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SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM 8-K

CURRENT REPORT PURSUANT
TO SECTION 13 OR 15(D) OF THE
SECURITIES AND EXCHANGE ACT OF 1934

Date of Report (Date of Earliest Event Reported) April 20, 2005

HUB GROUP, INC.
(Exact name of registrant as specified in its charter)

DELAWARE
(State or Other Jurisdiction of Incorporation)

0-27754	36-4007085
(Commission File Number)	(I.R.S. Employer Identification No.)

3050 Highland Parkway, Suite 100
Downers Grove, Illinois 60515
(Address, including zip code, of principal executive offices)
(630) 271-3600
(Registrant’s telephone number, including area code)

NOT APPLICABLE
(Former Name or Former Address, If Changed Since Last Report)

        Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant any of the following provisions:

     [ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

     [ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

     [ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

     [ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

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ITEM 2.02       RESULTS OF OPERATIONS AND FINANCIAL CONDITION

       On April 20, 2005 Hub Group, Inc. issued a press release announcing its first quarter 2005 operating results. The press release is furnished as Exhibit 99.1 to this Form 8-K.

ITEM 9.01        FINANCIAL STATEMENTS AND EXHIBITS

                            (a)        Not Applicable.

                            (b)        Not Applicable.

                            (c)        A list of exhibits filed herewith is contained on the Exhibit
                                         Index which immediately precedes such exhibits and is
                                         incorporated herein by reference.

SIGNATURES

        Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly authorized this report to be signed on its behalf by the undersigned thereunto duly authorized.

HUB GROUP, INC.

DATE: April 21, 2005	/s/ Thomas M. White
	By:  Thomas M. White
	Its:  Senior Vice President
	Chief Financial Officer and Treasurer
	(Principal Financial Officer)

EXHIBIT INDEX

Exhibit No.

99.1

Press release issued on April 20, 2005 announcing operating results for Hub Group, Inc. for the first quarter 2005.

Exhibit 99.1

Hub Group, Inc. Reports Record First Quarter 2005 Earnings

DOWNERS GROVE, IL, April 20, 2005, — Hub Group, Inc. (Nasdaq: HUBG) today reported record net income for the quarter ended March 31, 2005 of $5.3 million. This represents a 97% increase in first quarter net income versus the first quarter of 2004. Hub Group’s diluted earnings per share of $0.51 for the quarter ended March 31, 2005 represents an increase of 55% compared to last year’s first quarter diluted earnings per share of $0.33 on 28% higher average diluted shares outstanding in the 2005 period. Costs and expenses decreased 3.9% in the first quarter of 2005 to $34.1 million compared to $35.5 million in the first quarter of 2004, reflecting the benefits from the Company’s improved operating efficiencies and cost reduction efforts. Interest expense decreased from $1.7 million in first quarter 2004 to $0.2 million in 2005 due to the extinguishment of debt in the third quarter of 2004.

Hub’s revenue grew by 3.5% to $339.9 million as compared to $328.3 million in the first quarter of 2004. First quarter intermodal revenue decreased 1.1% to $233.7 million. Truckload brokerage revenue increased 18.0% to $60.1 million this quarter. First quarter logistics revenue increased 4.9% to $35.6 million. Hub Group Distribution Services revenue increased 47.1% to $10.5 million in the first quarter of 2005.

Commenting on the results, David P. Yeager, Vice-Chairman and Chief Executive Officer of Hub Group stated, “Our operating efficiencies resulted in increased margin and reduced costs producing record first quarter results. While we are pleased with these results, we remain committed to focusing on profitable revenue growth.”

STOCK SPLIT

As previously announced, in February 2005, the Board of Directors approved a 2 for 1 stock split. The Board has set May 4, 2005 as the record date for this stock split and May 11, 2005 as the payment date, contingent on receiving shareholder approval, at its annual meeting on May 4, 2005, to increase the number of authorized shares of Class A common stock. If approved by Hub’s shareholders, the stock split will be in the form of a stock dividend, which will be tax-free to shareholders.

FULL YEAR 2005

Given the current operating environment, we are comfortable that the earnings for 2005 will be within the analysts’ range of $2.58 to $2.67 per diluted share.

Certain prior year amounts have been reclassified to conform to the current year presentation.

CONFERENCE CALL

Hub will hold a conference call at 11:00 a.m. Eastern Time (10:00 a.m. Central Time) on Thursday, April 21, 2005 to discuss its first quarter results.

Hosting the conference call will be David P. Yeager, Vice-Chairman and CEO and Thomas M. White, Senior Vice-President, Chief Financial Officer and Treasurer.

This call is being webcast by Thomson/CCBN and can be accessed through the Investor Relations link at Hub Group’s Web site at http://www.hubgroup.com or individual investors can access the audio webcast at http://www.fulldisclosure.com and institutional investors can access the webcast at http://www.streetevents.com . The webcast is listen-only. Those interested in participating in the question and answer session should follow the telephone dial-in instructions below.

To participate in the conference call by telephone, please call ten minutes early by dialing (800) 591-6942. The conference call participant code is 63789436. The call will be limited to 60 minutes, including questions and answers.

An audio replay will be available through the Investor Relations link on the Company’s Web site at http://www.hubgroup.com . This replay will be available for 30 days.

ABOUT HUB GROUP: Hub Group, Inc. is a leading non-asset based freight transportation management company providing comprehensive intermodal, truckload brokerage and logistics and distribution services. The Company operates through a network of over 30 offices throughout the United States, Canada and Mexico.

CERTAIN FORWARD-LOOKING STATEMENTS: Statements in this press release that are not historical, including statements about Hub Group’s or management’s earnings guidance, intentions, beliefs, expectations, representations, projections, plans or predictions of the future, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are inherently uncertain and subject to risks. Such statements should be viewed with caution. Actual results or experience could differ materially from the forward-looking statements as a result of many factors. Factors that could cause actual results to differ materially include the factors listed from time to time in Hub Group’s SEC reports including, but not limited to, the annual report on Form 10-K for the year ended December 31, 2004. Hub Group assumes no liability to update any such forward-looking statements.

SOURCE: HUB GROUP, INC.

CONTACT: Amy Lisek of Hub Group, Inc., +1-630-795-2214

HUB GROUP, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share amounts)

		Three Months Ended March 31,
		2005		2004
Revenue		$339,858		$328,302
Transportation costs		296,613		286,498
Gross margin		43,245		41,804
Costs and expenses:
Salaries and benefits		21,875		22,342
General and administrative		9,752		10,281
Depreciation and amortization of property and equipment		2,483		2,884
Total costs and expenses		34,110		35,507
Operating income		9,135		6,297
Other income (expense):
Interest expense		(207	)	(1,713	)
Interest income		200		53
Other, net		14		41
Total other income (expense)		7		(1,619	)
Income before provision for income taxes		9,142		4,678
Provision for income taxes		3,794		1,965
Net income		$     5,348		$  2,713
Basic earnings per common share		$       0.53		$    0.35
Diluted earnings per common share		$       0.51		$    0.33
Basic weighted average number of shares outstanding		10,141		7,746
Diluted weighted average number of shares outstanding		10,579		8,294

 

HUB GROUP, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except share and per share amounts)

		March 31, 2005		December 31, 2004
ASSETS		(Unaudited)
CURRENT ASSETS:
Cash and cash equivalents		$    15,570		$    16,806
Restricted investments		661		—
Accounts receivable
Trade, net		139,113		141,079
Other		7,527		7,996
Deferred taxes		4,412		4,667
Prepaid expenses and other current assets		3,715		4,746
TOTAL CURRENT ASSETS		170,998		175,294
PROPERTY AND EQUIPMENT, net		17,854		19,487
GOODWILL, net		215,175		215,175
OTHER ASSETS		371		889
TOTAL ASSETS		$ 404,398		$ 410,845
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable
Trade		$ 115,250		$ 115,819
Other		2,925		1,660
Accrued expenses
Payroll		10,262		19,542
Other		12,031		15,100
TOTAL CURRENT LIABILITIES		140,468		152,121
DEFERRED TAXES		31,545		31,788
STOCKHOLDERS' EQUITY:
Preferred stock, $.01 par value, 2,000,000 shares authorized; no shares
issued or outstanding in 2005 and 2004		—		—
Common stock
Class A: $.01 par value; 12,337,700 shares authorized; 9,809,476 shares
issued (including treasury stock in 2005) and 9,727,917 outstanding
in 2005; 9,635,657 issued and outstanding in 2004		98		96
Class B: $.01 par value; 662,300 shares authorized; 662,296 shares
issued and outstanding in 2005 and 2004		7		7
Additional paid-in capital		187,068		182,365
Purchase price in excess of predecessor basis, net of tax benefit of $10,306		(15,458	)	(15,458	)
Retained earnings		69,959		64,611
Unearned compensation		(4,137	)	(4,685	)
Treasury stock, at cost (81,559 shares in 2005)		(5,152	)	—
TOTAL STOCKHOLDERS' EQUITY		232,385		226,936
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY		$ 404,398		$ 410,845

 

HUB GROUP, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)

		Three Months Ended March 31,
		2005		2004
Cash flows from operating activities:
Net income		$   5,348		$   2,713
Adjustments to reconcile net income to net cash provided
by operating activities:
Depreciation and amortization of property and equipment		2,593		2,911
Deferred taxes		3,008		1,961
Compensation expense related to restricted stock		520		404
Gain on sale of assets		(12	)	(18	)
Other assets		518		188
Changes in working capital:
Restricted investments		(661	)	—
Accounts receivable, net		2,435		3,466
Prepaid expenses and other current assets		1,031		462
Accounts payable		696		(1,867	)
Accrued expenses		(12,349	)	(4,072	)
Net cash provided by operating activities		3,127		6,148
Cash flows from investing activities:
Purchases of property and equipment, net		(948	)	(460	)
Net cash used in investing activities		(948	)	(460	)
Cash flows from financing activity:
Proceeds from stock options exercised		2,184		2,090
Purchase of treasury stock		(5,599	)	(2,767	)
Net payments on revolver		—		(3,000	)
Payments on long-term debt		—		(2,011	)
Net cash used in financing activities		(3,415	)	(5,688	)
Net decrease in cash and cash equivalents		(1,236	)	—
Cash and cash equivalents beginning of period		16,806		—
Cash and cash equivalents end of period		$      15,570		$             —
Supplemental disclosures of cash flow information
Cash paid for:
Interest		$            —		$        1,357
Income taxes		$          333		$             —

 

HUB GROUP, INC.
MODAL REVENUE SUMMARY
(in thousands)

			First			Second			Third			Fourth
			Quarter			Quarter			Quarter			Quarter			Total
			2004			2004			2004			2004			2004
Intermodal			$	236,321		$	247,940		$	259,958		$	270,314		$	1,014,533
Brokerage				50,960			56,778			56,124			61,604			225,466
Logistics				33,913			33,786			34,028			38,996			140,723
Total Core				321,194			338,504			350,110			370,914			1,380,722
HGDS				7,108			10,467			11,995			16,514			46,084
Consolidated			$	328,302		$	348,971		$	362,105		$	387,428		$	1,426,806

NOTE:

HGDS Transferred it's Pharmaceutical business to Logistics in August 2004, resulting in an increase in Logistics revenue of $4,315 for the year ended December 31, 2004.