LTL carrier Roadway Corp. said its net income dropped 24.6% in the third quarter of 2001 compared to the same period last year. Roadway, based in Akron, OH, posted net income of $8.1 million or $0.43 per share for its third quarter, which ended September 8, compared to net income of $10.8 million or $0.57 per share in the third quarter of 2000. Revenues for the third quarter of 2001 dropped as well, falling 9.6% to $631.6 million from revenues of $698.8 million in the third quarter of 2000.
For Roadway’s first three quarters, the carrier said net income dropped 44.8% to $17.1 million or $0.91 per share, from net income of $31.1 million or $1.64 per share for the same period in 2000. For the first three quarters of 2001, revenues totaled $1.92 billion, a decrease of 7.6% when compared to revenues of $2.08 billion for the first three quarters of last year.
In the third quarter, Roadway said total tonnage was down 13.2% from third quarter 2000 levels. LTL tons were down 13.2% and truckload tonnage was down 13.1%. Revenue per ton for the quarter increased 4.1% and operating expenses per ton rose 4.6% over 2000, the carrier said.
“While pricing remained firm during the quarter, softness in the general economy reduced our tonnage levels slightly more than we anticipated,” said Michael W. Wickham, chairman & CEO.
However, Wickham added that, despite the recent attacks on New York and Washington and current business levels, Roadway’s strategic direction remains unchanged. The acquisition of Arnold Industries by Roadway is moving ahead as planned, and Roadway Express will continue its emphasis on maintaining core business, while developing its higher-yielding regional, super-regional and specialty services.