These forward-looking statements are based on current expectations and are naturally subject to uncertainty and changes in circumstances that may cause actual results to differ materially from those expressed or implied by such forward-looking statements. Such forward-looking statements involve known and unknown risks and uncertainties and other factors that may cause Vitran's actual results, performance or achievements to differ materially from those projected in the forward-looking statements.Factors that may cause such differences include, but are not limited to; technological change, increasing fuel costs, regulatory change, the general health of the economy, seasonal fluctuations, unanticipated changes in railroad capacity, exposure to credit risks, change in labor relations, geographic expansion, capital requirements, availability of financing, claims and insurance costs, environmental hazards and competitive factors. More detailed information about these and other factors are included in the annual form 10-K under “Item 1A - Risk Factors.” Many of these factors are beyond the company's control. Therefore, future events may vary substantially from what the company currently perceives. You should not place undue reliance on such forward-looking statements. Vitran Corporation, Inc. does not assume the obligation to revise or update these forward-looking statements after the date of this call or to revise them to reflect the occurrence of future, unanticipated events. For the third quarter of 2010, Vitran significantly improved net income by 600% to $2 million compared to $0.3 million in the third quarter of 2009 These results were achieved on revenues that increased 10.2% to $183 million resulting in an 76% improvement in income from operations to $4.1 million for the third quarter of 2010, This compared to revenues of $166 million in income from operations of $2.4 million in the year ago third quarter. As a result, the company recorded diluted earnings per share of $0.12 in the third quarter of 2010 compared to diluted earnings per share $0.02 in the third quarter of 2009.
The company's consolidated operating ratio improved to 97.7% for the third quarter of 2010 compared to [78.6%] for the third quarter of 2009. Improvements in LTL shipment and tonnage measures as well as sequential improvement in LTL yield as well as record financial quarter for the supply chain segment generated the improvement in 2010 third quarterInterest expense for the 2010 third quarter was $1.8 million compared to interest expense of $2.6 million for the same quarter a year ago. The company's interest rate spread on its indicating revolving interim debt was a 150 basis points less than the third quarter of 2009 and interest-bearing debt at September 30, 2010 was $82.4 million, $13.8 million less than September 30, 2009, this resulted in an $800,000 decline in interest expense for the comparable quarters. For the third quarter of 2010 the company generated income tax expense of $400,000 compared to an income tax recovery of $500,000 in the third quarter of 2009. For the nine month period ended September 30, 2010 consolidated revenue was $528 million compared to $464 million for the nine months of 2009. Income from operations was $8.5 million compared to income from operation $1.5 million in the 2009 nine month period. Earnings per share improved to $0.29 or $0.17 per diluted share for the 2010 nine month period compared to a loss of $0.12 a year ago. Cash flow from operations for the 2010 nine months period generated $11.5 million compared to $1.1 million in 2009. Non-cash working capital changes consumed $6.4 million compared to a consumption of $8.3 million a year ago. Average day sales outstanding for the quarter was 42.7 days at September 30, 2010 compared to 44.4 days at June 30, 2010. The monthly average for DSO for month of September 2010 was 39.8 days, reflecting strong working capital improvements during the quarter. We expect this continue to improve the company’s DSO through the end of 2010. Read the rest of this transcript for free on seekingalpha.com