Business
TransForce Delivers Consistent Results in the Third Quarter
TransForce Delivers Consistent Results in the Third Quarter.
About this update from Tfi International Inc.
[{"type":"text","content":"\n\n\n\n- Increased quarterly revenues 8% to $486.2 million\n\n\n- Generated EBITDA of $65.1 million\n\n\nMONTREAL, Oct. 24 /CNW Telbec/ - TransForce Income Fund (TSX: TIF.UN),\nthe leader in the Canadian transportation and logistics industry, today\nannounced results for the nine months and third quarter, ended September 30,\n2007.\n\n\nDespite a challenging operating environment, the Fund increased revenues\nby 8% to $486.2 million from $448.7 million in the third quarter of 2006.\nEBITDA (earnings before interest, taxes, depreciation and amortization and\nequivalent to operating income on TransForce's financial statements) was\n$65.1 million in the quarter, consistent with $65.2 million in the same period\nlast year. Cash flow from operating activities, before net change in non-cash\nworking capital balances, was $50.8 million in the third quarter, compared\nwith $57.4 million in the third quarter of 2006.\n\n\nIn the quarter, distributable cash from ongoing operations was\n$54.6 million, compared with $60.4 million in the same quarter of 2006. The\nFund's regular distribution payout ratio, or cash distributed as a percent of\ncash available for distribution, was 81.9% in the quarter, compared with 68.9%\na year earlier.\n\n\n"The disciplined application of our acquisition strategy meant we could\ndeliver increased revenues and solid bottom line results for our unitholders\nwhile the North American industry continues to face difficult economic\nconditions. We have continued to add to our operations for future growth\nalthough this has meant an increase in interest expense for the shorter-term,"\nsaid Alain Bedard, Chairman, President and Chief Executive Officer of\nTransForce Income Fund. "Our operations continue to adjust to a weak market.\nParcel delivery has grown significantly while our Less Than Truckload segment\nhas experienced lower volumes. In central Canada, the strength of the Canadian\ndollar has resulted in a continuing slowdown in the manufacturing and\nautomotive sectors. This has lowered LTL and TL volumes while creating pricing\npressures across the industry. In Western Canada, the oilfield services\ndivision is being affected by the decline in drilling activity that has\nworsened since the Alberta government's announcement of possible changes to\noil and gas royalties. The new royalty policy i...