Dan Cushman, president and CEO of PAM Transport, at his office in Tontitown: “I have to focus on what we do and do it well.”
PAM Transport Services Inc. of Tontitown reported third-quarter income of $3.4 million, down from $5.8 million in the same quarter of 2015.
Revenue was up to $109.4 million from $107.1 million in the third quarter of 2015. Fuel surcharge revenue was again down because of lower diesel prices as it dropped to $13.5 million from $15.0 million.
Earnings per share was 53 cents, down from 80 cents in the same quarter of 2015.
“We continued to be challenged by many of the same hurdles that others in our industry are currently facing,” CEO Dan Cushman said. “Our situation can be summarized as the inability to increase freight rates to cover increasingly higher operating costs.”
PAM saw growth in the third quarter as miles increased from 56.3 million to 60.8 million and total loads increased from 79,864 to 81,006. PAM trimmed its company driver roll from 1,410 to 1,315 but increased its independent contractors from 422 to 567 for an overall increase of 50, from 1,832 to 1,882.
“We continue to stand by our decision to push for revenue growth in what we knew would be a very challenging year,” Cushman said. “Rather than hold our fleet size, or even downsize, we chose to grow our fleet.”
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