USA Truck, Inc. Announces Operating Results
20 April 2000
USA Truck, Inc. Announces Operating Results
VAN BUREN, Ark.--April 19, 2000--USA Truck, Inc. (NASDAQ NMS:USAK) today announced record operating revenues for the quarter ended March 31, 2000 of $55,144,425, up 52.3% from $36,199,447 for the same quarter of 1999. Net income decreased 117.0% to a loss of $394,385 for the first quarter of 2000, compared to a profit of $2,324,117 for the first quarter of 1999. Fully-diluted net income per share for the quarter ended March 31, 2000 was a loss of $.04 compared to a profit of $.25 for the same quarter in 1999.The following table summarizes USA Truck's earnings information:
Quarter Ended
March 31,
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2000 1999
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Operating revenues $ 55,144,425 $ 36,199,447
Operating expenses and costs:
Salaries, wages and employee benefits 22,511,334 15,656,478
Operations and maintenance 17,708,908 8,343,429
Operating taxes and licenses 1,175,876 703,307
Insurance and claims 2,809,509 1,638,086
Communications and utilities 711,992 409,891
Depreciation and amortization 6,821,145 4,229,216
Other 2,605,599 1,082,599
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Total operating expenses and costs 54,344,363 32,063,006
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Operating income 800,062 4,136,441
Other expenses, net 1,451,235 313,880
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(Loss) income before income taxes (651,173) 3,822,561
Income tax (benefit) expense (256,788) 1,498,444
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Net (loss) income $ (394,385) $ 2,324,117
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(Loss) earnings per share (diluted) ($ 0.04) $ 0.25
Average shares outstanding (diluted) 9,266,229 9,452,481
Key Operating Statistics:
Quarter Ended
March 31,
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2000 1999
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Total miles (Loaded & Empty) 47,450,466 32,739,075
Empty mile factor 9.00% 9.69%
Revenue per mile $ 1.162 $ 1.106
Average number of tractors 1,729 1,104
Miles per tractor 27,444 29,655
Average miles per tractor per week 2,144 2,354
Miles per trip 890 922
Number of shipments 48,508 32,084
Operating ratio 98.5% 88.6%
In comparing the financial results of the quarter ended March 31, 2000 to the quarter ended March 31, 1999, Robert M. Powell, President and CEO of the Company, said, "we are extremely pleased with our revenue growth. However, our diesel cost per gallon for the quarter increased 50.3%, or $4,148,807. The after-tax effect of this increase amounted to 27 cents per common share. We have secured rate increases from a number of our customers but many of these changes occurred too late in the quarter to positively impact operating revenues. Although general economic conditions continued to be strong, driver turnover remains at record levels, forcing recruiting and training costs upward. During the quarter, recruiting and training costs were up 109.4% or $1,320,976. Tractor utilization (miles per tractor per week) for the quarter slipped 8.9% to 2,144 miles per week, which negatively impacted earnings."
This press release contains forward-looking statements. Among the key factors that are not within the Company's control and that may cause operating results to differ materially from those contemplated by such statements are increases in diesel prices, adverse weather conditions and the impact of increased rate competition and competition for qualified drivers, as well as various unforeseen events such as unusual levels of equipment failure or vehicle accident claims.
Fluctuations in general economic conditions also may have a significant impact, as the Company's utilization rates are directly related to business levels of shippers in a variety of industries. See also the factors discussed in the Company's filings with the SEC under the Securities Exchange Act of 1934.
USA Truck is a medium haul, common and contract carrier specializing in truckload quantities of general commodities. The Company operates in the 48 contiguous United States and the Canadian provinces of Ontario and Quebec and in Mexico through the gateway city of Laredo, Texas.