William B. Cassidy | Apr 27, 2011 11:11AM EDT
Truck rates and volume outpaced first-quarter cost increases at C.H. Robinson Worldwide, bolstering the non-asset transportation giant's revenue and profit.
C.H. Robinson reported $2.4 billion in total revenue, a 14 percent increase from a year ago. Total transportation revenue climbed 21.5 percent to nearly $2 billion.
Net profit rose 15.5 percent year-over-year to $97 million. C.H. Robinson earned $103.2 million in the fourth quarter of 2010 and $84 million a year ago.
Trucking services -- truckload and less-than-truckload -- accounted for 86 percent of the $9.3 billion company's net transportation revenue in the first quarter.
Truckload volume increased 7.5 percent from the year-ago quarter, and rates rose 8 percent. Truckload operating costs climbed 6 percent, excluding fuel.
Some higher operating costs came from additional personnel C.H. Robinson hired as demand increased, Jefferies analyst H. Peter Nesvold said in a note to investors.
LTL net revenue increased approximately 31 percent, driven by an 18 percent increase in total shipments and price increases, the company said Tuesday.
C.H. Robinson's transportation revenue also rose in intermodal, ocean, logistics and air. Only sourcing revenue declined, dropping 5.5 percent to $33 million.
-- Contact William B. Cassidy at wcassidy@joc.com. Follow him on Twitter @Wbcassidy_joc.