Wednesday, truckload carrier Knight Transportation (KNX) reported a decline in profit and revenue for the third quarter, as the average revenue per tractor dropped in the "continued challenging truckload freight environment."
The Phoenix, Arizona-based company's third-quarter net income decreased 18.1% to $13.1 million or $0.16 per share from $16.0 million or $0.19 per share a year ago.
On average, 19 analysts polled by Thomson Reuters estimated earnings of $0.16 per share for the quarter. Analysts' estimates typically exclude special items.
Revenue for the quarter decreased 17.4% to $173.1 million from $209.7 million in the same quarter of 2008. Analysts expected revenue of $164.64 million for the quarter.
Segment wise, revenue before fuel surcharge decreased 3.6% to $150.2 million from the third quarter of 2008. Fuel surcharge revenue dropped to $22.94 million from $53.81 million last year. The average cost of diesel during the quarter was $2.60, compared to $4.34 in the prior-year quarter.
Operating income decreased 21% to $20.7 million from $26.2 million reported in the third quarter of 2008.
Average revenue per tractor for the quarter declined 4.5% to $37,248 from $38,990 in the comparable quarter of 2008.
For the nine-month period, net income decreased 6.7% to $37.4 million or $0.45 per share from $40.1 million or $0.46 per share in the year-earlier period. Revenue decreased to $427.58 million from $451.99 million last year.
The company said it is actively evaluating strategic opportunities that can create value for its stakeholders without undue risk.
KNX closed Wednesday's regular trading at $17.79, down $0.68 or 3.68%, on a volume of 1.11 million shares on the New York Stock Exchange.
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