William B. Cassidy, Senior Editor | Oct 28, 2011 11:29AM EDT
Arkansas Best swung to a $12.3 million net profit in the third quarter from a loss a year ago despite lower freight volume at the less-than-truckload subsidiary, ABF Freight System.
The transportation holding company reported a $12.3 million net profit for the quarter, compared with a $700,000 loss in the same quarter a year ago.
Disciplined pricing and fuel surcharges helped drive ABF Freight’s revenue per hundredweight up 15.9 percent year-over-year, the company said, helping reverse last year’s $700,000 loss.
The Fort Smith, Ark.-based company was profitable for the second consecutive quarter after suffering nearly three years of losses, starting in late 2008.
ABF Freight had an operating profit of $18.3 million compared with a $2.6 million loss in the 2010 third quarter, despite a 2 percent drop in tonnage per day.
Arkansas Best total revenue increased 14.7 percent to $510.9 million in the quarter, while ABF Freight revenue rose 13.8 percent year-over-year to $466.3 million.
Compared with the second quarter, ABF more than doubled its operating profit and raised revenue 1.7 percent. ABF is the fifth-largest U.S. LTL carrier.
Contact William B. Cassidy at wcassidy@joc.com. Follow him on Twitter at @wbcassidy_joc
