Quality Distribution reported record revenues for the quarter ended Sept. 30 of $170.6 million, a 7.7 percent increase over third-quarter revenues of $158.4 million last year. This represents the 11th consecutive quarterly year-over-year increase in revenues, according to the company.
Revenue for the nine months ended Sept. 30 increased 7.7 percent to $502.8 million from $467.0 million last year. Transportation revenue increased 2.1 percent from the prior-year quarter and by 3.8 percent from the prior nine-month period, driven primarily by rate increases.
“Overall, demand in the quarter ran well below our expectations,” says Jerry Detter, the company’s president and chief executive officer. “While early July is traditionally a soft period, we did not see the usual seasonal recovery until the last week of August. Thereupon, Hurricane Katrina disrupted business in the Southeast in the first two weeks of September. On a positive note, beginning with the third week of September and continuing into October, demand has been very strong. In fact, the company has experienced all-time record levels of billed revenue in the last three weeks of October.”
Net income for the quarter was $50,000 as compared with net income of $2.8 million in the third quarter of last year.
Headquartered in Tampa, Fla., Quality Distribution — through its subsidiary, Quality Carriers, and TransPlastics, a division of Quality Carriers, and through its affiliates and owner-operators — manages about 3,500 tractors and 7,400 trailers. The company provides bulk transportation and related services.