For-hire operating ratio climbs slightly
OTTAWA — Despite what some would call a softening of some trucking sectors in Canada, the top 91 for-hire motor carriers generated operating revenue of $2.4 billion in the third quarter of 2006 — up 26.4 million or a per-carrier average of 5 percent from the same period last year.
However, according to Stats Canada, operating expenses for these carriers (earning $25 million or more annually) increased 5.5 percent to $24.7 million. Operating ratio, therefore, was 0.94, compared with 0.93 in the third quarter of 2005.
A ratio greater than 1.00 represents an operating loss.
The third quarter of 2006 data on the top for-hire carriers, taken from the Quarterly Motor Carriers of Freight Survey, provide results from 64 general freight carriers and 27 specialized freight carriers.
With a few exceptions, additions and deletions to the top carriers are done only for the first quarter of each calendar year, while the composition of a top carrier may change at any time due to acquisitions or divestitures, says Stats Can.
The revenue and expenses attributed to top carriers may also include that of some companies with less than $25 million in annual revenue, particularly when these companies exist in complex corporate structures where their individual activities may be difficult to accurately measure.
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