Exhibit 99.1
For further information:
Robert Sigler
Vice President and Chief Financial Officer
586.920.0100
Universal Truckload Services, Inc. Reports Revenue and Net Income for the Thirteen Weeks Ended April 3, 2010
Warren, MI – April 29, 2010 — Universal Truckload Services, Inc. (NASDAQ: UACL) today announced financial results for the thirteen weeks ended April 3, 2010.
For the thirteen weeks ended April 3, 2010, operating revenues increased 20.9%, or $24.0 million, to $139.0 million from $115.0 million for the thirteen weeks ended March 28, 2009. Included in operating revenues are fuel surcharges of $11.7 million and $7.9 million for the thirteen weeks ended April 3, 2010 and March 28, 2009, respectively. Net income increased by $1.9 million, to $2.1 million, or $0.13 per basic and diluted share for the thirteen weeks ended April 3, 2010, from $0.1 million, or $0.01 per basic and diluted share, for the thirteen weeks ended March 28, 2009. Included in net income for the thirteen weeks ended April 3, 2010 were $1.1 million, or $0.07 per basic and diluted share, of after-tax gains on the sales of marketable securities classified as available for sale. Included in net income for the thirteen weeks ended March 28, 2009 were $0.5 million, or $0.03 per basic and diluted share, of after-tax charges for other-than-temporary impairments of marketable securities classified as available for sale.
Universal’s truckload revenue for the thirteen weeks ended April 3, 2010 increased by 25.5% to $86.2 million from $68.7 million in the corresponding period of 2009. Included in truckload revenue for the thirteen weeks ended April 3, 2010 is $11.3 million of revenue from our acquisitions completed since the third quarter of 2009. Brokerage revenue for the thirteen weeks ended April 3, 2010 increased by 16.7% to $32.4 million from $27.8 million in the corresponding period of 2009. Included in brokerage revenue for the thirteen weeks ended April 3, 2010 is $7.0 million of revenue from our acquisitions completed since the third quarter of 2009. Intermodal revenue for the thirteen weeks ended April 3, 2010 increased by 10.1% to $20.4 million from $18.6 million in the corresponding period of 2009.
“We are beginning to see signs of improvement in our industrial sectors, especially within the metals market,” stated Universal’s President and CEO Don Cochran. “However, seasonal shipping patterns and bad weather have caused some breaks in momentum during the quarter. While equipment availability appears to be tightening, weak pricing still persists in the market. We have also completed four acquisitions in the last three quarters. These acquisitions are showing progress, but are not yet to the level of performance that we expect. As we begin to see business improve, concentrating on controlling costs at all levels remains key to returning to our expected performance levels.”
Universal Truckload Services, Inc. is primarily an asset light provider of transportation services to shippers throughout the United States and in the Canadian provinces of Ontario and Quebec. The Company’s trucking services include both flatbed and dry van operations and the Company provides rail-truck and steamship-truck intermodal support services. The Company also offers truck brokerage services, which allow us to supplement our capacity and provide our customers with transportation of freight not handled by our owner-operators, and full service international freight forwarding and customs house brokerage services.
Some of the statements contained in this press release might be considered forward-looking statements. These statements identify prospective information. Forward-looking statements are based on information available at the time and/or management’s good faith belief with respect to future events, and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in the statements. These forward-looking statements are subject to a number of factors that may cause actual results to differ materially from the expectations described. Additional information about the factors that may adversely affect these forward-looking statements is contained in the Company’s reports and filings with the Securities and Exchange Commission. The Company assumes no obligation to update forward-looking statements to reflect actual results, changes in assumptions or changes in other factors affecting forward-looking information except to the extent required by applicable securities laws.
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UNIVERSAL TRUCKLOAD SERVICES, INC.
Unaudited Consolidated Statements of Income
(In thousands, except per share data)
| | | | | | | |
| | | Thirteen Weeks Ended | |
| | | April 3,
2010 | | March 28,
2009 | |
Operating revenues: | | | | | | | |
Truckload | | $ | 86,211 | | $ | 68,715 | |
Brokerage | | | 32,404 | | | 27,757 | |
Intermodal | | | 20,429 | | | 18,554 | |
| | | | | | | |
Total operating revenues | | | 139,044 | | | 115,026 | |
| | | | | | | |
Operating expenses: | | | | | | | |
Purchased transportation | | | 105,407 | | | 86,085 | |
Commissions expense | | | 8,979 | | | 7,602 | |
Other operating expense | | | 3,414 | | | 2,385 | |
Selling, general, and administrative | | | 12,752 | | | 11,841 | |
Insurance and claims | | | 4,329 | | | 3,782 | |
Depreciation and amortization | | | 2,693 | | | 2,562 | |
| | | | | | | |
Total operating expenses | | | 137,574 | | | 114,257 | |
| | | | | | | |
Income from operations | | | 1,470 | | | 769 | |
Interest income (expense), net | | | 24 | | | (20 | ) |
Other non-operating income (expense) | | | 1,896 | | | (526 | ) |
| | | | | | | |
Income before provision for income taxes | | | 3,390 | | | 223 | |
Provision for income taxes | | | 1,325 | | | 84 | |
| | | | | | | |
Net income | | $ | 2,065 | | $ | 139 | |
| | | | | | | |
Earnings per common share: | | | | | | | |
Basic | | $ | 0.13 | | $ | 0.01 | |
Diluted | | $ | 0.13 | | $ | 0.01 | |
Weighted average number of common shares outstanding: | | | | | | | |
Basic | | | 15,980 | | | 15,989 | |
Diluted | | | 15,980 | | | 15,989 | |
UNIVERSAL TRUCKLOAD SERVICES, INC.
Unaudited Condensed Consolidated Balance Sheets
(In thousands)
| | | | | | |
| | | April 3,
2010 | | December 31,
2009 |
Assets | | | | | | |
Cash and cash equivalents | | $ | 4,480 | | $ | 953 |
Marketable securities | | | 17,716 | | | 15,721 |
Accounts receivable – net | | | 65,064 | | | 60,701 |
Other current assets | | | 10,574 | | | 12,249 |
| | | | | | |
Total current assets | | | 97,834 | | | 89,624 |
Property and equipment – net | | | 74,723 | | | 76,246 |
Other long-term assets – net | | | 36,139 | | | 35,741 |
| | | | | | |
Total assets | | $ | 208,696 | | $ | 201,611 |
| | | | | | |
| | |
Liabilities and shareholders’ equity | | | | | | |
Total current liabilities | | $ | 44,061 | | $ | 40,305 |
Total long-term liabilities | | | 5,974 | | | 6,881 |
| | | | | | |
Total liabilities | | | 50,035 | | | 47,186 |
Total shareholders’ equity | | | 158,661 | | | 154,425 |
| | | | | | |
Total liabilities and shareholders’ equity | | $ | 208,696 | | $ | 201,611 |
| | | | | | |
UNIVERSAL TRUCKLOAD SERVICES, INC.
Summary of Operating Data
(Unaudited)
| | | | | | |
| | | Thirteen Weeks Ended |
| | | April 3,
2010 | | March 28,
2009 |
Average number of tractors provided by owner-operators | | | | | | |
Truckload | | | 2,500 | | | 2,751 |
Intermodal | | | 619 | | | 723 |
| | | | | | |
Total | | | 3,119 | | | 3,474 |
| | |
Truckload Revenues: | | | | | | |
Average operating revenues per loaded mile (1) | | $ | 2.34 | | $ | 2.35 |
Average operating revenues per loaded mile, excluding fuel surcharges (1) | | $ | 2.08 | | $ | 2.14 |
Average operating revenues per load (1) | | $ | 926 | | $ | 957 |
Average operating revenues per load, excluding fuel surcharges (1) | | $ | 823 | | $ | 870 |
Average length of haul (1)(2) | | | 396 | | | 406 |
Number of loads (1) | | | 93,118 | | | 71,839 |
| | |
Brokerage Revenues: | | | | | | |
Average operating revenues per loaded mile (1) | | $ | 1.92 | | $ | 1.98 |
Average operating revenues per load (1) | | $ | 1,195 | | $ | 1,117 |
Average length of haul (1)(2) | | | 621 | | | 563 |
Number of loads (1) | | | 20,697 | | | 22,883 |
| | |
Intermodal Revenues: | | | | | | |
Drayage (in thousands) | | $ | 18,559 | | $ | 16,550 |
Depot (in thousands) | | $ | 1,870 | | $ | 2,004 |
| | | | | | |
| | |
Total (in thousands) | | $ | 20,429 | | $ | 18,554 |
| | | | | | |
| | |
Average operating revenues per loaded mile | | $ | 3.13 | | $ | 3.61 |
Average operating revenues per loaded mile, excluding fuel surcharges | | $ | 2.77 | | $ | 3.23 |
Average operating revenues per load | | $ | 302 | | $ | 288 |
Average operating revenues per load, excluding fuel surcharges | | $ | 267 | | $ | 258 |
Number of loads | | | 61,507 | | | 57,422 |
| (1) | Excludes operating data from CrossRoad Carriers, Inc., D. Kratt International, Inc., and Cavalry Transportation, Inc. in order to improve the relevance of the statistical data related to our truckload and brokerage services and improve the comparability to our peer companies. |
| (2) | Average length of haul is computed using loaded miles. |
