Werner reports revenue, higher earnings

Operating revenue at Werner Enterprises, Omaha NE, increased 3% to $312.6 million for the first quarter 2002 ending March 31, 2002, compared with $304.6 million for the same period of 2001. Net income rose 12% to $10.6 million for the period up from $9.5 million in the same period of 2001. Earnings per share were 16 cents per share for first-quarter 2002 compared with 15 cents per share for first-quarter 2001. Werner is one of the largest truckload carriers with extensive operations with dry vans, flatbeds, and refrigerated equipment.

Freight volume was lower in January 2002 compared with 2001; however, volume improved modestly in February 2002. Until freight volume improves to support rate increases, operating margins and return on assets are likely to be lower than those realized before 2000, Werner says.

Truckload carriers continue to face a negative environment characterized by low used-truck values, rising insurance rates, restrictive lending for new equipment, and pending new regulations on diesel engine exhaust emissions. However, Werner reports that pricing for its used trucks has stabilized in recent months.