Integrated Freight Corp. on Tuesday, July 19, announced revenues for the 2011 fiscal year ended March 31 increased 8.6 percent to $18.8 million for the fiscal year ended March 31, 2010, due to the increase in freight revenue in correlation to the improving U.S. economy, the application of fuel surcharges and rate increases by the company and organic growth within the fleet.
The Sarasota, Fla.-based company reported a net loss of $7.7 million compared to a net loss of $3.1 million primarily attributable to higher general and administration costs as well as a noncash reserve of $1.8 million to cover any potential liabilities related to the discontinuation of one of its operations during the fiscal year.
“Our top-line results for the year reflect the successful execution of our strategy in building our revenues and infrastructure,” said Paul Henley, chief executive officer of Integrated Freight. “We made significant progress in 2010 and 2011 as we moved toward adding our fourth acquisition, Cross Creek Trucking, and executed new LOI agreements with multiple target companies.”
Henley said that notwithstanding Integrated Freight’s operating losses, it continues to increase its revenue run rate and is working to achieve increased cost savings through elimination of overlapping lanes and equipment, reducing costs by streamlining redundant tasks and lowering overall fleet maintenance expenses through nationwide service contracts. “We have invested in state-of-the-art technology systems that allow our network of companies to become strong together, helping us to become even more efficient and lower costs,” he said.
Henley said the launch of the company’s new freight brokerage service in March, Integrated Fright Services, is allowing it to increase its revenue capture and effective carrier capacity by connecting customers and outside shipping partners.
“This is an exciting time in our industry,” he said. “The increase in demand we are experiencing from the recovery in the U.S. economy bodes well for the fundamentals of our business. Pricing is firming up, and improvements in freight shipments from the resumption in business and consumer activity are taking place as capacity in our industry remains fairly tight. We are continuing to maintain and increase our positions in consolidating markets to take advantage of this backdrop and acquiring quality transportation companies at deep discounts as we position and grow the business.”