We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • ::COVID-19 COVERAGE::
  • INDUSTRY PRESS ROOM
  • ABOUT
  • CONTACT
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
    • Mobile Apps
  • TRANSPORTATION
  • MATERIAL HANDLING
  • TECHNOLOGY
  • LIFT TRUCKS
  • PODCAST ETC.
    • Podcast
    • Blogs
      • Analytics & Big Data
      • Best Practices
      • Change Me
      • Empowering Your Performance Edge
      • Logistics Problem Solving
      • One-Off Sound Off
      • Public Sector Logistics
      • Two Sides of the Logistics Coin
      • Submit your blog post
    • Events
    • White Papers
    • Industry Press Room
      • Upload Your News
    • New Products
      • Upload Your Product News
    • Conference Guides
    • Conference Reports
    • Newsletters
    • Mobile Apps
  • DCV-TV
    • DCV-TV 1: News
    • DCV-TV 2: Case Studies
    • DCV-TV 3: Webcasts
    • DCV-TV 4: Viewer Contributed
    • DCV-TV 5: Solution Profiles
    • MODEX 2020
    • Upload Your Video
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
    • Mobile Apps
  • TRANSPORTATION
  • MATERIAL HANDLING
  • TECHNOLOGY
  • LIFT TRUCKS
  • PODCAST ETC.
    • Podcast
    • Blogs
      • Analytics & Big Data
      • Best Practices
      • Change Me
      • Empowering Your Performance Edge
      • Logistics Problem Solving
      • One-Off Sound Off
      • Public Sector Logistics
      • Two Sides of the Logistics Coin
      • Submit your blog post
    • Events
    • White Papers
    • Industry Press Room
      • Upload Your News
    • New Products
      • Upload Your Product News
    • Conference Guides
    • Conference Reports
    • Newsletters
    • Mobile Apps
  • DCV-TV
    • DCV-TV 1: News
    • DCV-TV 2: Case Studies
    • DCV-TV 3: Webcasts
    • DCV-TV 4: Viewer Contributed
    • DCV-TV 5: Solution Profiles
    • MODEX 2020
    • Upload Your Video
Home » YRC posts lower revenue in second quarter, weighed down by costs of unit's realignment
newsworthy

YRC posts lower revenue in second quarter, weighed down by costs of unit's realignment

August 7, 2013
DC Velocity Staff
No Comments

YRC Worldwide Inc. said today that its second-quarter operating revenues declined less than 1 percent from the same period in 2012. Its long-haul unit, YRC Freight, posted lower revenue and a wider operating loss over the year-earlier quarter.

YRC Freight, which accounts for nearly 60 percent of the parent company's revenues, posted an $8.5 million operating loss in the quarter, compared with a $5.1 million operating deficit in the 2012 period. Revenues for the unit dropped nearly 3 percent year-over-year, the Overland Park, Kan.-based less-than-truckload carrier said. Operating ratio, a measure of expenses over revenue, increased 0.5 percent to 101. That means that YRC Freight spent $1.01 during the quarter for every dollar in revenue it took in.

Company executives attributed the declines at YRC Freight to the impact of a major network realignment implemented in May, a period that coincided with an increase in traffic. As a result, operations and service quality were affected, according to Jeff Rogers, YRC Freight's president.

Rogers said in today's statement that the network realignment, the second largest such change in the company's long history, has been completed. Service has since returned to levels in place before the changeover, Rogers said.

The plan allowed YRC Freight to close breakbulk terminals in Cincinnati, St. Louis, and Memphis. It also consolidated "end-of-line" terminals that were used as freight pickup and final delivery points in San Jose, Calif.; Youngstown and Mansfield, Ohio; and Daytona Beach, Fla., among other cities.

YRC said at the time that the restructuring was unveiled in March that it would lead to the loss of 760 dock, shop, office, and cartage jobs, as well as 452 over-the-road driver positions at the various affected terminal locations. At the same time, 343 over-the-road driver jobs would be created, along with 639 cartage positions. All told, the restructuring is expected to result in a net loss of 230 jobs.

YRC's regional transportation unit, comprised of carriers Holland, New Penn, and Reddaway, posted operating revenues of $444.9 million, up 3.5 percent from 2012 levels. Operating income rose 10 percent from the same period a year ago, while the unit's operating ratio fell to 94.3 from 94.7.

Both the national and regional units showed year-over-year gains in revenue per hundredweight, a sign of better yields for the freight they handled during the quarter.

YRC stock was down more than 16 percent in midafternoon trading.

Transportation Trucking Less-than-Truckload
KEYWORDS YRC Worldwide
  • Related Articles

    U.S. Postal Service posts solid shipping, revenue gains in its fiscal second quarter

    YRC posts brightening revenue, tonnage picture in Q4 of 2011, but operating losses persist

    YRC's Holland regional unit posts weak operating performance in 2014

Recent Articles by DC Velocity Staff

Report: Global TMS revenues to nearly double by 2025

E-commerce fulfillment squeezes retailers’ profit margins, Manhattan Associates says

Logistics-as-a-Service platform expands with $2.5 million funding round

You must login or register in order to post a comment.

Report Abusive Comment

Most Popular Articles

  • IBM survey says digitalization trends will sweep trucking industry by 2030

  • Gartner survey signals increased investment in resilience over the next two years

  • What Level of Automation is Right for Your Warehouse?

  • Truck driver hiring pool tightens to lowest point in three years, ACT says

  • Growing up … and up and up: interview with Sam Bertram

Now Playing on DCV-TV

D92f0dd1 a98c 434a 9e17 30b63ee72c90

Automated Pack-out and Print-Apply System for thredUP

DCV-TV 4: Viewer Contributed
SilMan Industries designed and implemented a mixed polybag-carton system, including automated print and apply, in a new regional Fulfillment Center for thredUP, one of the world’s largest online resale platforms for women’s and kids’ apparel, shoes, and accessories.The Situation Secondhand clothing and online...

FEATURED WHITE PAPERS

  • Using innovation to manage peak seasonal demand

  • Time to rethink your lift truck power

  • Warehouse Management System Project Toolkit

  • Solving Talent Management Challenges Now and In the Future

View More

Subscribe to DC Velocity Magazine

GET YOUR FREE SUBSCRIPTION
  • SUBSCRIBE
  • NEWSLETTERS
  • ADVERTISING
  • CUSTOMER CARE
  • CONTACT
  • ABOUT
  • STAFF
  • PRIVACY POLICY

Copyright ©2021. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing