Trailer Bridge narrows 2nd quarter loss
Jacksonville, Fla.-based Trailer Bridge Inc. on Monday reported a second quarter net loss of $1.9 million, compared to a deficit of $6.5 million in the same period last year.
The U.S./Puerto Rico carrier’s second quarter result was impacted by a one-time $4.7 million non-cash charge related to increasing the valuation allowance on the deferred tax asset as a direct result of its decision to be taxed under the U.S. tonnage tax regime.
Trailer Bridge posted an operating income of $5.3 million in the second quarter, against an operating loss of $6.5 million a year ago when the firm incurred a $9.3 million dry-docking expense. Revenue in the latest quarter improved 18.5 percent to $29.6 million from $25 million driven by a 17.4 percent increase to southbound container volume and a 2.4 percent rise in average revenue per load.
The company’s Jacksonville/San Juan deployed vessel capacity utilization during the second quarter was 87.7 percent to Puerto Rico and 24.9 percent from Puerto Rico compared to 82.9 percent and 27.1 percent, respectively, during the second quarter of 2006.
“We were pleased to see marked improvement in all aspects of our operations in the second quarter, including higher revenues, a stronger operating ratio and volume increases. It is noteworthy that we turned in this strong performance against a market backdrop within the Puerto Rico lane that is generally being characterized as soft,” said John D. McCown, Trailer Bridge’s chairman and chief executive officer.
After six months, Trailer Bridge posted a net loss of $548.089, an improvement over a net loss of $10.8 million in the first half 2006. The company reported a first half operating income of $9 million from an operating loss of $6 million last year. Revenue increased 12.3 percent to $56.4 million, up from $50.2 million.
The company is expanding its network by adding direct calls at Puerto Plata in the Dominican Republic from Aug. 13.
“We intend to grow the company and its earnings by extending the benefits of our unique and differentiated system to more current and new shippers,” McCown said. “We have a superior transportation system and platform with a demonstrated competitive advantage, and I believe that our prospects going forward have never been better.”