The freight broker and third-party logistics provider also said Wednesday it has completed the integration of truckload-oriented freight broker Command Transportation, LLC, which it acquired in June 2015 for $420 million.
Echo Global Logistics reported Wednesday its net income for the third quarter of 2016 fell 32 percent from the third quarter of 2015 to $2.4 million.
The Chicago-based freight broker and third-party logistics provider’s revenues ticked up 2.3 percent year-over-year to $460.2 million. Truckload volumes surged 11 percent from the third quarter of 2015, while less-than-truckload volumes rose 6 percent.
Echo had 2,382 employees in the third quarter of 2016, a slight decline from the 2,397 employees it had in the third quarter of 2015.
“Echo posted another strong quarter of market share gains in a softer freight market, as we continued growing volumes and revenue,” Echo CEO and Chairman of the Board of Directors Doug Waggoner said. “Softer pricing resulting from prolonged market weakness contributed to net revenue margin decline, which impacted our profitability. At the same time, we remain confident in our long-term strategy, as the combination of our new technology platform and integrated organization makes us excited about our growth prospects ahead.”
Echo also said Wednesday it has completed the integration of truckload-oriented freight broker Command Transportation, LLC, which it acquired in June 2015 for $420 million. “Our people were able to effectively merge Echo’s industrial strength and multimodal platform with Command’s best-in-class capacity collection and truckload sourcing tools,” Echo Chief Information Officer Tim Kutz said. “We are now well positioned for continued innovation for years to come.”
Looking at the fourth quarter, Echo expects revenues for the quarter to range between $405 million and $425 million, Echo Chief Financial Officer Kyle Sauers said.
Echo’s Q3 net income falls 32% despite rise in volumes, revenues
