News Briefs - April 24
The Latest Headlines:
- Tonnage, Earnings Increase for Overnite
- Specialty Truck Maker Oshkosh Reports Higher Profits
- Old Dominion 1Q Profits Up; Calls 2Q Demand 'Flat'
- Greenspan Says Would Serve Fifth Term
- Daimler’s U.S. Truck Sales Increase
- Weather, Financing Costs Hurt SCS
- Forward Earns $5.4 Million in 1Q
- Mullen’s Trucking Revenues Declined in 1Q
- Dana Posts Profit; Sees Heavy-Vehicle Production Increasing
- Specialty Truck Maker Oshkosh Reports Higher Profits
Tonnage, Earnings Increase for Overnite
Overnite Holding Co., which owns less-than-truckload carriers Overnite Transportation Co. and Motor Cargo Industries, said Thursday tonnage increased 5.4% in the first quarter of 2003, compared with the year-earlier period.Net income for the quarter was $9.3 million, up from $9.0 million in 2002, while operating revenue increased 10% to an all- time best $341.2 million, Overnite said in a release.
Overnite is the trucking unit of Union Pacific. The freight railroad said net income almost doubled after a change in the way it accounts for disposing of worn-out railroad ties.
Overnite is ranked No. 20 on the Transport Topics 100 list of the largest U.S. and Canadian trucking companies. Transport Topics
(Click here for the full press release.)
Specialty Truck Maker Oshkosh Reports Higher Profits
Oshkosh Truck Corp., a manufacturer of specialty trucks, said Thursday its fiscal second-quarter net income was $14.1 million or 81 cents per share, compared with $12.2 million or 70 cents per share in the year-earlier period.The Oshkosh, Wisc.-based company said sales for the quarter ended March 31 were $453.4 million, up from $415.6 million a year ago.
The company said in a release that commercial sales increased 7.3% to $182.4 million.
It also said fire and emergency segment sales increased 18.3% to $141.6 million, while defense sales increased 2.7% to $130.6 million. Transport Topics
(Click here for the full press release.)
Old Dominion 1Q Profits Up; Calls 2Q Demand 'Flat'
Less-than-truckload carrier Old Dominion Freight Line said Thursday its net income for the first quarter was $4.2 million or 40 cents per share, compared with $2.2 million or 27 cents per share in the first quarter of 2002.The Thomasville, N.C.-based company said in a release that weak economic conditions and severe winter weather in February and March, “impaired our operations and profitability.”
It also said that freight demand has remained flat in the second quarter.
Still, LTL shipments grew 12.6% and LTL tonnage rose 10.7% during the first quarter. In addition, revenues increased more than 20% to $152.3 million.
The company said it still expected to earn between $2.50 and $2.60 for the full fiscal year.
Old Dominion is ranked No. 35 on the Transport Topics 100 list of the largest U.S. and Canadian trucking companies. Transport Topics
(Click here for the full press release.)
Greenspan Says Would Serve Fifth Term
Alan Greenspan said Wednesday he would accept a fifth term as chairman of the Federal Reserve, one day after President Bush publicly backed his reappointment, news services reported.The Federal Reserve sets U.S. monetary policy and its decisions on interest rates and statements about the economy have major impacts on the stock market and business decisions.
Greenspan said in a statement that if he was nominated and confirmed, he would "have every intention of serving."
The chairman of the Federal Reserve is nominated by the president and must be confirmed by the Senate. Greenspan has been chairman since August 1987.
Earlier this year, Greenspan was criticized by conservative Republicans for telling Congress that any new round of tax cuts needed to be paid for, a position that hurt the president's efforts to sell his proposed $726 billion tax-cut package, the Associated Press reported. Transport Topics
Daimler’s U.S. Truck Sales Increase
DaimlerChrysler AG said Thursday that due to unexpectedly high demand for heavy-duty trucks in the U.S. market, its Freightliner/Sterling/Thomas Built Buses business unit sold a total of 26,500 vehicles during the first quarter of 2003, 15% more than in the first quarter of last year.For the quarter, Daimler’s total net income was $647 million or 58 cents a share, compared with $546.8 million or 50 cents.
Daimler’s commercial vehicles division achieved an operating profit of $15 million, compared with a loss of $93 million a year ago.
Sales rose 5% to 107,000 vehicles, the company said in a release. Revenues were nearly unchanged at $6.7 billion.
The company said that the significant restructuring costs incurred in the past years will lead to better earnings for the commercial division in 2003. Transport Topics
(Click here for the full press release.)
Weather, Financing Costs Hurt SCS
Less-than-truckload firm SCS Transportation Inc., which includes Saia Motor Freight Lines and Jevic Transportation, reported a net income for the first quarter of $1.3 million or 9 cents per share, compared with $1.9 million or 13 cents per share before goodwill charges a year ago.SCS said income results were hurt by the severe weather in February, as well as increased financing and holding company costs resulting from last year’s spinoff from Yellow Corp.
It also said that while the overall economy seems to be growing, “it is less robust than expected.”
For the first quarter, SCS said its revenues grew 9% to $200.1 million.
The company said it expected second-quarter earnings of 25 cents per share and full-year earnings to be 97 cents. Transport Topics
(Click here for the full press release.)
Forward Earns $5.4 Million in 1Q
Forward Air Corp., a contractor to the air cargo industry, said late Wednesday its first-quarter net income was $5.4 million or 25 cents per share, compared with $4.9 million or 22 cents in the prior-year quarter.The Greeneville, Tenn.-based company said its operating revenues increased 7% to $56.6 million.
President Bruce A. Campbell said in a release that severe winter weather and an uncertain economy made it a challenging quarter.
Forward is ranked No. 67 on the Transport Topics 100 list of the largest U.S. and Canadian trucking companies. Transport Topics
(Click here for the full press release.)
Mullen’s Trucking Revenues Declined in 1Q
Canada-based trucking and oil field services firm Mullen Transportation Inc. said Thursday that despite lower trucking revenues, first-quarter net income was $8.7 million, compared with $5.4 million a year ago.Mullen’s trucking segment saw its revenues decline 4.6% to $430 million, due in part to a reduction in general business at the Grimshaw Trucking Ltd. business unit. Operating income was $3.5 million, similar to last year's $3.6 million.
"Our trucking segment continues to be hampered by high costs, most notably fuel and insurance, and an extremely competitive market,” Murray Mullen, chairman and chief executive, said in a release.
The company’s higher results were attributed to the increased spending by the oil and gas industry in western Canada, Mullen said.
Mullen is ranked No. 70 on the Transport Topics 100 list of the largest U.S. and Canadian trucking companies. Transport Topics
(Click here for the full press release.)
Dana Posts Profit; Sees Heavy-Vehicle Production Increasing
Vehicle parts maker Dana Corp. said Thursday its net income for the first quarter was $41 million or 28 cents per share, compared with a net loss of $229 million or $1.54 per share in 2002.Dana Chairman and Chief Executive Joe Magliochetti said the company expects to “benefit from the forecasted ramp-up in heavy-vehicle production as we move through the year.”
Sales for the quarter were $2.4 billion, up slightly from $2.3 billion in 2002.
The Toledo, Ohio-based company said it expects earnings for the fiscal year to be in the range of $195 million to $215 million. Transport Topics
(Click here for the full press release.)
