The parent to trucking companies Quality Carriers and Boasso America saw its first quarter income drop by 66%.
Quality Distribution had net income of $3.1 million, or 11 cents per diluted share, compared to net income of $9.1 million, or 34 cents per diluted share, for the first quarter of 2013.
Consolidated revenue for the Florida-based operation in the first quarter of 2014 was $234.5 million, an increase of 2.2% versus the same quarter last year. Excluding fuel surcharges, revenue for the first quarter of 2014 increased $5.3 million, or 2.7%, compared to the prior-year period.
"Each of our business segments performed well this quarter once weather conditions improved, resulting in adjusted earnings that met the high end of our expectations," stated Gary Enzor, chairman and CEO.
Revenues in the chemical logistics segment were $158.8 million in the first quarter of 2014, up $6.1 million or 4% versus the first quarter of 2013.
“Excluding fuel surcharges, revenues increased 5%, resulting from higher prices and volumes, which were due in part to the opening of new terminals during the first quarter of 2014,” the company said in a release. “Chemical logistics shipment demand continues to be strong. The company is aggressively broadening its driver recruiting efforts and adding trailer capacity to meet increasing requirements from customers.”
Operating income in the chemical logistics segment was $17.1 million, down $1.4 million versus the comparable prior-year period.
Revenues in the energy logistics segment during the first quarter of 2014 were $38.9 million, down $2.2 million versus the prior-year period. “Transportation revenues were flat due to reduced new drilling activity and adverse weather conditions in the Bakken shale region, which were offset by increased volumes in the Eagle Ford shale region and revenue from new markets,” the company said.
The energy logistics segment reported operating income of $200,000 in the first quarter of 2014, compared to an operating loss of $500,000 in the prior-year period.
First quarter 2014 revenues in the Intermodal segment were $36.6 million, up $1 million or 2.8% versus the prior-year period. Excluding fuel surcharges, revenues for the first quarter increased $800,000 million, or 2.5%, primarily due to increases in transportation revenue.
Operating income in the Intermodal segment was $5.3 million, down $600,000 million versus the prior-year period.
For the second quarter of 2014, Quality expects adjusted earnings per diluted share to be in the range of 18 cents to 22 cents. The company's expectations for the full year 2014 remain unchanged at a range of 70 cents to 80 cents of adjusted earnings per diluted share.
More details are on the Quality Distribution website.