U.S. Xpress Enterprises reported record profits in the third quarter as the company benefited from strong freight volumes and higher rates.
The Chattanooga, Tenn.-based company, which completed an initial public offering of stock in June, earned $16.1 million, or 33 cents a share, in the three months ended Sept. 30. That compares with a net loss of $675,000, or 11 cents a share, in the same period a year ago. Revenue climbed 18% to $460.2 million in the third quarter of 2018 from $390.1 million in 2017.
Despite the positive results, CEO Eric Fuller said the company is “far from satisfied.”
“We believe our unseated truck count and average miles per tractor could have performed better had we executed more effectively during the quarter,” Fuller said in a statement Nov. 1.
Both metrics have since improved and Fuller said that he expects 2018 to be the most profitable in the company’s history.
For the year to date, U.S. Xpress said net income attributable to controlling interest is $17.9 million, or 76 cents a share, compared with a net loss of $13.6 million, or $2.12 a share, in the comparable period in 2017. Revenue for the first nine months of 2018 was $1.34 billion versus $1.12 billion in 2017.
U.S. Xpress Enterprises is a holding company for U.S. Xpress Inc., an over-the-road dry van truckload and dedicated freight carrier that also provides freight brokerage services. The company also owns a 90% stake in Total Transportation of Mississippi, a dry van truckload and expedited carrier, and Xpress Internacional, a trucking firm in Mexico.
In addition to reporting earnings, the company announced the appointment of Matt Herndon as chief operating officer at U.S. Xpress Inc. and the retirement of Lisa Quinn Pate as chief administrative officer in mid-2019.
Herndon was previously COO of P.A.M. Transport in Tontitown, Ark., and Pate is the daughter of U.S. Xpress co-founder Pat Quinn.
Herndon’s appointment follows the promotion of Justin Harness from senior vice president of dedicated operations to chief marketing officer for U.S. Xpress.
Fuller noted that the personnel moves are part of a transition from private to public ownership.
“We think Matt has just the right mix of leadership skills and experience to help execute our vision,” Fuller said.
Regarding Harness, Fuller said, “Justin’s deep understanding of our business paired with his enthusiasm and team approach make him an ideal fit for this role.”