YRC Worldwide today reported a net loss of $24.5 million in the first quarter of 2013, improving from a net loss of $81.6 million in the first quarter of 2012.
Quarterly operating revenue was $1.16 billion, down from $1.19 million in the same quarter last year. Operating revenue for the YRC Freight division, No. 3 on JOC’s list of the Top 25 Less-Than-Truckload Carriers, was $753.8 million in the first quarter of 2013, falling 4.5 percent from $789.1 million in the same period in 2012, but its operating income was positive, at $2.4 million. The regional transportation segment’s quarterly revenue was $408.7 million, increasing 1.7 percent year-over-year from $402.0 million.
The company said YRC Freight’s operating ratio was 99.7 in the quarter, a 740 basis point improvement over the comparable prior year period, driven by a 3.4 percent increase in revenue per hundredweight and improved productivities.
“Despite more difficult winter weather conditions in the first quarter of 2013, as compared to an unusually mild winter in 2012, our year-over-year operating results continue to improve,” said James Welch, CEO of YRC Worldwide. “These results are due to a rational pricing environment for both YRC Freight and the regional segment, and the productivity improvements along with the customer mix management effort at YRC Freight specifically.”
Additionally, the company recently announced a network optimization plan for YRC Freight, which is intended to improve its operational performance.
“We will increase density in the network, have fewer touches of shipments and reduce empty mileage,” said Jeff Rogers, president of YRC Freight, regarding the network optimization plan. “These network enhancements will be the foundation for continuous improvement in YRC Freight's year of performance.”