“Overall we were pleased with growth in revenue in our intermodal segment as our domestic volumes grew by double digits for the quarter. However, we were disappointed with the overall margins in this segment as we were unable to secure the incremental pricing needed from the railroads to offset our costs. We are committed to continuing our drive for operational excellence in all of our businesses to enhance our competitiveness and improve our margins,” said Chief Executive Officer Dan Avramovich.A tabular reconciliation detailing the adjustments made to arrive at the adjusted financial results set forth above and elsewhere in this press release from financial results determined in accordance with accounting principles generally accepted in the United States of America (“GAAP”) is contained in the reconciliation schedules attached to this press release.
- Total intermodal revenue improved $8.3 million or 1.4%. Excluding the impact from the previously announced reduction in volume from an ocean carrier customer of $49.1 million in the first half of 2011, intermodal revenues grew by 10.7%. Logistics revenues declined by 23.9% to $122.9 million. In total, revenues decreased by 4.1% to $714.2 million;
- Intermodal gross margin declined by $7.5 million. Excluding the reduced volume from the ocean carrier customer, intermodal gross margin decreased by $2.3 million. Logistics gross margin declined by $4.5 million;
- Income from operations decreased by $8.9 million in the 2012 period compared to the 2011 period. Income from operations in the intermodal segment decreased $4.0 million to $17.6 million. Excluding the reduced volume from the ocean carrier customer, intermodal income from operations grew year over year by $1.2 million or 7.3%;
- Selling, general and administrative expenses improved by $3.3 million or 4.5%;
- Net income decreased $5.2 million to $1.0 million; and
- Earnings per share decreased from $0.18 in the 2011 period to $0.03 in the 2012 period.
|(In millions, except for per share data)|
|Gross Margin %||10.7||%||11.9||%|
|Income from operations||2.5||11.4|
|Earnings per share||$||0.03||$||0.18|