UTi WORLDWIDE 1ST-QUARTER NET INCOME UP 18%

UTi WORLDWIDE 1ST-QUARTER NET INCOME UP 18%

   UTi Worldwide Inc., the non-asset-based supply chain management business provider, reported fiscal first-quarter net income of $4.8 million, up 18 percent over the year-earlier period.

   Operating income for the quarter ended April 30 jumped 49 percent to $7.9 million. Revenues rose 10 percent to $235.7 million.

   Net revenues for the Rancho Dominguez, Calif.-based company was $76.9 million, up 4 percent. UTi's net revenue in Europe was up 47 percent, including results from the January acquisition of Group SLi, while the Asia Pacific region maintained growth in revenue during the quarter. Africa also showed a strong performance, although results were obscured by the 29-percent decline in the South African rand compared to 2001, UTi said.

   'Growth in our ocean freight and value-added warehousing businesses offset declines in air-freight net revenues, which were impacted by downward pressure on air-freight yields,' said Roger I. MacFarlane, UTi's chief executive officer.

   While the company is encouraged for the second quarter, MacFarlane pointed out the continuing weak air-freight market and questioned whether the recent surge in U.S. imports of ocean freight were 'due in part to inventory corrections and accelerated shipping in anticipation of potential work stoppages in the western U.S. ports.'