Vitran records 3Q $3.4M net loss from continuing ops

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Vitran

Vitran Corp. on Monday, Oct. 31, reported an 18.4 percent increase in revenue to $206.2 million for the third quarter ended Sept. 30 compared to $174.1 million for the third quarter of 2010, while consolidated revenue increased 17.0 percent. Vitran recorded a net loss from continuing operations of $3.4 million compared to net income from continuing operations of $1.9 million.

For the nine months ended Sept. 30, Vitran reported a 19.9 percent increase in revenue to $600.4 million compared to $501.0 million for the same period in 2010, while consolidated revenue increased 17.9 percent. Vitran recorded a net loss from continuing operations of $5.9 million compared to net income from continuing operations of $2.2 million.

The Supply Chain Operation posted 26.8 percent revenue improvement, record income from operations of $2.9 million and an operating ratio of 90.2 percent in the third quarter of 2011 compared to income from operations of $2.0 million and an operating ratio of 91.5 percent in the third quarter of 2010.

“We continue to be extremely pleased with both the development and results of our Supply Chain Operation,” said Rick Gaetz, president and chief executive officer of the Toronto-based company. “SCO generated record revenue and operating income in the current quarter. Sacramento was successfully opened in September 2011, and we expect to open two additional facilities in the first half of 2012.”

The less-than-truckload segment saw revenue improvement of 17.1 percent to $176.4 million for the third quarter of 2011 compared to revenue of $150.7 million in the third quarter of 2010. Loss from operations was $2.9 million compared to income from operations of $3.0 million. Negatively impacting operating results was a quarter-over-prior-year-quarter increase in U.S. healthcare and workers’ compensation expense of more than $1.5 million. In the comparable third quarters, shipments and tonnage improved 8.3 percent and 9.2 percent, respectively, in the combined LTL segment.

“The LTL segment is much the same as the second quarter of 2011, with strong results in Canada and weaker results in the U.S. operations,” Gaetz said. “The service offering in the U.S. is once again strong. Despite U.S. LTL tonnage growth of 14.1 percent, our infrastructure requires density improvements combined with continued yield improvement and operating efficiency gains. Our principal focus is on the improvement of results in our U.S. LTL operation.”