Truckload conglomerate Swift Transportation Co. watched its revenues and earnings rise on the fourth quarter of 2001. However, despite increasing revenue in 2001, revenues and earnings slipped for the year compared with 2000.
Phoenix-based Swift said its revenues for the fourth quarter of 2001 increased 3.3% to $530.7 million, compared with $513.7 million for the same quarter in 2000. Net earnings climbed to $13 million in the quarter, compared to $11.5 million for the fourth quarter of 2000. Swift added that its fourth quarter results include the benefit of a $1.6 million non-cash pre-tax adjustment for the reduction in market value of agreements with subsidiary M.S. Carriers, which it purchased in 2000.
For 2001, Swift said its revenues increased 7% to $2.1 billion, up from $1.97 billion in 2000. The transfer of logistics business to Transplace.com, an Internet-based logistics company owned by Swift and four other truckload carriers, affected revenues for 2001, however. Excluding approximately $43 million of logistics revenue for 2000, Swift said its revenues would have increased 9.4% this year.
Swift said, however, that its net earnings dropped to $27.2 million for 2001, down significantly from $68.9 million in 2000. The carrier added that its 2001 results included a $10.5 million non-cash pretax adjustment for losses at Transportes EASO, one of the largest intra-Mexico truckload carriers. Swift's subsidiary M.S. Carriers holds a stake in Transportes EASO. Swift added that it included a $7 million pretax adjustment of the M.S. Carriers insurance and claims reserves and $2 million in merger expenses for its 2001 results.