Con-way Reports Lower 1Q Profit; Cuts Full-Year Forecast
Con-way Inc. said its first-quarter net income fell to $24.1 million, or 47 cents a share, from $29.6 million, or 57 cents, a year earlier.
Sales rose 20% to $1.2 billion, the carrier said late Wednesday. It also cut its full-year earnings forecast, saying its per-share return from continuing operations would be $3 to $3.40 per share, down from a previous $3.40 to $3.80 projection.
Con-way has primarily less-than-truckload operations via its Con-way Freight unit, and also has a truckload division.
The first-quarter results in both 2008 and 2007 were affected by worse-than-expected winter weather conditions, which reduced earnings per share in both years by 4 cents, the company said in a statement.
Describing the business climate as “lackluster at best,” Chief Executive Officer Douglas Stotlar said, the company was “operating in a challenging and uncertain economic environment, which continues to restrain demand and place pressure on pricing and margins.”
Con-way is ranked No. 6 on the Transport Topics 100 listing of U.S. and Canadian for-hire carriers.
