Roadrunner Transportation Systems reported its fourth-quarter profit rose 17.7% despite increased accidents involving claims.
Net income rose to $11.2 million, or 29 cents a share, from $9.5 million, or 29 cents, in the same period last year.
“We experienced unfavorable claims developments during the fourth quarter of 2013, primarily related to increased accidents involving claims, accelerating costs on settled claims and, correspondingly, increased reserves on new claims,” CEO Mark DiBlasi said in a Feb. 5 statement.
“This resulted in insurance and claims expense that was approximately $3.8 million greater than the prior-year quarter, causing a $0.06 impact on diluted income per share,” DiBlasi said.
Truckload revenue rose 25.6% to $180.1 million, with acquisitions making up about $23.1 million of the $36.7 million increase.
LTL revenue rose 4.4% to $135.5 million, and its transportation management-solutions segment’s revenue increased 130%, to $54.7 million.
Full-year net income increased to $49 million, or $1.29 per share, from $37.5 million, or $1.16 per share, the prior year. Revenue increased to $1.36 billion.
The company said its first-quarter revenue would be $350 million to $377 million, up 17% to 25% from last year, with earnings per share of 27 to 30 cents. They were 29 cents a year ago.
Roadrunner Transportation Systems, based in Cudahy, Wis., ranks No. 24 on the Transport Topics Top 100 listing of U.S. and Canadian for-hire carriers.