Exhibit 99.1
Universal Truckload Services, Inc. Announces Financial Results for the First Quarter Ended April 1, 2006
WARREN, Mich., April 26 /PRNewswire-FirstCall/ -- Universal Truckload Services, Inc. (Nasdaq: UACL) announced today its financial results for the quarter ended April 1, 2006.
For the quarter ended April 1, 2006, operating revenues increased 20.6%, or $24.9 million, to $145.9 million from $120.9 million for the quarter ended April 2, 2005. Included in operating revenues are fuel surcharges of $12.0 million and $5.9 million for the first quarters of 2006 and 2005, respectively. Net income increased 30.9%, or $1.1 million, to $4.6 million, or $0.28 per share for the first quarter of 2006, from $3.5 million, or $0.26 per share, for the first quarter of 2005. Operating margin was 4.9% for the first quarter of 2006 compared to 4.8% for the first quarter of 2005.
Universal’s truckload revenue in the first quarter of 2006 increased by 17.9% to $87.3 million from $74.1 million in the corresponding period of 2005. Brokerage revenue in the first quarter of 2006 increased by 5.4% to $38.1 million from $36.2 million in the corresponding period of 2005. Intermodal revenue in the first quarter of 2006 increased by 90.8% to $20.4 million from $10.7 million in the corresponding period of 2005.
“Our performance in the first quarter of 2006 was the best first quarter operating performance in Universal’s history,” stated Universal’s President and CEO Don Cochran. “We have been able to grow our operating revenues, both organically and through the intermodal acquisitions completed in the fourth quarter of 2005 and 1st quarter of 2006. Excluding the $3.8 million of intermodal revenue generated by the acquisitions, intermodal revenue increased by $5.9 million or 55.2%.” Cochran added, “This performance is a reflection of our mission to grow and improve our existing network combined with our continued search for strategic acquisitions that are consistent with our business model.”
Universal Truckload Services, Inc. is primarily a non-asset based 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.
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.
UNIVERSAL TRUCKLOAD SERVICES, INC.
Unaudited Consolidated Statements of Income
(In thousands, except per share data)
| | Quarter Ended | |
| |
| |
| | April 1,
2006 | | April 2,
2005 | |
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| |
|
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Operating revenues: | | | | | | | |
Truckload | | $ | 87,319 | | $ | 74,074 | |
Brokerage | | | 38,120 | | | 36,155 | |
Intermodal | | | 20,446 | | | 10,716 | |
Total operating revenues | | | 145,885 | | | 120,945 | |
Operating expenses: | | | | | | | |
Purchased transportation | | | 110,875 | | | 91,525 | |
Commissions expense | | | 9,456 | | | 7,610 | |
Other operating expense, net | | | 1,961 | | | 1,833 | |
Selling, general, and administrative | | | 11,288 | | | 9,457 | |
Insurance and claims | | | 3,847 | | | 3,701 | |
Depreciation and amortization | | | 1,270 | | | 1,035 | |
Total operating expenses | | | 138,697 | | | 115,161 | |
Income from operations | | | 7,188 | | | 5,784 | |
Interest income (expense), net | | | 250 | | | (165 | ) |
Income before provision for income taxes | | | 7,438 | | | 5,619 | |
Provision for income taxes | | | 2,876 | | | 2,135 | |
Net income | | $ | 4,562 | | $ | 3,484 | |
Earnings per common share: | | | | | | | |
Basic | | $ | 0.28 | | $ | 0.26 | |
Diluted | | $ | 0.28 | | $ | 0.26 | |
Average common shares outstanding: | | | | | | | |
Basic | | | 16,118 | | | 13,159 | |
Diluted | | | 16,129 | | | 13,159 | |
UNIVERSAL TRUCKLOAD SERVICES, INC.
Unaudited Condensed Consolidated Balance Sheets
(In thousands)
| | April 1,
2006 | | December 31,
2005 | |
| |
|
| |
|
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Assets | | | | | | | |
Cash and cash equivalents | | $ | 11,095 | | $ | 10,442 | |
Marketable securities | | | 15,947 | | | 14,356 | |
Accounts receivable - net | | | 74,584 | | | 72,032 | |
Other current assets | | | 11,953 | | | 11,109 | |
Total current assets | | | 113,579 | | | 107,939 | |
Property and equipment - net | | | 36,659 | | | 34,800 | |
Other long-term assets - net | | | 17,070 | | | 15,339 | |
Total assets | | $ | 167,308 | | $ | 158,078 | |
Liabilities and shareholders’ equity | | | | | | | |
Total current liabilities | | $ | 45,761 | | $ | 41,134 | |
Total long-term liabilities | | | 3,722 | | | 3,772 | |
Total liabilities | | | 49,483 | | | 44,906 | |
Total shareholders’ equity | | | 117,825 | | | 113,172 | |
Total liabilities and shareholders’ equity | | $ | 167,308 | | $ | 158,078 | |
UNIVERSAL TRUCKLOAD SERVICES, INC.
Summary of Operating Data
(Unaudited)
| | Quarter Ended | |
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| |
| | April 1,
2006 | | April 2,
2005 | |
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Average number of tractors provided by owner-operators | | | | | | | |
Truckload | | | 2,488 | | | 2,351 | |
Intermodal | | | 591 | | | 305 | |
Truckload Revenues: | | | | | | | |
Average operating revenues per loaded mile (1) | | $ | 2.46 | | $ | 2.12 | |
Average operating revenues per loaded mile, excluding fuel surcharges (1) | | $ | 2.18 | | $ | 1.97 | |
Average operating revenues per load (1) | | $ | 943 | | $ | 810 | |
Average operating revenues per load, excluding fuel surcharges (1) | | $ | 836 | | $ | 752 | |
Average length of haul (1)(2) | | | 383 | | | 382 | |
Number of loads (1) | | | 92,641 | | | 91,199 | |
Brokerage Revenues: | | | | | | | |
Average operating revenues per loaded mile (1) | | $ | 2.01 | | $ | 1.77 | |
Average operating revenues per load (1) | | $ | 1,226 | | $ | 1,081 | |
Average length of haul (1)(2) | | | 609 | | | 612 | |
Number of loads (1) | | | 23,708 | | | 23,353 | |
Intermodal Revenues: | | | | | | | |
Drayage (in thousands) | | $ | 18,292 | | $ | 9,467 | |
Depot (in thousands) | | $ | 2,154 | | $ | 1,249 | |
Total (in thousands) | | $ | 20,446 | | $ | 10,716 | |
Average operating revenues per loaded mile | | $ | 4.10 | | $ | 4.00 | |
Average operating revenues per loaded mile, excluding fuel surcharges | | $ | 3.63 | | $ | 3.74 | |
Average operating revenues per load | | $ | 268 | | $ | 270 | |
Average operating revenues per load, excluding fuel surcharges | | $ | 237 | | $ | 252 | |
Number of loads | | | 68,330 | | | 35,004 | |
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(1) | Excludes operating data from CrossRoad Carriers, 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. |
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(2) | Average length of haul is computed using loaded miles. |
SOURCE Universal Truckload Services, Inc.
-0- 04/26/2006
/CONTACT: Robert Sigler, Vice President and Chief Financial Officer of Universal Truckload Services, Inc., +1-586-920-0100/
/Web site: http://www.uacl.com /
(UACL)
