American Commercial Lines sees profits dip as revenues rise
American Commercial Lines Inc., the Jeffersonville, Ind.-based barge company, said its second quarter net income fell sharply to $5.9 million from $17.7 million in the year-earlier period.
Revenue improved to $261.2 million from $212.6 million in the same 2006 period.
“As previously announced, our second quarter was affected by further declines in our spot grain rates and grain loadings, in addition to lower than planned manufacturing results,” said Mark R. Holden, president and chief executive officer.
“We believe our results for the second quarter reaffirm our organic growth strategy of shifting more of our commodity mix away from volatile and seasonal spot grain commodities toward more ratable, predictable commodities, including liquids and coal,” Holden said.
He also said the company was “pleased with the completion of our share repurchase program of $200 million of company stock, representing approximately 12 percent of the previously outstanding share total, while maintaining a strong balance sheet.”