The increase in load volumes was primarily driven by increased customer demand, seasonal activity, and rail network improvements. Transcontinental loads increased 7% and eastern network load volume increased 3% compared to the third quarter 2023.

ICS's carrier base decreased 18% compared to third quarter 2023, primarily due to changes in carrier qualification requirements.

Customer retention rates are approximately 87%, primarily due to fleet downsizing and customer account losses.

JBT segment operating income increased to $8.2 million in 2024, compared with $7.7 million during third quarter 2023. The increase is primarily due to improved network balance, decreased trailing capacity costs, and overall cost management initiatives, partially offset by higher insurance premiums expense.

Gross profit margin increased to 17.9% in the third quarter 2024, compared to 12.8% in 2023, reflecting focused bid season yield management, improved capacity procurement, and certain project-related activity.

FMS segment revenue decreased 3% to $218 million in the third quarter 2024 from $226 million in 2023, primarily due to general weakness in customer demand, partially offset by the addition of multiple new customer contracts implemented over the past year as well as internal efforts to improve revenue quality across certain accounts.

Our business is significantly impacted by economic conditions, customer business cycles, and seasonal factors.

Extreme or unusual weather conditions can disrupt our operations, impact freight volumes, and increase our costs, all of which could have a material adverse effect on our business results.

Rapid changes in fuel costs could impact our periodic financial results.

Some of the factors and events that are not within our control and that could have a material impact on future operating results include the following: general economic and business conditions; competition and competitive rate fluctuations; excess capacity in the intermodal or trucking industries

Some of the factors and events that are not within our control and that could have a material impact on future operating results include the following: general economic and business conditions; competition and competitive rate fluctuations

We operate in a competitive and highly fragmented industry. Numerous factors could impair our ability to maintain our current profitability and to compete with other carriers and private fleets.

JBI segment operating income decreased 13% to $111.8 million in third quarter 2024 from $128.0 million in 2023. The decrease was primarily due to increased network imbalance and repositioning cost and higher driver wages to meet peak season customer demand as well as increased maintenance and equipment-related costs, higher insurance premium and claims expense, and higher other personnel-related expenses, compared to third quarter 2023.

DCS segment operating income decreased 7% to $95.5 million in the third quarter 2024, from $102.4 million in 2023. The decrease is primarily due to decreased revenue, increased insurance premium and claims expense, and higher new account start-up costs, partially offset by lower maintenance and equipment-related costs, lower bad debt expense, and the maturing of new business onboarded over the past year when compared to the third quarter 2023.

ICS segment had an operating loss of $3.3 million in the third quarter 2024, compared to an operating loss of $9.4 million in 2023. The decrease in operating loss was driven primarily by a 31% increase in gross profit, lower cargo claims expense, and lower personnel-related expenses, partially offset by integration and transition costs related to the purchase of the brokerage assets of BNSF Logistics, LLC (BNSFL).

Approximately $92 million of third quarter 2024 ICS revenue was executed through the Marketplace for J.B. Hunt 360, compared to $169 million in the third quarter 2023.

On August 16, 2024, our Board of Directors authorized the purchase of up to an additional $1 billion of our common stock to be effective upon our purchase of the remaining balance under the July 2022 authorization.

Capital expenditures in 2024 were primarily for tractors, intermodal containers and chassis and other trailing equipment.

We expect to spend approximately $625 million for net capital expenditures during the full calendar year 2024.

Our business is significantly impacted by economic conditions, customer business cycles, and seasonal factors.

Extreme or unusual weather conditions can disrupt our operations, impact freight volumes, and increase our costs, all of which could have a material adverse effect on our business results.

Rapid changes in fuel costs could impact our periodic financial results.