Universal Truckload says 2Q profit down 62.7%

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Universal Truckload Services on Thursday, July 23, announced financial results for the 13 weeks and 26 weeks ended June 27.

For the 13-week period, operating revenues decreased 39.9 percent, or $79.5 million, to $119.9 million from $199.4 million for the 13 weeks ended June 28, 2008; included in operating revenues are fuel surcharges of $7.4 million and $29.6 million for the second quarters of 2009 and 2008, respectively. Net income decreased 62.7 percent, or $2.2 million, to $1.3 million from $3.5 million; included in net income for the second quarter of 2009 were $0.2 million of after-tax charges for other-than-temporary impairments of marketable equity securities classified as available for sale, compared to $1.4 million of similar charges in the second quarter of 2008.

Universal’s truckload revenue decreased by 36.9 percent to $75.1 million from $119.0 million; included in truckload revenue in the second quarter of 2009 is $1.2 million of revenue from a second-quarter 2008 acquisition. Brokerage revenue decreased by 47.6 percent to $26.1 million from $49.8 million; included in brokerage revenue in the second quarter of 2009 is $0.3 million of revenue from the second-quarter 2008 acquisition. Intermodal revenue decreased by 38.9 percent to $18.7 million from $30.6 million; included in intermodal revenue in the second quarter of 2009 is $0.2 million of revenue from the second-quarter 2008 acquisition.

For the 26-week period, operating revenues decreased 36.4 percent, or $134.6 million, to $234.9 million from $369.6 million for the 26 weeks ended June 28, 2008; included in operating revenues are fuel surcharges of $15.3 million and $48.9 million for the first two quarters of 2009 and 2008, respectively. Net income decreased 78.9 percent, or $5.4 million, to $1.4 million from $6.8 million; included in net income for the first half of 2009 were $0.7 million of after-tax charges for other-than-temporary impairments of marketable equity securities classified as available for sale, compared to $1.4 million of similar charges in the first half of 2008.

Universal’s truckload revenue decreased by 34.1 percent to $143.8 million from $218.2 million; included in truckload revenue in the first half of 2009 is $2.7 million from the second-quarter 2008 acquisition. Brokerage revenue decreased by 42.6 percent to $53.9 million from $93.9 million; included in brokerage revenue in the first half of 2008 is $0.6 million from the second-quarter 2008 acquisition. Intermodal revenue decreased by 35.1 percent to $37.3 million from $57.4 million; included in intermodal revenue in the first half of 2009 is $0.8 million from acquisitions completed in the first half of 2008.

“Although revenue volumes remain low, we are pleased with the hard work of all of our employees, agents and owner-operators to help control costs and improve our level of profitability over the first quarter of 2009,” said Don Cochran, president and chief executive officer of Warren, Mich.-based Universal Truckload. “We must continue to focus on retaining market share and growth through strategic acquisitions, while also continuing to control costs.”