Transport Corp. Posts Record Revenues, Lower Income
April 26, 2000
Transport Corporation of America, Minneapolis, has announced record revenues for the first quarter 2000 of $72.2 million, representing a 7.5 percent increase over 1999 first quarter revenues of $67.1 million.
First quarter net income, prior to expenses related to a terminated merger, was $1.1 million, compared with 1999 first quarter net income of $2.1 million.
Robert J. Meyers, president and chief executive officer, said he was pleased with the results. "We added several new customers during the quarter, expanding our revenue base. In addition, we reduced our unseated company fleet by over 6% from fourth quarter 1999 levels. While increased fuel costs, net of fuel surcharges, reduced year-over-year pre-tax earnings by approximately $1 million, we were able to increase its fuel surcharge recovery to $2.1 million for the quarter. Given current fuel price levels, we expect to recover a significant portion of the increased cost of fuel in the second quarter."
Transport America opened its own driver training school in the first quarter. The company expects this program, along with its continued relationship with other schools, to add about 40 new students each week.