Roadway Posts Higher Profits

Related Stories To get the latest news and stock quotes for Roadway Express and other publicly traded trucking companies, see the NEW Transport Topics Trucking Stock Index. (Note: To return to this story, click the "Back" button on your browser.)

Roadway Express, Akron, Ohio, said profits rose 20% in the first quarter of 1999 although revenue and tonnage were both down compared to the same period a year ago.

Chairman Michael W. Wickham said the results are the best since 1992 and reflect the company’s success in controling costs, improving yields and better managing freight mix.

Roadway earned $7.9 million, or 42 cents per diluted share, on revenue of $605.3 million in the 12 weeks ended March 27, 1999, compared with net income of $6.6 million (32 cents) on revenue of $621.7 million in 1998.

Total tonnage declined 4.2% in the 1999 quarter, in part, because the quarter contained one less business day, the company said.

Operating expenses declined 3.1% due to reductions in nearly all costs areas, especially in operating supplies, insurance and claims costs, Roadway said.

Wickham said the company will continue to develop new services, such as its new two-day regional metro service in the West, to leverage its network and attract more profitable business.

For the full story, see the April 19 print edition of Transport Topics. Subscribe today.