Universal Truckload Services, Inc. Reports Revenue and Net Income for the Thirteen Weeks and Twenty-six Weeks Ended June 30, 2012

Jul 26, 2012, 06:00 ET from Universal Truckload Services, Inc.

WARREN, Mich., July 26, 2012 /PRNewswire/ -- Universal Truckload Services, Inc. (NASDAQ: UACL) today announced financial results for the thirteen weeks and twenty-six weeks ended June 30, 2012.

For the thirteen weeks ended June 30, 2012, operating revenues increased 2.8%, or $5.1 million, to $185.1 million from $180.0 million for the thirteen weeks ended July 2, 2011, and our operating ratio improved 70 basis points to 95.9% for the thirteen weeks ended June 30, 2012 from 96.6% for the thirteen weeks ended July 2, 2011.  Included in operating revenues are fuel surcharges of $24.3 million and $25.0 million for the thirteen weeks ended June 30, 2012 and July 2, 2011, respectively.  Income from operations increased by 22.9%, or $1.4 million, to $7.5 million for the thirteen weeks ended June 30, 2012 from $6.1 million for the thirteen weeks ended July 2, 2011, and net income increased by $1.1 million, to $5.0 million, or $0.32 per basic and diluted share, for the thirteen weeks ended June 30, 2012, from $3.9 million, or $0.25 per basic and diluted share, for the thirteen weeks ended July 2, 2011.  Included in net income for the thirteen weeks ended June 30, 2012 were $0.3 million, or $0.02 per basic and diluted share, of after-tax gains on the sales of marketable securities classified as available for sale.

Universal's truckload revenue for the thirteen weeks ended June 30, 2012 decreased by 0.7% to $110.0 million from $110.8 million in the corresponding period of 2011.  Brokerage revenue for the thirteen weeks ended June 30, 2012 increased by 9.2% to $46.0 million from $42.2 million in the corresponding period of 2011.  Intermodal revenue for the thirteen weeks ended June 30, 2012 increased by 7.6% to $29.0 million from $27.0 million in the corresponding period of 2011.  Included in intermodal revenue for the thirteen weeks ended June 30, 2012 is $1.1 million of revenue from our acquisition completed in the second quarter of 2012.

For the twenty-six weeks ended June 30, 2012, operating revenues increased 6.9%, or $23.3 million, to $360.9 million from $337.6 million for the twenty-six weeks ended July 2, 2011, and our operating ratio improved 70 basis points to 96.4% for the twenty-six weeks ended June 30, 2012 from 97.1% for the twenty-six weeks July 2, 2011.  Included in operating revenues are fuel surcharges of $46.3 million and $42.9 million for the twenty-six weeks ended June 30, 2012 and July 2, 2011, respectively.  Income from operations increased by 29.7%, or $2.9 million, to $12.9 million for the twenty-six weeks ended June 30, 2012 from $9.9 million for the year ended July 2, 2011, and net income increased by $1.8 million, to $8.6 million, or $0.55 per basic and diluted share, for the twenty-six weeks ended June 30, 2012, from $6.8 million, or $0.44 per basic and diluted share, for the twenty-six weeks ended July 2, 2011.  Included in net income for the twenty-six weeks ended June 30, 2012 were $0.5 million, or $0.03 per basic and diluted share, of after-tax gains on the sales of marketable securities classified as available for sale compared to $0.5 million, or $0.04 per basic and diluted share, for the twenty-six weeks ended July, 2 2011.

Universal's truckload revenue for the twenty-six weeks ended June 30, 2012 increased by 2.9% to $214.1 million from $208.1 million in the corresponding period of 2011.  Included in truckload revenue for the twenty-six weeks ended June 30, 2012 is $1.3 million of revenue from our acquisition completed in the first quarter of 2011.  Brokerage revenue for the twenty-six weeks ended June 30, 2012 increased by 17.0% to $92.4 million from $79.0 million in the corresponding period of 2011.  Included in brokerage revenue for the twenty-six weeks ended June 30, 2012 is $0.7 million of revenue from our acquisition completed in the first quarter of 2011.  Intermodal revenue for the twenty-six weeks ended June 30, 2012 increased by 7.7% to $54.4 million from $50.5 million in the corresponding period of 2011.  Included in intermodal revenue for the twenty-six weeks ended June 30, 2012 is $1.1 million of revenue from our acquisition completed in the second quarter of 2012.

"The second quarter of 2012 proved to be another good quarter for Universal," stated Don Cochran, Universal's President and CEO.  "Our revenue growth in the second quarter of 2012 was driven by an increase in the number of loads hauled and our average revenue per loaded mile for our brokerage and intermodal operations compared to the second quarter of 2011. Excluding fuel surcharges, we were able to improve our operating ratio by 80 basis points and increase our income from operations by $1.4 million or 22.9%.  In addition, excluding the effect of gains on marketable securities, we were able to increase our earnings per share from $0.25 per share in the second quarter of 2011 to $0.30 per share in the second quarter of 2012, a 20.0% increase.  We remain cautiously optimistic about the 2nd half of 2012 and believe we will see an uptick in revenue for the third quarter based on the seasonality of the freight we haul, and will continue to look for ways to improve our profitability in a challenging market."

Universal Truckload Services, Inc. is primarily an asset light provider of transportation services to shippers throughout the United States and in the Canadian provinces of Ontario and Quebec.  The Company's trucking services include both flatbed and dry van operations and the Company provides rail-truck and steamship-truck intermodal support services.  The Company also offers truck brokerage services, which allow us to supplement our capacity and provide our customers with transportation of freight by using third party capacity, and full service international freight forwarding and customs house brokerage services.

Some of the statements contained in this press release might be considered forward-looking statements.  These statements identify prospective information.  Forward-looking statements are based on information available at the time and/or management's good faith belief with respect to future events, and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in the statements.  These forward-looking statements are subject to a number of factors that may cause actual results to differ materially from the expectations described.  Additional information about the factors that may adversely affect these forward-looking statements is contained in the Company's reports and filings with the Securities and Exchange Commission.  The Company assumes no obligation to update forward-looking statements to reflect actual results, changes in assumptions or changes in other factors affecting forward-looking information except to the extent required by applicable securities laws. 

* * * * * * * * * * * * * * *

UNIVERSAL TRUCKLOAD SERVICES, INC.

Unaudited Condensed Consolidated Statements of Income

(In thousands, except per share data)

Thirteen Weeks Ended

Twenty-six Weeks Ended

June 30,

2012

July 2,

2011

June 30,

2012

July 2,

2011

Operating revenues:

Truckload

$

109,980

$

110,798

$

214,101

$

208,111

Brokerage

46,032

42,165

92,415

78,970

Intermodal

29,043

26,998

54,387

50,510

Total operating revenues

185,055

179,961

360,903

337,591

Operating expenses:

Purchased transportation

141,803

139,631

276,873

260,090

Commissions expense

10,551

10,675

20,625

20,581

Other operating expense

4,225

3,235

8,243

6,939

Selling, general, and administrative

14,059

13,223

28,257

25,946

Insurance and claims

3,908

4,189

8,050

8,326

Depreciation and amortization

2,998

2,897

5,966

5,768

Total operating expenses

177,544

173,850

348,014

327,650

Income from operations

7,511

6,111

12,889

9,941

Interest income, net

1

27

13

44

Other non-operating income

669

168

1,173

1,158

Income before provision for income taxes

8,181

6,306

14,075

11,143

Provision for income taxes

3,183

2,371

5,479

4,309

Net income

$

4,998

$

3,935

$

8,596

$

6,834

Earnings per common share:

Basic

$

0.32

$

0.25

$

0.55

$

0.44

Diluted

$

0.32

$

0.25

$

0.55

$

0.44

Weighted average number of common shares outstanding:

Basic

15,494

15,614

15,516

15,623

Diluted

15,494

15,614

15,516

15,623

Dividends paid per common share:

$

$

$

1.00

$

 

UNIVERSAL TRUCKLOAD SERVICES, INC.

 Unaudited Condensed Consolidated Balance Sheets

(In thousands)

June 30,

2012

December 31,

2011

Assets

Cash and cash equivalents

$

226

$

878

Marketable securities

14,201

16,059

Accounts receivable – net

80,750

74,776

Other current assets

15,186

17,627

Total current assets

110,363

109,340

Property and equipment – net

91,516

89,985

Other long-term assets – net

29,892

29,619

Total assets

$

231,771

$

228,944

Liabilities and shareholders' equity

Total current liabilities

$

65,168

$

55,650

Total long-term liabilities

12,347

11,158

Total liabilities

77,515

66,808

Total shareholders' equity

154,256

162,136

Total liabilities and shareholders' equity

$

231,771

$

228,944

 

UNIVERSAL TRUCKLOAD SERVICES, INC.

 Unaudited Summary of Operating Data

Thirteen Weeks

Ended

Twenty-six Weeks

Ended

June 30,

2012

July 2,

2011

June 30,

2012

July 2,

2011

Average number of tractors provided by

owner-operators

Truckload

2,429

2,490

2,421

2,451

Intermodal

689

675

654

665

Total

3,118

3,165

3,075

3,116

Truckload Revenues:

Average operating revenues per loaded mile

$

3.19

2.95

$

3.14

$

2.84

Average operating revenues per loaded mile,

excluding fuel surcharges

$

2.63

2.41

$

2.60

$

2.37

Average operating revenues per load

$

1,130

1,095

$

1,115

$

1,071

Average operating revenues per load, excluding

fuel surcharges

$

934

895

$

924

$

892

Average length of haul (2)

355

372

356

377

Number of loads

97,333

101,193

191,939

194,389

Brokerage Revenues:

Average operating revenues per loaded mile (1)

$

2.57

2.43

$

2.55

$

2.32

Average operating revenues per load (1)

$

1,449

1,401

$

1,445

$

1,357

Average length of haul (1) (2)

565

577

568

586

Number of loads (1)

27,936

26,710

57,126

52,293

Intermodal Revenues:

Drayage (in thousands)

$

24,476

24,612

$

45,710

$

45,516

Domestic Intermodal (in thousands)

$

1,956

$

3,347

Depot (in thousands)

$

2,611

2,386

$

5,330

$

4,994

Total (in thousands)

$

29,043

26,998

$

54,387

$

50,510

Average operating revenues per loaded mile (3)

$

4.53

4.36

$

4.39

$

4.12

Average operating revenues per loaded mile,

excluding fuel surcharges (3)

$

3.65

3.52

$

3.54

$

3.39

Average operating revenues per load (3)

$

304

319

$

293

$

312

Average operating revenues per load, excluding

fuel surcharges (3)

$

244

258

$

236

$

256

Number of loads (3)

80,580

77,048

155,843

146,041

 

(1)

Excludes operating data from Universal Logistics Solutions, Inc., and D. Kratt International, Inc., in order to improve the relevance of the statistical data related to our brokerage services and improve the comparability to our peer companies.

(2)

Average length of haul is computed using loaded miles.

(3)

Excludes operating data from Universal Logistics Solutions, Inc., in order to improve the relevance of the statistical data related to our intermodal services and improve the comparability to our peer companies.

 

SOURCE Universal Truckload Services, Inc.