The third-party logistics and multi-modal transportation services provider recorded a net income attributable to common stockholders of $3.3 million for its fiscal year 2018 second quarter, which ended Dec. 31, 2017, a 58.6 percent year-over-year increase.
Bellevue, Wash.-based Radiant Logistics, Inc. recorded a net income attributable to common stockholders of $3.3 million for its fiscal year 2018 second quarter, which ended Dec. 31, 2017, an increase of 58.6 percent from the corresponding prior year period, the third-party logistics and multi-modal transportation services provider’s latest financial statements revealed.
Radiant Logistics is a beneficiary of the recently enacted Tax Cuts and Jobs Act.
“The primary impact of the Act in fiscal year 2018 is a reduction of the company’s federal statutory tax rate from 35 percent to 28.1 percent, which is the average of our rate of 35 percent for the first half of fiscal 2018 and 21 percent for the second half of fiscal 2018,” Radiant Logistics Founder and CEO Bohn Crain said.
“Given that we have historically been a full cash tax payer, these reduced tax rates will positively impact both our after tax free cashflow as well as our earnings per share,” he added. “Commencing with the quarter ending Sept. 30, 2018, we will begin to recognize the full benefit of the new federal tax rate of 21 percent. When we overlay the impact of state and other taxes, we have historically had an all-in effective tax rate of 36 percent. We are estimating an all-in average effective rate of rate of 31 percent through the fiscal year ending June 30, 2018 and an estimated all-in effective rate of 25 percent commencing with the quarter ending Sept. 30, 2018.”
Meanwhile, the company’s revenues for the quarter ending Dec. 31, 2017 also experienced an increase, rising 3.9 percent year-over-year to $206.7 million.
However, net revenues for the quarter fell 4.4 percent year-over-year to $47.9 million.
Radiant Logistics is beginning to benefit from a more favorable market environment, thanks to the healthy economy, high freight demand and tight capacity, Crain said. In addition, the company is continuing to see strong demand for its Canada-based materials management and distribution solutions offering, he added.
Radiant Logistics increases earnings in Q2 FY2018
