Non-asset based trucking and logistics provider Radiant Logistics Inc. managed to triple its net income during the most recent quarter, but it was still just barely in the black.
The Washington-state-based company reported a fiscal second quarter profit of $839,000 for the period ending Dec. 31, compared to $264,000 a year earlier.
Revenue increased to $105.9 million, up 25.9%, compared to $84.1 million for the comparable prior year period.
"We continue to make great progress in executing our growth strategy at Radiant," said Bohn Crain, founder and CEO. "We topped $105 million in revenues this quarter, a new milestone for the company. As a reminder, we also made significant progress in one of our organic growth initiatives, adding six new operating locations from four different competing networks in recent months.”
In January the company announced its planned acquisition of Wheels Group Inc., one of the largest non-asset based third party logistics providers based in Canada. Wheels provides intermodal and truck brokerage operations in the U.S. and Canada. Radiant said it will bring significant geographic and service line expansion to complement the company's freight forwarding operations.
The cash and stock transaction is valued at CA$95 million and is expected to close early in the second calendar quarter of 2015, subject to regulatory and other approvals needed.
Radiant also provided preliminary guidance for its fiscal year ending June 30, 2016 with revenue of between $775 million and $825 million and net income available to common shareholders in the range of $10.7 million to $13 million, or 26 cents to 32 cents per fully diluted share.
“Through the Wheels acquisition we will effectively have three platforms from which we can continue to complete tuck-in acquisitions; our legacy forwarding operations based in Bellevue, Washington, our bi-modal brokerage operations based in Chicago, and our Canadian platform based in Toronto,” said Crain. “We will continue to cultivate acquisition opportunities across each of these platforms and based on our current pipeline expect to achieve run-rate revenues approaching $1 billion in calendar 2015.”