YRC Worldwide Reports Record Earnings, Revenue for 2005

RC Worldwide said late Thursday it earned $79.8 million or $1.34 a share for the fourth quarter of 2005, compared with $63.3 million or $1.24 a year earlier.

The less-than-truckload carrier, formerly Yellow Roadway Corp., reported $2.48 billion in operating revenue for the quarter, up from $1.77 billion a year earlier.

For the full year, YRC earned $291.1 million or $5.12 per share, a record, up from $184.3 million or $3.75 a year earlier. It generated a record $8.74 billion in revenue, an increase from $6.77 billion in the previous year.

The fourth-quarter earnings were in the $1.30 to $1.35 earnings-per-share range projected by the company, while the year-end earnings fell just short of its $5.18 to $5.23 EPS projection. Revenue was on target with its expectations. (Click here for previous coverage.)

RC reported improved earnings at all of its business units, including Yellow Transportation, Roadway Express and Meridian IQ.

Yellow Transportation's revenue rose 7.5% to $886.5 million from the previous fourth quarter, while operating income was $64.5 million, up from $55.7 million a year earlier.

Roadway Express generated $865 million in revenue, a 5.2% increase, with operating income rising to $62.6 million from $54.8 million.

Meridian IQ, the company’s logistics subsidiary, reported its revenue rose 156% to $153 million when including USF’s logistics unit. Operating income rose to $4.2 million, from $1.5 million.

For the first quarter of 2006, YRC projected it would earn $1 to $1.05 per share.

For the full year, the company projected it will earn $6.15 to $6.30 per share, on revenue of about $10 billion.

YRC changed its name from Yellow Roadway Corp. this month. (Click here for previous coverage.)

YRC Worldwide is ranked No. 3 in the Transport Topics 100.