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Amid losses, YRC looks for ‘green shoots’
William B. Cassidy, Senior Editor | Feb 10, 2020 4:16PM EST
YRC Worldwide will continue to streamline its network in 2020, company executives said. Photo credit: YRC Worldwide.
YRC Worldwide is hoping recent signs of a US manufacturing revival foretell a developing tailwind and not just a few sporadic gusts of economic activity. The less-than-truckload (LTL) operator blamed last year’s manufacturing slump for a decline in freight volumes, revenue, and profits that made 2019 its most difficult year since it first returned to profit in 2014.
The holding company reported a $104 million net loss on $4.87 billion in revenue for 2019, its largest net loss since running $136.5 million in the red in 2012. Revenue slipped 4.3 percent for the year, while tonnage per day dropped 5.8 percent compared with 2018 at both national LTL carrier YRC Freight and YRC’s three regional carriers, Holland, Reddaway, and New Penn.
In the fourth quarter, YRC Worldwide reported a net loss of $15.3 million on $1.16 billion in operating revenue. YRC Freight revenue dropped 7 percent to $740.9 million, as LTL tonnage per day fell 6.6 percent and shipments per day dropped 8.5 percent. The national LTL carrier had an operating profit of $11.8 million, giving it an operating ratio of 98.4 percent.
YRC's regional carriers saw revenue decline 7.2 percent to $418.7 million in the fourth quarter, while LTL tonnage per day dropped 7.4 percent and shipments fell 7.9 percent. The regional group eked out a $3.7 million operating profit in the quarter and had an operating ratio of 99.1 percent.
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William B. Cassidy, Senior Editor | Feb 10, 2020 4:16PM EST
YRC Worldwide will continue to streamline its network in 2020, company executives said. Photo credit: YRC Worldwide.
YRC Worldwide is hoping recent signs of a US manufacturing revival foretell a developing tailwind and not just a few sporadic gusts of economic activity. The less-than-truckload (LTL) operator blamed last year’s manufacturing slump for a decline in freight volumes, revenue, and profits that made 2019 its most difficult year since it first returned to profit in 2014.
The holding company reported a $104 million net loss on $4.87 billion in revenue for 2019, its largest net loss since running $136.5 million in the red in 2012. Revenue slipped 4.3 percent for the year, while tonnage per day dropped 5.8 percent compared with 2018 at both national LTL carrier YRC Freight and YRC’s three regional carriers, Holland, Reddaway, and New Penn.
In the fourth quarter, YRC Worldwide reported a net loss of $15.3 million on $1.16 billion in operating revenue. YRC Freight revenue dropped 7 percent to $740.9 million, as LTL tonnage per day fell 6.6 percent and shipments per day dropped 8.5 percent. The national LTL carrier had an operating profit of $11.8 million, giving it an operating ratio of 98.4 percent.
YRC's regional carriers saw revenue decline 7.2 percent to $418.7 million in the fourth quarter, while LTL tonnage per day dropped 7.4 percent and shipments fell 7.9 percent. The regional group eked out a $3.7 million operating profit in the quarter and had an operating ratio of 99.1 percent.
(continued)