Business
TransForce Inc. Delivers Significant Growth in Third Quarter Results
- Increased revenues by 23% to $595.5 million - Increased EBITDA by 27% to $82.3 million - Increa...
About this update from Tfi International Inc.
[{"type":"text","content":"\n\n\n\n- Increased revenues by 23% to $595.5 million\n- Increased EBITDA by 27% to $82.3 million\n- Increased pre-tax earnings 31% to $38.4 million\n\n\nMONTREAL, Oct. 30 /CNW Telbec/ - TransForce Inc. ("TransForce" or "the\nCompany") (TSX: TFI - T), the leader in the Canadian transportation and\nlogistics industry, today announced significant growth in its key results for\nthe third quarter of 2008, ended September 30, 2008.\n\n\n"While industry conditions continued to be weak in the third quarter,\nTransForce maintained its disciplined growth strategy to increase revenues and\nits careful operating management to drive significant EBITDA growth," said\nAlain Bedard, Chairman, President and Chief Executive Officer of TransForce\nInc. "Once again the skills and experience of our people have produced solid\nresults for our shareholders."\n\n\nThird Quarter Results\n\n\nIn the quarter, TransForce delivered significant year-over-year increases\nacross key financial performance indicators.\n\n\nFor the three months ended September 30, 2008 the Company increased\nrevenues by 23% to $595.5 million from $486.2 million in the same period of\n2007. This increase was partly due to significant acquisitions in the past\nyear that accounted for $45.6 million in additional revenue in the quarter.\n\n\nTransForce increased third quarter EBITDA by 27% to $82.3 million from\n$65.1 million a year ago. (EBITDA is earnings before interest, taxes,\ndepreciation and amortization and equivalent to operating income on\nTransForce's financial statements). Significant acquisitions contributed\n$8.1 million of EBITDA in the quarter. The remaining increase is from the\nCompany's organic operations including cost containment efforts and efficiency\ngains.\n\n\nThe Company's earnings before income taxes were $38.4 million compared\nwith $29.2 million in the third quarter of 2007. Included in the earnings\nbefore income taxes is a $2.0 million loss on interest rate swap contracts.\nThe contracts have allowed the Company to fix the rate of interest on\n$185 million of variable rate debt at an effective rate of 5.58% at September\n30, 2008.\n\n\nEarnings per share were $0.31 per share compared with $0.33 in the same\nperiod of 2007. Earnings per share were affected by TransForce's conversion\nfrom an income trust to a cor...