P.A.M. Transportation Services, Inc. Announces Fourth Quarter Results

Discussion in 'PAM' started by I95, Feb 15, 2012.

  1. I95

    I95 Bobtail Member

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    Feb 15, 2012
    New York, NY
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    TONTITOWN, Ark., Feb 9, 2012 (GlobeNewswire via COMTEX) -- P.A.M. Transportation Services, Inc. PTSI -2.36% today reported net income of $133,037 or diluted and basic earnings per share of $0.02 for the quarter ended December 31, 2011, and net loss of $2,857,371 or diluted and basic loss per share of $0.32 for the year ended December 31, 2011. These results compare to net loss of $1,110,135 or diluted and basic loss per share of $0.12 for the quarter ended December 31, 2010, and net loss of $654,728 or diluted and basic loss per share of $0.07 for the year ended December 31, 2010.

    Operating revenues were $89,388,357 for the fourth quarter of 2011, a 14.3% increase compared to $78,203,070 for the fourth quarter of 2010. Operating revenues were $359,242,960 for the year ended December 31, 2011, an 8.2% increase compared to $331,993,826 for the year ended December 31, 2010.

    Daniel H. Cushman, President of the Company, commented, "The focus of the Company since my arrival in July 2009 has been to build a sustainable profit model. While this sounds basic and fundamental, the execution of the concept requires discipline and perseverance, and often means forgoing short term profit opportunities in favor of investing in the long term sustainable profit plan. The evolution of our customer base continues to be one of the most evident success stories representing the result of our efforts.

    For the fourth quarter 2011, our top five customers comprised 39% of revenue, which represents a 17% decrease from the same period in 2010 when our top five customers comprised 56% of revenue and a 25% decrease from five years ago when revenue from our top five trucking customers represented 64% of trucking revenues for the fourth quarter of 2006. The acceleration of our customer diversification clearly illustrates the success we are having in this area. Approximately $34.1 million of our 2011 revenue came from new customers that we began doing business with in 2011. While achievement of this diversification provides the obvious benefit of protecting us from dependency on any single customer, it has also unencumbered us from leverage that prevented us from pursuing pricing that more fairly compensates us for our services, it has provided a wider array of freight origins and destinations to choose from, and it has reduced the impact of seasonal plant shutdowns. The result of these improvements can be seen in the 4.6% growth in our rate per total mile to $1.38 for the fourth quarter 2011 compared to $1.32 for the same quarter in 2010, and an increase in truck utilization over the same period.

    We continuously monitor expenditures to identify opportunities to do things better. Fuel, being our largest operating cost, has a very large potential for savings and we have made great progress in improving fuel efficiency and savings over the last year. Through management of driving habits, compliance with fuel and route optimization, tuning equipment specifications, and other efforts we have improved the fuel efficiency of our pre-2012 year model trucks (trucks manufactured prior to February 2011) by approximately a half mile per gallon for the quarter ended December 31, 2011 compared to December 31, 2010.

    As of December 31, 2011, we have taken delivery of 510 new tractors and 400 new trailers, and plan to continue renewing our fleet at a similar pace throughout 2012. We have been very pleased by the fuel efficiency and mechanical reliability of the new equipment, and are excited to be able to provide such high quality equipment to our customers and drivers. We look forward to additional savings as an increasingly larger portion of our fleet is replaced by new equipment during 2012.

    While we will never be content with break even operating results, we were pleased with the year over year improvement and progress in many key areas. We look forward to 2012 and our continued progress towards the achievement of a sustainable profit model, and thank our customers, employees, stockholders and suppliers for their continued support."

    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.
     
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  3. D33RHUNT3R

    D33RHUNT3R Medium Load Member

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    Nw Arkansas
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    We drove by their Tonitown office and saw at least 50-100 tractors yesterday all sitting at their parking lot all with SOLD sign's in the front windows..
     
    Last edited: Jun 12, 2012
  4. sevenmph

    sevenmph Road Train Member

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    Jan 26, 2007
    Pinellas county Florida
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    Sometimes it can be hard to read this mumbo jumbo, so I will translate what Daniel Cushman said.

    I haven't done much to turn the profit numbers to the positive in the last three years, but don't fire me yet, I have a plan. We do have different customers now, but ummm the numbers are still bad. I have been able to grow the income per mile to $1.38. This was accomplished in part by lowering driver pay on dedicated routes. Also, by forcing new drivers to team for six months, we have lowered our cost on all the cheap team freight we have taken on since my arrival.
    I'm sure we will be able to turn a profit as soon as I can figure out more ways to screw the drivers.
    IMHO
     
    airforcetoo and 123456 Thank this.
  5. Noggin

    Noggin Road Train Member

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    Apr 10, 2011
    Houston, TX
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    Yeah...they also bought 500 last year.
     
  6. D33RHUNT3R

    D33RHUNT3R Medium Load Member

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    Jun 2, 2012
    Nw Arkansas
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    Stopped by there on my way home tonight, all those tractors are used and appeared to have all be sold to another trucking co..
     
  7. Noggin

    Noggin Road Train Member

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    Apr 10, 2011
    Houston, TX
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    If you looked at the truck numbers, you'd see that they are majority low to mid 33xxx or low 25xxx and 61xxx. Those are their oldest trucks.
     
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