SAN MATEO, Calif., July 23 /PRNewswire-FirstCall/ -- Con-way Inc. (NYSE: CNW) today reported net income to common shareholders for the second quarter of 2009 of $31.5 million (after preferred stock dividends), or 64 cents per diluted share. The results compared to second-quarter 2008 net income to common shareholders (after preferred stock dividends) of $48.7 million, or $1.02 per diluted share. The 2008 second-quarter net income included a net gain from discontinued operations of 4 cents per diluted share....
Revenue in the 2009 second quarter was $1.06 billion, a decrease of 21.2 percent from last year's revenue of $1.34 billion. Operating income in the 2009 second quarter was $66.0 million, a decrease of 30.5 percent compared to $94.9 million earned in the second quarter a year ago.
...Con-way Truckload continued to manage effectively through a difficult market for full-truckload services. "The volume of shipper bid activity moderated from what we saw in the first quarter but weak demand and over-capacity kept pricing under pressure," Stotlar noted. "Our truckload unit took steps in the quarter to right-size its fleet, selling 195 older tractors and aligning its resource base closer to market demand. Con-way Truckload remains well positioned as a premium service provider with sound operations, a loyal customer base and excellent cost controls."
...
TRUCKLOAD
For the second quarter of 2009, Con-way Truckload, the company's full-truckload transportation operation, reported:
-- Operating income of $6.9 million, a 44.7 percent decline from last
year's operating income of $12.4 million. Results included an asset
disposition loss of $2.5 million from the sale of 195 tractors as fleet
capacity was realigned for market conditions, and a $1.0 million
write-down related to the 2007 CFI acquisition.
-- Revenue of $89.8 million was down 34.6 percent compared to 2008 revenues
of $137.4 million. The quarterly revenue reflects the elimination of
inter-company revenues of $53.5 million in 2009 and $44.2 million in
2008. The truckload market continued to experience soft demand
exacerbated by excess capacity.
-- Operating ratio on revenue, before inter-company eliminations and
exclusive of fuel surcharges, was 94.7 compared to last year's
operating ratio of 90.6.
Like I said earlier in the month, "It ain't bad but it could be better."
Forty four point seven percent down feels like the end of the world some weeks but at least there is a paycheck coming in every week. The suits at my company are really trying hard to keep all the moving parts moving together and doing a remarkable job.
Many of my kind are simply out of work.
2nd UPDATE: UPS 2Q Income Dn 49%; Sees 3Q Earnings Below Views
And, there might be light at the end of the tunnelFreight volume: Tough times may be receding
Jul 24, 2009 3:26 PM, By Sean Kilcarr, senior editor
Though the slump in freight volume is expected to continue for the rest of the year, many transportation providers believe the toughest stretch may now be in the rearview mirror. And if the downturn removes weaker competitors from the playing field, some companies believe that may open up opportunities for growth and market share gains. ...
Just a glimmer but light all the same.
