Con-way Inc. reported its first-quarter net income slipped as higher tax expense and winter-weather challenges reduced its earnings.
Net income fell 7.9% to $12.9 million, or 22 cents per share, from $14 million, or 25 cents. Revenue rose 2% to $1.37 billion, Ann Arbor, Michigan-based Con-way reported.
Storms and cold weather reduced profits before interest and taxes by an estimated $20 million. Income taxes more than doubled to $6.3 million.
Less-than-truckload revenue at Con-way Freight, its largest business unit, rose 2.5% to $848 million, helped by higher rates. Operating income, excluding interest and taxes, rose 16% to $18.6 million.
On the same basis, profitability at its Menlo Worldwide Logistics unit slipped to $6.2 million from $6.5 million. Revenue rose 3.6% to $406.4 million.
Con-way Truckload revenue dropped less than 1% to $156 million, and profitability in that unit declined to $6.4 million from $10 million.
Con-way ranks No. 3 on the Transport Topics Top 100 list of the largest U.S. and Canadian for-hire carriers.