FFE profits steady in 2Q

Troubled carrier Frozen Food Express Industries (FFE) stayed profitable in the second quarter, reporting net income of $303,000 compared to $248,000 in the same period last year. For the first half of 2002, however, FFE lost $566,000. The Dallas-based carrier lost $859,000 in the first quarter of this year. FFE said revenue from freight operations rose by 1.5% during the second quarter, but a 50%

Troubled carrier Frozen Food Express Industries (FFE) stayed profitable in the second quarter, reporting net income of $303,000 compared to $248,000 in the same period last year.

For the first half of 2002, however, FFE lost $566,000. The Dallas-based carrier lost $859,000 in the first quarter of this year.

FFE said revenue from freight operations rose by 1.5% during the second quarter, but a 50% decline in fuel surcharge revenue to $1.5 million resulted in a $217,000 decline in total freight revenue. Non-freight revenue declined in the second quarter to $4.1 million compared to $14.1 million in the same period last year, largely because FFE sold the majority of its non-freight operations in December of last year to raise cash.

The company has struggled over the last two years as declining freight volumes and rising fuel prices hurt its ability to generate profits. However, cost-cutting initiatives and the sale of its non-freight business helped reduce those losses.

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