Con-way Reports Record 1Q Income, Sets Repurchase Program

ransportation firm Con-way Inc. reported a record first-quarter profit of $44.7 million or 81 cents a share, up from $29.1 million or 52 cents a year earlier.

The earnings exceeded the company’s first-quarter guidance of 71 and 77 cents per share.

The results for the current quarter included a 2-cent charge related to discontinued operations, while the previous first quarter included a 17-cent charge, Con-way said late Monday.

Separately, the company said its board authorized a share repurchase program in which the company may acquire up to $400 million of its stock through the end of the second quarter 2007.

Formerly known as CNF Inc., the company’s shareholders last week approved the name change to Con-way Inc. (Click here for previous coverage.)

Operating income at Con-way Freight, which operates a number of less-than-truckload carriers, and Con-way Transportation, its truckload, expedited, forwarding and brokering division, rose 3.3% to $65.6 million.

Con-way Freight set a general rate increase of 5.5% on April 3.

Con-way’s Menlo Worldwide logistics unit, which includes Menlo Logistics and Vector SCM, saw its operating income increase 26.4% to $11.5 million, the company said. Menlo’s fourth-quarter revenue rose 15.9% to $349.9 million.

Con-way is ranked No. 6 on the Transport Topics 100 list of the largest U.S. and Canadian trucking companies.