Celadon Group Inc. (NYSE: CGI) today reported its financial and operating results for the three and nine months ended March 31, 2012, the third fiscal quarter of the Company’s fiscal year ending June 30, 2012.
Revenue for the quarter increased 10.5% to $153.2 million in the 2012 quarter from $138.7 million in the 2011 quarter. Freight revenue, which excludes fuel surcharges, increased 7.8% to $120.9 million in the 2012 quarter from $112.2 million in the 2011 quarter. Net income increased to $5.7 million in the 2012 quarter from $2.3 million for the same quarter last year. Earnings per diluted share increased to $0.25 in the 2012 quarter from $0.10 for the same quarter last year.
For the nine months ended March 31, 2012 revenue increased 5.9% to $441.2 million in 2012 from $416.8 million for the same period last year. Freight revenue, which excludes fuel surcharges, increased 0.8% to $350.6 million in 2012 from $347.9 million for the same period last year. Net income increased to $16.6 million in 2012 from $9.8 million for the same period last year. Earnings per diluted share increased to $0.73 in 2012 from $0.43 for the same period last year.
Steve Russell, Chairman and CEO, commented, “We are pleased with the March quarter results in which we were able to increase both seated line-haul tractors and revenue. Despite a significant increase in diesel fuel prices, which were 30 cents per gallon higher than in the prior year, our earnings per share increased to 25 cents compared with 10 cents for the March 2011 quarter. An increase in loaded miles and a 2.7% increase in rate per loaded mile, were the principal factors attributing to the improved results.”
Paul Will, President and COO, added, “To address the growing driver shortage in the industry, we have completed four asset based acquisitions during this fiscal year. As a result, our average seated count increased by 218 tractors, or 8.3%, from the December quarter. There are a significant number of fleets that have experienced poor financial performance during the recent past, which has resulted in their inability to refresh their fleets, resulting in a significant increase in fleet age. This has allowed us the opportunity to make strategic acquisitions, which results in an increased driver fleet at a time when capacity is exiting the marketplace. This should position us well to continue to grow our fleet and service offering in a truckload market that is becoming capacity constrained. With our young fleet, which was 1.6 years old as of March 31, 2012, we are able to attract drivers and provide excellent service to our customers. We are very proud of our team that contributed to the results.”