Earnings Watch: YRC Worldwide Profit Falls, Heartland Profit Slips

Profit for less-than-truckload provider YRC Worldwide Inc. fell nearly 30% in the second quarter from a year earlier, despite increased tonnage per day moved at both its national and regional operations.

Net income totaled $19 million, or 57 cents per share, compared to net income of $27.1 million or 83 cents per share a year earlier. Revenue rose to $1.26 billion from $1.21 billion but operating income slid to $50 million from $57.2 million.

In the first six months of the year, the Kansas-based company posted a net loss of $6.3 million compared to net income of $15.1 million in the first half of 2016.

“Following a couple of challenging quarters, the second quarter 2017 results include our efforts to return YRC Freight's year-over-year revenue per hundredweight, excluding fuel surcharge, to positive territory,” said CEO James Welch. “The consolidated quarterly results were also favorably impacted by our plan to streamline overhead costs, an increase in volume driven by an improving industrial economy and a decrease in liability claims expense.”

The consolidated operating ratio for second quarter 2017 was 96 compared to 95.3 for the same period in 2016.

The operating ratio at YRC Freight was 96.5 compared to 96.2 in the second quarter 2016 (which included an $11.2 million gain on property disposals). The regional segment's second quarter 2017 operating ratio was 94.6 compared to 93.2 in the prior year.

Compared to a year earlier, second quarter 2017 tonnage per day increased 2.7% at YRC Freight and 3.6% at the regional segment.

At YRC Freight, excluding fuel surcharge, second quarter 2017 revenue per hundredweight increased 1.1%. Revenue per shipment was essentially flat, down 0.1% compared to the same period in 2016. Including fuel surcharge, revenue per hundredweight increased 2.2% and revenue per shipment increased 1%.

At the regional segment, excluding fuel surcharge, second quarter 2017 revenue per ...Read the rest of this story

After using this $35 iPhone case for a year, I’ll never buy from any other brand

Apple purists will tell you not to cover the iPhone's gorgeous design with a case. If you need a...

Trump’s ‘humiliating’ phone call with Mexico’s president appears to be less sinister than thought

President Donald Trump's late-January call with Mexican President Enrique Peña Nieto was...

Retirement account balances hit all-time highs

Balances of retirement savings are at an all-time high. The average amount of a 401-K account now stands at $97,700. Yahoo Finance's Alexis Christoforous, Rick Newman, and Pras Subramanian discuss why 401K balances are at record highs.

Class 8 Truck Orders Rebound in July

Class 8 truck orders are expected to increase in July compared to the previous month and previous year, according to preliminary numbers from ACT Research and FTR.

Truck orders are expected to increase by 5% over June's number and by 79% compared to July 2016, according to FTR.

Orders have increased for the second month in a row and the market is stable but moving in a positive direction, said FTR.

Total Class 8 orders in the past year have totaled 224,000 units. A positive freight environment has tightened capacity and the equipment orders are starting to reflect this change, according to FTR.

“This is a great sign to see orders rising, even slightly, in mid-summer,” said Don Ake, vice president of commercial vehicles at FTR. “This is the beginning of a positive trend that we expect to continue the rest of this year, right into 2018. The Class 8 market is starting to move upward and orders are forecasted to accelerate in the fall.”

Medium-duty Class 5-7 truck orders have not fared as well, dropping in July to a 13-month low after averaging more than 22,100 units per month for seven months straight, according to ACT Research. However, July orders were still slightly better than in the same month a year ago.

Related: What Will the Class 8 Market Look Like in 2017?

Follow @HDTrucking on Twitter

Trucking still projected to benefit from wider Panama Canal

There still seems to be a lot of optimism surrounding the benefits the $5 billion-plus Panama Canal expansion project can deliver to trucking – especially in terms of a shift in freight flows from the U.S. West Coast to the U.S. East Coast, though said shift is taking a while to develop.

read more

Cummins Launches Smartphone-Based ELD Solution

Photo: Zed Connect

Cummins has launched a new fleet software company called Zed Connect and announced its first product, Zed ELD – a smartphone based electronic logging solution.

Zed ELD is designed to be a simple and low-cost electronic logging device solution aimed at small- and mid-sized fleets looking to meet the upcoming ELD mandate. The plug-and-play solution includes such features as ELD, visual inspection reporting, and commercial routing.

The Zed ELD was designed with input from drivers, fleet managers and owners, according to Cummins, and includes a one-time fee for Bluetooth-enabled hardware connecting to the vehicle.

“Zed Connect is developing products and services that will provide outstanding benefits for companies across the industry,” said Tom Linebarger, chairman and CEO of Cummins. “Their first product offering, Zed ELD, is an intuitive smartphone-based ELD solution that fills the void for fleets that need a way to easily and inexpensively log hours electronically.”

Zed Connect's leadership team is led by president and CEO Skip Kinford. Kinford has gained experience in technology solutions, business development, and global sales while serving in leadership roles with MiX Telematics, inthInc Technology Solutions, and Mobileye.

“Cummins' deep relationships within the on-highway market and its leadership in integrated solutions make this an exciting partnership for ZED Connect,” said Kinford. “We view this opportunity as a way to collaborate with an industry leader to solve mutual customers' problems.”

For more information, click here.

Follow @HDTrucking on Twitter