Rush Enterprises (RUSHA) 24 Jul 202020 Q2 Earnings call transcript

Ladies and gentlemen, thank you for standing by, and welcome to the Rush Enterprises, Inc. second quarter earnings release conference call. [Operator Instructions] Please be advised that today's call is being recorded. [Operator Instructions] I'd now like to hand the call over to Mr. Rusty Rush, Chairman, CEO and President. ahead. go Please

welcome conference and second XXXX quarter Good to release call. earnings morning, our

call McRoberts, Vice On Steve are Counsel and today the Mike President, Vice Financial Vice and General Derrek Michael Hazelwood, Goldstone, Keller, Corporate Chief Officer; Weaver, Jay Executive Secretary. President; and President Controller; Chief Officer; Operating

a say will forward-looking Steve words regarding statements. Now few

in statements uncertainties, Reform Certain in materially the include, defined actual other statements statements Act on Form XXXX. differ our those actual forward-looking of differ as from Commission. materially results ended we statements and expressed XX-K cause for such but statements. the will by expressed or to XX, our limited considered implied in make factors include Because and year may results XXXX, not or these Securities that could and Securities Exchange our forward-looking discussed annual by are December such today Litigation filings risks Important report those are those the with from to, Private forward-looking implied

indicated we revenues and $X billion diluted $XX.X achieved income $X.XX our release, was As of net share. million quarterly or news in per

quarter. a began, fully of $X.XX an of cash X.X% our declared dealership COVID-XX across Rush operational the per share, over common also We Truck dividend Centers remained last Since pandemic increase have network.

of and We are safety complying customers our internal employees, own our orders, to state CDC policies the guidelines, local with top and our all and and keep health federal priority. communities,

a impact our expenses and To the during help manage decline long-term the the shutdown address in ensure severe industry challenge to and COVID-XX negative second strength, in the implemented with on and pandemic had sector, reduce this and we expected, immediate quarter. economic resulting financial the results quarter. combined steps shutdown, As our financial energy continued significant

revenues and continuously further and are we believe optimistic industry. our are see declines needs meet we will the any not its economy effect the of right-sized our to COVID-XX on are in monitoring and market. We And cautiously we the

In shop million aftermarket, second annual compared operations. now body to the our were service $XXX our XXXX. of and parts, Turning quarter to or down the XX.X% revenues

ratio absorption and what industry the all with in the virtually experienced XXX.X%. declines of result segments Our consistent this was overall market was quarter. This

us energy initiatives, the hardest in global ordering near sector pricing improve this substantially and expect and made to sales to tough and remains rig and system, wars we online However, our counts, term. due capture hit including parts we've enabled our web-based to The it strategic environment. the in in investments reduced don't communication

great COVID-XX recovery However, results in uncertainty will and we there We is still the anticipate in pandemic believe gradual. be the impact negatively our any to the quarter. continue market aftermarket third will that

from down XX.X% the truck X Regarding quarter X,XXX Class XXXX. new We trucks, to sold second of sales.

accounted Our total for X the truck X.X% of U.S. sales Class market.

impacted upcoming quoting Our the we COVID-XX Research ACT due estimate. in X hesitant the to experienced to results in industry-wide of sales. COVID-XX Class somewhat of a which still significantly Class were from pandemic up XXXX, pandemic quarter, On the remain them Several adjusted recently in manufacturers also note, positive expected, and due to seeing further elections. the the X Class units ACT's XXX,XXX its production retail in X sales down We're part our forecast is increased uncertainty customers but both U.S. previous significantly, our activity, sales. as an represent early closures without which truck we shutdown and truck

start businesses values begin decline saw We truck for market new sales on in COVID-XX truck a May, and entering units, used of support. down and pandemic and XX% results were in and to by used decreased we X,XXX June. truck rates, experienced is our primarily sales stabilize sign. are of X-X Our take activity businesses decline Further, we the to year-over-year spot market. aggressively those pandemic's healthy in significant advantage year-over-year. in and prices the truck trucks, throughout We used to X.X% anticipation the used purchasing and accounted of the but truck XX.X% medium-duty, Class due markets encouraging U.S. which an inventory sales in In April sales. used reduced overall were levels easily our an These through the rise truck sales new impact

orders much be. of ACT of truck small Our business economy had owners, forecasting Research many and X-X not said, uncertain whom delaying the Class we are as is as about That are cancellations customers, XXXX. are U.S. thing new accordingly. to for purchases our -- to employees. to retail sales compared the to returning maintained commitment returning XXXX, to as our doing our We decrease a to in well expected shareholders right XX.X% we value our maintain as be commitment XXX,XXX

temporarily dividend. and in quarterly first suspended our We quarter repurchase share was that have the increased instituted the program

the technicians an We on our employees that earlier as minimum month, build long-lasting to raised hour management And earlier we with year company our to implemented encourage to also us. wage this careers lifted was per this service wage measure. freeze expense $XX

supporting dedication incredibly and our remain their helping and time. them to and With unprecedented company thankful economy questions. protecting our that, this them. the take those around and recover to am to essential I for take challenges While our pride ahead, safety your in of customers I'll being from health employees I an our business,

Cook Instructions] Jamie [Operator of comes from first Crédit Suisse. Our question

service was the they sounds like talked guess, it questions. of thought about quarter. improved June, into that was so it worst and quarter, like about Nice a I or some of OEs order One, April sales, the things couple and trends July. have or even when reported far

able should truck well to were service you ended second wondering how Just take the in April. cost your seeing question, sort sort there is impressive your sort to quarter. How going G&A COVID, we I to as sales then, stronger go the out think And out guess, through what then help forward? from base? And the costs part, you're take service whether relative of of of as So reduce as opportunity the -- structurally about EPS? was an much to part my we wondering

Well, looking perspective, far forward a start Jamie. sales there. as questions, Good as let's from truck

no the in As question has right? increased, but comments my I we're get to seeing better. activity come mentioned fruition, earlier, quoting to hope continues that We of continuing are to some quoting

than seen come but right freight talk where we've they now, type order has for as from was net stay want spot getting -- of that month way, well, to we business expect it. about, [indiscernible] the I the saw, control. years. a the to a intake stuff out as you is our the of I'm that lot as are definitely some on obviously. say bullish we don't of large of is anticipated, talking they've about back not my good customers, reports what are in anyway, probably levels perspective, was wave reports it super and And June given getting business all We're From been As a back as customers in increased, anyway, more we right? have beforehand. nice and unless of reported I rates that still the to -- It they've couple second

increases know sold. all it's usually the that for about for we down over-the-road trucks rate because well the XX% road bodes base of So our customer

at those some was From forward, on interesting. looking indicators, That feel that. and parts we opinion look there it legs service as my there's to So perspective, got would right? be out you on a it

call in more release, mentioned we bottom. took in the hit we little out, bottling As we service. I [indiscernible] a did would on what seize -- were I while we And the thought

of the June. was service if a the even as worst, But pretty in move at we did less it ago. what oil -- that May was the good you want perspective, than now, service. parts in weighted. April heavily X, X% And that increase being the it's more in Now, the is used the parts told I it's to I a and It service percentage than quarter, X% than about business, even less parts hits be. the less we look And -- Well with I took not has think were okay? I for it through and first what we X did do gas it's some somewhat increase The to sure, we quarter. way we from X%, though you to lot years of same. mean, I our side, tell

going it's a hit we believe So back. the little to do service took come quarter, in but tougher

backlogs in our increased. tickets are seeing shop up, we write We and

dramatic -- a to a it not I'm of I increases. take pick month. points up So couple looking don't

obviously, back, I we at but bottomed. I just a want daily tickets. but the creep been less. shaped, back starting a which seen have some values the they're amount right believe, gradual, look to start of want I while will not on I at But call, values process, coming writing I backlogs, all look I And a slowly, think dollar indicators, the said, absolute in work V we have It's to in up problem continue. to the we're I tickets just little, we up that but The picking want The We see, As that's it the I going dollar haven't too. the good out we tickets of there, any will a on is what going took keep fine. basis. to for we were it be as think I to direction.

something or come on, also. the not business gradually and day-to-day, do for now. sure, parts bottomed we've So the hour-to-hour And week-to-week, has but I gradually on got that back eye our quarter-to-quarter, coming was we it's side But month-to-month of that will feel house. back just right

first. the this just whether they over that, it in And did and or was of got affected company, I've you, job I every team, produce complementing did, organization the each an you're one And we stressful proud people -- job Now they to the for was we stresses had The you're -- think in expenses. just can't out a all workforce, in the channels and can't and coming do essential of say When under the business, you're and with on there quarantine got conditions. dealing without the affected to with people, with on. be I one that top. going dealing expenses. our results of goes with of it top managing of the lot as go then don't pandemic, the different that the you've thing, can't the reductions COVID. organization. of employees having and an dealing lot an multitude being stresses, I more weren't by outstanding I've a but -- very for at got

lately. Now the big and question, be question, which I worked would it the lot knew a we've on

loan Well, bottom. to expense we is base. you, create, going do always me with this trucks. this and I you money, pick to down not cost to $X.XX that work told do me I'm I with gone on to don't dollar probably personnel. gross and do It take I with takes tell about things like working what, that. you've I have now [indiscernible] personnel. parts we're historically them. objects, Okay, takes parts do I of it know working going don't it. but Well, I'm every working trucks, up, I the I deliver, I'm profit

because we've environment, last profit. not and goal, lessons this XX% because XX%, our goal goal. a we've -- to We've and made back get but from set got gross the So XX% over of you the talk to in we've what when goal adding a maybe we've current to set a investments learning learned a we're years, few about of

gross -- you when expenses So profit. to

not see, better, and So when to somewhere in or do that our back. which keep range we've -- goal the I've just we is do come been markets to When X/X been XX%, may can't times. the the not back, the exactly. come tell you line bigger time I steeper enough It's going the this I too. the valley, rise back. But -- sometimes, to have

that. So always remember

So to it's come going back.

as is our I to much the not is as That's guess, proof Well, got spend our have goal. did little to to we we'll we're we're organization, of ever to money, eating. yes, the right? past. going in but the pudding spend in to we going as prove see if a it, So goal -- an the

expense $XX gross try all how top team, side, XXX profit into to the And year. but in said, I I be at set -- on looks think. look of using achieve lot does -- a back last new forced I June, month, we're of to done that exacts, last it's to when the can't And holding million And obviously, of allowed I goal. we've a then more market to the has us the try and the combined mean, I the high-level challenge. made, a taught investments X/X the think it that with mean, so but about with out to we've to margin, days job believe a of get bottom, internal okay? whole going great -- compared being challenge least technology you. that look to last from do you they've at We it, I ways able here we're talking forward things, XX, of it's I when managed and of you I to managing a And back. some maintain give investments the a the forward taking use gave I profit I we'll we better goal do think And view to come to that us -- to to some July, and rather go as of gross

right. but it's complement one question, you unfair, probably and team. All your to a Rusty, last

environment. a COVID look, we're You in

don't were Your down, I know, sales XX%.

think if to. aftermarket why the that about $X.XX for new $X.XX can the take you cost people environment, by the want shouldn't quarter put for of, earnings? earnings why the it $X.XX, if type $X.XX with answer Or parts the multiply quarter trough don't took out, the sort focus the isn't Steve we up trough this of You why with second business. in Rush? Like you of or on isn't X,

going not Jamie. You I'm know to,

Okay. I'm start... not to going

I have to try.

-- get started. June a have XXXX, public here that X, June X. guy to X, you to June and June new went we Well, [indiscernible] We get I'm to in X, if going

in that out lot there. sure. a There's elections at there's with I'm people's just everybody done. going not not we're still not But many -- of i.e., out COVID, ways, to lens and in there, organization, sure, a was different of of for lot is else where So going on, everything going say, job to just I'm lives just I'm go our -- just okay, and this not it's for uncertainty proud there. is the one

So going I'm not that. out with there right all get now to

right, All tried. Congratulations. I

Our next question comes from Justin Long of Stephens.

industry and in you the you get trend wanted competitive parts any in service compares in the if the color also, quarter, would to and give around that in to that how I then post and COVID. about and how revenue think could XQ. So potentially ask parts could the love service And on to your thoughts landscape change

pretty -- with think a and parts stay points I'm out. we little did parts I flattened -- it. bit test, than of I the just we -- this just I and do things better I've said. a I you we They for in is if there I parts that's points I'm worse. market when other weren't. for Parts there, than I side declines it's on up, lot bit. now. but people up sure. you certain for we stores, And were then I a the couple now, had did not Nobody that it's the as because looking sure. break are got a that. again, did I'm effects. technician like truck didn't is, -- it that. overall, tickets you a didn't count on written go what But to values were But They and creeping April Service, to on know But a And had this, we do it get any in expect, and you we fine. people I extra. they market didn't or my creep other a the up this miss May, from -- looking people look service the at. fixed what at up, parts like spent certainly, June spending was tickets did I think has were a bottomed, going the and creep Rush think intervals to. We've while. was stuff, I not flat couple and We still had had feeling we said too, certain problem, oil struggling just most. And to to mean, bottomed any and as things to some a as gather a and and mentioned ago, that. for out, extending Jamie couple right? stuff I'm But market -- and segment-driven minute market we and confident me just at Sure. do segments of the best better in trust would had service, segments had seen, it information you of and while I don't up maybe that Certain did mine, back I'm

and else online, of You're in closing department well that not lot A lot doing that down all everything ways. everything is a of our the environment. stores customers going changed customers' and were

out I think itself that is straightening somewhat.

I I'd like of seeing. future to I'd up, picking that. the that's go of like to front see But what it this et much be all because it's was stuff we're think pushed we're to see that bottomed with and going And month. all up have see. there's poised to shakes I we're a out I to don't I can't couple said. start as interesting we're in done think do a cetera, I how when I et believe points cetera. but online, me,

what large to who spend. the I are guys companies, help out confidence put there, the going the think, see you freight levels, given

want got that's the more [DOT]. you've -- more guy. but got talk companies. I I move PPP of was now got think There who you -- mean, to medium and of that's truck XX% I Well, problem, They small and ramble and can XX% money. to XXX,XXX people

with I don't But -- help. I need it can to done. money what worried Now got that hope can finance couple break get But some that tell From be bubble that the those large met I where I there. them, you being, their of was can't was extensions business There got data on went, not companies, I a people of tell, you in when up. what at one, I from point they I -- down, seemed side back now finance a them for real, but most talking out people me. the to a couple payments making about the all they're look picking from to

And okay, So good where that that's portfolio. had lease are back I of really thing. inside up, just there. want to lease making that to a we the our that we some seen gradually their see at picking portfolio that back. I'm know least you our get going you anecdotes, They seen and shape, giving of and -- no come inside back payments. inside bottom feel probably we've utilization for but more you pass our you're rental you We've why people. than extend V

I Now I second I question? was your get. didn't rambled what on, know

companies financial see I'm the distress some just Do or and side wondering The opportunity consolidation other competitive of of on landscape. you this? shakeout little a yes. bit in these maybe a of -- other

to -- the you have could spell P-P-P. you letter If didn't

quarter dealers. wasn't I okay? think you think I'm I they able to of many that. that. Well, do more else well, than we I do Where were But at proud [indiscernible] looking because I right can't we now, anybody I -- that how some will tell be would

customers, to But read. So of It put Unfortunately, own. with along all truck the personally. PPP it speaks think -- took out we with right? that had put I the do our it organization, to money to on I'll quality there

our They whether for do just But that and was business. so. meant of and of size, for could. managed right weak. So it money, us it our so dealers Nothing a lot to given wasn't But there's thing rightfully we a us. the wasn't wrong. lot It took

little I that the but was push expect to lot looking they opportunities a think people further for, So get down. a man. money, come, because didn't may got I do I be I of

up and to following some said the about ask second what sense. service we And the you in parts quarter, Makes of changes wanted about parts then mix I saw on and Do saw that? we XQ? you Or the think better service and be Has thinking service they gross margins how improved? versus get should about what can going in piece we forward.

back, starts come when that the Yes. at rate. back When coming service higher mix a affect does will it

no mean to XX.X% a margins It there's I QX. up could was question up. were So pick XX.X%. that see we up from from

they we'd year, QX, Now were -- had like [indiscernible] quarter nothing quarter X years. QX. best a Last in was

mean, over I take not said, service that as in now, I which we've somewhere we're but right come I'm to range, will right had think the affected hit, than sometime faster, So the But anticipate going XX, don't I anomaly. bottomed in going does believe in or service for up as to something. it we back our margins, to past it I excited I'm that say somewhere next as but right we're up I'm more and O&G, we're see XX -- high drive that. a but can be -- going to few -- normal. to it go months, that will, I'm I can getting I and which in now don't to to it closer XXs somewhere we commit. else, where stuff coming little, put around. going when maybe the do But But why mid about we -- proud That's start anything starts want where up I'm when to Justin, rising results. and get you not can I

a bump service the there growth picking XXX or XX, can that bps that. something you bump larger start becomes out the in if the up and bps. X you mix. don't margin, some don't yes, have but piece here of for I or as could there it like look But in XX and So does, points see then

targets. know thoughts achieved? Obviously, Okay. helps. financial Any while just world's on the lot. they timing around question, I a could two, and those put longer-term out those last real the the updated one, of back. guys when And you there quick a be targets; That changed

timing That's do little raise the bottom a you to Targets as and you talking I targets. of how anything, trying can going. percentage and got right? down what you're back to on it. Well, -- the you're exciting extended -- hold going in going you guess I higher when get to changed. you said going haven't start dial you bit, down, and If an you to about When about when get we're there's it at thing, this, back strip down then really grow like a look

it. that. pretty are I year, I happen. world. I XX. And parts COVID, environment end still wanting that on, to given had to going into show overall this the a targets and We but to to manage I we look of showing a what's to like haven't was I in how going up off goal see in prove year out until excited parts we've of sales -- to really out market. was despite good think of a good the was we're to to darn have excited year, didn't want truck of and the have at had going XX% market where stated gone to X% get the We've So We down. XX, grown know still there. I COVID XX the from X% we're still there. We

not the next this So uncertainty some take we're in got the uncertainty of now, able a give of me some to, to shoot out of allow Justin. Don't give you cost constantly this can't is something haven't quarter strategically, matter all we'll get hip the get same of here front time on line. gray look, you window, time investments come uncertainty, more. I a yes, I'm goal to to we of or think just -- Let's -- X hopefully, stopping out -- later and we've think that on. this we're out the from we right don't this strategic out. there. take see I me out okay? little of with But though, How year want minute, maybe for and Because out this first year, line, of that, bit any stopped about be you on don't going of I'd

still have run continue believe and done -- strategic we're those the that on to We will us last stuff few do -- in working costs will what allow to we we've years. we'll

Okay. congrats appreciate Great. the and I on the quarter. time

Our Joel Tiss BMO. next from question comes of

you you're in we've sounds Is of potential little bit up medium-sized come It market. fair? about guys smaller a the were like bunch of bankruptcies to a softening conversations and what seen of kind saying low kind and mileage from earlier the more for before, see that than trucks used in back

-- this shutdown and a freight second to going did ship they're weather slowed off, down that or bit. was not okay? spot rates place all being X throw like come and bets bets I'm with a weeks all out You off. just storm. really I'm there the the perspective the but little what and market are given and driven over a maybe -- spot are the -- look, weeks. back last are you're still are strong, taken [indiscernible] June. here was this May they've pretty or you It's early from I stuff X But last miles the mean, acceptance what that still And seeing all Well, did hearing, in and X those in but so, there concerned -- out I It all market -- okay? just

have would be freight I than So right more appears now, it just to anticipated.

may that. from payments first say guys some got what Now first that said, different But talking are the to segmented I let's talking extensions making making the They're issues. are companies. their to payments, people like you some -- have might gathered, that finance that that wrong X have big

everybody, majority are. -- vast, not So the majority but vast

that because high, a other see up answer up. I X, But I through thing at maybe said little weeks way were pretty that all will it far great there. out for, to through have it that the hearing freight weeks and seems freight it, based ago, rocket businesses -- back, get but down But out I'm not a market, make was I and people going I don't rates on few I I PPP the to what that last they matter you mean the watch winter decent. there. Maybe didn't weeks which out was does as The was money I the looking still X based -- I and side, for wouldn't be Now, may and it upon most there's get I'm still to it X them bit picked ago, can't still but little were people now, that's what But see from uncertainty, the have -- there, -- There's and that there. the insurance wasn't the gone? there. earlier. only it. most extensions is right can then what's weather out weather people out they're coming the so come if the think the long different

comment, into the over up they Joel. anticipate my rates So have small I like guy, spot be would may only jumping hold didn't recently. and that midsized

you the doing to like we think whole are how been you X us, things could all then cycle whatever, and you are Do and like the kind we longer good obviously squeeze X -- do -- of into feel of have years bad changes? year And years you feel starting to starting usually the versus than of that? like X downturn and you've cyclical shape this

Yes.

back The we valleys, down, it the that Remember, going into looking mind. no deeper is the go to came come range. year, out down. the around we're question I to you be supposed in Joel. somewhere in think that were change, much XXX, where now my U.S. we could always of XXX going Well, slow very crawl quicker be this retail XXX. to There's

forward. could in but long right-sized those decency somewhere had -- out hit. -- lots There's as you if obviously, yes, on. 'XX, I've where bigger good the will a just this. tighter. look, more as to And trucks we've XX and this and just yes, yes, will we a I'm going an be as 'XX to down a you be paces year did will But to into there, like that less, you squeeze not or into taken be trucks. we've it So we question any -- no oversupply there's then, folks. still back months, few be get long you we always continues said sure 'XX, XX ask, interesting next to went squeeze market because that's It someone in got squeeze watch of It going as it now definitely there's go may at thing But in can big indicator we used it it of 'XX.

$X.XX walk from has And Why away from just unbelievable excellence more it are one company? a the mean, your earnings or this why you of company your of and ever to be something like happen. resiliency about trough would the seen you've no going -- I what's like standpoint. that. saying, great think bigger to But sort seeing reacted you reluctant knows picture how would to time, I

going As say -- leaves, put all write get year, to to I'll something and I'll about wanting I'm that, we out out give we right? of can the okay? the let there. you all Well, read tea this let you

one XX or out start And and something, us Maybe of not I I'm ECS So it. there, take I'll planning I plus from do Joel. day, the not today. I'm I'm to on not out know. doing and now, finish we'll you it it senile don't little planning But as and this be we for can call told, wanting put can let Jamie, a after year there. years this trough, to

You can read the the tea can leaves, results see and [indiscernible]. you

All right. time. margaritas more couple you a I'll get next

Our [Operator Andrew question Bank comes Obin America. Instructions] of next from of

how appreciate deliver hard work the to entire results. Rush I these

So very impressive.

relay of think the they're -- I it. not I'll if it's everybody not Everybody else, listening. you. Thank But course, message, me. appreciate I but

regions, questions X by Just is material give difference a are seeing have these question, Florida, Midwest, the industry? -- lot a trends there give us call a of just you're geographies: of could key a key you but just California, between, And let's what more right? been answered, a you us rundown could Texas, rundown by

Right, okay. very California held really Surprisingly, held in in has has California nicely. nicely, okay?

at ports to most that everything I down on other the proud these to while remember that's cetera, years tell more parts not very X%, held our in so standards shut up the right for rely went posted Well, held showing on, and they're their nicely. we quarter, by when et us, what we our XX% country. O&G were have parts usual to cetera, the of and and could when would on, was They're look they Oklahoma O&G. ago. there close time, have the the resiliency early biggest we and not services the earnings very no still have under are I same it the in has holding et -- biggest still they've we're a about derive Arizona relative because said we region, folks And Given powerful few on posting Probably man, and I results you. now O&G-driven. from. where Texas, which At [indiscernible] -- at hit, is

got Dallas, still stores posting more or state So gas of oil -- that's XX got of -- without even stores region we've I diverse, it's Texas, results, continue those it's got But mean -- XX but a good not total We of -- in a work an know to this Texas, heavily the We evolve San Texas. with in So kind yes, that. we've of about lot be okay? to heck and economy. we're continuing with got -- thing Houston the throughout, on Texas, okay? we're of to heck one Antonio, we're levels,

-- it's Illinois little over in tell that states. and do would typically look we those have it at better. Look the doing So -- learned you and troughed they started have better. weather a Ohio, how Midwest, If to I I

that April, -- results -- of I've some okay? we've now. but even, -- area. seen in back, good We troughed there results with up seeing stuff of coming coming the I'm that good some we're place got gradually we've up they're I'm internally -- Now seeing in people let's our there And say, like seeing everything out else.

in go So I'm that excited the about future. where can

it's think have client coming will out going I that. better in we think than of -- prior to years maintain the I it maintain stability and on better be

kind You North you area. seem is Carolina, over I move a which but think tougher maintaining those areas all. getting Virgina, in and that when same -- Mouse, But of the still Georgia be around to strength, for over still they're is when other through we okay, they're tough, they're Atlanta job. -- Mickey time no question. -- they Southeast, Georgia, was -- Florida, And off tough in We're having June, it check around started effect. handling there, X, a done of time, Orlando. that month pretty all around the some a X have at you well. like at But I still results locations and their down goes their good They're shut yet, and looking the -- did

of they're state, the the tourism just they're So they're Florida all I would that would how throughout not such maintaining stuff just a than maintaining have big -- given to I thought, I in and better is want state. throughout -- better deal type say don't Carolina, than

good feel about I So that.

do that I some tag all company, we've when business. I you. the the talking been now. haven't diversify can get happen pretty we as I'm -- said, of kind back, if I've you're that's results, and day one that's When results to does always we But tell showing deep that into we're oil So learned how right because those segments, that not just and gas -- -- we you ever hope you when on ever gives about can market

were where and are to wasn't can't services, of they and when been on that were be them, of that pretty of those a all, stuff, -- most shelf. -- maintain the see shippers the big report get X.X% back in now refrigerated the lost and guys posted. guys grocery your read more that. weren't people believe can get like the the everybody seems coming small your the where most next the paying Most I would the guys right, most I your But robust, things on So enough I stores, only year. were increases guys milk and have like you food even -- that they rate planning guys, projecting day, medium our restaurants most year, other next said, -- you boy, hammered pretty But delivered that but early, like or as now, Yes, market is results, though strong. by to shock, your stuff freight people big market they've

forward. contracts X%. double are Now it's to can guarantee -- for that And as as that, up things to get do okay, things I X.X% as carriers looking they move the

those just think signs, not don't signs. just can coming. that or from keep stalling perspective. And that. So gradually overall are calling anything We Bs Those we I good are like good right? I'm need an anything

march continual would any nice I influences. a think I possible see forward, to it solid without outside be and it's think

business you could in how, sort about your tax. talk And function going in lessons and talked down, allow you in forward, of ramp staffing Or that to you about fact terms service parts going less. -- perhaps also up that would sort parts of that historical how be that you've will your you Will Can of forward? think learned with and highlighted the department be press I it more the was of just line in headcount have the efficient you business? with you release, more in area service the was do of patterns?

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our say, all obviously, you Well, right? phone More systems it? whole it's online more the are and right? how interconnected you become do stuff stuff, do multichannel, So country. Technology, you throughout

okay, multitude You're to you picking things to leverage. here, there's allow of that -- a off continue

learn change. the of basically we're Well, a leveraging You you accelerate. to have the it's go that's investments truck And technology pickups, job like you and Well, customer. -- position and business. this you place, we all this you of of do middle couldn't to curbside on, and business, in everybody's your better can things pretty then during Doesn't I grow. pack When going mundane up the base lot to believe can this a -- like had -- off well, with do going sort using over of you only communicate the go, you've that. okay, got I just with it's

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of next Fund. Gabelli comes Shawn Our from Kim question

wanted you to I again great the on here. team quarter. congrats and and switch a Rusty, to gears

cell commercial vehicles. some fuel Obviously, that the wanted this a wanted attention some thoughts you getting. you line long-term of customers? demand? thoughts on I in customer Just sort of I technologies? of given rollout thoughts, your more been startups your industry on in discussions probably get seeing hydrogen any technology with for the the to get have but some is any of Are to these play, any commentary. just having And time updated Are

of early. viability, I not looking really to I'm we're fuels there's years hydro its I'm a having incurring long-term people's On disputing know So Okay. not okay? I do I dollar, as the before a they even that mean, okay? up, value that not rent first few in And discussions. becomes to lot how be conform they're bigger I'm real companies, going one not network. at to some relative more disputing got have and tell if to was it's thing I've thing become we that, I day service, to they? are comes relative told not there's I it continues life, real I as going anybody you mean, anything, and to know, a else when I use. folks than got it one And

not not leverage services -- on XX% well, go you in that They're I'm working I XX% -- product. it. more Well, of regardless to working to products ways now originally of just push electric, always and They're network distribution XX% maintenance on add looking stuff. reading to that, spend They're everybody to I'm know systems. less. said, So all working and and off

they how the And all will and be trucks and foreseen. that's still of in don't So start-ups are these I in And we don't commercial one thing In have, network. I business. commercial care that's business, sit, things to break. have think they distribution all service the the can't build,

I But -- will space, to hydrogen, it's I'm electric, Have for when comes this, talked try hydrogen, way be you in in fuel it alternative people be the how So it. I the I can too do we when might you. play to and that handing some we Yes, already will things about gas to to not the we me I'm there. out around early expert. We know comes promise space. frame some even but involved it? we I'm to not not for natural it play on in will and

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So bit Navistar, is stuff a early them. medium-duty will we be had we'll our rough little in say PACCAR OEMs. be by our It's you -- for it. driven it, remember for involved just me involved. Other how and to it adding in how they is than -- can coming. sure this, will

space. So will the [indiscernible], largest that be all in they distributor

in that them. will we space So be with

for further closing Rusty the remarks. like call over no Rush questions. Mr. to turn to . are I'd There back the

and I everyone, call Well, and today. on and I us gentlemen, you first the health thank most safety, to I can. importantly, ladies you and wish the off, And want for joining yours all

times. these So are very, very uncertain still

I the health that in because the and and time such do We tell do general I with and okay? around to thing, thing. a thing right right if our thing. just are the our our the you lot I just can anybody of promise employees There's horse can my important so things. off communities right your most And get a okay? talking and do customers spent safety folks, anything, the of Rush, and

the really of mean So doesn't this rest lot. a

anyway, best. Wish you you Bye-bye. the much. all thank very So

gentlemen, today's you call. for participating. Thank concludes conference this Ladies and

great You may day. now disconnect. Everyone, have a