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Be the first with the news that moves the market- Logistics company TFI International (TFII) has reported a steady performance for the third quarter of 2020 despite prevailing market uncertainty
- Total revenue for the three months ending September 30 was down four per cent compared to last year, from C$1.3 billion to just under $1.25 billion
- However, net income rose 34 per cent, from $82.6 million to $110.7 million
- The company said this was due to improved contributions from operations and a reduction in interest expenses
- As a result of the strong performance, the company raised its quarterly dividends 12 per cent, from $0.26 to $0.29 per share
- TFI International (TFII) is currently up 2.39 per cent to $65.16 per share at 9:51am EDT
Logistics company TFI International (TFII) has reported a steady performance for the third quarter of 2020 despite prevailing market uncertainty.
For the three months ending September 30, Montreal-based TFI reported a four per cent increase in total revenue compared to the same period last year, from C$1.3 billion to just under $1.25 billion.
Excluding fuel charges, revenue fell only one per cent for the quarter, from $1.16 billion to $1.15 billion.
Operationally, revenue grew seven per cent in the company’s Logistics segment, driven by business acquisitions and increased e-commerce activity, while its Package and Courier segment also grew by one per cent.
That said, Truckload revenue fell six per cent, and Less-Than-Truckload revenue fell by a total of 17 per cent relative to the prior year.
However, net income increased by a substantial 34 per cent for the quarter, from $82.6 million to $110.7 million. TFI said this was largely due to improved contributions from operations, as well as a reduction in interest expenses brought on by lower debt.
Alain Bédard, Chairman, President and CEO of TFI International, said it was an outstanding quarter for the company.
“Regardless of fluctuating macro conditions, we have the experience and financial strength to create shareholder value through disciplined execution of our asset-light business plan…”
“We also acquired or agreed to acquire an additional five businesses during the quarter that are each an outstanding fit with our proven operating philosophy, and add to my confidence in TFI’s continued success going forward,” he concluded.
As a result of the strong performance, TFI elected to increase its quarterly dividends by 12 per cent, from $0.26 to $0.29 per share.
TFI International (TFII) is currently up 2.39 per cent to $65.16 per share at 9:51am EDT.
