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.