Saia reports higher 4Q revenues, net income

user-gravatar

Saia Inc. on Tuesday, Jan. 31, reported revenues for the 2011 fourth quarter were $253 million, an increase of 13 percent from the prior-year period. Operating income increased to $6.2 million compared to $1.8 million, while net income was $2.5 million compared to $705,000.

Less-than-truckload tonnage increased by 1.5 percent as LTL shipments per workday were down 1.2 percent with a 2.8 percent increase in weight per shipment. LTL yield was up 11.0 percent due to the impact of favorable pricing actions and higher fuel surcharges.

“We continue to leverage our excellent service in the improved industry environment, which has allowed us to again advance pricing initiatives across our customer base,” said Rick O’Dell, president and chief executive officer of the Johns Creek, Ga.-based company. “We attained solid increases in contract renewals during the quarter from customers who value Saia’s service quality. Our focus remains on yield improvement, and I believe these steady increases will continue.”

O’Dell said Saia’s fourth-quarter results were impacted by higher costs from health care and maintenance. “Quarterly results were further unfavorably affected by higher accident severity and workers’ compensation expense, including an adjustment for claim development,” he said. “In spite of cost challenges, we continue to improve financial and operational results. Our balance sheet is strong, and we are making significant investments in our business to provide a solid foundation for additional progress in 2012.”

For the full year of 2011, revenues were $1.0 billion compared to $903 million in the prior year, an increase of 14 percent. Operating income was $28.1 million compared to $12.1 million, while net income was $11.4 million compared to $2.0 million. Operating ratio was 97.3 compared to 98.7.