Expeditors International of Washington, Inc. (NASDAQ:EXPD) today announced quarterly net earnings attributable to shareholders of $96,105,000 for the third quarter of 2010, as compared with $57,752,000 for the same quarter of 2009, an increase of 66%. Net revenues for the third quarter of 2010 increased 32% to $458,743,000 as compared with $346,512,000 reported for the third quarter of 2009. Total revenues and operating income were $1,667,559,000 and $159,621,000 in 2010, as compared with $1,037,327,000 and $96,246,000 for the same quarter of 2009, increases of 61% and 66%, respectively. Diluted net earnings attributable to shareholders per share for the third quarter of 2010 were $.44, as compared with $.27 for the same quarter in 2009, an increase of 63%.
For the nine months ended September 30, 2010, net earnings attributable to shareholders was $247,670,000, as compared with $171,082,000 in 2009, an increase of 45%. Net revenues for the nine months increased to $1,239,424,000 from $1,013,074,000 for 2009, up 22%. Total revenues and operating income for the nine months were $4,385,438,000 and $398,658,000 in 2010, as compared with $2,845,372,000 and $274,647,000 for the same period in 2009, increases of 54% and 45%, respectively. Diluted net earnings attributable to shareholders per share for the first three quarters of 2010 were $1.14, as compared with $.79 for the same period of 2009, an increase of 44%.
“Sometimes even the word ‘Wow!’ would be a classical understatement. After last year, we had hoped 2010 would be a stronger year, but having operating income be up 66% and 18% over the 2009 and 2008 third quarters, respectively, is way beyond anything we would have dared to predict 12 months ago,” said Peter J. Rose, Chairman and Chief Executive Officer. “It is particularly reassuring when market share gains made when volumes were down actually show up en masse when the market turns. To paraphrase an old adage, ‘You can tell a Company by who their employees, customers and service providers are.’…and we certainly are fortunate to have a great cadre of all three. We continue to be very grateful to them all. At the end of the day, this business is about people. We think these results illustrate why we are so confident that we have the very best,” Rose continued.
“The thing we’ve been most impressed with internally is how productivity measures and efficiency gains have helped us absorb these large increases in business volumes. Operating income as a percentage of net revenue was at a record high for us this quarter,” Rose commented. “We couldn’t be more proud of the ingenuity and the commitment to operational excellence and customer service that was shown by our people. This is something we feel is truly significant to who we are and what we try to accomplish. As we move forward, we will continue to focus on the basics that we’ve always relied on to keep us grounded, even through the tough times: flawless customer service, effective sales, seamless execution and comprehensive compliance. Those are our objectives, and this year, so far at least, we seem to be doing just fine,” Rose concluded.