Jan. 28 Earnings Roundup: Swift, Knight, Marten, Celadon, Canadian National Railway
Four of the nation’s largest truckload fleets, including Swift Transportation Co. and Knight Transportation Inc., announced sharply higher quarterly earnings tied to factors such as higher rates and fleet growth.
Net income rose 29% at Swift, Phoenix, to $58.5 million, or 41 cents per share, and revenue increased 6% to $1.14 billion. For example, Swift raised revenue per loaded mile by 6.4%, excluding fuel surcharge.
Knight, also based in Phoenix, reported 64% higher net income of $32.9 million, or 40 cents per share. Revenue climbed 27% to $317.5 million. Revenue per tractor growth rose even faster, 9%, at Knight, also excluding fuel surcharge.
Earnings improved 67% at Celadon Group Inc., Indianapolis, Indiana. Net income reached $8,54 million, or 36 cents and revenue was 15% higher at $222.5 million.
Celadon also was helped by an acquisition as the seated tractor count increased 5.9%. Its revenue per loaded mile was 10% higher.
Marten Transport Ltd., in Mondovi, Wisconsin, raised earnings 23% to $9 million, or 27 cents. Revenue climbed 4.4% to $173.5 million.
On an adjusted basis, Swift’s earnings per share were 55 cents, the company announced.
Swift was helped by improved operational and financial performance at its truckload, refrigerated and intermodal businesses. Its tractor count rose by 875 units, or 5%.
“During the fourth quarter of 2014, the truckload freight environment remained strong while capacity continued to be tight,” said Dave Jackson, CEO at Knight, whose results were helped by the acquisition of Iowa-based truckload carrier Barr-Nunn Transport.
Its fleet size increased 16%, including the effect of the Barr-Nunn purchase.
Celadon’s earnings were for its fiscal second quarter ended Dec. 31.
Marten tied its higher earnings to the addition of 78 trucks, despite the ongoing challenges of finding and retaining drivers. The increase raised capacity about 3%.
Marten’s operating ratio improved to 90.6 from 92.4, also including fuel surcharge.
Swift is No. 7 and Knight is No. 31on the Transport Topics Top 100 list of the largest U.S. and Canadian for-hire carriers. Celadon is No. 44, and Marten is No. 45.
In the rail sector, Canadian National Railway Co.’s earnings rose 33% to C$844 ($742.6 million, or C$1.03.
Revenue was 17% higher at C$3.21 billion but increased just 11% after currency exchange factors were included. The intermodal portion of the Montreal-based railway’s revenue rose 10%.
Its train speeds remained constant in the quarter compared with the 2013 period at a time when overall rail service deteriorated during the period.
