Echo Global Logistics, a provider of technology-enabled transportation and supply chain management services, on Wednesday, May 4, reported financial results for the three months ended March 31. Total revenue of $129.4 million in the first quarter of 2011 increased 45 percent compared to total revenue of $89.1 million in the first quarter of 2010. Net revenue, which represents total revenue less transportation costs, increased 50 percent to $25.5 million compared to $17.0 million. Net income was $2.2 million compared to $1.2 million.
The Chicago-based company said the 2011 first quarter was driven by higher volumes attributable to both an increase in the number of clients served as well as higher volumes per client for its transactional and enterprise clients. Total shipment volume increased by 41 percent.
“This was another strong quarter for Echo, as we continued to drive year-over-year net revenue and net income growth, while also capturing market share gains by leveraging our technology and dedicated service model,” says Doug Waggoner, chief executive officer. “We have been actively reinvesting in the business to achieve our longer-term goals, and our operating margins have steadily improved even as we continue to grow.”
Waggoner said the company’s strong growth and improving profitability in the first quarter positions it well for 2011. “We remain committed to our strategy to invest in growth by expanding our sales force, securing new enterprise clients and making targeted acquisitions that add geographic coverage,” he said. “Our business model continues to perform well, and we are excited about our future prospects.”