Strong Yield Contributes to Solid Quarterly Results
OVERLAND PARK, Kan., Aug. 04, 2021 (GLOBE NEWSWIRE) -- Yellow Corporation (NASDAQ: YELL) reported results for the second quarter ended June 30, 2021. Operating revenue was $1.313 billion and operating income was $27.0 million. In comparison, operating revenue in the second quarter 2020 was $1.015 billion and operating loss was $4.6 million, which included a $6.0 million net gain on property disposals.
Net loss for second quarter 2021 was $9.4 million, or $0.18 per share, compared to net loss of $37.1 million, or $1.09 per share, in second quarter 2020.
On a non-GAAP basis, the Company generated Adjusted EBITDA of $82.9 million in second quarter 2021, a $45.0 million increase compared to $37.9 million in the prior year comparable quarter (as detailed in the reconciliation below). Last twelve months Adjusted EBITDA as of June 30, 2021, was $216.0 million compared to $183.1 million as of June 30, 2020 (as detailed in the reconciliation below).
“I am pleased with the yield progress in the second quarter and look forward to continued operational efficiencies,” said Darren Hawkins, Chief Executive Officer. “Strong customer demand and an industry-wide shortage of qualified drivers are contributing to tight capacity and a favorable yield environment. Sequentially, LTL revenue per hundredweight increased 7.6% in the second quarter 2021 compared to first quarter 2021 and 16.2% compared to a year ago. This contributed to a nearly 30% increase in second quarter revenue compared to last year when the U. S. economy was severely impacted by the initial stages of the COVID-19 pandemic. With inventories below normal levels and U. S. manufacturing expected to return to full strength once the microchip shortage ends, demand for LTL capacity is positioned to remain strong into 2022.
“Our yield strategy is also helping us manage near-term headwinds from higher purchased transportation expense. We are executing plans to reduce the use of local cartage and over the road purchased transportation and expect to see improvement as we move forward.
“We are making steady progress towards One Yellow and the multi-year transformation remains on schedule. Two of our companies are now operating on One Yellow technology platform with the conversion of the others expected to be completed by the end of the year. Moving to a single technology platform sets the stage for a fully integrated network. I am excited for what One Yellow means for our customers, employees and shareholders. We will go to market as a super-regional carrier with enhanced service in the 1, 2 and 3-day lanes nationwide and provide customers with choice, simplicity, speed, visibility and reliability.
“We are continuing to invest in Yellow with one of the largest capital expenditure plans in Company history. Through the first half of 2021, we have acquired more than 1,800 tractors, 2,200 trailers and 400 containers. The investments are expected to enhance safety, improve fuel efficiency, reduce maintenance expense and augment our sustainability efforts. We maintained our strong liquidity position during the second quarter helping us narrow 2021 capital expenditures guidance range from $450 million to $550 million to $480 million to $530 million,” concluded Hawkins.
Financial Update
• In second quarter 2021, the Company invested $143.8 million in capital expenditures. This compares to $11.7 million in capital expenditures in second quarter 2020.
Operational Update
• The operating ratio for second quarter 2021 was 97.9 compared to 100.5 in second quarter 2020.
• Including fuel surcharge, second quarter 2021 LTL revenue per hundredweight increased 16.2% and LTL revenue per shipment increased 15.8% compared to the same period in 2020. Excluding fuel surcharge, second quarter LTL revenue per hundredweight increased 12.0% and LTL revenue per shipment increased 11.6%.
• Second quarter 2021 LTL tonnage per workday increased 8.3% when compared to second quarter 2020.
Liquidity Update
• The Company’s available liquidity, which is comprised of cash and cash equivalents and Managed Accessibility (as detailed in the supplemental information provided below) under its ABL facility, was $423.2 million as of June 30, 2021, compared to $302.6 million as of June 30, 2020, an increase of $120.6 million.
• The Company’s outstanding debt was $1.594 billion as of June 30, 2021, an increase of $684.1 million compared to $909.8 million as of June 30, 2020.
• For the six months ended June 30, 2021, cash used in operating activities was $12.7 million compared to cash provided by operating activities of $213.6 million in 2020.
https://investors.myyellow.com/news-...r-2021-results
OVERLAND PARK, Kan., Aug. 04, 2021 (GLOBE NEWSWIRE) -- Yellow Corporation (NASDAQ: YELL) reported results for the second quarter ended June 30, 2021. Operating revenue was $1.313 billion and operating income was $27.0 million. In comparison, operating revenue in the second quarter 2020 was $1.015 billion and operating loss was $4.6 million, which included a $6.0 million net gain on property disposals.
Net loss for second quarter 2021 was $9.4 million, or $0.18 per share, compared to net loss of $37.1 million, or $1.09 per share, in second quarter 2020.
On a non-GAAP basis, the Company generated Adjusted EBITDA of $82.9 million in second quarter 2021, a $45.0 million increase compared to $37.9 million in the prior year comparable quarter (as detailed in the reconciliation below). Last twelve months Adjusted EBITDA as of June 30, 2021, was $216.0 million compared to $183.1 million as of June 30, 2020 (as detailed in the reconciliation below).
“I am pleased with the yield progress in the second quarter and look forward to continued operational efficiencies,” said Darren Hawkins, Chief Executive Officer. “Strong customer demand and an industry-wide shortage of qualified drivers are contributing to tight capacity and a favorable yield environment. Sequentially, LTL revenue per hundredweight increased 7.6% in the second quarter 2021 compared to first quarter 2021 and 16.2% compared to a year ago. This contributed to a nearly 30% increase in second quarter revenue compared to last year when the U. S. economy was severely impacted by the initial stages of the COVID-19 pandemic. With inventories below normal levels and U. S. manufacturing expected to return to full strength once the microchip shortage ends, demand for LTL capacity is positioned to remain strong into 2022.
“Our yield strategy is also helping us manage near-term headwinds from higher purchased transportation expense. We are executing plans to reduce the use of local cartage and over the road purchased transportation and expect to see improvement as we move forward.
“We are making steady progress towards One Yellow and the multi-year transformation remains on schedule. Two of our companies are now operating on One Yellow technology platform with the conversion of the others expected to be completed by the end of the year. Moving to a single technology platform sets the stage for a fully integrated network. I am excited for what One Yellow means for our customers, employees and shareholders. We will go to market as a super-regional carrier with enhanced service in the 1, 2 and 3-day lanes nationwide and provide customers with choice, simplicity, speed, visibility and reliability.
“We are continuing to invest in Yellow with one of the largest capital expenditure plans in Company history. Through the first half of 2021, we have acquired more than 1,800 tractors, 2,200 trailers and 400 containers. The investments are expected to enhance safety, improve fuel efficiency, reduce maintenance expense and augment our sustainability efforts. We maintained our strong liquidity position during the second quarter helping us narrow 2021 capital expenditures guidance range from $450 million to $550 million to $480 million to $530 million,” concluded Hawkins.
Financial Update
• In second quarter 2021, the Company invested $143.8 million in capital expenditures. This compares to $11.7 million in capital expenditures in second quarter 2020.
Operational Update
• The operating ratio for second quarter 2021 was 97.9 compared to 100.5 in second quarter 2020.
• Including fuel surcharge, second quarter 2021 LTL revenue per hundredweight increased 16.2% and LTL revenue per shipment increased 15.8% compared to the same period in 2020. Excluding fuel surcharge, second quarter LTL revenue per hundredweight increased 12.0% and LTL revenue per shipment increased 11.6%.
• Second quarter 2021 LTL tonnage per workday increased 8.3% when compared to second quarter 2020.
Liquidity Update
• The Company’s available liquidity, which is comprised of cash and cash equivalents and Managed Accessibility (as detailed in the supplemental information provided below) under its ABL facility, was $423.2 million as of June 30, 2021, compared to $302.6 million as of June 30, 2020, an increase of $120.6 million.
• The Company’s outstanding debt was $1.594 billion as of June 30, 2021, an increase of $684.1 million compared to $909.8 million as of June 30, 2020.
• For the six months ended June 30, 2021, cash used in operating activities was $12.7 million compared to cash provided by operating activities of $213.6 million in 2020.
https://investors.myyellow.com/news-...r-2021-results
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