Cover Page
Cover Page - shares | 9 Months Ended | |
Sep. 28, 2019 | Oct. 21, 2019 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q3 | |
Document Quarterly Report | true | |
Entity Central Index Key | 0000853816 | |
Document Transition Report | false | |
Current Fiscal Year End Date | --12-28 | |
Document Period End Date | Sep. 28, 2019 | |
Entity Registrant Name | LANDSTAR SYSTEM INC | |
Entity Filer Category | Large Accelerated Filer | |
Trading Symbol | LSTR | |
Title of 12(b) Security | Common Stock | |
Security Exchange Name | NASDAQ | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 39,462,908 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity File Number | 0-21238 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 06-1313069 | |
Entity Address, Address Line One | 13410 Sutton Park Drive South | |
Entity Address, City or Town | Jacksonville | |
Entity Address, Postal Zip Code | 32224 | |
City Area Code | 904 | |
Local Phone Number | 398-9400 | |
Entity Address, State or Province | FL |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 28, 2019 | Dec. 29, 2018 |
Current Assets | ||
Cash and cash equivalents | $ 284,434 | $ 199,736 |
Short-term investments | 31,596 | 40,058 |
Trade accounts receivable, less allowance of $7,296 and $6,413 | 598,415 | 691,604 |
Other receivables, including advances to independent contractors, less allowance of $8,593 and $6,216 | 25,384 | 23,744 |
Other current assets | 30,921 | 16,287 |
Total current assets | 970,750 | 971,429 |
Operating property, less accumulated depreciation and amortization of $274,000 and $250,153 | 270,430 | 284,032 |
Goodwill | 38,232 | 38,232 |
Other assets | 106,319 | 86,871 |
Total assets | 1,385,731 | 1,380,564 |
Current Liabilities | ||
Cash overdraft | 44,625 | 55,339 |
Accounts payable | 285,442 | 314,134 |
Current maturities of long-term debt | 39,375 | 43,561 |
Insurance claims | 51,320 | 40,176 |
Accrued compensation | 10,477 | 29,489 |
Contractor escrow | 25,521 | 25,202 |
Other current liabilities | 26,996 | 27,917 |
Total current liabilities | 483,756 | 535,818 |
Long-term debt, excluding current maturities | 61,390 | 84,864 |
Insurance claims | 33,024 | 30,429 |
Deferred income taxes and other noncurrent liabilities | 51,586 | 40,320 |
Equity | ||
Landstar System, Inc. and subsidiary shareholders' equity Common stock, $0.01 par value, authorized 160,000,000 shares, issued 68,072,834 and 67,870,926 shares | 681 | 679 |
Additional paid-in capital | 225,937 | 226,852 |
Retained earnings | 1,998,362 | 1,841,279 |
Cost of 28,609,926 and 27,755,001 shares of common stock in treasury | (1,465,284) | (1,376,111) |
Accumulated other comprehensive loss | (3,721) | (5,875) |
Total Landstar System, Inc. and subsidiary shareholders' equity | 755,975 | 686,824 |
Noncontrolling interest | 2,309 | |
Total equity | 755,975 | 689,133 |
Total liabilities and equity | $ 1,385,731 | $ 1,380,564 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Sep. 28, 2019 | Dec. 29, 2018 |
Allowance on trade accounts receivable | $ 7,296 | $ 6,413 |
Allowance on other receivables | 8,593 | 6,216 |
Accumulated depreciation and amortization on operating property | $ 274,000 | $ 250,153 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, authorized shares | 160,000,000 | 160,000,000 |
Common stock, issued shares | 68,072,834 | 67,870,926 |
Treasury stock, shares | 28,609,926 | 27,755,001 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Revenue | $ 1,011,658 | $ 1,202,081 | $ 3,089,698 | $ 3,432,793 |
Investment income | 1,315 | 1,002 | 3,736 | 2,754 |
Costs and expenses: | ||||
Purchased transportation | 774,520 | 931,473 | 2,365,646 | 2,658,710 |
Commissions to agents | 84,568 | 99,304 | 257,862 | 275,828 |
Other operating costs, net of gains/losses on asset sales/dispositions | 10,431 | 8,966 | 28,531 | 24,176 |
Insurance and claims | 23,969 | 18,819 | 55,248 | 57,718 |
Selling, general and administrative | 38,152 | 46,699 | 120,717 | 140,948 |
Depreciation and amortization | 10,695 | 10,754 | 33,045 | 32,520 |
Total costs and expenses | 942,335 | 1,116,015 | 2,861,049 | 3,189,900 |
Operating income | 70,638 | 87,068 | 232,385 | 245,647 |
Interest and debt expense | 764 | 816 | 2,278 | 2,455 |
Income before income taxes | 69,874 | 86,252 | 230,107 | 243,192 |
Income taxes | 16,619 | 19,304 | 52,452 | 56,279 |
Net income | 53,255 | 66,948 | 177,655 | 186,913 |
Less: Net loss attributable to noncontrolling interest | (37) | (17) | (112) | |
Net income attributable to Landstar System, Inc. and subsidiary | $ 53,255 | $ 66,985 | $ 177,672 | $ 187,025 |
Earnings per common share attributable to Landstar System, Inc. and subsidiary | $ 1.35 | $ 1.63 | $ 4.45 | $ 4.50 |
Diluted earnings per share attributable to Landstar System, Inc. and subsidiary | $ 1.35 | $ 1.63 | $ 4.45 | $ 4.50 |
Average number of shares outstanding: | ||||
Earnings per common share | 39,566,000 | 41,101,000 | 39,891,000 | 41,530,000 |
Diluted earnings per share | 39,566,000 | 41,137,000 | 39,891,000 | 41,576,000 |
Dividends per common share | $ 0.185 | $ 0.165 | $ 0.515 | $ 0.465 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Net income attributable to Landstar System, Inc. and subsidiary | $ 53,255 | $ 66,985 | $ 177,672 | $ 187,025 |
Other comprehensive income (loss): | ||||
Unrealized holding gains (losses) on available-for-sale investments, net of tax expense (benefit) of $577, ($231), $83 and $2 | 307 | 7 | 2,112 | (876) |
Foreign currency translation gains (losses) | (1,083) | 708 | 42 | (531) |
Other comprehensive income (loss) | (776) | 715 | 2,154 | (1,407) |
Comprehensive income attributable to Landstar System, Inc. and subsidiary | $ 52,479 | $ 67,700 | $ 179,826 | $ 185,618 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Unrealized holding gains (losses) on available-for-sale investments, tax expense (benefit) | $ 83 | $ 2 | $ 577 | $ (231) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 28, 2019 | Sep. 29, 2018 | |
OPERATING ACTIVITIES | ||
Net income | $ 177,655 | $ 186,913 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization of operating property and intangible assets | 33,045 | 32,520 |
Non-cash interest charges | 190 | 190 |
Provisions for losses on trade and other accounts receivable | 6,942 | 5,360 |
Gains on sales/disposals of operating property | (1,188) | (1,025) |
Deferred income taxes, net | 7,151 | 7,459 |
Stock-based compensation | 4,470 | 13,003 |
Changes in operating assets and liabilities: | ||
Decrease (increase) in trade and other accounts receivable | 84,607 | (60,785) |
Increase in other assets | (21,129) | (9,779) |
(Decrease) increase in accounts payable | (28,692) | 22,121 |
(Decrease) increase in other liabilities | (16,076) | 3,245 |
Increase in insurance claims | 13,739 | 4,983 |
NET CASH PROVIDED BY OPERATING ACTIVITIES | 260,714 | 204,205 |
INVESTING ACTIVITIES | ||
Sales and maturities of investments | 56,467 | 34,259 |
Purchases of investments | (58,829) | (36,296) |
Purchases of operating property | (15,199) | (7,325) |
Proceeds from sales of operating property | 3,621 | 3,542 |
NET CASH USED BY INVESTING ACTIVITIES | (13,940) | (5,820) |
FINANCING ACTIVITIES | ||
Decrease in cash overdraft | (10,714) | (2,483) |
Dividends paid | (20,589) | (82,261) |
Proceeds from exercises of stock options | 629 | 1,397 |
Taxes paid in lieu of shares issued related to stock-based compensation plans | (8,449) | (3,936) |
Purchases of common stock | (88,578) | (105,488) |
Principal payments on finance lease obligations | (34,141) | (32,663) |
Purchase of noncontrolling interest | (600) | |
Payment of contingent consideration | (985) | |
NET CASH USED BY FINANCING ACTIVITIES | (162,442) | (226,419) |
Effect of exchange rate changes on cash and cash equivalents | 366 | (408) |
Increase (decrease) in cash and cash equivalents | 84,698 | (28,442) |
Cash and cash equivalents at beginning of period | 199,736 | 242,416 |
Cash and cash equivalents at end of period | $ 284,434 | $ 213,974 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Retained Earnings | Treasury Stock at Cost | Accumulated Other Comprehensive (Loss) Income | Non-controlling Interests |
Beginning Balance (in shares) at Dec. 30, 2017 | 67,740,380 | 25,749,493 | |||||
Beginning Balance at Dec. 30, 2017 | $ 653,877 | $ 677 | $ 209,599 | $ 1,611,158 | $ (1,167,600) | $ (3,162) | $ 3,205 |
Adoption of accounting standards at Mar. 31, 2018 | 773 | 773 | |||||
Net income (loss) | 57,473 | 57,517 | (44) | ||||
Dividends | (6,308) | (6,308) | |||||
Purchases of common stock (in shares) | 14,354 | ||||||
Purchases of common stock | (1,508) | $ (1,508) | |||||
Issuance of stock related to stock-based compensation plans (in shares) | 95,784 | 4,822 | |||||
Issuance of stock related to stock-based compensation plans | (1,725) | $ 1 | (1,376) | $ (350) | |||
Stock-based compensation | 3,710 | 3,710 | |||||
Other comprehensive (loss) income | (12) | (389) | 377 | ||||
Ending Balance (in shares) at Mar. 31, 2018 | 67,836,164 | 25,768,669 | |||||
Ending Balance at Mar. 31, 2018 | 706,280 | $ 678 | 211,933 | 1,663,140 | $ (1,169,458) | (3,551) | 3,538 |
Beginning Balance (in shares) at Dec. 30, 2017 | 67,740,380 | 25,749,493 | |||||
Beginning Balance at Dec. 30, 2017 | 653,877 | $ 677 | 209,599 | 1,611,158 | $ (1,167,600) | (3,162) | 3,205 |
Net income (loss) | 186,913 | ||||||
Ending Balance (in shares) at Sep. 29, 2018 | 67,869,378 | 26,755,001 | |||||
Ending Balance at Sep. 29, 2018 | 726,210 | $ 679 | 221,563 | 1,779,680 | $ (1,273,512) | (4,569) | 2,369 |
Beginning Balance (in shares) at Mar. 31, 2018 | 67,836,164 | 25,768,669 | |||||
Beginning Balance at Mar. 31, 2018 | 706,280 | $ 678 | 211,933 | 1,663,140 | $ (1,169,458) | (3,551) | 3,538 |
Net income (loss) | 62,492 | 62,523 | (31) | ||||
Dividends | (6,188) | (6,188) | |||||
Purchases of common stock (in shares) | 985,646 | ||||||
Purchases of common stock | (103,980) | $ (103,980) | |||||
Issuance of stock related to stock-based compensation plans (in shares) | 11,528 | 495 | |||||
Issuance of stock related to stock-based compensation plans | (48) | 3 | $ (51) | ||||
Stock-based compensation | 4,392 | 4,392 | |||||
Other comprehensive (loss) income | (2,015) | (1,733) | (282) | ||||
Ending Balance (in shares) at Jun. 30, 2018 | 67,847,692 | 26,754,810 | |||||
Ending Balance at Jun. 30, 2018 | 660,933 | $ 678 | 216,328 | 1,719,475 | $ (1,273,489) | (5,284) | 3,225 |
Net income (loss) | 66,948 | 66,985 | (37) | ||||
Dividends | (6,780) | (6,780) | |||||
Transaction with noncontrolling interests | 1,078 | (1,078) | |||||
Issuance of stock related to stock-based compensation plans (in shares) | 21,686 | 191 | |||||
Issuance of stock related to stock-based compensation plans | (766) | $ 1 | (744) | $ (23) | |||
Stock-based compensation | 4,901 | 4,901 | |||||
Other comprehensive (loss) income | 974 | 715 | 259 | ||||
Ending Balance (in shares) at Sep. 29, 2018 | 67,869,378 | 26,755,001 | |||||
Ending Balance at Sep. 29, 2018 | 726,210 | $ 679 | 221,563 | 1,779,680 | $ (1,273,512) | (4,569) | 2,369 |
Beginning Balance (in shares) at Dec. 29, 2018 | 67,870,962 | 27,755,001 | |||||
Beginning Balance at Dec. 29, 2018 | 689,133 | $ 679 | 226,852 | 1,841,279 | $ (1,376,111) | (5,875) | 2,309 |
Net income (loss) | 63,300 | 63,317 | (17) | ||||
Dividends | (6,629) | (6,629) | |||||
Purchases of common stock (in shares) | 124,481 | ||||||
Purchases of common stock | (12,977) | $ (12,977) | |||||
Purchase of noncontrolling interests | (600) | 1,842 | (2,442) | ||||
Issuance of stock related to stock-based compensation plans (in shares) | 176,079 | 5,199 | |||||
Issuance of stock related to stock-based compensation plans | (7,604) | $ 1 | (7,081) | $ (524) | |||
Stock-based compensation | 1,938 | 1,938 | |||||
Other comprehensive (loss) income | 1,699 | 1,549 | 150 | ||||
Ending Balance (in shares) at Mar. 30, 2019 | 68,047,041 | 27,884,681 | |||||
Ending Balance at Mar. 30, 2019 | 728,260 | $ 680 | 223,551 | 1,897,967 | $ (1,389,612) | (4,326) | |
Beginning Balance (in shares) at Dec. 29, 2018 | 67,870,962 | 27,755,001 | |||||
Beginning Balance at Dec. 29, 2018 | 689,133 | $ 679 | 226,852 | 1,841,279 | $ (1,376,111) | (5,875) | $ 2,309 |
Net income (loss) | 177,655 | ||||||
Ending Balance (in shares) at Sep. 28, 2019 | 68,072,834 | 28,609,926 | |||||
Ending Balance at Sep. 28, 2019 | 755,975 | $ 681 | 225,937 | 1,998,362 | $ (1,465,284) | (3,721) | |
Beginning Balance (in shares) at Mar. 30, 2019 | 68,047,041 | 27,884,681 | |||||
Beginning Balance at Mar. 30, 2019 | 728,260 | $ 680 | 223,551 | 1,897,967 | $ (1,389,612) | (4,326) | |
Net income (loss) | 61,100 | 61,100 | |||||
Dividends | (6,628) | (6,628) | |||||
Purchases of common stock (in shares) | 549,929 | ||||||
Purchases of common stock | (56,752) | $ (56,752) | |||||
Issuance of stock related to stock-based compensation plans (in shares) | 17,836 | 572 | |||||
Issuance of stock related to stock-based compensation plans | (491) | $ 1 | (431) | $ (61) | |||
Stock-based compensation | 1,430 | 1,430 | |||||
Other comprehensive (loss) income | 1,381 | 1,381 | |||||
Ending Balance (in shares) at Jun. 29, 2019 | 68,064,877 | 28,435,182 | |||||
Ending Balance at Jun. 29, 2019 | 728,300 | $ 681 | 224,550 | 1,952,439 | $ (1,446,425) | (2,945) | |
Net income (loss) | 53,255 | 53,255 | |||||
Dividends | (7,332) | (7,332) | |||||
Purchases of common stock (in shares) | 174,658 | ||||||
Purchases of common stock | (18,849) | $ (18,849) | |||||
Issuance of stock related to stock-based compensation plans (in shares) | 7,957 | 86 | |||||
Issuance of stock related to stock-based compensation plans | 275 | 285 | $ (10) | ||||
Stock-based compensation | 1,102 | 1,102 | |||||
Other comprehensive (loss) income | (776) | (776) | |||||
Ending Balance (in shares) at Sep. 28, 2019 | 68,072,834 | 28,609,926 | |||||
Ending Balance at Sep. 28, 2019 | $ 755,975 | $ 681 | $ 225,937 | $ 1,998,362 | $ (1,465,284) | $ (3,721) |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Equity (Parenthetical) - $ / shares | 3 Months Ended | 9 Months Ended | ||||||
Sep. 28, 2019 | Jun. 29, 2019 | Mar. 30, 2019 | Sep. 29, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Dividends per common share | $ 0.185 | $ 0.165 | $ 0.165 | $ 0.165 | $ 0.15 | $ 0.15 | $ 0.515 | $ 0.465 |
Business Description
Business Description | 9 Months Ended |
Sep. 28, 2019 | |
Business Description and Basis of Presentation [Text Block] | 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. |
Significant Accounting Policies
Significant Accounting Policies | 9 Months Ended |
Sep. 28, 2019 | |
Significant Accounting Policies | (1) Significant Accounting Policies Revenue from Contracts with Customers – Disaggregation of Revenue During the thirty nine weeks ended September 28, 2019, revenue generated by BCO Independent Contractors, Truck Brokerage Carriers and railroads represented approximately 45%, 47% and 3% respectively, of the Company’s consolidated revenue. Collectively, revenue generated by air and ocean cargo carriers represented approximately 3% of the Company’s consolidated revenue in the thirty-nine-week period ended September 28, 2019. Included in truck transportation revenue generated by BCO Independent Contractors and Truck Brokerage Carriers during the thirty-nine-week period ended September 28, 2019 was $1,799,421,000 hauled via van equipment, $980,615,000 hauled via unsided/platform equipment and $73,475,000 of less-than-truckload. During the thirty nine weeks ended September 29, 2018, revenue generated by BCO Independent Contractors, Truck Brokerage Carriers and railroads represented approximately 44%, 49% and 3%, respectively, of the Company’s consolidated revenue. Collectively, revenue generated by air and ocean cargo carriers represented approximately 2% of the Company’s consolidated revenue in the thirty-nine-week period ended September 29, 2018. Included in truck transportation revenue generated by BCO Independent Contractors and Truck Brokerage Carriers during the thirty-nine-week period ended September 29, 2018 was $2,086,523,000 hauled via van equipment, $1,039,784,000 hauled via unsided/platform equipment and $76,448,000 of less-than-truckload. During the thirteen weeks ended September 28, 2019, revenue generated by BCO Independent Contractors, Truck Brokerage Carriers and railroads represented approximately 46%, 46% and 3% respectively, of the Company’s consolidated revenue. Collectively, revenue generated by air and ocean cargo carriers represented approximately 3% of the Company’s consolidated revenue in the thirteen-week period ended September 28, 2019. Included in truck transportation revenue generated by BCO Independent Contractors and Truck Brokerage Carriers during the thirteen-week period ended September 28, 2019 was $575,042,000 hauled via van equipment, $331,787,000 hauled via unsided/platform equipment and $25,367,000 of less-than-truckload. During the thirteen weeks ended September 29, 2018, revenue generated by BCO Independent Contractors, Truck Brokerage Carriers and railroads represented approximately 43%, 50% and 3%, respectively, of the Company’s consolidated revenue. Collectively, revenue generated by air and ocean cargo carriers represented approximately 3% of the Company’s consolidated revenue in the thirteen-week period ended September 29, 2018. Included in truck transportation revenue generated by BCO Independent Contractors and Truck Brokerage Carriers during the thirteen-week period ended September 29, 2018 was $717,047,000 hauled via van equipment, $375,739,000 hauled via unsided/platform equipment and $25,500,000 of less-than-truckload. |
Share-Based Payment Arrangement
Share-Based Payment Arrangements | 9 Months Ended |
Sep. 28, 2019 | |
Share-Based Payment Arrangements | (2) Share-based Payment Arrangements As of September 28, 2019, 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): Thirty Nine Weeks Ended Thirteen Weeks Ended September 28, 2019 September 29, 2018 September 28, 2019 September 29, 2018 Total cost of the Plans during the period $ 4,470 $ 13,003 $ 1,102 $ 4,901 Amount of related income tax benefit recognized during the period (4,125 ) (5,305 ) (391 ) (1,837 ) Net cost of the Plans during the period $ 345 $ 7,698 $ 711 $ 3,064 Included in income tax benefits recognized in the thirty-nine-week periods ended September 28, 2019 and September 29, 2018 were excess tax benefits from stock-based awards of $2,968,000 and $2,046,000, respectively. Also included in income tax benefits recognized in the thirty-nine-week periods ended September 28, 2019 and September 29, 2018 were income tax benefits of $62,000 and $80,000, 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. As of September 28, 2019, there were 66,454 shares of the Company’s common stock reserved for issuance under the 2013 DSCP and 3,972,592 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 Fair Value Outstanding at December 29, 2018 292,345 $ 66.31 Granted 68,543 $ 89.37 Shares earned in excess of target (1) 71,172 $ 54.78 Vested shares, including shares earned in excess of target (226,981 ) $ 53.27 Forfeited (6,481 ) $ 86.60 Outstanding at September 28, 2019 198,598 $ 84.37 (1) Represents shares earned in excess of target under the January 27, 2015 and January 29, 2016 RSU awards as actual results exceeded the target under both awards as a result of fiscal year 2018 results and under the May 1, 2015 RSU award as total shareholder return exceeded the target under the award. During the thirty-nine-week period ended September 28, 2019, the Company granted RSUs with a performance condition and RSUs with a market condition, as further described below. Outstanding RSUs at both December 29, 2018 and September 28, 2019 include RSUs with a performance condition and RSUs with a market condition, as further described below and in the Company’s 2018 Annual Report on Form 10-K. RSUs with a performance condition granted on February 1, 2019 may vest on January 31 of 2022, 2023 and 2024 based on growth in operating income and pre-tax During the thirty-nine-week period ended September 28, 2019 , the Company granted RSUs that vest based on a market condition. These RSUs may vest on June 30 of 2023, 2024 and 2025 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 maximum number of common shares available for issuance under the grant equals % of 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, the Company reports compensation expense ratably 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 the RSU. Previously recognized compensation cost would be reversed only if the employee terminated employment prior to completing the requisite service period. The Company recognized approximately $2,477,000 and $11,303,000 of share-based compensation expense related to RSU awards in the thirty-nine-week periods ended September 28, 2019 and September 29, 2018, respectively. As of September 28, 2019, there was a maximum of $26.4 million of total unrecognized compensation cost related to RSU awards granted under the Plans with an expected average remaining life of approximately 3.3 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 per Share Weighted Average Term (years) Aggregate Intrinsic Options outstanding at December 29, 2018 89,114 $ 50.44 Exercised (32,300 ) $ 49.30 Options outstanding at September 28, 2019 56,814 $ 51.08 2.5 $ 3,487 Options exercisable at September 28, 2019 56,814 $ 51.08 2.5 $ 3,487 The total intrinsic value of stock options exercised during the thirty-nine-week periods ended September 28, 2019 and September 29, 2018 was $1,877,000 and $6,584,000, respectively. As Non-vested The non-vested Number of and Deferred Weighted Average Grant Date Fair Value Non-vested 55,987 $ 93.66 Granted 30,338 $ 102.76 Vested (21,517 ) $ 92.70 Non-vested 64,808 $ 98.24 The fair value of each share of non-vested restricted stock issued and Deferred Stock Unit granted under the Plans is 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 generally 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 or fifth 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 does 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 non-vested non-vested |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 28, 2019 | |
Income Taxes | (3) Income Taxes The provisions for income taxes for the 2019 and 2018 thirty-nine-week periods were based on estimated annual effective income tax rates of 24.2% and 24.5%, respectively, adjusted for discrete events, such as benefits resulting from stock-based awards. The effective income tax rate for the 2019 thirty-nine-week period was 22.8%, which was higher than the statutory federal income tax rate of 21% primarily attributable to state taxes and the meals and entertainment exclusion, partially offset by excess tax benefits realized on stock based awards. The effective income tax rate for the 2018 thirty-nine-week period was 23.1%, which was higher than the statutory federal income tax rate of 21% primarily attributable to state taxes, the elimination of the performance-based compensation exception under Section 162(m) by the Tax Cuts and Jobs Act (the “Tax Reform Act”) and the meals and entertainment exclusion, partially offset by excess tax benefits realized on stock based awards and favorable adjustments recognized during the 2018 period relating to federal domestic production activities deductions and research and development credits . The provisions for income taxes for the 2019 and 2018 thirty-nine-week periods were favorably impacted by $ 2,968,000 2,046,000 s |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 28, 2019 | |
Earnings Per Share | (4) Earnings Per Share Earnings per common share attributable to Landstar System, Inc. and subsidiary are based on the weighted average number of shares outstanding, including outstanding non-vested The following table provides a reconciliation of the average number of common shares outstanding used to calculate earnings per common share attributable to Landstar System, Inc. and subsidiary to the average number of common shares and common share equivalents outstanding used to calculate diluted earnings per share attributable to Landstar System, Inc. and subsidiary (in thousands): Thirty Nine Weeks Ended Thirteen Weeks Ended September 28, 2019 September 29, 2018 September 28, 2019 September 29, 2018 Average number of common shares outstanding 39,891 41,530 39,566 41,101 Incremental shares from assumed exercises of stock options — 46 — 36 Average number of common shares and common share equivalents outstanding 39,891 41,576 39,566 41,137 For each of the thirty-nine-week periods ended September 28, 2019 and September 29, 2018, no |
Additional Cash Flow Informatio
Additional Cash Flow Information | 9 Months Ended |
Sep. 28, 2019 | |
Additional Cash Flow Information | (5) Additional Cash Flow Information During the 2019 thirty-nine-week period, Landstar paid income taxes and interest of $54,877,000 and $3,302,000, respectively. During the 2018 thirty-nine-week period, Landstar paid income taxes and interest of $56,083,000 and $2,737,000, respectively. Landstar acquired operating property by entering into finance leases in the amounts of $6,481,000 and $21,397,000 in the 2019 and 2018 thirty-nine-week periods, respectively. Capital expenditures 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 | 9 Months Ended |
Sep. 28, 2019 | |
Segment Information | (6) Segment Information The following table summarizes information about the Company’s reportable business segments as of and for the thirty-nine-week and thirteen-week periods ended September 28, 2019 and September 29, 2018 (in thousands): Thirty Nine Weeks Ended September 28, 2019 September 29, 2018 Transportation Logistics Insurance Total Transportation Logistics Insurance Total External revenue $ 3,047,329 $ 42,369 $ 3,089,698 $ 3,394,298 $ 38,495 $ 3,432,793 Internal revenue 36,978 36,978 30,413 30,413 Investment income 3,736 3,736 2,754 2,754 Operating income 200,767 31,618 232,385 227,176 18,471 245,647 Expenditures on long-lived assets 15,199 15,199 7,325 7,325 Goodwill 38,232 38,232 38,560 38,560 Thirteen Weeks Ended September 28, 2019 September 29, 2018 Transportation Logistics Insurance Total Transportation Logistics Insurance Total External revenue $ 997,552 $ 14,106 $ 1,011,658 $ 1,188,737 $ 13,344 $ 1,202,081 Internal revenue 9,611 9,611 7,496 7,496 Investment income 1,315 1,315 1,002 1,002 Operating income 64,848 5,790 70,638 80,878 6,190 87,068 Expenditures on long-lived assets 5,975 5,975 3,204 3,204 In the thirty-nine-week periods ended September 28, 2019 and September 29, 2018, no |
Other Comprehensive Income
Other Comprehensive Income | 9 Months Ended |
Sep. 28, 2019 | |
Other Comprehensive Income | (7) Other Comprehensive Income The following table presents the components of and changes in accumulated other comprehensive income attributable to Landstar System, Inc. and subsidiary, net of related income taxes, as of and for the thirty-nine-week period ended September 28, 2019 (in thousands): Unrealized Available-for-Sale Foreign Currency Total Balance as of December 29, 2018 $ (930 ) $ (4,945 ) $ (5,875 ) Other comprehensive income 2,112 42 2,154 Balance as of September 28, 2019 $ 1,182 $ (4,903 ) $ (3,721 ) 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 thirty-nine-week period ended September 28, 2019. |
Investments
Investments | 9 Months Ended |
Sep. 28, 2019 | |
Investments | (8) Investments Investments include primarily investment-grade corporate bonds and U.S. Treasury obligations having maturities of up to five years available-for-sale 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 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 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, The amortized cost and fair values of available-for-sale Amortized Gross Gross Fair Value September 28, 2019 Money market investments $ 14,923 $ — $ — $ 14,923 Asset-backed securities 590 2 — 592 Corporate bonds and direct obligations of government agencies 97,704 1,513 31 99,186 U.S. Treasury obligations 2,334 21 — 2,355 Total $ 115,551 $ 1,536 $ 31 $ 117,056 December 29, 2018 Money market investments $ 11,714 $ — $ — $ 11,714 Asset-backed securities 624 — 4 620 Corporate bonds and direct obligations of government agencies 101,021 33 1,213 99,841 Total $ 113,359 $ 33 $ 1,217 $ 112,175 For those available-for-sale Less than 12 months 12 months or longer Total Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss September 28, 2019 Corporate bonds and direct obligations of government agencies $ 3,817 $ 15 $ 6,953 $ 16 $ 10,770 $ 31 December 29, 2018 Asset-backed securities $ — $ — $ 620 $ 4 $ 620 $ 4 Corporate bonds and direct obligations of government agencies 45,960 354 42,803 859 88,763 1,213 Total $ 45,960 $ 354 $ 43,423 $ 863 $ 89,383 $ 1,217 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 September 28, 2019. |
Leases
Leases | 9 Months Ended |
Sep. 28, 2019 | |
Leases | (9) Leases Landstar’s noncancelable leases are primarily comprised of finance leases for the acquisition of new trailing equipment. Each finance lease for the acquisition of trailing equipment is a five year lease with a $1 purchase option for the applicable equipment at lease expiration. Substantially all of Landstar’s operating lease right-of-use build-out “month-to-month” Most of Landstar’s operating leases include one or more options to renew. The exercise of lease renewal options is typically at Landstar’s sole discretion, and, as such, the majority of renewals to extend the lease terms are not included in the right-of-use As most of Landstar’s operating leases do not provide an implicit rate, Landstar utilized its incremental borrowing rate based on the information available at the lease commencement date in determining the present value of the lease payments. Landstar has a centrally managed treasury function; therefore, based on the applicable lease terms and the current economic environment, we apply a portfolio approach for determining the incremental borrowing rate. The components of lease cost for finance leases and operating leases for the thirty nine weeks ended September 28, 2019 were (in thousands): Finance leases: Amortization of right-of-use $ 19,196 Interest on lease liability 2,767 Total finance lease cost 21,963 Operating leases: Lease cost 3,556 Variable lease cost — Sublease income (3,931 ) Total operating lease (income)/cost (375 ) Total lease cost $ 21,588 A summary of the lease classification on our consolidated balance sheet as of September 28, 2019 is as follows (in thousands): Assets: Operating lease right-of-use Other assets $ 2,783 Finance lease assets Operating property, less accumulated depreciation and amortization 142,376 Total lease assets $ 145,159 Liabilities: The following table reconciles the undiscounted cash flows for the finance and operating leases to the finance and operating lease liabilities recorded on the balance sheet at September 28, 2019 (in thousands): Finance Leases Operating Leases 2019 Remainder $ 10,729 $ 276 2020 40,863 680 2021 26,453 615 2022 17,290 621 2023 10,262 550 Thereafter 925 299 Total future minimum lease payments 106,522 3,041 Less amount representing interest (2.1% to 4.4%) 5,757 258 Present value of minimum lease payments $ 100,765 $ 2,783 Current maturities of long-term debt 39,375 Long-term debt, excluding current maturities 61,390 Other current liabilities 680 Deferred income taxes and other noncurrent liabilities 2,103 The weighted average remaining lease term and the weighted average discount rate for finance and operating leases as of September 28, 2019 were: Finance Leases Operating Leases Weighted average remaining lease term (years) 3.1 4.3 Weighted average discount rate 3.3 % 4.0 % |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 28, 2019 | |
Commitments and Contingencies | (10) Commitments and Contingencies Short-term investments include $31,596,000 in current maturities of investments held by the Company’s insurance segment at September 28, 2019. The non-current non-current On January 25, 2019, a purported class action was filed in the Superior Court of the State of California for the County of San Bernardino against Landstar System, Inc. and Landstar Ranger, Inc. (together, the “Defendants”). The complaint purports to bring this action on behalf of Hany Tanious, as an individual, and “all owner operators who performed work for the Defendants, and who were classified as independent contractors, during the four years preceding the filing of this action through the present.” The complaint asserts claims based on the alleged misclassification of Mr. Tanious as an independent contractor and alleges violations under California law relating to overtime, minimum wage, meal and rest breaks, failure to reimburse certain expenses, wage statements, waiting time and unfair competition. Mr. Tanious was a truck owner-operator and formerly an independent contractor who was a party to an independent contractor operating agreement with Landstar Ranger, Inc. On June 11, 2019, the Defendants filed a Notice of Removal that resulted in the removal of the case from state court to federal court, where it was assigned to Judge Dale S. Fischer of the United State District Court for the Central District of California. On August 22, 2019, the Court issued an order (i) granting a motion filed by counsel for Mr. Tanious to withdraw from the case, (ii) striking all class allegations from the complaint and (iii) stating that this matter would proceed as an individual action. Mr. Tanious subsequently retained new counsel . 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 | 9 Months Ended |
Sep. 28, 2019 | |
Change in Accounting Estimate for Self-Insured Claims | (11) 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 attributable to Landstar System, Inc. and subsidiary and earnings per share attributable to Landstar System, Inc. and subsidiary set forth in the consolidated statements of income for the thirty-nine-week and thirteen-week periods ended September 28, 2019 and September 29, 2018 (in thousands, except per share amounts): Thirty Nine Weeks Ended Thirteen Weeks Ended September 28, 2019 September 29, 2018 September 28, 2019 September 29, 2018 Operating income $ 9,497 $ 11,596 $ 6,597 $ 3,352 Net income attributable to Landstar System, Inc. and subsidiary 7,199 8,755 5,001 2,531 Earnings per share attributable to Landstar System, Inc. and subsidiary $ 0.18 $ 0.21 $ 0.13 $ 0.06 Diluted earnings per share attributable to Landstar System, Inc. and subsidiary $ 0.18 $ 0.21 $ 0.13 $ 0.06 The unfavorable development of prior years’ claims in the thirty-nine-week period ended September 28, 2019 was attributable to several claims as well as actuarially determined adjustments to prior year commercial trucking loss estimates. The unfavorable development of prior years’ claims in the thirty-nine-week period ended September 29, 2018 was primarily attributable to five claims. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 9 Months Ended |
Sep. 28, 2019 | |
Recent Accounting Pronouncements | (12) Recent Accounting Pronouncements Adoption of New Accounting Standards In February 2016, the FASB issued Accounting Standards Update 2016-02 Leases 2016-02”), 2018-11, Leases Targeted Improvements 2016-02 right-of-use right-of-use 2016-02. 2016-02 Accounting Standards Issued But Not Yet Adopted In June 2016, the FASB issued Accounting Standards Update 2016-13– Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments 2016-13”), 2016-13 2016-13 |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 28, 2019 | |
Revenue Recognition | Revenue from Contracts with Customers – Disaggregation of Revenue During the thirty nine weeks ended September 28, 2019, revenue generated by BCO Independent Contractors, Truck Brokerage Carriers and railroads represented approximately 45%, 47% and 3% respectively, of the Company’s consolidated revenue. Collectively, revenue generated by air and ocean cargo carriers represented approximately 3% of the Company’s consolidated revenue in the thirty-nine-week period ended September 28, 2019. Included in truck transportation revenue generated by BCO Independent Contractors and Truck Brokerage Carriers during the thirty-nine-week period ended September 28, 2019 was $1,799,421,000 hauled via van equipment, $980,615,000 hauled via unsided/platform equipment and $73,475,000 of less-than-truckload. During the thirty nine weeks ended September 29, 2018, revenue generated by BCO Independent Contractors, Truck Brokerage Carriers and railroads represented approximately 44%, 49% and 3%, respectively, of the Company’s consolidated revenue. Collectively, revenue generated by air and ocean cargo carriers represented approximately 2% of the Company’s consolidated revenue in the thirty-nine-week period ended September 29, 2018. Included in truck transportation revenue generated by BCO Independent Contractors and Truck Brokerage Carriers during the thirty-nine-week period ended September 29, 2018 was $2,086,523,000 hauled via van equipment, $1,039,784,000 hauled via unsided/platform equipment and $76,448,000 of less-than-truckload. During the thirteen weeks ended September 28, 2019, revenue generated by BCO Independent Contractors, Truck Brokerage Carriers and railroads represented approximately 46%, 46% and 3% respectively, of the Company’s consolidated revenue. Collectively, revenue generated by air and ocean cargo carriers represented approximately 3% of the Company’s consolidated revenue in the thirteen-week period ended September 28, 2019. Included in truck transportation revenue generated by BCO Independent Contractors and Truck Brokerage Carriers during the thirteen-week period ended September 28, 2019 was $575,042,000 hauled via van equipment, $331,787,000 hauled via unsided/platform equipment and $25,367,000 of less-than-truckload. During the thirteen weeks ended September 29, 2018, revenue generated by BCO Independent Contractors, Truck Brokerage Carriers and railroads represented approximately 43%, 50% and 3%, respectively, of the Company’s consolidated revenue. Collectively, revenue generated by air and ocean cargo carriers represented approximately 3% of the Company’s consolidated revenue in the thirteen-week period ended September 29, 2018. Included in truck transportation revenue generated by BCO Independent Contractors and Truck Brokerage Carriers during the thirteen-week period ended September 29, 2018 was $717,047,000 hauled via van equipment, $375,739,000 hauled via unsided/platform equipment and $25,500,000 of less-than-truckload. |
Share-Based Payment Arrangeme_2
Share-Based Payment Arrangements (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
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): Thirty Nine Weeks Ended Thirteen Weeks Ended September 28, 2019 September 29, 2018 September 28, 2019 September 29, 2018 Total cost of the Plans during the period $ 4,470 $ 13,003 $ 1,102 $ 4,901 Amount of related income tax benefit recognized during the period (4,125 ) (5,305 ) (391 ) (1,837 ) Net cost of the Plans during the period $ 345 $ 7,698 $ 711 $ 3,064 |
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 per Share Weighted Average Term (years) Aggregate Intrinsic Options outstanding at December 29, 2018 89,114 $ 50.44 Exercised (32,300 ) $ 49.30 Options outstanding at September 28, 2019 56,814 $ 51.08 2.5 $ 3,487 Options exercisable at September 28, 2019 56,814 $ 51.08 2.5 $ 3,487 |
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 Fair Value Outstanding at December 29, 2018 292,345 $ 66.31 Granted 68,543 $ 89.37 Shares earned in excess of target (1) 71,172 $ 54.78 Vested shares, including shares earned in excess of target (226,981 ) $ 53.27 Forfeited (6,481 ) $ 86.60 Outstanding at September 28, 2019 198,598 $ 84.37 (1) Represents shares earned in excess of target under the January 27, 2015 and January 29, 2016 RSU awards as actual results exceeded the target under both awards as a result of fiscal year 2018 results and under the May 1, 2015 RSU award as total shareholder return exceeded the target under the award. |
Non Vested Restricted Stock and Deferred Stock Units | |
Schedule of Information on Non-Vested Restricted Stock and Deferred Stock Units | The non-vested Number of and Deferred Weighted Average Grant Date Fair Value Non-vested 55,987 $ 93.66 Granted 30,338 $ 102.76 Vested (21,517 ) $ 92.70 Non-vested 64,808 $ 98.24 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
Earnings Per Share [Abstract] | |
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 attributable to Landstar System, Inc. and subsidiary to the average number of common shares and common share equivalents outstanding used to calculate diluted earnings per share attributable to Landstar System, Inc. and subsidiary (in thousands): Thirty Nine Weeks Ended Thirteen Weeks Ended September 28, 2019 September 29, 2018 September 28, 2019 September 29, 2018 Average number of common shares outstanding 39,891 41,530 39,566 41,101 Incremental shares from assumed exercises of stock options — 46 — 36 Average number of common shares and common share equivalents outstanding 39,891 41,576 39,566 41,137 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
Information Regarding Reportable Business Segments | The following table summarizes information about the Company’s reportable business segments as of and for the thirty-nine-week and thirteen-week periods ended September 28, 2019 and September 29, 2018 (in thousands): Thirty Nine Weeks Ended September 28, 2019 September 29, 2018 Transportation Logistics Insurance Total Transportation Logistics Insurance Total External revenue $ 3,047,329 $ 42,369 $ 3,089,698 $ 3,394,298 $ 38,495 $ 3,432,793 Internal revenue 36,978 36,978 30,413 30,413 Investment income 3,736 3,736 2,754 2,754 Operating income 200,767 31,618 232,385 227,176 18,471 245,647 Expenditures on long-lived assets 15,199 15,199 7,325 7,325 Goodwill 38,232 38,232 38,560 38,560 Thirteen Weeks Ended September 28, 2019 September 29, 2018 Transportation Logistics Insurance Total Transportation Logistics Insurance Total External revenue $ 997,552 $ 14,106 $ 1,011,658 $ 1,188,737 $ 13,344 $ 1,202,081 Internal revenue 9,611 9,611 7,496 7,496 Investment income 1,315 1,315 1,002 1,002 Operating income 64,848 5,790 70,638 80,878 6,190 87,068 Expenditures on long-lived assets 5,975 5,975 3,204 3,204 |
Other Comprehensive Income (Tab
Other Comprehensive Income (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
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 attributable to Landstar System, Inc. and subsidiary, net of related income taxes, as of and for the thirty-nine-week period ended September 28, 2019 (in thousands): Unrealized Available-for-Sale Foreign Currency Total Balance as of December 29, 2018 $ (930 ) $ (4,945 ) $ (5,875 ) Other comprehensive income 2,112 42 2,154 Balance as of September 28, 2019 $ 1,182 $ (4,903 ) $ (3,721 ) |
Investments (Tables)
Investments (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
Amortized Cost and Fair Value of Available-for-Sale Investments | The amortized cost and fair values of available-for-sale Amortized Gross Gross Fair Value September 28, 2019 Money market investments $ 14,923 $ — $ — $ 14,923 Asset-backed securities 590 2 — 592 Corporate bonds and direct obligations of government agencies 97,704 1,513 31 99,186 U.S. Treasury obligations 2,334 21 — 2,355 Total $ 115,551 $ 1,536 $ 31 $ 117,056 December 29, 2018 Money market investments $ 11,714 $ — $ — $ 11,714 Asset-backed securities 624 — 4 620 Corporate bonds and direct obligations of government agencies 101,021 33 1,213 99,841 Total $ 113,359 $ 33 $ 1,217 $ 112,175 |
Schedule of Unrealized Loss on Available-for-Sale Investments | For those available-for-sale Less than 12 months 12 months or longer Total Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss September 28, 2019 Corporate bonds and direct obligations of government agencies $ 3,817 $ 15 $ 6,953 $ 16 $ 10,770 $ 31 December 29, 2018 Asset-backed securities $ — $ — $ 620 $ 4 $ 620 $ 4 Corporate bonds and direct obligations of government agencies 45,960 354 42,803 859 88,763 1,213 Total $ 45,960 $ 354 $ 43,423 $ 863 $ 89,383 $ 1,217 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
Lease, Cost [Table Text Block] | The components of lease cost for finance leases and operating leases for the thirty nine weeks ended September 28, 2019 were (in thousands): Finance leases: Amortization of right-of-use $ 19,196 Interest on lease liability 2,767 Total finance lease cost 21,963 Operating leases: Lease cost 3,556 Variable lease cost — Sublease income (3,931 ) Total operating lease (income)/cost (375 ) Total lease cost $ 21,588 |
Schedule Of Supplemental Balance Sheet In formation Related To Leases [Table Text Block] | A summary of the lease classification on our consolidated balance sheet as of September 28, 2019 is as follows (in thousands): Assets: Operating lease right-of-use Other assets $ 2,783 Finance lease assets Operating property, less accumulated depreciation and amortization 142,376 Total lease assets $ 145,159 |
Finance And Operating Lease Maturity [Table Text Block] | Liabilities: The following table reconciles the undiscounted cash flows for the finance and operating leases to the finance and operating lease liabilities recorded on the balance sheet at September 28, 2019 (in thousands): Finance Leases Operating Leases 2019 Remainder $ 10,729 $ 276 2020 40,863 680 2021 26,453 615 2022 17,290 621 2023 10,262 550 Thereafter 925 299 Total future minimum lease payments 106,522 3,041 Less amount representing interest (2.1% to 4.4%) 5,757 258 Present value of minimum lease payments $ 100,765 $ 2,783 Current maturities of long-term debt 39,375 Long-term debt, excluding current maturities 61,390 Other current liabilities 680 Deferred income taxes and other noncurrent liabilities 2,103 |
Schedule Discount Rate And Lease Term Used In Calculating Lease Liabilities And Assets [Table Text Block] | The weighted average remaining lease term and the weighted average discount rate for finance and operating leases as of September 28, 2019 were: Finance Leases Operating Leases Weighted average remaining lease term (years) 3.1 4.3 Weighted average discount rate 3.3 % 4.0 % |
Change in Accounting Estimate_2
Change in Accounting Estimate for Self-Insured Claims (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
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 attributable to Landstar System, Inc. and subsidiary and earnings per share attributable to Landstar System, Inc. and subsidiary set forth in the consolidated statements of income for the thirty-nine-week and thirteen-week periods ended September 28, 2019 and September 29, 2018 (in thousands, except per share amounts): Thirty Nine Weeks Ended Thirteen Weeks Ended September 28, 2019 September 29, 2018 September 28, 2019 September 29, 2018 Operating income $ 9,497 $ 11,596 $ 6,597 $ 3,352 Net income attributable to Landstar System, Inc. and subsidiary 7,199 8,755 5,001 2,531 Earnings per share attributable to Landstar System, Inc. and subsidiary $ 0.18 $ 0.21 $ 0.13 $ 0.06 Diluted earnings per share attributable to Landstar System, Inc. and subsidiary $ 0.18 $ 0.21 $ 0.13 $ 0.06 |
Significant Accounting Polici_3
Significant Accounting Policies - Additional Information (Detail) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 1,011,658,000 | $ 1,202,081,000 | $ 3,089,698,000 | $ 3,432,793,000 |
BCO Independent Contractor | ||||
Disaggregation of Revenue [Line Items] | ||||
Consolidated revenue, percentage | 46.00% | 43.00% | 45.00% | 44.00% |
Truck Brokerage Carriers | ||||
Disaggregation of Revenue [Line Items] | ||||
Consolidated revenue, percentage | 46.00% | 50.00% | 47.00% | 49.00% |
Railroads | ||||
Disaggregation of Revenue [Line Items] | ||||
Consolidated revenue, percentage | 3.00% | 3.00% | 3.00% | 3.00% |
Air and Ocean Cargo Carriers | ||||
Disaggregation of Revenue [Line Items] | ||||
Consolidated revenue, percentage | 3.00% | 3.00% | 3.00% | 2.00% |
BCO Independent Contractor and Truck Brokerage Carriers | Van Equipment | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 575,042,000 | $ 717,047,000 | $ 1,799,421,000 | $ 2,086,523,000 |
BCO Independent Contractor and Truck Brokerage Carriers | Unsided/Platform Equipment | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 331,787,000 | 375,739,000 | 980,615,000 | 1,039,784,000 |
BCO Independent Contractor and Truck Brokerage Carriers | Less than Truckload | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 25,367,000 | $ 25,500,000 | $ 73,475,000 | $ 76,448,000 |
Share-Based Payment Arrangeme_3
Share-Based Payment Arrangements - Additional Information (Detail) | 9 Months Ended | |
Sep. 28, 2019USD ($)EquityPlanshares | Sep. 29, 2018USD ($) | |
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 | $ | $ 62,000 | $ 80,000 |
Excess tax benefit from stock-based awards | $ | $ 2,968,000 | 2,046,000 |
Restricted Stock Units (RSUs) | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Maximum percentage of target available for common share issuance | 150.00% | |
Stock awards granted, shares | 68,543 | |
Recognized share-based compensation expense | $ | $ 2,477,000 | 11,303,000 |
Unrecognized compensation cost, other than options | $ | $ 26,400,000 | |
Unrecognized compensation cost expected to be recognized over period, years | 3 years 3 months 18 days | |
Non Vested Restricted Stock and Deferred Stock Units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock awards granted, shares | 30,338 | |
Unrecognized compensation cost, other than options | $ | $ 4,310,000 | |
Unrecognized compensation cost expected to be recognized over period, years | 2 years 2 months 12 days | |
Terms of award | the Company’s common stock on the date of grant. Shares of non-vested restricted stock are generally 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 or fifth 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 | |
Employee Stock Option | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total intrinsic value of stock options exercised during periods | $ | $ 1,877,000 | $ 6,584,000 |
2011 Equity Incentive Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Common stock authorized for issuance | 6,000,000 | |
2013 Directors Stock Compensation Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Common stock authorized for issuance | 115,000 | |
Common stock reserved for issuance | 66,454 | |
2013 Directors Stock Compensation Plan | Deferred Stock Unit | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock vesting percentage | 100.00% | |
Other Stock Compensation Plans | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Common stock reserved for issuance | 3,972,592 | |
Market Condition | Restricted Stock Units (RSUs) | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock awards granted, shares | 9,725 |
Amounts Recognized in Financial
Amounts Recognized in Financial Statements with Respect to Plans (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Total cost of the Plans during the period | $ 1,102 | $ 4,901 | $ 4,470 | $ 13,003 |
Amount of related income tax benefit recognized during the period | (391) | (1,837) | (4,125) | (5,305) |
Net cost of the Plans during the period | $ 711 | $ 3,064 | $ 345 | $ 7,698 |
Schedule of Information on Rest
Schedule of Information on Restricted Stock Units (Detail) - Restricted Stock Units (RSUs) | 9 Months Ended |
Sep. 28, 2019$ / sharesshares | |
Number of Shares | |
Beginning Balance | shares | 292,345 |
Granted | shares | 68,543 |
Shares earned in excess of target | shares | 71,172 |
Vested shares, including shares earned in excess of target | shares | (226,981) |
Forfeited | shares | (6,481) |
Ending Balance | shares | 198,598 |
Weighted Average Grant Date Fair Value | |
Beginning Balance | $ / shares | $ 66.31 |
Granted | $ / shares | 89.37 |
Shares earned in excess of target | $ / shares | 54.78 |
Vested shares, including shares earned in excess of target | $ / shares | 53.27 |
Forfeited | $ / shares | 86.60 |
Ending Balance | $ / shares | $ 84.37 |
Summary of Information Regardin
Summary of Information Regarding Stock Options (Detail) $ / shares in Units, $ in Thousands | 9 Months Ended |
Sep. 28, 2019USD ($)$ / sharesshares | |
Number of Options | |
Beginning Balance, number of options | shares | 89,114 |
Exercised, number of options | shares | (32,300) |
Ending Balance, number of options | shares | 56,814 |
Weighted Average Exercise Price per Share | |
Beginning Balance, Weighted Average Exercise Price per Share | $ / shares | $ 50.44 |
Exercised, Weighted Average Exercise Price per Share | $ / shares | 49.30 |
Ending Balance, Weighted Average Exercise Price per Share | $ / shares | $ 51.08 |
Options Exercisable, Number of Options | |
Options exercisable at the ending, Number of Options | shares | 56,814 |
Options Exercisable, Weighted Average Exercise Price per Share | |
Options exercisable at the ending, Weighted Average Exercise Price per Share | $ / shares | $ 51.08 |
Weighted Average Remaining Contractual Term (years) | |
Options outstanding at September 28, 2019 | 2 years 6 months |
Options exercisable at September 28, 2019 | 2 years 6 months |
Aggregate Intrinsic Value | |
Options outstanding at September 28, 2019 | $ | $ 3,487 |
Options exercisable at September 28, 2019 | $ | $ 3,487 |
Schedule of Information on Non
Schedule of Information on Non - Vested Restricted Stock Units (Detail) - Non Vested Restricted Stock and Deferred Stock Units | 9 Months Ended |
Sep. 28, 2019$ / sharesshares | |
Number of Shares and Deferred Stock Units | |
Beginning Balance | shares | 55,987 |
Granted | shares | 30,338 |
Vested | shares | (21,517) |
Ending Balance | shares | 64,808 |
Weighted Average Grant Date Fair Value | |
Beginning Balance | $ / shares | $ 93.66 |
Granted | $ / shares | 102.76 |
Vested | $ / shares | 92.70 |
Ending Balance | $ / shares | $ 98.24 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 9 Months Ended | |
Sep. 28, 2019 | Sep. 29, 2018 | |
Income Taxes [Line Items] | ||
Corporate income tax rate | 21.00% | 21.00% |
Excess tax benefit from stock-based awards | $ 2,968,000 | $ 2,046,000 |
Estimated annual effective income tax rate | 24.20% | 24.50% |
Effective income tax rate | 22.80% | 23.10% |
Reconciliation of Average Numbe
Reconciliation of Average Number of Common Shares and Common Share Equivalents Outstanding (Detail) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Weighted Average Number of Shares Outstanding Reconciliation [Abstract] | ||||
Average number of common shares outstanding | 39,566,000 | 41,101,000 | 39,891,000 | 41,530,000 |
Incremental shares from assumed exercises of stock options | 36,000 | 46,000 | ||
Average number of common shares and common share equivalents outstanding | 39,566,000 | 41,137,000 | 39,891,000 | 41,576,000 |
Earnings Per Share - Additional
Earnings Per Share - Additional Information (Detail) - shares | 9 Months Ended | |
Sep. 28, 2019 | Sep. 29, 2018 | |
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 Informat_2
Additional Cash Flow Information - Additional Information (Detail) - USD ($) | 9 Months Ended | |
Sep. 28, 2019 | Sep. 29, 2018 | |
Supplemental Cash Flow Information [Abstract] | ||
Income taxes paid | $ 54,877,000 | $ 56,083,000 |
Purchase of operating property by finance lease | 6,481,000 | 21,397,000 |
Interest paid | $ 3,302,000 | $ 2,737,000 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) - Customer | 9 Months Ended | |
Sep. 28, 2019 | Sep. 29, 2018 | |
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% |
Information Regarding Reportabl
Information Regarding Reportable Business Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | Dec. 29, 2018 | |
Segment Reporting Information [Line Items] | |||||
External revenue | $ 1,011,658 | $ 1,202,081 | $ 3,089,698 | $ 3,432,793 | |
Internal revenue | 9,611 | 7,496 | 36,978 | 30,413 | |
Investment income | 1,315 | 1,002 | 3,736 | 2,754 | |
Operating income | 70,638 | 87,068 | 232,385 | 245,647 | |
Expenditures on long-lived assets | 5,975 | 3,204 | 15,199 | 7,325 | |
Goodwill | 38,232 | 38,560 | 38,232 | 38,560 | $ 38,232 |
Transportation Logistics | |||||
Segment Reporting Information [Line Items] | |||||
External revenue | 997,552 | 1,188,737 | 3,047,329 | 3,394,298 | |
Operating income | 64,848 | 80,878 | 200,767 | 227,176 | |
Expenditures on long-lived assets | 5,975 | 3,204 | 15,199 | 7,325 | |
Goodwill | 38,232 | 38,560 | 38,232 | 38,560 | |
Insurance | |||||
Segment Reporting Information [Line Items] | |||||
External revenue | 14,106 | 13,344 | 42,369 | 38,495 | |
Internal revenue | 9,611 | 7,496 | 36,978 | 30,413 | |
Investment income | 1,315 | 1,002 | 3,736 | 2,754 | |
Operating income | $ 5,790 | $ 6,190 | $ 31,618 | $ 18,471 |
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 | 9 Months Ended | ||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | $ 686,824 | |||
Other comprehensive income (loss) | $ (776) | $ 715 | 2,154 | $ (1,407) |
Ending Balance | 755,975 | 755,975 | ||
Unrealized Holding (Losses) Gains on Available-for-Sale Securities | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | (930) | |||
Other comprehensive income (loss) | 2,112 | |||
Ending Balance | 1,182 | 1,182 | ||
Foreign Currency Translation | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | (4,945) | |||
Other comprehensive income (loss) | 42 | |||
Ending Balance | (4,903) | (4,903) | ||
Accumulated Other Comprehensive Income (Loss) | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | (5,875) | |||
Ending Balance | $ (3,721) | $ (3,721) |
Investments - Additional Inform
Investments - Additional Information (Detail) - USD ($) | 9 Months Ended | |
Sep. 28, 2019 | Dec. 29, 2018 | |
Debt Securities, Available-for-sale [Line Items] | ||
Investments maximum maturity period | 5 years | |
Unrealized gain (loss), net of unrealized gains/losses, on the investments in the bond portfolio | $ 1,505,000 | $ (1,184,000) |
Amortized Cost and Fair Value o
Amortized Cost and Fair Value of Available-for-Sale Investments (Detail) - USD ($) $ in Thousands | Sep. 28, 2019 | Dec. 29, 2018 |
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | $ 115,551 | $ 113,359 |
Gross Unrealized Gains | 1,536 | 33 |
Gross Unrealized Losses | 31 | 1,217 |
Fair Value | 117,056 | 112,175 |
Money market investments | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 14,923 | 11,714 |
Fair Value | 14,923 | 11,714 |
Asset-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 590 | 624 |
Gross Unrealized Gains | 2 | |
Gross Unrealized Losses | 4 | |
Fair Value | 592 | 620 |
Corporate bonds and direct obligations of government agencies | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 97,704 | 101,021 |
Gross Unrealized Gains | 1,513 | 33 |
Gross Unrealized Losses | 31 | 1,213 |
Fair Value | 99,186 | $ 99,841 |
U.S. Treasury obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 2,334 | |
Gross Unrealized Gains | 21 | |
Fair Value | $ 2,355 |
Schedule of Unrealized Loss on
Schedule of Unrealized Loss on Available-for-Sale Investments (Detail) - USD ($) $ in Thousands | Sep. 28, 2019 | Dec. 29, 2018 |
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale investments with unrealized losses, Less than 12 months, Fair Value | $ 45,960 | |
Available-for-sale investments with unrealized losses, Less than 12 months, Unrealized Loss | 354 | |
Available-for-sale investments with unrealized losses, 12 months or longer, Fair Value | 43,423 | |
Available-for-sale investments with unrealized losses, 12 months or longer, Unrealized Loss | 863 | |
Available-for-sale investments with unrealized losses, Fair Value, Total | 89,383 | |
Available-for-sale investments with unrealized losses, Unrealized Loss, Total | 1,217 | |
Asset-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale investments with unrealized losses, 12 months or longer, Fair Value | 620 | |
Available-for-sale investments with unrealized losses, 12 months or longer, Unrealized Loss | 4 | |
Available-for-sale investments with unrealized losses, Fair Value, Total | 620 | |
Available-for-sale investments with unrealized losses, Unrealized Loss, Total | 4 | |
Corporate bonds and direct obligations of government agencies | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale investments with unrealized losses, Less than 12 months, Fair Value | $ 3,817 | 45,960 |
Available-for-sale investments with unrealized losses, Less than 12 months, Unrealized Loss | 15 | 354 |
Available-for-sale investments with unrealized losses, 12 months or longer, Fair Value | 6,953 | 42,803 |
Available-for-sale investments with unrealized losses, 12 months or longer, Unrealized Loss | 16 | 859 |
Available-for-sale investments with unrealized losses, Fair Value, Total | 10,770 | 88,763 |
Available-for-sale investments with unrealized losses, Unrealized Loss, Total | $ 31 | $ 1,213 |
Leases - Additional Information
Leases - Additional Information (Detail) | Sep. 28, 2019USD ($) |
Leases Disclosure [Line Items] | |
Finance Lease Option to Purchase Option Value | $ 1 |
Lessee, Finance Lease, Term of Contract | 5 years |
Leases - Components of Lease Co
Leases - Components of Lease Cost for Finance Leases and Operating Leases (Detail) $ in Thousands | 9 Months Ended |
Sep. 28, 2019USD ($) | |
Finance leases: | |
Amortization of right-of-use assets | $ 19,196 |
Interest on lease liability | 2,767 |
Total finance lease cost | 21,963 |
Operating leases: | |
Lease cost | 3,556 |
Variable lease cost | |
Sublease income | (3,931) |
Total operating lease (income)/cost | (375) |
Total lease cost | $ 21,588 |
Leases - Classification on our
Leases - Classification on our Consolidated Balance Sheet (Detail) $ in Thousands | Sep. 28, 2019USD ($) |
Total lease assets | $ 145,159 |
Other Assets [Member] | |
Operating lease right-of-use assets | 2,783 |
Property Plant and Equipment Net [Member] | |
Finance lease assets | $ 142,376 |
Leases - Undiscounted Cash Flow
Leases - Undiscounted Cash Flows for the Finance and Operating Leases (Detail) - USD ($) $ in Thousands | Sep. 28, 2019 | Dec. 29, 2018 |
Operating Leased Assets [Line Items] | ||
2019 Remainder | $ 10,729 | |
2020 | 40,863 | |
2021 | 26,453 | |
2022 | 17,290 | |
2023 | 10,262 | |
Thereafter | 925 | |
Total future minimum lease payments | 106,522 | |
Less amount representing interest (2.1% to 4.4%) | 5,757 | |
Present value of minimum lease payments | 100,765 | |
Current maturities of long-term debt | 39,375 | $ 43,561 |
Long-term debt, excluding current maturities | 61,390 | $ 84,864 |
2019 Remainder | 276 | |
2020 | 680 | |
2021 | 615 | |
2022 | 621 | |
2023 | 550 | |
Thereafter | 299 | |
Total future minimum lease payments | 3,041 | |
Less amount representing interest (2.1% to 4.4%) | 258 | |
Present value of minimum lease payments | 2,783 | |
Other current liabilities [Member] | ||
Operating Leased Assets [Line Items] | ||
Operating lease, liability, current | 680 | |
Deferred income taxes and other noncurrent liabilities [Member] | ||
Operating Leased Assets [Line Items] | ||
Operating lease, liability, non-current | $ 2,103 |
Leases - Undiscounted Cash Fl_2
Leases - Undiscounted Cash Flows for the Finance and Operating Leases (Parenthetical) (Details) | Sep. 28, 2019 |
Maximum [Member] | |
Finance lease Interest rate percentage | 4.40% |
Minimum [Member] | |
Finance lease Interest rate percentage | 2.10% |
Leases - Weighted Average Remai
Leases - Weighted Average Remaining Lease Term and the Weighted Average Discount Rate for Finance and Operating leases (Detail) | Sep. 28, 2019 |
Weighted average remaining lease term (years) | 3 years 1 month 6 days |
Weighted average discount rate | 3.30% |
Weighted average remaining lease term (years) | 4 years 3 months 18 days |
Weighted average discount rate | 4.00% |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) | Sep. 28, 2019USD ($) |
Current Investments | Collateral Pledged [Member] | |
Commitments and Contingencies Disclosure [Line Items] | |
Investments providing collateral for letters of credit to guarantee insurance claims | $ 31,596,000 |
Non-Current Investments | |
Commitments and Contingencies Disclosure [Line Items] | |
Total non-current investments | 85,460,000 |
Non-Current Investments | Collateral Pledged [Member] | |
Commitments and Contingencies Disclosure [Line Items] | |
Investments providing collateral for letters of credit to guarantee insurance claims | 36,741,000 |
Revolving Credit Facility | |
Commitments and Contingencies Disclosure [Line Items] | |
Letters of credit outstanding | 34,368,000 |
Guarantee Payment of Insurance Claims | |
Commitments and Contingencies Disclosure [Line Items] | |
Letters of credit outstanding | $ 61,503,000 |
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 | 9 Months Ended | ||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Change in Accounting Estimate [Line Items] | ||||
Operating income | $ 70,638 | $ 87,068 | $ 232,385 | $ 245,647 |
Net income attributable to Landstar System, Inc. and subsidiary | $ 53,255 | $ 66,985 | $ 177,672 | $ 187,025 |
Earnings per share attributable to Landstar System, Inc. and subsidiary | $ 1.35 | $ 1.63 | $ 4.45 | $ 4.50 |
Diluted earnings per share attributable to Landstar System, Inc. and subsidiary | $ 1.35 | $ 1.63 | $ 4.45 | $ 4.50 |
Development of Prior Year Self Insured Claims Estimates | ||||
Change in Accounting Estimate [Line Items] | ||||
Operating income | $ 6,597 | $ 3,352 | $ 9,497 | $ 11,596 |
Net income attributable to Landstar System, Inc. and subsidiary | $ 5,001 | $ 2,531 | $ 7,199 | $ 8,755 |
Earnings per share attributable to Landstar System, Inc. and subsidiary | $ 0.13 | $ 0.06 | $ 0.18 | $ 0.21 |
Diluted earnings per share attributable to Landstar System, Inc. and subsidiary | $ 0.13 | $ 0.06 | $ 0.18 | $ 0.21 |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements - Additional Information (Detail) | Sep. 28, 2019USD ($) |
Accounting Standards Update 2016-02 [Member] | |
Assets and Liabilities, Lessee [Abstract] | |
Right-of-use assets | $ 2,783,000 |