PAM Transportation Services reported on Thursday that third-quarter revenues more than tripled year-over-year after the market closed. A truck carrier based in Tontitown, Arkansas had a earnings per share of $ 1.87, compared to 52 cents per share for the same quarter of 2020.
“We had a record high quarter for PAM revenue and operating statistics. Seeing the growing carrier continue to work to make PAM what our customers and employees expect, I see. “I’m excited,” said Joe Vitiritto, president of the press release.
“We continued to see significant turmoil from some of our largest customers in the third quarter, accelerating quarterly, but navigating the turmoil has improved, as shown in this quarter’s results,” he said. Told.
TL revenue was $ 127 million, up 34% year-on-year, with weekly revenue per truck up 30% to $ 4,512. Loaded miles were 8% off and average truck count increased by 2%. However, pricing was the biggest factor in the quarter, more than offsetting the decline in utilization.
Revenue per mileage loaded, excluding fuel surcharges, was $ 2.70, up 45% year-on-year. This has led to the rise in the top line needed to improve business performance. PAM recorded an uptime of 77.9% in the TL sector, an improvement of 1,180 basis points.
Due to the increase in revenue, most expense lines have declined as a percentage of revenue.
Salaries, wages, benefits (-600 bps), depreciation (-400 bps), and business supplies (-310 bps) were the main motivations. The rented and purchased shipping cost line increased by 580bps, but the line includes the cost of procuring capacity for the intermediary department.
Logistics revenue more than doubled to $ 56 million in the quarter. Despite a surge in spot rates, up 20% to 30% year-on-year in most weeks of the quarter, 570 bps OR improved to 88.6% in this segment.
“We still have a lot of opportunities to continue improving from here. Our team will continue to seek profitable growth from the rest of the year to 2022,” said Vitiritto.
PAM closed the quarter with $ 58 million in cash and securities, double its balance at the end of 2020. This year, net debt decreased $ 83 million to $ 186 million.
The company generated $ 74 million in cash flow from its previous sales activities in 2021. Net capital spending has brought in about $ 13 million in cash. PAM received payment for retirement of the equipment, but at the same time was unable to receive delivery of new equipment due to manufacturer delays.
PAM will only deliver 80% of the 2021 purchase orders. The average age of the company’s tractor fleets has increased from 1.6 to 1.8, but given the young age of the fleets, we do not expect delays in delivery to lead to a significant increase in maintenance costs.
So far this year, stock repurchases have accounted for less than $ 11 million in cash spending.
PAM conducted a 2: 1 stock split during the quarter and repurchased approximately 275,000 shares through a Dutch auction. This represents 2.4% of the number of shares of 11 million shares or more after split adjustment. The split was facilitated to attract more investors to the stock at lower stock prices. The company also purchased approximately 13,000 shares during the quarter with approval for a public offering.
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