Most Fleets, Logistics Firms Record Weaker 1Q Earnings
Five more trucking and logistics companies have announced weaker results, capping a first-quarter earnings season when the slow freight market led more than two-thirds of publicly traded companies to produce lower results year-over-year.
XPO First-Quarter Loss Narrows Slightly; Expeditors Profit Declines
XPO Logistics slightly reduced its first-quarter loss, excluding one-time costs, to $9.8 million, or 8 cents per share, while earnings slipped 9% to $96.6 million, or 53 cents, as airfreight and ocean forwarding results weakened.
Truckload Driver Turnover Climbs
Turnover at smaller truckload fleets leaped 21 percentage points in the fourth quarter of 2015, while churn at larger carriers reached even more elevated levels in spite of lackluster freight demand, American Trucking Associations reported last week.
Major Logistics Firms Post Higher 1Q Profits
Quarterly earnings reports last week were divided between four logistics operators that reported improved operating results and four truckload fleets whose profits fell due to pressure on rates and minimal freight shipment growth.
Trucking Companies Continue to Report Weaker Results
Earnings performance generally was weaker at the five companies that announced earnings on April 27 in a freight market described by one of the reporting companies as “difficult.”
NLRB Action Claims Intermodal Bridge Transport Misclassified Drivers
Intermodal Bridge Transport, a nationwide port trucking company, is facing a formal National Labor Relations Board action that could become a precedent-setting case involving claims the company misclassified its Southern California drivers as independent contractors.
March Tonnage Increases 2.2% Amid Slow Economic Growth
Truck tonnage rose 2.2% in March on a year-over-year basis, reflecting slow economic growth and mixed freight trends, American Trucking Associations reported.
Difficult Freight Market Hurts Truckload Earnings
The initial round of first-quarter truckload earnings sounded a negative note, with three of four large carriers reporting weaker results in a tough freight environment.
Forward Air, Marten Earnings Rise, But Profit Slips at Swift
Expedited carrier Forward Air Corp. and refrigerated fleet Marten Transport Ltd. reported higher earnings as the parade of first-quarter truckload results continues, but Swift Transportation Co. net income dipped amid continuing pressure in the dry van freight market.
Fleet Failures Rise Sharply
Fleet failures rose sharply in the first quarter as slackening demand, stagnant freight rates and other factors sidelined 3,585 trucks, about three times more than the same quarter last year as well as the final three months of 2015, according to a new Avondale Partners report.