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USA Truck profits wiped out
POSTED: 9:10 a.m. EDT, October 24,2007

USA Truck, Inc. has announced base revenue of $99.3 million for the third quarter ended September 30, 2007, an increase of 2.7% from $96.7 million for the same quarter of 2006. However net income decreased 99.5% from $3.4 million.

In comparing the financial results, Cliff Beckham, President and CEO of USA Truck, made the following statement:

"The current freight environment continues as one of the most challenging we have ever seen. For the second consecutive year, we have experienced virtually no fall peak shipping season. That soft freight demand, an adverse jury verdict in a contract dispute and high fuel prices were the dominant influences on our earnings during the quarter.

"Our base revenue increased 2.7%. Trucking revenue increased 2.5% as our average tractor count grew by 2.3% (but actually declined slightly sequentially from the second quarter). Our increased focus on non-asset based services bore fruit as USA Logistics revenue, particularly our Strategic Capacity Solutions division (Freight Brokerage), increased 13.0%."

From: transport intelligence
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