Earnings Watch: ArcBest Rises, YRC Plummets, USA Ekes Out Profit
Trucking and logistics provider ArcBest on Friday reported third quarter numbers showing net income improved a little more than 14.5% to $14.8 million, or 56 cents per share, 2 cents below Wall Street expectations.
Revenue was $744.3 million compared to third quarter 2016 revenue of $713.9 million.
Third quarter 2017 operating income was $24.3 million compared to operating income of $20.4 million last year.
“Our enhanced market approach, tighter capacity and a generally favorable pricing environment all contributed to improved third quarter results,” said ArcBest Chairman, President and CEO Judy R. McReynolds. “Our expedited business was particularly strong, and on the asset-based side, we continue to make progress on the implementation of our space-based pricing initiative, which took effect Aug 1.”
She said the company experienced some negative effects in its asset-based business from the hurricanes that hit the southern U.S. and Puerto Rico.
ArcBest’s asset-based business, which includes less-than-truckload carrier ABF Freight, reported revenue of $517.4 million in the most recent quarter compared to $509 million, a per-day increase of 4.1 percent.
Other segment highlights include:
Tonnage per day decrease of 3%Shipments per day decrease 1.4%Total billed revenue per hundredweight increased 6.6% that was positively impacted by changes in shipment profile and higher fuel surchargesOperating income of $21.8 million and an operating ratio of 95.8% compared to operating income of $18.1 million and an operating ratio of 96.5 %
“In the midst of a solid LTL pricing environment, yield management actions implemented throughout 2017, including this quarter’s space-based pricing initiative, resulted in higher revenue per hundredweight and improved revenue per shipment,” the company said in a statement. “Though freight tonnage was lower, primarily due to purposeful reductions in asset-based truckload-rated shipments, monthly total weight per shipment trends improved throughout the quarter and LTL weight per shipment increased slightly. In addition, one and a half fewer …Read the rest of this story
