UTi Worldwide Reports Fiscal 2014 Third Quarter Results

LONG BEACH, Calif., Dec. 5, 2013 (GLOBE NEWSWIRE) -- UTi Worldwide Inc. (Nasdaq:UTIW) today reported financial results for its fiscal 2014 third quarter ended October 31, 2013.

Fiscal Third Quarter 2014 vs. 2013 Results:
  • Revenues were $1,154.4 million, a decrease of 0.2 percent from $1,156.7 million.
  • Net revenues (revenues minus purchased transportation costs) were $393.5 million, a decrease of 2.5 percent from $403.6 million.
  • On an organic basis, revenues increased 3.1 percent and net revenues increased 1.6 percent versus the comparable prior year period.
  • Net loss attributable to UTi Worldwide Inc. was $9.1 million, or $0.09 per diluted share, compared to net income of $10.5 million, or $0.10 per diluted share.
  • The GAAP net loss in the fiscal 2014 third quarter includes after-tax severance costs of $12.0 million, or $0.12 per diluted share. In addition, the company recorded additional tax expense exceeding its normalized tax rate by $5.2 million, or $0.05 per diluted share.
  • Excluding the after-tax severance costs and the additional tax expense described above, non-GAAP net income attributable to UTi Worldwide Inc. was $8.1 million, or $0.08 per diluted share.
  • All references to adjusted items and organic items in this release refer to non-GAAP results. A reconciliation of GAAP to these non-GAAP results is provided in the supplemental financial information attached to this release.

Eric W. Kirchner, chief executive officer, said, "Our fiscal 2014 third quarter results reflect increased activity in both our freight forwarding and contract logistics and distribution segments, offset by transformation-related costs. Our sales efforts drove freight forwarding volume growth that was ahead of the market, particularly in airfreight. Rates were under pressure in the third quarter and this led to a decline in net revenue per unit of cargo that partially offset the higher volumes. We anticipate this rate pressure to continue for the foreseeable future. Improved trading conditions and our ongoing sales activities in contract logistics and distribution led to new business and increases in existing accounts. Year over year comparisons in contract logistics and distribution were negatively impacted by the conclusion in October 2012 of a high-margin account in the Americas and the impact of currency exchange rates on our global results."

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