YELLOW 3RD-QUARTER EARNINGS DOWN 53%, ANTICIPATES WORSE 4TH QUARTER
Yellow Corp., based in Overland Park, Kansas, showed a third quarter 2001 net income of $6.5 million, down 53 percent from the $13.9 million reported in the third quarter of 2000.
Consolidated operating revenue was $835 million, down 9.6 percent. Consolidated operating income was $19.2 million, down 56 percent
Bill Zollars, Yellow Corp. chairman, president and chief executive officer said “we did not get the help we anticipated from seasonal shipping trends in offsetting the weak economy. And, while pricing yields were up modestly compared with a year ago, we’re encouraged that pricing has remained reasonably stable in the current business environment.”
“As for the fourth quarter, if current economic trends continue and normal seasonality applies, we anticipate fourth quarter results will be less than those reported in the third quarter,” Zollars said.
For the first nine months of 2001, net income, excluding unusual items, was $18.3 million, down 74.1 percent from the $53.5 million for the year-earlier period.
Consolidated operating revenue for the first nine months of 2001 was $2.49 billion. Operating income for the nine-month period was $56.6 million, down 43.0 percent.
Yellow Freight System, the company’s largest subsidiary, reported third-quarter revenue of $636 million, down 11 percent. Third quarter total tonnage was down 11.1 percent, with less-than-truckload tonnage down 12.2 percent. Revenue per shipment was up 2.6 percent from last year’s third quarter. Revenue per shipment increased 9.8 percent Operating income, before unusual items, was $16.6 million, down from $40 million in the year-earlier period.
At Saia, third quarter revenue was $125 million and operating income was $5.1 million. In the 2000 third quarter, revenue was $122 million, and operating income was $3.6 million. The third quarter operating ratio was 95.9, compared with 97.1 in the year-earlier quarter.
Third quarter revenue at Transportation.com was $7.9 million, and third quarter results reflect an after-tax loss of $1.4 million for ongoing business development expenses.