Attached files
| file | filename |
|---|---|
| EX-99.2 - EXHIBIT 99.2 - FORWARD AIR CORP | exhibit992q32013analyststa.htm |
| 8-K - 8-K - FORWARD AIR CORP | form8-kq32013earningsrelea.htm |
NEWS RELEASE
FORWARD AIR CORPORATION REPORTS
THIRD QUARTER 2013 RESULTS
GREENEVILLE, Tenn.- (BUSINESS WIRE) - October 21, 2013 - Forward Air Corporation (NASDAQ:FWRD) today reported revenue, operating income, net income and diluted earnings per share for the third quarter and nine months ended September 30, 2013.
Operating revenue for the quarter ended September 30, 2013 increased 18.5% to $170.0 million from $143.5 million for the same quarter in 2012. Income from operations was $22.9 million, compared with $19.6 million in the prior-year quarter. As a percent of operating revenue, income from operations was 13.5%, compared with 13.7% in the same quarter last year. Net income during the period was $14.2 million compared to $12.3 million in the prior-year quarter. Income per diluted share for the third quarter of 2013 was $0.46 compared with $0.41 in the prior-year quarter.
Operating revenue for the nine months ended September 30, 2013 increased 9.9% to $471.4 million from $428.9 million for the same period in 2012. Income from operations was $61.1 million, compared with $59.5 million in the prior-year period. As a percent of operating revenue, income from operations was 13.0% for the first nine months of 2013 compared to 13.9% for the same period in 2012. Net income during the period was $38.9 million compared to $36.7 million in the prior-year period. Income per diluted share from operations for the first nine months of 2013 was $1.27 compared with $1.24 in the prior-year period.
Bruce A. Campbell, Chairman, President, and CEO, commenting on the third quarter said, “After a tough second quarter, we saw a very encouraging trend in our airport-to-airport network volumes that improved throughout the third quarter. Our sense is the improved tonnage is driven by a slightly better macro environment as well as share gains resulting from our superior service offering. We are pleased to report that thus far into the fourth quarter this trend has continued.”
Turning to the Forward Air Solutions (FASI) business segment, Mr. Campbell said, “With the integration of new business wins behind us, FASI had a solid performance in the third quarter improving its operating ratio 320 basis points for its best third quarter ever.”
Commenting on Total Quality, Inc. (TQI) business segment, Mr. Campbell said, “While we are pleased with the positive strides made in the integration of TQI, we are anxious to get our new operating system on line. This new system will enable us to glean additional operating efficiencies as well as make the most of new business wins. We anticipate that this new system will be fully operational before the end of 2013.”
In closing, Mr. Campbell said, “As always, I would like to thank the Forward Air team of employees and independent contractors for their dedication and hard work.”
Commenting on the Company's guidance for the fourth quarter, Rodney L. Bell, Senior Vice President and CFO said, “We anticipate that our fourth quarter 2013 revenues will increase in the range of 17% to 21% over the comparable 2012 period. We estimate that approximately 9% of that growth will result from the TQI acquisition. We expect income per diluted share to be between $0.53 and $0.57 per share. This compares to $0.54 per share in the fourth quarter of 2012.”
Review of Financial Results
Forward Air will hold a conference call to discuss third quarter 2013 results on Tuesday, October 22, 2013 at 9:00 a.m. EDT. The Company's conference call will be available online at www.forwardair.com or by dialing 800-230-1059. A replay of the conference call will be available at www.forwardair.com beginning shortly after the completion of the live call.
About Forward Air Corporation
Forward Air Corporation operates three business segments, Forward Air, Inc., Forward Air Solutions, Inc. and Total Quality, Inc.
Forward Air, Inc. is a high-service-level contractor to the air cargo industry providing time-definite ground transportation services through a network of 88 terminals located on or near major airports in the United States and Canada. It provides these services as a cost-effective alternative to air transportation of cargo that must be delivered at a specific time but is relatively less time-sensitive than traditional air freight or when air transportation is not economical.
Forward Air Solutions, Inc. is a provider of pool distribution services. Pool distribution involves the consolidation and shipment of several smaller less-than-truckload shipments to a common area or region. Once at the regional destination, the loads are deconsolidated, then grouped with other shipments with common delivery points, and delivered in a very precise, time-sensitive manner. Our pool distribution network consists of 24 terminals within the mid-Atlantic, Southeast, Midwest and Southwestern United States.
Total Quality, Inc. utilizes industry-leading temperature-controlled equipment, 24-hour monitoring and tracking technology and layered security features to provide our customers with the highest level of service. In addition to our core pharmaceutical services, we provide truckload and less-than-truckload brokerage transportation services. Headquartered in central Michigan, we service the United States, Canada and Mexico.
Forward Air Corporation | |||||||||||||||
Consolidated Statements of Comprehensive Income | |||||||||||||||
(In thousands, except per share data) | |||||||||||||||
(Unaudited) | |||||||||||||||
Three months ended | Nine months ended | ||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | ||||||||||||
Operating revenue: | |||||||||||||||
Airport-to-airport | $ | 100,960 | $ | 96,914 | $ | 288,457 | $ | 290,006 | |||||||
Logistics | 32,562 | 20,878 | 87,474 | 63,315 | |||||||||||
Other | 6,862 | 6,528 | 19,624 | 19,498 | |||||||||||
Pool distribution | 29,649 | 19,194 | 75,841 | 56,102 | |||||||||||
Total operating revenue | 170,033 | 143,514 | 471,396 | 428,921 | |||||||||||
Operating expenses: | |||||||||||||||
Purchased transportation | |||||||||||||||
Airport-to-airport | 42,407 | 40,150 | 118,605 | 119,546 | |||||||||||
Logistics | 22,152 | 15,954 | 59,696 | 47,756 | |||||||||||
Other | 2,039 | 1,822 | 5,707 | 5,252 | |||||||||||
Pool distribution | 8,613 | 5,176 | 22,454 | 14,989 | |||||||||||
Total purchased transportation | 75,211 | 63,102 | 206,462 | 187,543 | |||||||||||
Salaries, wages and employee benefits | 39,165 | 31,698 | 109,149 | 97,408 | |||||||||||
Operating leases | 6,991 | 6,895 | 20,923 | 20,826 | |||||||||||
Depreciation and amortization | 6,220 | 5,425 | 17,377 | 15,940 | |||||||||||
Insurance and claims | 3,290 | 3,098 | 9,164 | 8,132 | |||||||||||
Fuel expense | 3,871 | 2,318 | 10,535 | 7,271 | |||||||||||
Other operating expenses | 12,428 | 11,352 | 36,634 | 32,303 | |||||||||||
Total operating expenses | 147,176 | 123,888 | 410,244 | 369,423 | |||||||||||
Income from operations | 22,857 | 19,626 | 61,152 | 59,498 | |||||||||||
Other income (expense): | |||||||||||||||
Interest expense | (145 | ) | (111 | ) | (401 | ) | (241 | ) | |||||||
Other, net | 27 | (21 | ) | 72 | (6 | ) | |||||||||
Total other expense | (118 | ) | (132 | ) | (329 | ) | (247 | ) | |||||||
Income before income taxes | 22,739 | 19,494 | 60,823 | 59,251 | |||||||||||
Income taxes | 8,542 | 7,227 | 21,941 | 22,544 | |||||||||||
Net income and comprehensive income | $ | 14,197 | $ | 12,267 | $ | 38,882 | $ | 36,707 | |||||||
Net income per share: | |||||||||||||||
Basic | $ | 0.47 | $ | 0.42 | $ | 1.30 | $ | 1.27 | |||||||
Diluted | $ | 0.46 | $ | 0.41 | $ | 1.27 | $ | 1.24 | |||||||
Weighted average shares outstanding: | |||||||||||||||
Basic | 30,374 | 29,088 | 30,017 | 28,895 | |||||||||||
Diluted | 30,986 | 29,660 | 30,677 | 29,484 | |||||||||||
Dividends per share: | $ | 0.10 | $ | 0.10 | $ | 0.30 | $ | 0.24 | |||||||
Forward Air Corporation | |||||||
Consolidated Balance Sheets | |||||||
(In thousands) | |||||||
(Unaudited) | |||||||
September 30, 2013 | December 31, 2012 | ||||||
Assets | |||||||
Current assets: | |||||||
Cash and cash equivalents | $ | 98,551 | $ | 112,182 | |||
Accounts receivable, net | 83,224 | 75,262 | |||||
Other current assets | 18,849 | 10,952 | |||||
Total current assets | 200,624 | 198,396 | |||||
Property and equipment | 270,113 | 239,138 | |||||
Less accumulated depreciation and amortization | 112,514 | 105,581 | |||||
Net property and equipment | 157,599 | 133,557 | |||||
Goodwill and other acquired intangibles: | |||||||
Goodwill | 88,404 | 43,332 | |||||
Other acquired intangibles, net of accumulated amortization | 41,624 | 22,102 | |||||
Total net goodwill and other acquired intangibles | 130,028 | 65,434 | |||||
Other assets | 2,551 | 1,800 | |||||
Total assets | $ | 490,802 | $ | 399,187 | |||
Liabilities and Shareholders’ Equity | |||||||
Current liabilities: | |||||||
Accounts payable | $ | 17,067 | $ | 11,168 | |||
Accrued expenses | 19,490 | 16,476 | |||||
Current portion of debt and capital lease obligations | 92 | 276 | |||||
Total current liabilities | 36,649 | 27,920 | |||||
Debt and capital lease obligations, less current portion | 4 | 58 | |||||
Other long-term liabilities | 9,129 | 7,098 | |||||
Deferred income taxes | 26,576 | 12,440 | |||||
Shareholders’ equity: | |||||||
Common stock | 304 | 292 | |||||
Additional paid-in capital | 102,465 | 64,644 | |||||
Retained earnings | 315,675 | 286,735 | |||||
Total shareholders’ equity | 418,444 | 351,671 | |||||
Total liabilities and shareholders’ equity | $ | 490,802 | $ | 399,187 | |||
(a) Taken from audited financial statements, which are not presented in their entirety. | |||||||
Forward Air Corporation | |||||||
Condensed Consolidated Statements of Cash Flows | |||||||
(In thousands) | |||||||
(Unaudited) | |||||||
Three months ended | |||||||
September 30, 2013 | September 30, 2012 | ||||||
Operating activities: | |||||||
Net income | $ | 14,197 | $ | 12,267 | |||
Adjustments to reconcile net income to net cash provided by operating activities | |||||||
Depreciation and amortization | 6,220 | 5,425 | |||||
Share-based compensation | 1,525 | 1,427 | |||||
Gain on disposal of property and equipment | (185 | ) | 92 | ||||
Provision for (recovery) loss on receivables | (56 | ) | 115 | ||||
Provision for revenue adjustments | 579 | 490 | |||||
Deferred income tax | 1,722 | 1,023 | |||||
Excess tax benefit for stock options exercised | (337 | ) | (148 | ) | |||
Changes in operating assets and liabilities | |||||||
Accounts receivable | (7,458 | ) | (426 | ) | |||
Prepaid expenses and other current assets | 515 | 1,499 | |||||
Accounts payable and accrued expenses | 6,515 | (5 | ) | ||||
Net cash provided by operating activities | 23,237 | 21,759 | |||||
Investing activities: | |||||||
Proceeds from disposal of property and equipment | 617 | 131 | |||||
Purchases of property and equipment | (5,272 | ) | (2,181 | ) | |||
Other | (51 | ) | 80 | ||||
Net cash used in investing activities | (4,706 | ) | (1,970 | ) | |||
Financing activities: | |||||||
Payments of debt and capital lease obligations | (48 | ) | (139 | ) | |||
Proceeds from exercise of stock options | 1,687 | 7,295 | |||||
Payments of cash dividends | (3,057 | ) | (2,937 | ) | |||
Excess tax benefit for stock options exercised | 337 | 148 | |||||
Net cash (used in) provided by financing activities | (1,081 | ) | 4,367 | ||||
Net increase in cash | 17,450 | 24,156 | |||||
Cash at beginning of period | 81,101 | 68,832 | |||||
Cash at end of period | $ | 98,551 | $ | 92,988 | |||
Forward Air Corporation | |||||||
Condensed Consolidated Statements of Cash Flows | |||||||
(In thousands) | |||||||
(Unaudited) | |||||||
Nine months ended | |||||||
September 30, 2013 | September 30, 2012 | ||||||
Operating activities: | |||||||
Net income | $ | 38,882 | $ | 36,707 | |||
Adjustments to reconcile net income to net cash provided by operating activities | |||||||
Depreciation and amortization | 17,377 | 15,940 | |||||
Share-based compensation | 4,619 | 4,550 | |||||
(Gain) loss on disposal of property and equipment | (468 | ) | 259 | ||||
Provision for loss on receivables | 234 | 226 | |||||
Provision for revenue adjustments | 1,705 | 1,417 | |||||
Deferred income tax | 4,658 | 2,460 | |||||
Excess tax benefit for stock options exercised | (3,207 | ) | (354 | ) | |||
Changes in operating assets and liabilities | |||||||
Accounts receivable | (4,262 | ) | (5,599 | ) | |||
Prepaid expenses and other current assets | (1,575 | ) | (1,629 | ) | |||
Accounts payable and accrued expenses | 2,525 | (8,298 | ) | ||||
Net cash provided by operating activities | 60,488 | 45,679 | |||||
Investing activities: | |||||||
Proceeds from disposal of property and equipment | 1,665 | 867 | |||||
Purchases of property and equipment | (33,266 | ) | (20,499 | ) | |||
Acquisition of businesses, net of cash acquired | (45,329 | ) | — | ||||
Other | (111 | ) | (267 | ) | |||
Net cash used in investing activities | (77,041 | ) | (19,899 | ) | |||
Financing activities: | |||||||
Payments of debt and capital lease obligations | (20,351 | ) | (411 | ) | |||
Proceeds from exercise of stock options | 29,866 | 15,740 | |||||
Payments of cash dividends | (9,071 | ) | (7,009 | ) | |||
Common stock issued under employee stock purchase plan | 137 | 119 | |||||
Cash settlement of share-based awards for minimum tax withholdings | (866 | ) | (386 | ) | |||
Excess tax benefit for stock options exercised | 3,207 | 354 | |||||
Net cash provided by financing activities | 2,922 | 8,407 | |||||
Net (decrease) increase in cash | (13,631 | ) | 34,187 | ||||
Cash at beginning of period | 112,182 | 58,801 | |||||
Cash at end of period | $ | 98,551 | $ | 92,988 | |||
Forward Air Corporation | ||||||||||||||||||||
Segment Information | ||||||||||||||||||||
(In millions) | ||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||
Three months ended | ||||||||||||||||||||
September 30, | Percent of | September 30, | Percent of | Percent | ||||||||||||||||
2013 | Revenue | 2012 | Revenue | Change | Change | |||||||||||||||
Operating revenue | ||||||||||||||||||||
Forward Air | $ | 128.8 | 75.8 | % | $ | 124.5 | 86.8 | % | $ | 4.3 | 3.5 | % | ||||||||
FASI | 29.8 | 17.5 | 19.5 | 13.6 | 10.3 | 52.8 | ||||||||||||||
TQI | 12.4 | 7.3 | — | — | 12.4 | 100.0 | ||||||||||||||
Intercompany eliminations | (1.0 | ) | (0.6 | ) | (0.5 | ) | (0.4 | ) | (0.5 | ) | 100.0 | |||||||||
Total | 170.0 | 100.0 | 143.5 | 100.0 | 26.5 | 18.5 | ||||||||||||||
Purchased transportation | ||||||||||||||||||||
Forward Air | 59.9 | 46.5 | 58.1 | 46.7 | 1.8 | 3.1 | ||||||||||||||
FASI | 9.1 | 30.5 | 5.4 | 27.7 | 3.7 | 68.5 | ||||||||||||||
TQI | 6.9 | 55.6 | — | — | 6.9 | 100.0 | ||||||||||||||
Intercompany eliminations | (0.7 | ) | 70.0 | (0.4 | ) | 80.0 | (0.3 | ) | 75.0 | |||||||||||
Total | 75.2 | 44.2 | 63.1 | 44.0 | 12.1 | 19.2 | ||||||||||||||
Salaries, wages and employee benefits | ||||||||||||||||||||
Forward Air | 27.3 | 21.2 | 24.3 | 19.5 | 3.0 | 12.3 | ||||||||||||||
FASI | 10.0 | 33.6 | 7.4 | 37.9 | 2.6 | 35.1 | ||||||||||||||
TQI | 1.8 | 14.5 | — | — | 1.8 | 100.0 | ||||||||||||||
Total | 39.1 | 23.0 | 31.7 | 22.1 | 7.4 | 23.3 | ||||||||||||||
Operating leases | ||||||||||||||||||||
Forward Air | 4.9 | 3.8 | 5.2 | 4.2 | (0.3 | ) | (5.8 | ) | ||||||||||||
FASI | 2.1 | 7.0 | 1.7 | 8.7 | 0.4 | 23.5 | ||||||||||||||
TQI | — | — | — | — | — | — | ||||||||||||||
Total | 7.0 | 4.1 | 6.9 | 4.8 | 0.1 | 1.4 | ||||||||||||||
Depreciation and amortization | ||||||||||||||||||||
Forward Air | 4.2 | 3.3 | 4.3 | 3.4 | (0.1 | ) | (2.3 | ) | ||||||||||||
FASI | 1.3 | 4.4 | 1.2 | 6.2 | 0.1 | 8.3 | ||||||||||||||
TQI | 0.7 | 5.7 | — | — | 0.7 | 100.0 | ||||||||||||||
Total | 6.2 | 3.7 | 5.5 | 3.8 | 0.7 | 12.7 | ||||||||||||||
Insurance and claims | ||||||||||||||||||||
Forward Air | 2.3 | 1.8 | 2.6 | 2.1 | (0.3 | ) | (11.5 | ) | ||||||||||||
FASI | 0.8 | 2.7 | 0.5 | 2.6 | 0.3 | 60.0 | ||||||||||||||
TQI | 0.2 | 1.6 | — | — | 0.2 | 100.0 | ||||||||||||||
Total | 3.3 | 1.9 | 3.1 | 2.1 | 0.2 | 6.5 | ||||||||||||||
Fuel expense | ||||||||||||||||||||
Forward Air | 0.9 | 0.7 | 1.0 | 0.8 | (0.1 | ) | (10.0 | ) | ||||||||||||
FASI | 1.7 | 5.7 | 1.3 | 6.7 | 0.4 | 30.8 | ||||||||||||||
TQI | 1.3 | 10.5 | — | — | 1.3 | 100.0 | ||||||||||||||
Total | 3.9 | 2.3 | 2.3 | 1.6 | 1.6 | 69.6 | ||||||||||||||
Other operating expenses | ||||||||||||||||||||
Forward Air | 8.7 | 6.7 | 9.7 | 7.8 | (1.0 | ) | (10.3 | ) | ||||||||||||
FASI | 3.4 | 11.4 | 1.7 | 8.7 | 1.7 | 100.0 | ||||||||||||||
TQI | 0.6 | 4.8 | — | — | 0.6 | 100.0 | ||||||||||||||
Intercompany eliminations | (0.3 | ) | 30.0 | (0.1 | ) | 20.0 | (0.2 | ) | 200.0 | |||||||||||
Total | 12.4 | 7.3 | 11.3 | 7.9 | 1.1 | 9.7 | ||||||||||||||
Income from operations | ||||||||||||||||||||
Forward Air | 20.6 | 16.0 | 19.3 | 15.5 | 1.3 | 6.7 | ||||||||||||||
FASI | 1.4 | 4.7 | 0.3 | 1.5 | 1.1 | 366.7 | ||||||||||||||
TQI | 0.9 | 7.3 | — | — | 0.9 | 100.0 | ||||||||||||||
Total | $ | 22.9 | 13.5 | % | $ | 19.6 | 13.7 | % | $ | 3.3 | 16.8 | % | ||||||||
Forward Air Corporation | ||||||||||||||||||||
Segment Information | ||||||||||||||||||||
(In millions) | ||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||
Nine months ended | ||||||||||||||||||||
September 30, | Percent of | September 30, | Percent of | Percent | ||||||||||||||||
2013 | Revenue | 2012 | Revenue | Change | Change | |||||||||||||||
Operating revenue | ||||||||||||||||||||
Forward Air | $ | 369.0 | 78.3 | % | $ | 373.4 | 87.1 | % | $ | (4.4 | ) | (1.2 | )% | |||||||
FASI | 76.4 | 16.2 | 57.0 | 13.3 | 19.4 | 34.0 | ||||||||||||||
TQI | 28.5 | 6.0 | — | — | 28.5 | 100.0 | ||||||||||||||
Intercompany eliminations | (2.5 | ) | (0.5 | ) | (1.5 | ) | (0.4 | ) | (1.0 | ) | 66.7 | |||||||||
Total | 471.4 | 100.0 | 428.9 | 100.0 | 42.5 | 9.9 | ||||||||||||||
Purchased transportation | ||||||||||||||||||||
Forward Air | 168.9 | 45.8 | 173.3 | 46.4 | (4.4 | ) | (2.5 | ) | ||||||||||||
FASI | 23.6 | 30.9 | 15.5 | 27.2 | 8.1 | 52.3 | ||||||||||||||
TQI | 15.9 | 55.8 | — | — | 15.9 | 100.0 | ||||||||||||||
Intercompany eliminations | (1.9 | ) | 76.0 | (1.3 | ) | 86.7 | (0.6 | ) | 46.2 | |||||||||||
Total | 206.5 | 43.8 | 187.5 | 43.7 | 19.0 | 10.1 | ||||||||||||||
Salaries, wages and employee benefits | ||||||||||||||||||||
Forward Air | 78.0 | 21.1 | 75.4 | 20.2 | 2.6 | 3.4 | ||||||||||||||
FASI | 26.8 | 35.1 | 22.0 | 38.6 | 4.8 | 21.8 | ||||||||||||||
TQI | 4.4 | 15.4 | — | — | 4.4 | 100.0 | ||||||||||||||
Total | 109.2 | 23.2 | 97.4 | 22.7 | 11.8 | 12.1 | ||||||||||||||
Operating leases | ||||||||||||||||||||
Forward Air | 14.9 | 4.0 | 15.3 | 4.1 | (0.4 | ) | (2.6 | ) | ||||||||||||
FASI | 5.9 | 7.7 | 5.5 | 9.7 | 0.4 | 7.3 | ||||||||||||||
TQI | 0.1 | 0.4 | — | — | 0.1 | 100.0 | ||||||||||||||
Total | 20.9 | 4.4 | 20.8 | 4.9 | 0.1 | 0.5 | ||||||||||||||
Depreciation and amortization | ||||||||||||||||||||
Forward Air | 12.1 | 3.3 | 12.5 | 3.4 | (0.4 | ) | (3.2 | ) | ||||||||||||
FASI | 3.6 | 4.7 | 3.5 | 6.1 | 0.1 | 2.9 | ||||||||||||||
TQI | 1.7 | 6.0 | — | — | 1.7 | 100.0 | ||||||||||||||
Total | 17.4 | 3.7 | 16.0 | 3.7 | 1.4 | 8.8 | ||||||||||||||
Insurance and claims | ||||||||||||||||||||
Forward Air | 6.5 | 1.8 | 6.4 | 1.7 | 0.1 | 1.6 | ||||||||||||||
FASI | 2.3 | 3.0 | 1.7 | 3.0 | 0.6 | 35.3 | ||||||||||||||
TQI | 0.4 | 1.4 | — | — | 0.4 | 100.0 | ||||||||||||||
Total | 9.2 | 1.9 | 8.1 | 1.9 | 1.1 | 13.6 | ||||||||||||||
Fuel expense | ||||||||||||||||||||
Forward Air | 2.9 | 0.8 | 3.2 | 0.9 | (0.3 | ) | (9.4 | ) | ||||||||||||
FASI | 4.8 | 6.3 | 4.1 | 7.2 | 0.7 | 17.1 | ||||||||||||||
TQI | 2.8 | 9.8 | — | — | 2.8 | 100.0 | ||||||||||||||
Total | 10.5 | 2.2 | 7.3 | 1.7 | 3.2 | 43.8 | ||||||||||||||
Other operating expenses | ||||||||||||||||||||
Forward Air | 26.9 | 7.3 | 27.4 | 7.3 | (0.5 | ) | (1.8 | ) | ||||||||||||
FASI | 9.0 | 11.8 | 5.1 | 8.9 | 3.9 | 76.5 | ||||||||||||||
TQI | 1.3 | 4.5 | — | — | 1.3 | 100.0 | ||||||||||||||
Intercompany eliminations | (0.6 | ) | 24.0 | (0.2 | ) | 13.3 | (0.4 | ) | 200.0 | |||||||||||
Total | 36.6 | 7.8 | 32.3 | 7.5 | 4.3 | 13.3 | ||||||||||||||
Income (loss) from operations | ||||||||||||||||||||
Forward Air | 58.8 | 15.9 | 59.9 | 16.0 | (1.1 | ) | (1.8 | ) | ||||||||||||
FASI | 0.4 | 0.5 | (0.4 | ) | (0.7 | ) | 0.8 | (200.0 | ) | |||||||||||
TQI | 1.9 | 6.7 | — | — | 1.9 | 100.0 | ||||||||||||||
Total | $ | 61.1 | 13.0 | % | $ | 59.5 | 13.9 | % | $ | 1.6 | 2.7 | % | ||||||||
Forward Air Corporation | ||||||||||
Forward Air Inc. Operating Statistics | ||||||||||
Three months ended | ||||||||||
September 30, | September 30, | Percent | ||||||||
2013 | 2012 | Change | ||||||||
Operating ratio | 84.0 | % | 84.5 | % | (0.6 | )% | ||||
Business days | 64.0 | 63.0 | 1.6 | |||||||
Business weeks | 12.8 | 12.6 | 1.6 | |||||||
Airport-to-airport: | ||||||||||
Tonnage | ||||||||||
Total pounds ¹ | 462,297 | 438,265 | 5.5 | |||||||
Average weekly pounds ¹ | 36,117 | 34,783 | 3.8 | |||||||
Linehaul shipments | ||||||||||
Total linehaul | 688,257 | 691,228 | (0.4 | ) | ||||||
Average weekly | 53,770 | 54,859 | (2.0 | ) | ||||||
Forward Air Complete shipments | 124,184 | 177,216 | (29.9 | ) | ||||||
As a percentage of linehaul shipments | 18.0 | % | 25.6 | % | (29.7 | ) | ||||
Average linehaul shipment size | 672 | 634 | 6.0 | |||||||
Revenue per pound ² | ||||||||||
Linehaul yield | $ | 16.97 | $ | 17.14 | (0.8 | ) | ||||
Fuel surcharge impact | 1.85 | 1.80 | 0.2 | |||||||
Forward Air Complete impact | 3.08 | 3.20 | (0.5 | ) | ||||||
Total airport-to-airport yield | $ | 21.90 | $ | 22.14 | (1.1 | ) | ||||
Logistics: | ||||||||||
Miles | ||||||||||
Owner operator ¹ | 8,915 | 8,485 | 5.1 | |||||||
Third party ¹ | 3,815 | 4,500 | (15.2 | ) | ||||||
Total Miles | 12,730 | 12,985 | (2.0 | ) | ||||||
Revenue per mile | $ | 1.60 | $ | 1.61 | (0.6 | ) | ||||
Cost per mile | $ | 1.20 | $ | 1.23 | (2.4 | )% | ||||
¹ - In thousands | ||||||||||
² - In cents per pound; percentage change is expressed as a percent of total yield. | ||||||||||
Forward Air Corporation | ||||||||||
Forward Air Inc. Operating Statistics | ||||||||||
Nine months ended | ||||||||||
September 30, | September 30, | Percent | ||||||||
2013 | 2012 | Change | ||||||||
Operating ratio | 84.1 | % | 84.0 | % | 0.1 | % | ||||
Business days | 191.0 | 191.0 | — | |||||||
Business weeks | 38.2 | 38.2 | — | |||||||
Airport-to-airport: | ||||||||||
Tonnage | ||||||||||
Total pounds ¹ | 1,320,382 | 1,322,390 | (0.2 | ) | ||||||
Average weekly pounds ¹ | 34,565 | 34,618 | (0.2 | ) | ||||||
Linehaul shipments | ||||||||||
Total linehaul | 2,038,599 | 2,064,323 | (1.2 | ) | ||||||
Average weekly | 53,366 | 54,040 | (1.2 | ) | ||||||
Forward Air Complete shipments | 353,270 | 509,527 | (30.7 | ) | ||||||
As a percentage of linehaul shipments | 17.3 | % | 24.7 | % | (30.0 | ) | ||||
Average linehaul shipment size | 648 | 641 | 1.1 | |||||||
Revenue per pound ² | ||||||||||
Linehaul yield | $ | 17.08 | $ | 17.04 | 0.2 | |||||
Fuel surcharge impact | 1.92 | 1.88 | 0.2 | |||||||
Forward Air Complete impact | 2.90 | 3.04 | (0.7 | ) | ||||||
Total airport-to-airport yield | $ | 21.90 | $ | 21.96 | (0.3 | ) | ||||
Logistics: | ||||||||||
Miles | ||||||||||
Owner operator ¹ | 26,399 | 26,590 | (0.7 | ) | ||||||
Third party ¹ | 10,663 | 12,010 | (11.2 | ) | ||||||
Total Miles | 37,062 | 38,600 | (4.0 | ) | ||||||
Revenue per mile | $ | 1.61 | $ | 1.64 | (1.8 | ) | ||||
Cost per mile | $ | 1.19 | $ | 1.24 | (4.0 | )% | ||||
¹ - In thousands | ||||||||||
² - In cents per pound; percentage change is expressed as a percent of total yield. | ||||||||||
Important Information
This press release contains “forward-looking statements,” as defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are statements other than historical information or statements of current condition and relate to future events or our future financial performance. Some forward-looking statements may be identified by use of such terms as “believes,” “anticipates,” “intends,” “plans,” “estimates,” “projects” or “expects.” Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. The following is a list of factors, among others, that could cause actual results to differ materially from those contemplated by the forward-looking statements: economic factors such as recessions, inflation, higher interest rates and downturns in customer business cycles, our inability to maintain our historical growth rate because of a decreased volume of freight moving through our network or decreased average revenue per pound of freight moving through our network, increasing competition and pricing pressure, surplus inventories, loss of a major customer, the creditworthiness of our customers and their ability to pay for services rendered, our ability to secure terminal facilities in desirable locations at reasonable rates, the inability of our information systems to handle an increased volume of freight moving through our network, changes in fuel prices, claims for property damage, personal injuries or workers' compensation, employment matters including rising health care costs, enforcement of and changes in governmental regulations, environmental and tax matters, the handling of hazardous materials, the availability and compensation of qualified independent owner-operators and freight handlers needed to serve our transportation needs and our inability to successfully integrate acquisitions. As a result of the foregoing, no assurance can be given as to future financial condition, cash flows or results of operations. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
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CONTACT:
Forward Air Corporation
Rodney L. Bell, 423-636-7000
rbell@forwardair.com