Troubled car hauler Allied Holdings turned a profit for the first time in two years, posting net income of $2.1 million on revenue of $239 million, compared to a net loss of $5.7 million on revenues of $250.2 million last year.
President & CEO Hugh Sawyer said Allied's revenues declined largely as a result of exiting several markets and selling off assets.
But for the first six months of 2002, Allied lost of $3.1 million on revenues of $452.2 million, However, it was an improvement on $24.6 million it lost on $468.4 million in revenue over the same period in 2001.
Sawyer said the company expects to report a net loss in the third quarter because new vehicle production is seasonally lower in the period due to vacation downtime and model changeovers. He added that Allied is still in the midst of a turnaround and at this point in it is difficult to precisely estimate the specific timing or dollar impact of cost-cutting initiatives.