Yellow Corp. sees boost in 2nd-quarter earnings

Yellow Corp. sees boost in 2nd-quarter earnings

''''Yellow Corp. said Tuesday its net income for the quarter ended June 30 was $23.5 million, up 81 percent over the $13 million reported in the year-earlier quarter.

''''Operating revenue was $904.2 million, up 19.6 percent from $756.1 million in the second quarter of 1999. Consolidated operating income was $46.0 million, up 89 percent. Second quarter 1999 results do not include Jevic Transportation, which Yellow acquired in July 1999.

''''Yellow's second-quarter 2000 results include a non-recurring after-tax net gain of $8.7 million resulting form the sale of real estate property in Manhattan. The second-quarter results also include an after-tax loss for business development expenses to Transportation.com, an Internet-based transportation venture launched June 30.

''''Yellow Freight System, the company's largest subsidiary, reported second-quarter operating income of $43.3 million. Excluding a $14.2-million non-recurring pretax gain, Yellow Freight recorded operating income of $29.1 million, up 29 percent from $22.6 million in the 1999 second quarter.

''''Revenue was $696.7 million, up 9.1 percent. Excluding the non-recurring net gain, Yellow Freight's second-quarter operating ratio was 95.8 compared with 96.5 for the year-earlier period.

''''Second-quarter less-than-truckload tonnage increased 4.6 percent and LTL weight per shipment increased 1.9 percent. The number of LTL shipments increased 2.6 percent and revenue per shipment rose 7.2 percent.

''''Yellow's regional carrier group, comprising Saia Motor Freight Line, Jevic Transportation, WestEx and Action Express, reported combined operating income of $6.4 million, up 14 percent from the $3.1 million reported in the 1999 second quarter. Revenue for the regional group was $198.9 million, up 77.7 percent. The second quarter 1999 results did not include contributions from Jevic.

''''Saia's second-quarter revenue was rose 8.3 percent to $92.2 million and operating income jumped 25 percent to $3.5 million. Second-quarter operating ratio was 96.2 compared with 96.7 in the year-earlier quarter.

''''Jevic's second quarter revenue was $76.7 million and its operating income was $2.7 million. AS a stand-alone company, Jevic had revenue of $67.1 million and operating income of $5.3 million. Current quarter income includes $520,000 in acquisition goodwill amortization that was not applicable to the second-quarter 1999 result.

''''WestEx reported second quarter revenue of $18.8 million, up 7.8 percent. Action Express's second-quarter revenue rose 18.5 percent to $11.1 million.