Celadon books higher revenues, profits

April 19, 2005
Celadon books higher revenues, profits

Indianapolis-based truckload conglomerate Celadon Group said its revenues and profits increased during the third quarter of fiscal 2005, with operating revenues increasing 9.8% to $108.5 million and net income increasing to $2.7 million from $1.4 million compared to the same period during fiscal 2004.

For the first nine months of fiscal 2005, Celadon said its operating revenue increased 9.7% to $319.8 million, with net income rising to $8.3 million from a loss of $2.6 million compared to fiscal 2004.

Chairman & CEO Steve Russell said that the carrier’s effort to create a more diverse pool of freight from a wider mix of customers played a major role in keeping revenues and profits up during March, which is typically the slowest freight month of any year.

“We diligently shifted to a broader mix of freight, which has resulted in no single customer representing more than 5% of our revenue,” he said. “Revenue with our largest customer was reduced by over 50% compared to March 2004 and, excluding this customer, revenue from all other customers increased by 16%.”

Russell added that Celadon has been able to generate rate increases through a better mix of freight and customer specific rate increases, while average revenue per total mile increased 7.5% to $1.324 from $1.232 during fiscal 2004. Though Celadon’s fuel costs increased by over 45 cents per gallon, he said the company offset higher fuel costs via its fuel surcharge structure.

Voice your opinion!

To join the conversation, and become an exclusive member of FleetOwner, create an account today!

Sponsored Recommendations

Boost truck leasing profits with telematics insights! Reduce maintenance costs, improve uptime, and strengthen customer relationships. Learn how data drives success.
This free guide outlines simple steps for hiring and onboarding commercial drivers while ensuring that you meet Regulation Part 391 and maintain fully compliant driver qualification...
Ready to boost fleet efficiency by up to 50%? Learn how AI-powered dispatch and next-gen tech are transforming TMS workflows, improving driver planning, and streamlining operations...
Gain a strategic edge in today’s evolving fleet landscape. Join us to explore how fuel cards are helping fleet managers cut costs, enhance control, and prepare for an electrified...