Arkansas Best Net Income More Than Doubles
Arkansas Best Corp. more than doubled third-quarter earnings to $14 million, or 52 cents per share, sparked by improved results at both the ABF Freight System less-than-truckload unit and other services.
Revenue increased 7.5% to $623.4 million from the year earlier period, when revenue was $577.5 million and net income was $6.5 million, or 24 cents per share.
“This was our strongest quarter of the year thanks to the solid performances of our emerging businesses and a tonnage uptick for ABF Freight,” Arkansas Best CEO Judy McReynolds said in a Nov. 11 statement. “While our third-quarter results improved on prior quarter trends and reflected strides in our emerging businesses, we remain focused on returning ABF Freight to its historic profitability.”
ABF Freight’s income excluding taxes and interest more than doubled in the third quarter to $17.2 million from $8.5 million. The logistics and expedited businesses, including Panther Expedited Services, boosted profit on that basis to $6.3 million from $3.8 million.
The LTL unit’s revenue rose 4.6% to $471 million and the operating ratio improved to 96.3 from 98.1. Revenue rose faster at the expedited unit, climbing nearly 20% to $162.1 million, where the operating ratio was 95.3, compared with 98.7 in the year-earlier quarter.
Arkansas Best said the results included 4 cents per share in pension-related charges and 2 cents per share in a tax benefit.
The company also said its lawsuit against the Teamsters union and YRC Worldwide Inc. has been dropped after multiple setbacks in federal courts.
Arkansas Best Corp. ranks No. 12 on the Transport Topics Top 100 list of U.S. and Canadian for-hire carriers.
