USA TRUCK ANNOUNCES 3RD QUARTER EARNINGS INCREASE
VAN BUREN, ARKANSAS (October 22, 2008) - Truck, Inc. (NASDAQ:USAK) announced today a base revenue of $103.7 million for the three months ended September 30, 2008, an increase of 4.4% from the same quarter of 2007. Net income increased from $16 thousand for the quarter ended September 30, 2007 to $2.4 million for the same quarter of 2008. Diluted earnings per share increased to $0.23, net of a one-time adjustment of $0.02 per share for a non-operating asset impairment charge, for the quarter ended September 30, 2008 from $0.00 for the same quarter of 2007.
Base revenue increased 3.1% from $295.5 million for the nine
months ended September 30, 2007 to $304.7 million for the same
period of 2008. Net income increased 48.0% from $1.7 million for
the nine months ended September 30, 2007 to $2.5 million for the
same period of 2008. Diluted earnings per share increased 56.3%
from $0.16 for the nine months ended September 30, 2007 to $0.25
for the same period of 2008.
In comparing the financial results of the quarter ended September
30, 2008 to the comparable period of 2007, Clifton R. Beckham,
President and CEO of the Company, made the following statement:
“Freight availability declined throughout the quarter from its highs in June. Although lower diesel fuel prices certainly helped our third quarter earnings, the diesel price decrease prevented some weak carriers from failing or encouraged them to bring on capacity that had been idled, both of which contributed to more competition for less freight.
“At USA Truck, our employees rose to meet the challenges of that deteriorating freight environment to post significant year-over-year improvements in most of our key operating metrics and earnings per share as they continue to successfully execute our long-term strategic plan.
“For the quarter, our base revenue grew 4.4% despite 1.2% fewer tractors in our fleet. Consistent with our strategic plan, our base revenue growth resulted from aggressive expansion in our asset-light division, Strategic Capacity Solutions, and from improving efficiencies in our Trucking division.
“Driver performance throughout our fleet is improving in several key areas. During the quarter, miles per driver per week grew 4.5% to 2,296 miles, our miles per gallon improved 2.2% and our Department of Transportation recordable accident frequency decreased to 0.58 accidents per million miles – a 43.1% improvement year-over-year and our best third quarter this decade. Driver selection, training and improving discipline within our operations all contributed to that safety performance.
“We also benefited from the reduction in fuel prices throughout the quarter. However, we expect fuel prices to remain volatile and expense control to be a hallmark of successful carriers, so we continue to invest in various programs and technologies to reduce our fuel consumption (such as auxiliary power units, reduced speed governors and tractor specifications, among other things).
“While we continue progressing towards our long-term goals, we will also manage our capital and our business operations conservatively in the uncertain near-term. We believe that our long-term strategic plan positions our business well for performance in difficult times, but it will require intensity and execution on the part of our team. That will be our focus as the fourth quarter unfolds.”
USA Truck is a dry van truckload carrier transporting general
commodities via our General and Dedicated Freight divisions and our
Trailer-on-Flat-Car Intermodal service offerings. We transport
commodities throughout the continental United States and into and
out of portions of Canada. For more information about USA Truck,
visit our Web site at www. usa-truck .com.
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