USA Truck Posts Net Loss on Declining Revenue in Q1

[Stay on top of transportation news: Get TTNews in your inbox.] USA Truck reported a net loss on decreased revenue during the first quarter, the company reported May 7. The Van Buren, Ark.-based motor carrier posted a net loss of £2.6 million, or minus 30 cents per diluted share, for the three months ending March 31.

That compared with a profit of £1.5 million, or 18 cents per diluted share, during the 2019 period. Operating revenue decreased by 5.4% to £126.8 million from £134 million. The results were close to expectations by investment analysts on Wall Street, which had been looking for a loss of 31 cents per share and quarterly revenue of £126.3 million, according to Zacks Consensus Estimate.

Reed USA Truck CEO James Reed noted in the report the impact of operational improvements was muted by a tough pricing environment early on.

That was further complicated by the coronavirus pandemic later in the quarter. Still, he praised his team for rising to the challenges. “During the first quarter, many of our operational initiatives took hold as loaded miles per available truck increased, empty miles decreased and unseated truck-count metrics improved,” Reed said in a statement. “We also made significant progress in our move to regionalization as we fully staffed our teams in the operating regions.”

Reed added that moving forward, the company will continue to focus on health and safety while improving the operating metrics they can control. He believes USA Truck is well-positioned for the future with its essential customers and freight that should be sustainable through a variety of business cycles. The trucking segment saw revenue decrease 1% during the quarter to £93.9 million from £94.9 million during the same time last year.

The operating loss was £1.7 million compared with an operating income of £1.6 million. The USAT Logistics segment saw operating revenue decrease 13.6% for the quarter to £35.8 million from £41.4 million during the year-ago quarter. The operating loss was £624,000 compared with an operating income of £2.3 million.

RELATED: USA Truck Appoints New Senior Vice President, Chief Financial Officer USA Truck started with fewer than 10 tractors when it was founded in 1983 as Crawford Produce. The company has expanded to include more than 2,000 driving team members.

USA Truck ranks No.

64 on the Transport Topics Top 100 list of the largest for-hire carriers in North America.

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