FedEx Freight Segment
For the fourth quarter, the FedEx Freight segment reported:
Revenue of $973 million, up 15% from last year's $843 million
Operating income of $142 million, up 49% from $95 million a year ago
Operating margin was 14.6%, up from 11.3% the previous year
Less-than-truckload (LTL) yield improved 9% year over year reflecting incremental fuel surcharges and higher rates. FedEx Freight implemented a 5.95% general rate increase effective April 24, 2006. Average daily LTL shipments increased 8% year over year due to greater demand for FedEx Freight's regional and interregional services. The growth in LTL yield and shipments, combined with effective cost controls, led to an increase in operating margin.
The addition of Watkins' three-day or more long-haul LTL freight service to FedEx Freight's industry-leading next-day and second-day regional LTL service will extend FedEx's leadership position to a new sector of the freight industry. FedEx Freight and Watkins will form the industry's most well-rounded LTL transportation solution, providing customers with an unmatched suite of freight solutions under one brand.
http://biz.yahoo.com/bw/060621/20060621005250.html?.v=1
For the fourth quarter, the FedEx Freight segment reported:
Revenue of $973 million, up 15% from last year's $843 million
Operating income of $142 million, up 49% from $95 million a year ago
Operating margin was 14.6%, up from 11.3% the previous year
Less-than-truckload (LTL) yield improved 9% year over year reflecting incremental fuel surcharges and higher rates. FedEx Freight implemented a 5.95% general rate increase effective April 24, 2006. Average daily LTL shipments increased 8% year over year due to greater demand for FedEx Freight's regional and interregional services. The growth in LTL yield and shipments, combined with effective cost controls, led to an increase in operating margin.
The addition of Watkins' three-day or more long-haul LTL freight service to FedEx Freight's industry-leading next-day and second-day regional LTL service will extend FedEx's leadership position to a new sector of the freight industry. FedEx Freight and Watkins will form the industry's most well-rounded LTL transportation solution, providing customers with an unmatched suite of freight solutions under one brand.
http://biz.yahoo.com/bw/060621/20060621005250.html?.v=1