WOODSTOCK, Ont. — Contrans announced its third quarter results today, setting a new record for the period despite the difficult operating conditions affecting the industry.
“I have always maintained that the inherent value of Contrans is more apparent in tougher times than in good times,” announced chairman and CEO, Stan Dunford. “For over a year, we have been living in tougher times in Central and Eastern Canada. The strengthening Canadian dollar has dampened manufacturing activity and is affecting north-south trade and traffic. Construction activity has slowed down. These factors have affected everyone in our industry, some far more than others. To deliver record results under these circumstances speaks volumes about the quality and stability of Contrans.”
Dunford said the company can attribute its success to its diversified transportation services and solutions, which leaves the company less sensitive to economic cycles.
Contrans reported that acquisitions generated additional revenue of $13.6 million in the third quarter of 2007 compared to 2006. Lower average fuel prices have resulted in a decline in fuel surcharge revenue. The company has reduced empty mile percentage, particularly in its van operations, which has helped improve profitability.
Contrans reported revenue for its transportation services in the third quarter totalled $122.1 million, compared with $114.4 million during the same period last year. Revenue for the nine month period ending Sept. 30 was $367.4 million compared to $339.6 million in 2006.
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