Indianapolis-based truckload operation Celadon Group Inc., has made a positive U-turn in its third quarter financial estimates, predicting profits instead of just breaking even. Celadon said it now anticipates earnings per share in the 2- to 4-cents range, compared with analyst predictions that it would only break even. This compares with a loss of 6-cents in the third quarter of 2000, Celadon added.
The carrier also said that northbound crossings from Mexico and southbound crossings from Canada have not experienced any material delays related to the 100% inspection of trailer cargoes by U.S. Customs.
"Our truck miles are up over 4% from last year. We believe that relates to the broadening of our customer base and the reduction in industry capacity, which has more than offset the slower economy," said Steve Russell, Celadon’s CEO. "Additionally, lower fuel consumption per mile, as a result of installation during the winter of the Qualcomm Sensortrac fuel monitoring devices, has contributed to the improved results."
Russell added that decreased deadhead, improved lane-flow planning and the implementation of selected rate increases has resulted in an improved total rate per mile, and that declines in fuel prices over the last two weeks are helping as well.
Celadon specializes in providing long-haul truckload service from the United States and Canada to and from locations in Mexico. It currently operates some 2,400 linehaul tractors and 6,800 van trailers.