P.A.M. Transportation Services, Inc. Announces Record Results and a 324% Increase in Earnings Per Share
April 22 2015 - 1:53PM
P.A.M. Transportation Services, Inc. (Nasdaq:PTSI) today reported
that basic and diluted earnings per share increased 324% to $0.72
for the quarter ended March 31, 2015. These results compare to
diluted and basic earnings per share of $0.17 for the quarter ended
March 31, 2014. Net income for the quarter ended March 31, 2015
increased 296% to $5,369,218 compared to net income of $1,356,607
for the quarter ended March 31, 2014.
Operating revenues, before fuel surcharge revenue, increased
10.4% to $82,684,570 for the first quarter of 2015 compared to
$74,895,613 for the first quarter of 2014. Fuel surcharge revenue
decreased to $16,798,584 for the first quarter of 2015 from
$22,924,781 for the first quarter of 2014 as fuel prices were
significantly lower year over year. Total operating revenues
increased to $99,483,154 for the first quarter of 2015 compared to
$97,820,394 for the first quarter of 2014.
Daniel H. Cushman, President of the Company, commented,
"Obviously, we are thrilled with our first quarter results. Our
operating income of $9.1 million is the most profitable quarter on
record and certainly a significant improvement over last year's
$2.8 million operating income. The month of January is normally one
of our less profitable months, but in this January, that was not
that case. We had great miles, and weather was not as much of an
issue as it was during last year's January. Due to the nature of
our customer mix, we will continue to be impacted by scheduled
plant shutdowns, but the diversification achieved over recent years
has given us better freight substitution capability. Similar to
last year, February weather presented challenges but not to the
level seen in the previous year. March, which is typically one of
our stronger months, continued to be so.
"We stated in our fourth quarter earnings release that we wanted
to grow this year, clearly recognizing that with the extremely
tight driver market that was going to be challenging. Our operating
revenue, without considering fuel surcharge revenue, grew 10.4%
year-over-year in the first quarter. After considering the impact
of structural changes to certain customers' fuel surcharge
programs, which had the effect of lowering base rates and
increasing fuel surcharge rates, base revenue growth was closer to
13.5% on a comparative basis. Revenues reported for fuel surcharge
collections were down primarily due to the decline in fuel prices,
which serve as the basis for calculation of the fuel surcharge
rate. We have been able to secure certain rate increases, and
overall, our miles per truck per week have increased but not to our
expectations. This will be a continued point of emphasis going
forward.
"One of our goals going into 2015 was significant growth within
our logistics offering, which is currently meeting our
expectations. Logistics revenue during the first quarter has almost
doubled year-over-year. This portion of our business helps
accomplish our goal of providing our customers with additional
solutions beyond our assets and broadens our customer base, which
also provides us with additional opportunity to use our assets when
presented with dedicated opportunities or softer market
conditions.
"We continue to make investments at every level in our driving
professionals. We have further invested in our driver partner
schools supporting them in their growth and expansion. We are
consistently reviewing and updating driver pay on a lane-by-lane
basis and have seen positive results in our driver retention. Our
overall package offering of new equipment, consistent
driver-friendly lanes, increasing pay packages, and frequent home
time opportunities has helped us reduce driver turnover."
P.A.M. Transportation Services, Inc. is a leading truckload dry
van carrier transporting general commodities throughout the
continental United States, as well as in the Canadian provinces of
Ontario and Quebec. The Company also provides transportation
services in Mexico through its gateways in Laredo and El Paso,
Texas under agreements with Mexican carriers.
Certain information included in this document contains or may
contain "forward-looking statements" within the meaning of the
Private Securities Litigation Reform Act of 1995. Such
forward-looking statements may relate to expected future financial
and operating results or events, and are thus prospective. Such
forward-looking statements are subject to risks, uncertainties and
other factors which could cause actual results to differ materially
from future results expressed or implied by such forward-looking
statements. Potential risks and uncertainties include, but are not
limited to, excess capacity in the trucking industry; surplus
inventories; recessionary economic cycles and downturns in
customers' business cycles; increases or rapid fluctuations in fuel
prices, interest rates, fuel taxes, tolls, license and registration
fees; the resale value of the Company's used equipment and the
price of new equipment; increases in compensation for and
difficulty in attracting and retaining qualified drivers and
owner-operators; increases in insurance premiums and deductible
amounts relating to accident, cargo, workers' compensation, health,
and other claims; unanticipated increases in the number or amount
of claims for which the Company is self-insured; inability of the
Company to continue to secure acceptable financing arrangements;
seasonal factors such as harsh weather conditions that increase
operating costs; competition from trucking, rail, and intermodal
competitors including reductions in rates resulting from
competitive bidding; the ability to identify acceptable acquisition
candidates, consummate acquisitions, and integrate acquired
operations; a significant reduction in or termination of the
Company's trucking service by a key customer; and other factors,
including risk factors, included from time to time in filings made
by the Company with the Securities and Exchange Commission. The
Company undertakes no obligation to publicly update or revise
forward-looking statements, whether as a result of new information,
future events or otherwise. In light of these risks and
uncertainties, the forward-looking events and circumstances
discussed above and in company filings might not transpire.
|
|
|
P.A.M. Transportation Services,
Inc. and Subsidiaries Key Financial and Operating Statistics
(unaudited) |
|
Quarter ended March 31, |
|
2015 |
2014 |
|
|
|
Revenue, before fuel surcharge |
$82,684,570 |
$74,895,613 |
Fuel surcharge |
16,798,584 |
22,924,781 |
Total operating revenues |
99,483,154 |
97,820,394 |
|
|
|
Operating expenses and costs: |
|
|
Salaries, wages and
benefits |
25,933,323 |
26,034,773 |
Operating supplies and
expenses |
23,165,278 |
34,165,591 |
Rent and purchased
transportation |
29,056,876 |
20,761,914 |
Depreciation |
7,557,202 |
9,125,837 |
Insurance and claims |
3,405,632 |
3,742,238 |
Other |
2,379,486 |
2,411,044 |
Gain on disposition of
equipment |
(1,161,412) |
(1,266,226) |
Total operating expenses and costs |
90,336,385 |
94,975,171 |
|
|
|
Operating income |
9,146,769 |
2,845,223 |
|
|
|
Interest expense |
(616,782) |
(862,234) |
Non-operating income |
244,678 |
271,636 |
|
|
|
Income before income taxes |
8,774,665 |
2,254,625 |
Income tax expense |
3,405,447 |
898,018 |
|
|
|
Net income |
$5,369,218 |
$1,356,607 |
|
|
|
Diluted earnings per share |
$0.72 |
$0.17 |
|
|
|
Average shares outstanding – Diluted |
7,467,405 |
8,032,937 |
|
|
|
|
Quarter ended March 31, |
Truckload Operations |
2015 |
2014 |
Total miles |
51,836,268 |
51,022,305 |
Operating ratio (1) |
87.71% |
96.18% |
Empty miles factor |
6.59% |
6.92% |
Revenue per total mile, before fuel
surcharge |
$1.40 |
$1.36 |
Total loads |
72,136 |
67,240 |
Revenue per truck per work day |
$642 |
$608 |
Revenue per truck per week |
$3,210 |
$3,040 |
Average company trucks |
1,430 |
1,459 |
Average owner operator trucks |
362 |
352 |
|
|
|
Logistics Operations |
|
|
Total revenue |
$10,155,167 |
$5,448,980 |
Operating ratio |
97.72% |
96.44% |
___________________________________________________________
1) Operating ratio has been calculated based upon total
operating expenses, net of fuel surcharge, as a percentage of
revenue, before fuel surcharge. We used revenue, before fuel
surcharge, and operating expenses, net of fuel surcharge, because
we believe that eliminating this sometimes volatile source of
revenue affords a more consistent basis for comparing our results
of operations from period to period.
CONTACT: P.A.M. TRANSPORTATION SERVICES, INC.
P.O. BOX 188
Tontitown, AR 72770
Allen W. West
(479) 361-9111
P A M Transport Services (NASDAQ:PTSI)
Historical Stock Chart
From Aug 2024 to Sep 2024
P A M Transport Services (NASDAQ:PTSI)
Historical Stock Chart
From Sep 2023 to Sep 2024