VITRAN POSTS PROFIT FOR 2002
Canadian transportation company Vitrans Corp. reported record fourth quarter profits and a 193 percent increase for 2002 on the strength of its less-than-truckload operations.
Net income for the fourth quarter ended Dec. 31 rose 53.8 percent to Can $3.4 million ($2.2 million) while revenues dipped to Can $117.2 million ($77.3 million) from Can $118.5 million. For the year, operating income before depreciation was Can $10.9 million ($7.2 million), up from Can $3.7 million ($2.4 million) in 2001. Year-over-year revenue decreased about Can $5.5 million to Can $476 million ($314.7 million).
Operating income for Vitran's LTL segment in 2002 increased 49 percent as the company improved its operating ratio to 94.6 percent from 96.4 percent. The company attributed the results to increases in total shipments and tonnage, along with better efficiencies in both its Canadian and U.S. LTL operations. The U.S. division saw a 7.5-percent increase in gross profit.
Revenue for the truckload segment increased 7.9 percent to Can $53.3 million, but the gains were offset by increases in liability and health care insurance that caused operating income to decline 8.6 percent to Can $1.3 million.
Revenues for the logistics business unit in 2002 were down 23.5 percent primarily as a result of a 30-percent loss in revenue at Vitran's freight brokerage operation after it was merged with Vitran Logistics.