Yellow Sees Low Earnings for First Quarter
“On an apples-to-apples comparison of actual operating results, we delivered a respectable performance in the first quarter, given the dramatic slowdown in the economy,” said Bill Zollars, Yellow Corp.’s chairman, president & CEO.
Yellow said its per share earnings were $0.22, before a $5.4-million charge for the integration of its WestEx, Action Express and Saia Motor Freight Line subsidiaries dropped those earnings down to $0.07 per share. By contrast, earnings per share in the first quarter of 2000 were $0.41
However, in the first quarter of 2000, the Kansas-based company noted a then-active fuel contract hedging program added $6.8 million in operating income, or $0.17 per share. When excluding the fuel hedge from first-quarter 2000 results, earnings per share were $0.24, versus $0.22 in the current quarter, before the $5.4-million charge was included, the carrier said.
Yellow’s operating revenue for the first quarter was $832 million, down slightly from $882 million in the 2000 first quarter. Consolidated operating income also declined, reaching $18.4 million, compared with $25.1 million in the 2000 first period. However, excluding the fuel hedge, operating income was $18.3 million for the first quarter of 2000, Yellow noted.
On a per-day basis, Yellow’s first quarter revenue was down 5.1% over the prior year period. LTL tonnage per day for the quarter was down 12.6%, while shipments per day were down 12.3%. Pricing yields, however, remained strong as LTL revenue per hundred-weight was up 8.6%from the 2000 first quarter.
