effective income tax rates of 38.2% adjusted for discrete events, such as benefits resulting from disqualifying dispositions of the Company’s common stock by employees who obtained the stock through exercises of incentive stock options. The effective income tax rates for the 2017 and 2016 twenty-six-week periods were 37.3% and 38.0%, respectively, which were higher than the statutory federal income tax rate primarily as a result of state taxes, the meals and entertainment exclusion and non-deductible stock-based compensation. During the first fiscal quarter of 2017, the Company adopted ASU 2016-09, as further described in footnote 10. As required by ASU 2016-09, the Company recognized $751,000 of excess tax benefits on stock-based awards in its provision for income taxes in the twenty-six-week period ended July 1, 2017. |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jul. 01, 2017 | |
Earnings Per Share | (3) Earnings Per Share Earnings per common share are based on the weighted average number of shares outstanding, including outstanding non-vested restricted stock and outstanding Deferred Stock Units. Diluted earnings per share are based on the weighted average number of common shares and Deferred Stock Units outstanding plus the incremental shares that would have been outstanding upon the assumed exercise of all dilutive stock options. The following table provides a reconciliation of the average number of common shares outstanding used to calculate earnings per common share to the average number of common shares and common share equivalents outstanding used to calculate diluted earnings per share (in thousands): Twenty Six Weeks Ended Thirteen Weeks Ended July 1, 2017 June 25, 2016 July 1, 2017 June 25, 2016 Average number of common shares outstanding 41,907 42,315 41,935 42,235 Incremental shares from assumed exercises of stock options 97 109 75 122 Average number of common shares and common share equivalents outstanding 42,004 42,424 42,010 42,357 For each of the twenty-six-week periods ended July 1, 2017 and June 25, 2016, no options outstanding to purchase shares of common stock were antidilutive. Outstanding RSUs were excluded from the calculation of diluted earnings per share for all periods because the performance metric requirements or market condition for vesting had not been satisfied. |
Additional Cash Flow Informatio
Additional Cash Flow Information | 6 Months Ended |
Jul. 01, 2017 | |
Additional Cash Flow Information | (4) Additional Cash Flow Information During the 2017 twenty-six-week period, Landstar paid income taxes and interest of $45,559,000 and $2,062,000, respectively. During the 2016 twenty-six-week period, Landstar paid income taxes and interest of $33,771,000 and $1,922,000, respectively. Landstar acquired operating property by entering into capital leases in the amounts of $5,108,000 and $17,642,000 in the 2017 and 2016 twenty-six-week periods, respectively. In addition, during the 2017 twenty-six-week period Landstar acquired $945,000 of operating property for which the Company accrued a corresponding liability in accounts payable as of July 1, 2017 related to the completion of a new freight staging and transload facility in Laredo, TX. The Company had unpaid capital expenditure purchases included in accounts payable of $1,988,000 and $5,298,000 at July 1, 2017 and December 31, 2016, respectively. Capital expenditure purchases are recorded as cash outflows from investing activities in the consolidated statement of cash flows in the period in which they are paid. |
Segment Information
Segment Information | 6 Months Ended |
Jul. 01, 2017 | |
Segment Information | (5) Segment Information The following table summarizes information about the Company’s reportable business segments as of and for the twenty-six-week and thirteen-week periods ended July 1, 2017 and June 25, 2016 (in thousands): Twenty Six Weeks Ended July 1, 2017 June 25, 2016 Transportation Logistics Insurance Total Transportation Logistics Insurance Total External revenue $ 1,628,155 $ 23,187 $ 1,651,342 $ 1,463,772 $ 23,095 $ 1,486,867 Internal revenue 22,438 22,438 21,661 21,661 Investment income 1,022 1,022 743 743 Operating income 94,512 18,840 113,352 85,801 15,224 101,025 Expenditures on long-lived assets 6,628 6,628 8,955 8,955 Goodwill 31,134 31,134 31,134 31,134 Thirteen Weeks Ended July 1, 2017 June 25, 2016 Transportation Logistics Insurance Total Transportation Logistics Insurance Total External revenue $ 858,807 $ 11,627 $ 870,434 $ 763,672 $ 11,551 $ 775,223 Internal revenue 15,104 15,104 14,430 14,430 Investment income 608 608 363 363 Operating income 50,398 10,620 61,018 46,176 6,917 53,093 Expenditures on long-lived assets 1,650 1,650 8,127 8,127 In the twenty-six and thirteen-week periods ended July 1, 2017 and June 25, 2016, no single customer accounted for more than 10% of the Company’s consolidated revenue. |
Other Comprehensive Income
Other Comprehensive Income | 6 Months Ended |
Jul. 01, 2017 | |
Other Comprehensive Income | (6) Other Comprehensive Income The following table presents the components of and changes in accumulated other comprehensive income, net of related income taxes, as of and for the twenty-six-week period ended July 1, 2017 (in thousands): Unrealized Available-for-Sale Foreign Total Balance as of December 31, 2016 $ (71 ) $ (3,018 ) $ (3,089 ) Other comprehensive income 165 585 750 Balance as of July 1, 2017 $ 94 $ (2,433 ) $ (2,339 ) Amounts reclassified from accumulated other comprehensive income to investment income due to the realization of previously unrealized gains and losses in the accompanying consolidated statements of income were not significant for the twenty-six-week period ended July 1, 2017. |
Investments
Investments | 6 Months Ended |
Jul. 01, 2017 | |
Investments | (7) Investments Investments include primarily investment-grade corporate bonds and U.S. Treasury obligations having maturities of up to five years (the “bond portfolio”). Investments in the bond portfolio are reported as available-for-sale and are carried at fair value. Investments maturing less than one year from the balance sheet date are included in short-term investments and investments maturing more than one year from the balance sheet date are included in other assets in the consolidated balance sheets. Management performs an analysis of the nature of the unrealized losses on available-for-sale investments to determine whether such losses are other-than-temporary. Unrealized losses, representing the excess of the purchase price of an investment over its fair value as of the end of a period, considered to be other-than-temporary, are to be included as a charge in the statement of income, while unrealized losses considered to be temporary are to be included as a component of shareholders’ equity. Investments whose values are based on quoted market prices in active markets are classified within Level 1. Investments that trade in markets that are not considered to be active, but are valued based on quoted market prices, are classified within Level 2. As Level 2 investments include positions that are not traded in active markets, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information. Any transfers between levels are recognized as of the beginning of any reporting period. Fair value of the bond portfolio was determined using Level 1 inputs related to U.S. Treasury obligations and money market investments and Level 2 inputs related to investment-grade corporate bonds, asset-backed securities and direct obligations of government agencies. Unrealized gains, net of unrealized losses, on the investments in the bond portfolio were $145,000 at July 1, 2017, while unrealized losses, net of unrealized gains, on the investments in the bond portfolio were $109,000 at December 31, 2016, respectively. The amortized cost and fair values of available-for-sale investments are as follows at July 1, 2017 and December 31, 2016 (in thousands): Gross Gross Amortized Cost Unrealized Gains Unrealized Losses Fair Value July 1, 2017 Money market investments $ 14,422 $ — $ — $ 14,422 Asset-backed securities 3,659 5 5 3,659 Corporate bonds and direct obligations of government agencies 80,122 311 158 80,275 U.S. Treasury obligations 11,988 — 8 11,980 Total $ 110,191 $ 316 $ 171 $ 110,336 December 31, 2016 Money market investments $ 12,395 $ — $ — $ 12,395 Asset-backed securities 4,027 3 19 4,011 Corporate bonds and direct obligations of government agencies 70,069 150 239 69,980 U.S. Treasury obligations 23,037 2 6 23,033 Total $ 109,528 $ 155 $ 264 $ 109,419 For those available-for-sale investments with unrealized losses at July 1, 2017 and December 31, 2016, the following table summarizes the duration of the unrealized loss (in thousands): Less than 12 months 12 months or longer Total Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss July 1, 2017 Asset-backed securities $ 1,097 $ 1 $ 1,353 $ 4 $ 2,450 $ 5 Corporate bonds and direct obligations of government agencies 29,252 125 2,276 33 31,528 158 U.S. Treasury obligations 11,980 8 — — 11,980 8 Total $ 42,329 $ 134 $ 3,629 $ 37 $ 45,958 $ 171 December 31, 2016 Asset-backed securities $ 1,363 $ 6 $ 2,314 $ 13 $ 3,677 $ 19 Corporate bonds and direct obligations of government agencies 28,809 195 1,367 44 30,176 239 U.S. Treasury obligations 12,734 6 — — 12,734 6 Total $ 42,906 $ 207 $ 3,681 $ 57 $ 46,587 $ 264 The Company believes that unrealized losses on investments were primarily caused by rising interest rates rather than changes in credit quality. The Company expects to recover the amortized cost basis of these securities as it does not intend to sell, and does not anticipate being required to sell, these securities before recovery of the cost basis. For these reasons, the Company does not consider the unrealized losses on these securities to be other-than-temporary at July 1, 2017. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jul. 01, 2017 | |
Commitments and Contingencies | (8) Commitments and Contingencies Short-term investments include $51,167,000 in current maturities of investments held by the Company’s insurance segment at July 1, 2017. The non-current portion of the bond portfolio of $59,169,000 is included in other assets. The short-term investments, together with $15,499,000 of non-current investments, provide collateral for the $59,999,000 of letters of credit issued to guarantee payment of insurance claims. As of July 1, 2017, Landstar also had $35,962,000 of additional letters of credit outstanding under the Company’s Credit Agreement. The Company is involved in certain claims and pending litigation arising from the normal conduct of business. Many of these claims are covered in whole or in part by insurance. Based on knowledge of the facts and, in certain cases, opinions of outside counsel, management believes that adequate provisions have been made for probable losses with respect to the resolution of all such claims and pending litigation and that the ultimate outcome, after provisions therefor, will not have a material adverse effect on the financial condition of the Company, but could have a material effect on the results of operations in a given quarter or year. |
Change in Accounting Estimate f
Change in Accounting Estimate for Self-Insured Claims | 6 Months Ended |
Jul. 01, 2017 | |
Change in Accounting Estimate for Self-Insured Claims | (9) Change in Accounting Estimate for Self-Insured Claims Landstar provides for the estimated costs of self-insured claims primarily on an actuarial basis. The amount recorded for the estimated liability for claims incurred is based upon the facts and circumstances known on the applicable balance sheet date. The ultimate resolution of these claims may be for an amount greater or less than the amount estimated by management. The Company continually revises its existing claim estimates as new or revised information becomes available on the status of each claim. Historically, the Company has experienced both favorable and unfavorable development of prior years’ claims estimates. The following table summarizes the effect of the increase in the cost of insurance claims resulting from unfavorable development of prior year self-insured claims estimates on operating income, net income and earnings per share amounts in the consolidated statements of income for the twenty-six-week and thirteen-week periods ended July 1, 2017 and June 25, 2016 (in thousands, except per share amounts): Twenty Six Weeks Ended Thirteen Weeks Ended July 1, 2017 June 25, 2016 July 1, 2017 June 25, 2016 Operating income $ 203 $ 2,816 $ 307 $ 738 Net income 125 1,740 189 456 Earnings per share — $ 0.04 — $ 0.01 Diluted earnings per share — $ 0.04 — $ 0.01 |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 6 Months Ended |
Jul. 01, 2017 | |
Recent Accounting Pronouncements | (10) Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update 2014-09 - Revenue from Contracts with Customers In February 2016, the FASB issued Accounting Standards Update 2016-02 - Leases In March 2016, the FASB issued Accounting Standards Update 2016-09 - Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting In June 2016, the FASB issued Accounting Standards Update 2016-13 - Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments |
Share-based Payment Arrangeme21
Share-based Payment Arrangements (Tables) | 6 Months Ended |
Jul. 01, 2017 | |
Amounts Recognized in Financial Statements with Respect to Plans | Amounts recognized in the financial statements with respect to these Plans are as follows (in thousands): Twenty Six Weeks Ended Thirteen Weeks Ended July 1, 2017 June 25, 2016 July 1, 2017 June 25, 2016 Total cost of the Plans during the period $ 2,237 $ 2,066 $ 1,243 $ 966 Amount of related income tax benefit recognized during the period (1,814 ) (836 ) (687 ) (365 ) Net cost of the Plans during the period $ 423 $ 1,230 $ 556 $ 601 |
Summary of Information Regarding Stock Options | The following table summarizes information regarding the Company’s outstanding stock options under the Plans: Number of Weighted Average Weighted Average Aggregate Intrinsic Options outstanding at December 31, 2016 372,561 $ 48.24 Exercised (114,009 ) $ 46.10 Forfeited (600 ) $ 54.93 Options outstanding at July 1, 2017 257,952 $ 49.16 4.3 $ 9,399 Options exercisable at July 1, 2017 237,452 $ 48.53 4.1 $ 8,802 |
Restricted Stock Units (RSUs) | |
Schedule of Information on Restricted Stock Units | The following table summarizes information regarding the Company’s outstanding restricted stock unit (“RSU”) awards with either a performance condition or a market condition under the Plans: Number of Weighted Average Grant Date RSUs Fair Value Outstanding at December 31, 2016 378,238 $ 50.46 Granted 67,577 $ 76.90 Forfeited (56,771 ) $ 45.35 Outstanding at July 1, 2017 389,044 $ 55.80 |
Non Vested Restricted Stock and Deferred Stock Units | |
Schedule of Information on Non-Vested Restricted Stock and Deferred Stock Units | The following table summarizes information regarding the Company’s outstanding shares of non-vested restricted stock and Deferred Stock Units (defined below) under the Plans: Number of Shares and Deferred Stock Weighted Average Grant Date Fair Value Non-vested at December 31, 2016 28,409 $ 58.91 Granted 39,267 $ 83.45 Vested (16,227 ) $ 61.50 Non-vested at July 1, 2017 51,449 $ 76.83 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jul. 01, 2017 | |
Reconciliation of Average Number of Common Shares Outstanding to Average Number of Diluted Shares Outstanding | The following table provides a reconciliation of the average number of common shares outstanding used to calculate earnings per common share to the average number of common shares and common share equivalents outstanding used to calculate diluted earnings per share (in thousands): Twenty Six Weeks Ended Thirteen Weeks Ended July 1, 2017 June 25, 2016 July 1, 2017 June 25, 2016 Average number of common shares outstanding 41,907 42,315 41,935 42,235 Incremental shares from assumed exercises of stock options 97 109 75 122 Average number of common shares and common share equivalents outstanding 42,004 42,424 42,010 42,357 |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jul. 01, 2017 | |
Information Regarding Reportable Business Segments | The following table summarizes information about the Company’s reportable business segments as of and for the twenty-six-week and thirteen-week periods ended July 1, 2017 and June 25, 2016 (in thousands): Twenty Six Weeks Ended July 1, 2017 June 25, 2016 Transportation Logistics Insurance Total Transportation Logistics Insurance Total External revenue $ 1,628,155 $ 23,187 $ 1,651,342 $ 1,463,772 $ 23,095 $ 1,486,867 Internal revenue 22,438 22,438 21,661 21,661 Investment income 1,022 1,022 743 743 Operating income 94,512 18,840 113,352 85,801 15,224 101,025 Expenditures on long-lived assets 6,628 6,628 8,955 8,955 Goodwill 31,134 31,134 31,134 31,134 Thirteen Weeks Ended July 1, 2017 June 25, 2016 Transportation Logistics Insurance Total Transportation Logistics Insurance Total External revenue $ 858,807 $ 11,627 $ 870,434 $ 763,672 $ 11,551 $ 775,223 Internal revenue 15,104 15,104 14,430 14,430 Investment income 608 608 363 363 Operating income 50,398 10,620 61,018 46,176 6,917 53,093 Expenditures on long-lived assets 1,650 1,650 8,127 8,127 |
Other Comprehensive Income (Tab
Other Comprehensive Income (Tables) | 6 Months Ended |
Jul. 01, 2017 | |
Components of and Changes in Accumulated Other Comprehensive Income, Net of Related Income Taxes | The following table presents the components of and changes in accumulated other comprehensive income, net of related income taxes, as of and for the twenty-six-week period ended July 1, 2017 (in thousands): Unrealized Available-for-Sale Foreign Total Balance as of December 31, 2016 $ (71 ) $ (3,018 ) $ (3,089 ) Other comprehensive income 165 585 750 Balance as of July 1, 2017 $ 94 $ (2,433 ) $ (2,339 ) |
Investments (Tables)
Investments (Tables) | 6 Months Ended |
Jul. 01, 2017 | |
Amortized Cost and Fair Value of Available for Sale Investments | The amortized cost and fair values of available-for-sale investments are as follows at July 1, 2017 and December 31, 2016 (in thousands): Gross Gross Amortized Cost Unrealized Gains Unrealized Losses Fair Value July 1, 2017 Money market investments $ 14,422 $ — $ — $ 14,422 Asset-backed securities 3,659 5 5 3,659 Corporate bonds and direct obligations of government agencies 80,122 311 158 80,275 U.S. Treasury obligations 11,988 — 8 11,980 Total $ 110,191 $ 316 $ 171 $ 110,336 December 31, 2016 Money market investments $ 12,395 $ — $ — $ 12,395 Asset-backed securities 4,027 3 19 4,011 Corporate bonds and direct obligations of government agencies 70,069 150 239 69,980 U.S. Treasury obligations 23,037 2 6 23,033 Total $ 109,528 $ 155 $ 264 $ 109,419 |
Schedule of Unrealized Loss on Available for Sale Investments | For those available-for-sale investments with unrealized losses at July 1, 2017 and December 31, 2016, the following table summarizes the duration of the unrealized loss (in thousands): Less than 12 months 12 months or longer Total Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss July 1, 2017 Asset-backed securities $ 1,097 $ 1 $ 1,353 $ 4 $ 2,450 $ 5 Corporate bonds and direct obligations of government agencies 29,252 125 2,276 33 31,528 158 U.S. Treasury obligations 11,980 8 — — 11,980 8 Total $ 42,329 $ 134 $ 3,629 $ 37 $ 45,958 $ 171 December 31, 2016 Asset-backed securities $ 1,363 $ 6 $ 2,314 $ 13 $ 3,677 $ 19 Corporate bonds and direct obligations of government agencies 28,809 195 1,367 44 30,176 239 U.S. Treasury obligations 12,734 6 — — 12,734 6 Total $ 42,906 $ 207 $ 3,681 $ 57 $ 46,587 $ 264 |
Change in Accounting Estimate26
Change in Accounting Estimate for Self-Insured Claims (Tables) | 6 Months Ended |
Jul. 01, 2017 | |
Effect of Increase in Cost of Insurance and Claims | The following table summarizes the effect of the increase in the cost of insurance claims resulting from unfavorable development of prior year self-insured claims estimates on operating income, net income and earnings per share amounts in the consolidated statements of income for the twenty-six-week and thirteen-week periods ended July 1, 2017 and June 25, 2016 (in thousands, except per share amounts): Twenty Six Weeks Ended Thirteen Weeks Ended July 1, 2017 June 25, 2016 July 1, 2017 June 25, 2016 Operating income $ 203 $ 2,816 $ 307 $ 738 Net income 125 1,740 189 456 Earnings per share — $ 0.04 — $ 0.01 Diluted earnings per share — $ 0.04 — $ 0.01 |
Share Based Payment Arrangement
Share Based Payment Arrangements - Additional Information (Detail) $ in Thousands | May 01, 2015shares | Jul. 01, 2017USD ($)EquityPlanshares | Jun. 25, 2016USD ($) |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of employee equity incentive plans | EquityPlan | 2 | ||
Income tax benefit realized on disqualifying dispositions of stock acquired by exercise of incentive stock options | $ | $ 270 | $ 172 | |
Accounting Standards Update 2016-09 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Excess tax benefit from stock-based awards | $ | $ 751 | ||
2013 Directors Stock Compensation Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock authorized for issuance | shares | 115,000 | ||
Common stock reserved for issuance | shares | 78,682 | ||
Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Discount rate on stock awards | 7.00% | ||
Stock awards granted | shares | 67,577 | ||
Recognized share-based compensation expense | $ | $ 1,309 | 1,130 | |
Unrecognized compensation cost expected to be recognized over period, years | 3 years | ||
Restricted Stock Units (RSUs) | May 2015 Grant | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Percentage of target available for common share issuance | 100.00% | ||
Stock awards granted | shares | 20,000 | ||
Restricted Stock Units (RSUs) | January 2016 Grant | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Percentage of target available for common share issuance | 100.00% | ||
Restricted Stock Units (RSUs) | Prior to 2017 Grants | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
RSU awards vesting period | 5 years | ||
Restricted Stock Units (RSUs) | January 2015 Grant | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Percentage of target available for common share issuance | 100.00% | ||
Restricted Stock Units (RSUs) | February 2017 Grant | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
RSU awards vesting period | 5 years | ||
Percentage of target available for common share issuance | 100.00% | ||
Employee Stock Option | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total intrinsic value of stock options exercised during periods | $ | $ 4,480 | $ 1,236 | |
Unrecognized compensation cost | $ | $ 157 | ||
Non Vested Restricted Stock and Deferred Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock awards granted | shares | 39,267 | ||
Unrecognized compensation cost, other than options | $ | $ 3,500 | ||
Unrecognized compensation cost expected to be recognized over period, years | 3 years | ||
Terms of award | The Company’s common stock on the date of grant. Shares of non-vested restricted stock are subject to vesting in three equal annual installments either on the first, second and third anniversary of the date of the grant or the third, fourth and fifth anniversary of the date of the grant, or 100% on the first anniversary of the date of the grant. For restricted stock awards granted under the 2013 DSCP plan, each recipient may elect to defer receipt of shares and instead receive restricted stock units ("Deferred Stock Units"), which represent contingent rights to receive shares of the Company’s common stock on the date of recipient separation from service from the Board of Directors, or, if earlier, upon a change in control event of the Company. Deferred Stock Units become vested 100% on the first anniversary of the date of the grant. | ||
Maximum | Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unrecognized compensation cost, other than options | $ | $ 33,300 | ||
Maximum | Restricted Stock Units (RSUs) | May 2015 Grant | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum percentage of target available for common share issuance | 150.00% | ||
Maximum | Restricted Stock Units (RSUs) | January 2016 Grant | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum percentage of target available for common share issuance | 200.00% | ||
Maximum | Restricted Stock Units (RSUs) | January 2015 Grant | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum percentage of target available for common share issuance | 200.00% | ||
Maximum | Restricted Stock Units (RSUs) | Prior to 2015 grant | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum percentage of target available for common share issuance | 100.00% | ||
Maximum | Restricted Stock Units (RSUs) | February 2017 Grant | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum percentage of target available for common share issuance | 200.00% | ||
2011 Equity Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock authorized for issuance | shares | 6,000,000 | ||
Other Stock Compensation Plans | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock reserved for issuance | shares | 4,747,396 | ||
2013 Directors Stock Compensation Plan | Deferred Stock Unit | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock vesting percentage | 100.00% |
Amounts Recognized in Financial
Amounts Recognized in Financial Statements with Respect to Plans (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 01, 2017 | Jun. 25, 2016 | Jul. 01, 2017 | Jun. 25, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Total cost of the Plans during the period | $ 1,243 | $ 966 | $ 2,237 | $ 2,066 |
Amount of related income tax benefit recognized during the period | (687) | (365) | (1,814) | (836) |
Net cost of the Plans during the period | $ 556 | $ 601 | $ 423 | $ 1,230 |
Schedule of Information on Rest
Schedule of Information on Restricted Stock Units (Detail) - Restricted Stock Units (RSUs) | 6 Months Ended |
Jul. 01, 2017$ / sharesshares | |
Number of Shares | |
Beginning Balance | shares | 378,238 |
Granted | shares | 67,577 |
Forfeited | shares | (56,771) |
Ending Balance | shares | 389,044 |
Weighted Average Grant Date Fair Value | |
Beginning Balance | $ / shares | $ 50.46 |
Granted | $ / shares | 76.90 |
Forfeited | $ / shares | 45.35 |
Ending Balance | $ / shares | $ 55.80 |
Summary of Information Regardin
Summary of Information Regarding Stock Options (Detail) $ / shares in Units, $ in Thousands | 6 Months Ended |
Jul. 01, 2017USD ($)$ / sharesshares | |
Number of Options | |
Beginning Balance, number of options | shares | 372,561 |
Exercised, number of options | shares | (114,009) |
Forfeited, number of options | shares | (600) |
Ending Balance, number of options | shares | 257,952 |
Options exercisable at the ending, Number of Options | shares | 237,452 |
Weighted Average Exercise Price per Share | |
Beginning Balance, Weighted Average Exercise Price per Share | $ / shares | $ 48.24 |
Exercised, Weighted Average Exercise Price per Share | $ / shares | 46.10 |
Forfeited, Weighted Average Exercise Price per Share | $ / shares | 54.93 |
Ending Balance, Weighted Average Exercise Price per Share | $ / shares | 49.16 |
Options exercisable at July 1, 2017 | $ / shares | $ 48.53 |
Weighted Average Remaining Contractual Term (years) | |
Options outstanding at July 1, 2017 | 4 years 3 months 19 days |
Options exercisable at July 1, 2017 | 4 years 1 month 6 days |
Aggregate Intrinsic Value | |
Options outstanding at July 1, 2017 | $ | $ 9,399 |
Options exercisable at July 1, 2017 | $ | $ 8,802 |
Schedule of Information on Non-
Schedule of Information on Non-Vested Restricted Stock and Deferred Stock Units (Detail) - Non Vested Restricted Stock and Deferred Stock Units | 6 Months Ended |
Jul. 01, 2017$ / sharesshares | |
Number of Shares and Deferred Stock Units | |
Beginning Balance | shares | 28,409 |
Granted | shares | 39,267 |
Vested | shares | (16,227) |
Ending Balance | shares | 51,449 |
Weighted Average Grant Date Fair Value | |
Beginning Balance | $ / shares | $ 58.91 |
Granted | $ / shares | 83.45 |
Vested | $ / shares | 61.50 |
Ending Balance | $ / shares | $ 76.83 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | ||
Jul. 01, 2017 | Jun. 25, 2016 | Dec. 30, 2017 | Dec. 31, 2016 | |
Income Taxes [Line Items] | ||||
Effective income tax rate | 37.30% | 38.00% | 38.20% | |
Accounting Standards Update 2016-09 | ||||
Income Taxes [Line Items] | ||||
Excess tax benefit from stock-based awards | $ 751 | |||
Scenario, Forecast | ||||
Income Taxes [Line Items] | ||||
Effective income tax rate | 38.20% |
Reconciliation of Average Numbe
Reconciliation of Average Number of Common Shares Outstanding to Average Number of Diluted Shares Outstanding (Detail) - shares | 3 Months Ended | 6 Months Ended | ||
Jul. 01, 2017 | Jun. 25, 2016 | Jul. 01, 2017 | Jun. 25, 2016 | |
Weighted Average Number of Shares Outstanding Reconciliation [Abstract] | ||||
Average number of common shares outstanding | 41,935,000 | 42,235,000 | 41,907,000 | 42,315,000 |
Incremental shares from assumed exercises of stock options | 75,000 | 122,000 | 97,000 | 109,000 |
Average number of common shares and common share equivalents outstanding | 42,010,000 | 42,357,000 | 42,004,000 | 42,424,000 |
Earnings Per Share - Additional
Earnings Per Share - Additional Information (Detail) - shares | 6 Months Ended | |
Jul. 01, 2017 | Jun. 25, 2016 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Stock options excluded from calculation of diluted earnings per share, antidilutive | 0 | 0 |
Additional Cash Flow Informat35
Additional Cash Flow Information - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | ||
Jul. 01, 2017 | Jun. 25, 2016 | Dec. 31, 2016 | |
Supplemental Cash Flow Information [Abstract] | |||
Income taxes paid | $ 45,559 | $ 33,771 | |
Interest paid | 2,062 | 1,922 | |
Acquired operating property by capital leases | 5,108 | $ 17,642 | |
Acquired operating property by accruing in accounts payable | 945 | ||
Unpaid capital expenditure | $ 1,988 | $ 5,298 |
Information Regarding Reportabl
Information Regarding Reportable Business Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jul. 01, 2017 | Jun. 25, 2016 | Jul. 01, 2017 | Jun. 25, 2016 | Dec. 31, 2016 | |
Segment Reporting Information [Line Items] | |||||
External revenue | $ 870,434 | $ 775,223 | $ 1,651,342 | $ 1,486,867 | |
Internal revenue | 15,104 | 14,430 | 22,438 | 21,661 | |
Investment income | 608 | 363 | 1,022 | 743 | |
Operating income | 61,018 | 53,093 | 113,352 | 101,025 | |
Expenditures on long-lived assets | 1,650 | 8,127 | 6,628 | 8,955 | |
Goodwill | 31,134 | 31,134 | 31,134 | 31,134 | $ 31,134 |
Transportation Logistics | |||||
Segment Reporting Information [Line Items] | |||||
External revenue | 858,807 | 763,672 | 1,628,155 | 1,463,772 | |
Operating income | 50,398 | 46,176 | 94,512 | 85,801 | |
Expenditures on long-lived assets | 1,650 | 8,127 | 6,628 | 8,955 | |
Goodwill | 31,134 | 31,134 | 31,134 | 31,134 | |
Insurance | |||||
Segment Reporting Information [Line Items] | |||||
External revenue | 11,627 | 11,551 | 23,187 | 23,095 | |
Internal revenue | 15,104 | 14,430 | 22,438 | 21,661 | |
Investment income | 608 | 363 | 1,022 | 743 | |
Operating income | $ 10,620 | $ 6,917 | $ 18,840 | $ 15,224 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) - Customer | 3 Months Ended | 6 Months Ended |
Jun. 25, 2016 | Jul. 01, 2017 | |
Segment Reporting Information [Line Items] | ||
Number of customers accounting for 10 percent or more of total revenue | 0 | 0 |
No single customer accounted for benchmark percentage to be considered major customer | 10.00% | 10.00% |
Components of and Changes in Ac
Components of and Changes in Accumulated Other Comprehensive Income, Net of Related Income Taxes (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 01, 2017 | Jun. 25, 2016 | Jul. 01, 2017 | Jun. 25, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | $ 542,557 | |||
Other comprehensive income | $ 549 | $ 469 | 750 | $ 1,234 |
Ending Balance | 609,490 | 609,490 | ||
Unrealized Holding (Losses) Gains on Available-for-Sale Securities | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | (71) | |||
Other comprehensive income | 165 | |||
Ending Balance | 94 | 94 | ||
Foreign Currency Translation | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | (3,018) | |||
Other comprehensive income | 585 | |||
Ending Balance | (2,433) | (2,433) | ||
Accumulated Other Comprehensive Income (Loss) | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | (3,089) | |||
Other comprehensive income | 750 | |||
Ending Balance | $ (2,339) | $ (2,339) |
Investments - Additional Inform
Investments - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jul. 01, 2017 | Dec. 31, 2016 | |
Schedule of Available-for-sale Securities [Line Items] | ||
Investments maximum maturity period | 5 years | |
Unrealized gain (loss), net of unrealized gains/losses, on the investments in the bond portfolio | $ 145 | $ (109) |
Amortized Cost and Fair Value o
Amortized Cost and Fair Value of Available for Sale Investments (Detail) - USD ($) $ in Thousands | Jul. 01, 2017 | Dec. 31, 2016 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | $ 110,191 | $ 109,528 |
Gross Unrealized Gains | 316 | 155 |
Gross Unrealized Losses | 171 | 264 |
Fair Value | 110,336 | 109,419 |
Money market investments | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 14,422 | 12,395 |
Fair Value | 14,422 | 12,395 |
Asset-backed securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 3,659 | 4,027 |
Gross Unrealized Gains | 5 | 3 |
Gross Unrealized Losses | 5 | 19 |
Fair Value | 3,659 | 4,011 |
Corporate bonds and direct obligations of government agencies | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 80,122 | 70,069 |
Gross Unrealized Gains | 311 | 150 |
Gross Unrealized Losses | 158 | 239 |
Fair Value | 80,275 | 69,980 |
U.S. Treasury Obligations | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 11,988 | 23,037 |
Gross Unrealized Gains | 2 | |
Gross Unrealized Losses | 8 | 6 |
Fair Value | $ 11,980 | $ 23,033 |
Schedule of Unrealized Loss on
Schedule of Unrealized Loss on Available for Sale Investments (Detail) - USD ($) $ in Thousands | Jul. 01, 2017 | Dec. 31, 2016 |
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments with unrealized losses, Less than 12 months, Fair Value | $ 42,329 | $ 42,906 |
Available-for-sale investments with unrealized losses, Less than 12 months, Unrealized Loss | 134 | 207 |
Available-for-sale investments with unrealized losses, 12 months or longer, Fair Value | 3,629 | 3,681 |
Available-for-sale investments with unrealized losses, 12 months or longer, Unrealized Loss | 37 | 57 |
Available-for-sale investments with unrealized losses, Fair Value, Total | 45,958 | 46,587 |
Available-for-sale investments with unrealized losses, Unrealized Loss, Total | 171 | 264 |
Asset-backed securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments with unrealized losses, Less than 12 months, Fair Value | 1,097 | 1,363 |
Available-for-sale investments with unrealized losses, Less than 12 months, Unrealized Loss | 1 | 6 |
Available-for-sale investments with unrealized losses, 12 months or longer, Fair Value | 1,353 | 2,314 |
Available-for-sale investments with unrealized losses, 12 months or longer, Unrealized Loss | 4 | 13 |
Available-for-sale investments with unrealized losses, Fair Value, Total | 2,450 | 3,677 |
Available-for-sale investments with unrealized losses, Unrealized Loss, Total | 5 | 19 |
Corporate bonds and direct obligations of government agencies | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments with unrealized losses, Less than 12 months, Fair Value | 29,252 | 28,809 |
Available-for-sale investments with unrealized losses, Less than 12 months, Unrealized Loss | 125 | 195 |
Available-for-sale investments with unrealized losses, 12 months or longer, Fair Value | 2,276 | 1,367 |
Available-for-sale investments with unrealized losses, 12 months or longer, Unrealized Loss | 33 | 44 |
Available-for-sale investments with unrealized losses, Fair Value, Total | 31,528 | 30,176 |
Available-for-sale investments with unrealized losses, Unrealized Loss, Total | 158 | 239 |
U.S. Treasury Obligations | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments with unrealized losses, Less than 12 months, Fair Value | 11,980 | 12,734 |
Available-for-sale investments with unrealized losses, Less than 12 months, Unrealized Loss | 8 | 6 |
Available-for-sale investments with unrealized losses, Fair Value, Total | 11,980 | 12,734 |
Available-for-sale investments with unrealized losses, Unrealized Loss, Total | $ 8 | $ 6 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) $ in Thousands | Jul. 01, 2017USD ($) |
Revolving Credit Facility | |
Commitments and Contingencies Disclosure [Line Items] | |
Letters of credit outstanding | $ 35,962 |
Guarantee Payment Of Insurance Claims | |
Commitments and Contingencies Disclosure [Line Items] | |
Letters of credit outstanding | 59,999 |
Current Investments | |
Commitments and Contingencies Disclosure [Line Items] | |
Investments providing collateral for letters of credit to guarantee insurance claims | 51,167 |
Non-Current Investments | |
Commitments and Contingencies Disclosure [Line Items] | |
Investments providing collateral for letters of credit to guarantee insurance claims | 15,499 |
Total non-current investments | $ 59,169 |
Effect of Increase in Cost of I
Effect of Increase in Cost of Insurance and Claims (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 01, 2017 | Jun. 25, 2016 | Jul. 01, 2017 | Jun. 25, 2016 | |
Change in Accounting Estimate [Line Items] | ||||
Operating income | $ 61,018 | $ 53,093 | $ 113,352 | $ 101,025 |
Net income | $ 37,510 | $ 32,314 | $ 69,893 | $ 61,498 |
Earnings per share | $ 0.89 | $ 0.77 | $ 1.67 | $ 1.45 |
Diluted earnings per share | $ 0.89 | $ 0.76 | $ 1.66 | $ 1.45 |
Development of Prior Year Self Insured Claims Estimates | ||||
Change in Accounting Estimate [Line Items] | ||||
Operating income | $ 307 | $ 738 | $ 203 | $ 2,816 |
Net income | $ 189 | $ 456 | $ 125 | $ 1,740 |
Earnings per share | $ 0.01 | $ 0.04 | ||
Diluted earnings per share | $ 0.01 | $ 0.04 |
Recent Accounting Pronounceme44
Recent Accounting Pronouncements - Additional Information (Detail) $ in Thousands | 6 Months Ended |
Jul. 01, 2017USD ($) | |
Accounting Standards Update 2016-09 | |
Excess tax benefit from stock-based awards | $ 751 |