USA Trucks Reports Another Positive Quarter

USA Truck Inc. of Van Buren reported 2018 third quarter income of $3.3 million on Thursday.

The profit represented the fifth consecutive positive quarter for the trucking company. It was a significant increase from the $400,000 it reported in the same quarter of 2017.

Revenue for the quarter was $132.6 million, up from $114.2 million a year ago. Earnings per share was 40 cents, up from 5 cents in the same quarter of 2017.

The company’s trucking segment generated revenue of $85.5 million, up from $76.4 million a year ago. Total miles dropped from 41.1 million to 38.2 million and the average number of seated tractors dropped from 1,628 to 1,534, but the important metric of revenue per truck per week saw a significant increase to $3,415, compared to $3,007 a year ago.

"We achieved this despite periods of high unseated truck count, related to [original equipment manufacturer] delivery issues and a challenging driver recruitment environment during the quarter," President and CEO James Reed said. "In response to this challenging driver market, we increased driver pay in targeted regions and reengineered our driver pay packages to ensure USA Truck remains an employer of choice for professional drivers. We continue to focus on seating tractors and driving continued year-over-year improvement in base revenue per available tractor per week, through strategic network design and operational efficiencies."

USA Truck announced the acquisition of Davis Transfer Co. of Carnesville, Georgia, on Oct. 18, a company that said it generates about $50 million in annual revenue. USA Truck paid $52.25 million in cash and $750,000 in USA Truck stock for Davis, which has 250 tractors and operates mainly in the southeast.

Todd Davis, the president and CEO of Davis Transfer, was named a vice president for USA Truck. The company said Davis Transfer, which has trucking and logistic divisions, would continue to operate independently as a wholly owned subsidiary.

USA Truck’s logistics division reported quarterly revenue of $47.1 million, up from $37.8 million in the same quarter of 2017. The company said rising revenue in logistics was squeezed, though, by rising costs.