USA Truck First Quarter Results Drop

USA Truck, Inc. (NASDAQ:USAK), a leading capacity solutions provider headquartered in Van Buren, AR, has announced its financial results for the three months ended March 31, 2016 which showed that consolidated base revenue was $102.0 million for the quarter ended March 31, 2016, compared to $115.5 million for the same quarter of 2015

Consolidated net loss was ($1.8) million, or a ($0.19) per diluted share, for the first quarter of 2016, compared to a net income of $1.6 million, or $0.16 per diluted share, for the same quarter of 2015. Included in loss per diluted share for the first quarter 2016 was $5.3 million, or $0.34, net-of-tax, per diluted share relating to restructuring, impairment and other costs.

President and CEO Randy Rogers commented, “The first quarter was marked by four notable achievements. First, we finished assembling the senior management team we expect to lead us into the future and took major strides toward mapping out our strategy internally. We now have installed a new Chief Executive Officer, President—Trucking, and President—Asset Light in the past six months, and we continue to benefit from the financial leadership and business experience of our CFO, who joined us in 2014. Second, we posted adjusted earnings per share of $0.15, which represented a solid achievement in a difficult freight market. Third, we continued to invest capital effectively by constraining fleet size, growing independent contractors, and repurchasing our shares. Fourth, we implemented significant network infrastructure changes to lighten our cost structure and move toward a more variable cost model.

The company further noted that it closed two additional maintenance facilities, “shut down unnecessary drop yards, and the operations terminal in South Carolina, and removed unnecessary above ground fuel storage tanks.”

USA Truck also closed two asset-light branch offices and restructured around fewer, more efficient regional centers. It continues to maintain 10 asset-light regional offices.

Staff department headcount was cut approximately 10%.

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