UTi Worldwide posts 1Q loss on lower prices
UTi Worldwide posts 1Q loss on price decline and departure of some profitable accounts
LONG BEACH, Calif. (AP) -- Freight logistics company UTi Worldwide Inc. posted a fiscal first-quarter loss on Thursday, as prices for its services declined and shipping volumes fell.
The company lost $12.4 million, or 12 cents per share, for the quarter that ended April 30. During the same period last year it earned $12.9 million, or 12 cents per share.
Revenue fell 7.5 percent to $1.08 billion.
Not counting special charges of 10 cents per share as well as additional adjustments, the company would have made 2 cents per share. Analysts surveyed by FactSet expected 3 cents per share on revenue of $1.11 billion.
Airfreight volumes fell slightly during the quarter, while ocean volumes rose compared to a year earlier.
UTi's logistics and distribution businesses suffered from lower volumes because of the loss of some highly profitable accounts, the company said. Unfavorable shifts in currency values also hurt revenue, the company said.
"Although we are not satisfied with the full quarter results, recent volume improvements in April lead us to be slightly more optimistic about the remainder of fiscal 2014," CEO Eric W. Kirchner said.
Shares rose 36 cents, or 2.4 percent, to $15.36 in afternoon trading.
