Roadrunner Transportation Reports Higher Revenues for First Three Quarters of 2017

Roadrunner Transportation Systems has filed its Quarterly Reports on Form 10-Q for the quarterly periods ended March 31, 2017, June 30, 2017 and September 30, 2017.

Revenues for the first nine months of 2017 were $1,530.9 million, a 3.3% increase from revenues of $1,482.0 million for the first nine months of 2016. The increase was due to higher revenues in the company’s Truck load Logistics (“TL”) and Ascent Global Logistics (“Ascent”) segments, partially offset by lower Less-than-Truckload (“LTL”) segment revenues.

Roadrunner’s operating loss was $14.1 million for the first nine months of 2017, compared to an operating loss of $352.5 million for the first nine months of 2016. The oper ating loss for the first nine months of 2017 included:

An increase in purchased transportation costs of 5.2% to $1,033.2 million in the first nine months of 2017 from $982.0 million in the first nine months of 2016; A gain on the sale of Unitrans in September of 2017 of $35.4 million.

Restructuring and restatement costs of $23.6 million associated with legal, consulting and accounting matters, including internal and external investigations, SEC and accounting compliance and restructuring.

An increase of $5.2 million in legal reserves related to recently settled independent contractor litigation and pre-divestiture litigation related to UnitransNon-cash impairment charges of $4.4 million in the first nine months of 2017 related to the revaluation of the Ascent segment goodwill after the sale of Unitrans, compared to non-cash impairment charges of $372.1 million in the first nine months of 2016.

Net loss was $67.9 million for the first nine months of 2017, compared to a net loss of $321.5 million for the first nine months of 2016.

In addition to the items listed above, the net loss in the first nine months of 2017 was impacted by: Issuance costs of $16.1 million associated with the sale of preferred stock in May of 2017, which was reflected as interest expense.

Loss from debt extinguishment of $15.9 million, comprised of $9.8 million from early debt repayment associated with the company’s prior senior credit facility in May of 2017 and early payment premiums on the redemption of preferred stock totaling $6.1 million using the proceeds from the ABL facility and the sale of Unitrans in the third quarter of 2017.

Diluted loss per share available to common stockholders was $1.77 for the first nine months of 2017, compared to diluted loss per share of $8.39 for the first nine months of 2016.

Category: General Update, News