For-hire carrier ArcBest on Nov. 1 reported its third-quarter net income was $40.8 million, or $1.58 per share, on revenue of $826.2 million. That compares with 2017’s net income of $14.8 million, or 57 cents a share, on revenue of $744.3 million.
“I am proud of our team for producing the third consecutive quarter of very positive results this year at ArcBest as we collaborate across the organization to provide customers the best solutions to their supply chain needs,” CEO Judy McReynolds said. “Our sales, yield and operations teams — supported by significant technology investments we have made over the last several years — are doing an excellent job helping our customers navigate the industry capacity shortage while ensuring that ArcBest receives the appropriate value for our services. Significantly, our asset-based business reported its best third-quarter operating ratio since 2006, and we experienced a strong net revenue improvement in our asset-light business.”
The company reported an operating ratio of 91.4, compared with 2017’s 95.4.
Operating ratio is a company’s operating expenses as a percentage of its revenue, and it is used to determine efficiency. The lower the ratio, the greater the company’s ability to generate a profit.
“As unemployment reaches historic lows and other indicators we study look favorable, our outlook remains positive and we will monitor the environment closely for any changes. As we close out the year and look forward to 2019, we will continue our focus on growth, profitable account management, cost control and providing a best-in-class customer experience,” McReynolds said.
The company said its tonnage per day increased by 1.6%, but shipments per day fell 1%.
ArcBest ranks No. 13 on the Transport Topics Top 100 list of the largest for-hire carriers in North America.