News Briefs - July 18
- I-95 in Maryland Reopens After Crash
- Freightliner Breaks Even; Daimler Net Income Up 52%
- CNF Profits Rise as Freight Volumes Increase
- Landstar Declares Stock Split, Record Earnings
- Jobless Claims at Lowest Level in 17 Months, Labor Says
- Overnite Net Income Rises 10.9%
- Boyd Bros. Net Income Up 115%
- Transport Corp. of America Sees Lower 2Q Earnings
- Hino Expands to Small Hybrid Truck Market
- Marten’s Earnings Jump 19 Cents Per Share
- ArvinMeritor’s Net Income Up 71% in Fiscal 3Q
- Covenant Earnings Exceed Expectations
- Arkansas Best 2Q Tonnage, Earnings Decline
- Celadon Confirms Fiscal 4Q Projections
- Knight's 2Q Income, Revenue Rise
- Freightliner Breaks Even; Daimler Net Income Up 52%
I-95 in Maryland Reopens After Crash
Interstate 95 reopened Thursday morning after an early-morning crash closed all of the northbound and some southbound lanes just north of Baltimore, news services reported.Interstate 95 is the major north-south highway along the East Coast running from Maine to the Florida Keys.
Local television affiliate WJLA reported that four people were injured at about 4:30 a.m. EDT, when a van and a tractor-trailer collided on the northbound side of the highway. Both vehicles careened into a second tractor-trailer, spreading debris throughout the road.
The Baltimore Sun's online edition said there were heavy delays all morning as traffic was detoured to Whitemarsh Boulevard, routes 40 and 7, Belair and Harford roads, and Jarretsville Pike.
Freightliner Breaks Even; Daimler Net Income Up 52%
Freightliner, the U.S. truck-making unit of DaimlerChrylser AG, broke even during the second quarter, as the German-based vehicle manufacturer saw its Commercial Vehicles Division earn $32 million.Daimler said Thursday in its earnings release overall net income rose 52% to $1.1 billion or $1.19 per share, on revenue of $39.3 billion.
Sales of commercial vehicles increased by 1% to 129,100 and revenue rose by 1% to $7.3 billion.
For the year, DaimlerChrysler said it would have an adjusted operating profit of at least $4.07 billion, or three times the figure from 2001.
The Associated Press noted the adjusted operating profit gives an incomplete picture of Daimler’s finances, because it excludes items such as interest and taxes. Previously, the company said it would only make about twice that 2001 figure.
Click here for the full press release.)
CNF Profits Rise as Freight Volumes Increase
CNF Inc., the parent of several transportation companies including Con-Way Transportation Services, said Wednesday it earned $19.8 million or 37 cents per share in the second quarter, compared with a net loss of $227.9 million or $4.67 per share a year ago."We're pleased that we achieved stronger results in the second quarter than we had originally anticipated because volumes at all our units exceeded our expectations even though the recovery in the manufacturing sector of the economy remains relatively weak," said CNF President and Chief Executive Officer Gregory Quesnel.
CNF’s total revenue for the quarter was $1.19 billion, down slightly from last year. Less-than-truckload firm Con-Way’s operating income fell $35.1 million, down 17%, while revenue was up 3% to $504 million.
ooking ahead, the Palo Alto, Calif.-based company said third-quarter results are likely to be similar to the second quarter, and tonnage at Con-Way is expected to increase by a very low-single-digit percentage compared with last year.
CNF is ranked No. 3 on the 2000-01 Transport Topics 100 list of the largest U.S. trucking companies. Transport Topics
(Click here for the full press release.)
Landstar Declares Stock Split, Record Earnings
Truckload carrier Landstar System Inc. announced a two-for-one stock split Thursday as its second-quarter financial report showed a record net income.The Jacksonville, Fla.-based company reported second-quarter net income of $12.2 million or $1.45 per share, up from $10.9 million or $1.26 per share last year.
The company said stockholders of record on Aug. 2 will receive their additional shares from the stock split on or about Aug. 12 from the company’s transfer agent, the Bank of New York.
Landstar’s group of carriers brought in $310 million in revenue for the quarter ended June 29, up from $280.2 million during the second quarter 2001.
Landstar is ranked No. 16 on the 2000-01 Transport Topics 100 listing of the largest trucking companies in the United States. Transport Topics
(Click here for the full press release.)
Jobless Claims at Lowest Level in 17 Months, Labor Says
The Labor Department’s weekly initial jobless claims report surprised analysts by dropping by 28,000 to 379,000, the lowest level in about 17 months, CNBC reported Thursday. Analysts had predicted a drop of only 13,000 for the week ended July 13.Trucking is sensitive to changes in the economy and would benefit from a sustained recovery.
Labor said the four-week moving average, which is a more stable indicator of the employment market, fell to 391,000 last week, its lowest level since March.
That moving average has stayed below the 400,000 level for five straight weeks, which one analyst told the Associated Press is a sign the job market is finally stabilizing.
Analysts said that quick moves like this week’s drop, which followed a rise in claims last week, are common for this time of year, as industries see seasonal shutdowns and restructuring, AP noted. Transport Topics
Overnite Net Income Rises 10.9%
Overnite Transportation Co., which owns less-than-truckload firms Overnite Transportation and Motor Cargo Industries, on Thursday reported a net income for the second quarter of $14.4 million, a 10.9% increase.The Richmond, Va.-based company said revenue was $331.7 million, up from $324.3 million in the year-earlier period.
"While we have seen a slight uptick in the nation's economy, our continuing ability to provide a quality service product to our broad, nationwide customer base has allowed Overnite to continue to post solid gains in an otherwise modest economy," Chief Executive Officer Leo Suggs said.
Overnite is ranked No. 19 on the 2000-01 Transport Topics 100 list of the largest U.S. trucking companies. Overnite is owned by freight railroad Union Pacific Corp., which reported a record net income of $304 million or $1.15 per share for the second quarter.
(Click here for the full press release.)
Boyd Bros. Net Income Up 115%
Boyd Bros. Transportation reported a 115% increase in second-quarter net income to $607,350 or 22 cents per share as operating revenues rose 3% to $32.7 million.The Clayton, Ala.-based truckload carrier said in a release Thursday that although freight levels have improved, a main reason for the improved results is the company’s cost cutting and focus on improved performance.
The company also said it was “cautiously optimistic” about the second half of the year. The economic recovery has not been as strong as it had hoped, but the growth in freight demand has been encouraging.
Boyd Bros. is ranked No. 91 on the 2000-01 Transport Topics 100 list of the largest U.S. trucking companies. Transport Topics
(Click here for the full press release.)
Transport Corp. of America Sees Lower 2Q Earnings
Truckload carrier and logistics company Transport Corp. of America said Thursday its second-quarter results fell short of last year’s performance.The company’s earnings fell to 3 cents per share, or $208,000 in the second quarter, down from 5 cents per share or $376,000 during the same period last year. Revenue was $69 million, down slightly from 2001.
The company’s president and chief executive officer, Michael Paxton, said Transport Corp. is hoping for better results in the second half of 2002.
“We are cautiously optimistic regarding freight prospects during the second half of the year,” Paxton said. “Capacity has tightened somewhat in the industry and our sales and marketing staff is energized to attain new, profitable business.”
Transport Corp. of America is ranked No. 50 on the 2000-01 Transport Topics 100 listing of the largest U.S. trucking companies. Transport Topics
(Click here for the full press release.)
Hino Expands to Small Hybrid Truck Market
Hino Motors Ltd. announced plans to release a small hybrid truck later this year, in cooperation with Toyota Motor Corp., Bloomberg reported Thursday.One of Japan’s largest truck makers, Hino already offers large- and medium-duty hybrid trucks, and will now share main parts for a smaller truck with Toyota’s Estima minivan hybrid as it prepares to meet lower emissions standards in Japan, the story said.
Hybrid trucks use fuel cells, which create electricity by combining hydrogen and oxygen and emit only steam, Bloomberg said, making them a key to meeting stricter regulations. Transport Topics
ArvinMeritor’s Net Income Up 71% in Fiscal 3Q
Vehicle parts manufacturer ArvinMeritor Inc. said Thursday its net income for the fiscal third quarter ended June 30 increased to $62 million or 91 cents per share, from $35 million or 53 cents during the same period last year – a 71% improvement."We are extremely pleased with the significant improvement in our operating margin and net income,” ArvinMeritor Chairman and Chief Executive Officer Larry Yost said. “Stronger build rates for Class 8 trucks in North America had a major impact on our third-quarter revenues.”
Sales at Arvin’s commercial vehicle systems group rose 11% during the third quarter, Yost said. Transport Topics
(Click here for the full press release.)
Marten’s Earnings Jump 19 Cents Per Share
Marten Transport Ltd. on Thursday reported second-quarter earnings of $2.84 million or 65 cents per share.The results are a 47.8% improvement from last year’s $1.92 million or 46 cents per share performance. The refrigerated truckload carrier said its revenues rose to $74 million from $71.7 million.
"We experienced some easing of the pressure on our freight rates that has cut into earnings in recent quarters," said Randolph Marten, president and chairman of Marten Transport. “Our earnings improved in spite of a continued increase in our insurance and claims expense and employees' health insurance expense."
Based in Mondovi, Wis., Marten Transport is ranked No. 57 on the 2000-01 Transport Topics 100 listing of the largest trucking companies in the country. Transport Topics
(Click here for the full press release.)
Covenant Earnings Exceed Expectations
Dry van and refrigerated truckload carrier Covenant Transport Inc. said Wednesday its second-quarter earnings per share exceeded expectations by 1 cent.The Chattanooga, Tenn.-based company earned 21 cents per share during the quarter, compared with only 4 cents per share a year ago. On June 11, Covenant said it expected to report earnings of 18 cents to 20 cents per share for the quarter ended June 30.
Net income skyrocketed 438% to $3 million from $554,000. This was done, Covenant said in a release, on freight revenue that dropped 2% to $138.8 million, before fuel and other surcharges.
Covenant Transport is ranked No. 29 on the 2000-01 Transport Topics 100 listing of the largest U.S. trucking companies. Transport Topics
(Click here for the full press release.)
Arkansas Best 2Q Tonnage, Earnings Decline
Arkansas Best Corp. said Thursday that its second-quarter tonnage was down compared with the year-earlier period, causing it to report lower profits.Net income for the parent of less-than-truckload firms ABF Freight Systems and G.I. Trucking Co. was $6.5 million or 26 cents per share, compared with $9.8 million or 40 cents per share last year.
otal revenue during the quarter was $345.1 million.
Arkansas Best is ranked No. 15 on the 2000-01 Transport Topics 100 list of the largest U.S. trucking companies. Transport Topics
(Click here for the full press release.)
Celadon Confirms Fiscal 4Q Projections
Truckload carrier Celadon Group Inc. said it will report earnings for the fiscal fourth quarter ended June 30 of 12 cents to 14 cents per share, higher than current analysts' expectations.The Indianapolis-based company said in a release the estimate was 11 cents per share. Last year, the company reported a 5-cent-per-share loss for the fiscal fourth quarter.
Celadon Group is ranked No. 45 on the 2000-2001 Transport Topics 100 list of the largest trucking companies in the United States. Celadon owns TruckersB2B, which is a service that negotiates fuel, tire and equipment purchases for small trucking companies and private fleets. Transport Topics
(Click here for the full press release.)
Knight's 2Q Income, Revenue Rise
Knight Transportation said Wednesday its second-quarter net income rose 32.5% to $6.7 million or 18 cents per share. Its revenue before fuel surcharges increased 16.4% to $68.3 million.The Phoenix-based truckload carrier also noted that its net income for the first six months of the year was $12.3 million, an increase of nearly 32% from the year-earlier period.
Knight is ranked No. 67 on the 2000-01 Transport Topics 100 list of the largest U.S. trucking companies. Transport Topics
(Click here for the full press release.)
