American Freightways Income Up 57%
January 27, 2000
American Freightways Corp., Harrison, AR, reported big jumps in revenue and earnings for the fourth quarter and all of last year.
For the quarter, operating revenue was nearly $306.5 million, up 20.1 percent from nearly $255.2 million for the same period in 1998. Operating income was nearly $27.3 million, up 53 percent from $17.8 million for the quarter ended Dec. 31, 1998.
For the year ended Dec. 31, 1999, operating revenue was nearly $1.17 billion, up 18.3 percent from $986.3 million. Operating income was nearly $94.4 million, up 56.7 percent from 1998 operating income of $60.2 million.
Management attributes the improved earnings — which occurred throughout the year — to service and productivity improvements and strong demand for less-than-truckload service that resulted in favorable pricing.
The company reported strong customer acceptance of American Flyer, its new standard service that provides next-day deliveries of as much as 600 miles and second-day deliveries of as much as 1,500 miles.