USA Truck Rebuffs Celadon, Reports Wider 3Q Loss

by Arkansas Business Staff  on Friday, Oct. 21, 2011 7:34 am  

Base revenue rose 1.9 percent to of $102.6 million for the quarter.

Cliff Beckham, president and CEO, said the company faced several challenges, including a continued driver shortage and the final steps of implementing a new software system.

"Our business environment was softer than in the second quarter. We felt a modest step-down in overall freight demand in our markets, which we attribute to slower growth in the U.S. economy," he said. "In addition, we began phasing out service on two major accounts, one due to the end of a project and one due to inadequate pricing. In a softer overall freight market, we had fewer opportunities to replace all of this business with high-quality freight.

"Industry-wide, we believe freight demand and trucking capacity are in relative equilibrium, but the spot market is less robust than during the second quarter. This contributed to a reduction in overall miles and an increase in our percentage of non-revenue miles."

 

 

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