P.A.M. Transportation Services, Inc. a TL carrier, reported its first quarter net income fell 27.9% to $2.03 million, while revenues rose 10.7% to $77.7 million.
“A large share of the10.7% increase in revenue is derived from the truck side even though utilization was hampered at times by severe weather conditions,” said president Robert Weaver.
However, rising fuel prices and higher equipment costs had a negative impact on profits, the company noted. Operating expenses rose 13.3%, with operating supplies— which includes fuel costs— increasing 12.5% to $15.9 million. The cost of rented/purchased transportation jumped 39% to $9.7 million.