slashed its first-quarter earnings guidance, citing weak volume caused in part by inventory clearing by big customers.
The trucking company said in a press release Wednesday that it expects to make 65 cents a share to 70 cents a share. The Overland Park, Kan.-based transportation company's previous guidance was $1 to $1.05 a share. Analysts surveyed by Thomson First Call were expecting earnings of $1.05 a share.
YRC Worldwide's results would also be hurt by cost overruns in several business areas, it said.
"Although our business levels remain ahead of last year, overall volumes for the quarter are projected to come in below our expectations across all of our asset-based business units," the company said. "In addition to general competitive pressure, some of our large retail customers have made significant inventory adjustments in the quarter, which have impacted our business levels."
The company said it is taking steps to control costs and will now announce the revised earnings guidance for 2006 in late April.
The stock fell $4.70, or 10.42%, in after-hours trading to $40.57.
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