Canadian transport company TFI International (NYSE: TFII) on Monday reported revenue, including fuel surcharges, of $1.79 billion in the second quarter, down from $2.42 billion in the 2022 quarter as weaker volumes ate into its top line.
Operating income was halved to $192.4 million from $391 million, while adjusted diluted earnings per share dropped to $1.59 from $2.61 per share, and below analyst consensus of $1.71-$1.73 a share.
Adjusted net income of $138.9 million was below the $276.8 million in the second quarter of 2022.
The drop in revenue and operating income was due to a decline in volumes and the impact of the sale of subsidiary CFI’s truckload, temperature-controlled and Mexican non-asset-based logistics business in August 2022.
Total revenue declined for all segments relative to the prior-year period, with declines of 27% for less-than-truckload, 32% for truckload (part of which was due to the sale of the CFI business), 15% for package and courier, and 20% for logistics.
TFI’s U.S. LTL operation, TForce Freight, last month agreed to a tentative five-year agreement with the Teamsters union. The tentative agreement affects about 8,000 workers.
Oliver
Tforce teaming with teamsters ? Yell hell no yell heck no yell no yell ow yellohhh ohhhhh . Good luck teaming up and freight waves I shall not log back on.
Freight Zippy
TFI needs to revisit its relationship with the Teamsters union to avoid being the next Yellow
Perhaps decertifying or reinventing work rules is a must for survival.
The science teaches us that no LTL carrier that is unionized can survive.
From hundreds and hundreds of union LTL carriers we have whittled down to only two!
Follow the science…
Dick Bischoff
TFORCE Freight saw a staggering 27% drop in LTL revenue or was that including all the tiny LTL carriers they have up in Canada as well? Hoping you give a deeper dive into these numbers over the next several days. Good Day