Celadon Group Inc. (NYSE: CGI) today announced that it expects first
quarter results to exceed the published analysts’ average consensus
estimates.
Paul Will, Vice Chairman and President, stated, “Due to the Company’s
scheduled investor meetings at the American Trucking Association
conference in Las Vegas, NV, on Monday, October 8, we decided to give
guidance on the quarter prior to the meetings. We expect to report
consolidated results of operations in a range of $0.34 to $0.36 diluted
earnings per share for the first quarter ending September 30, 2012. This
compares with the published analysts’ average consensus estimates of
$0.32. Diluted earnings per share for the September 2011 quarter was
$0.24. As previously communicated, actual results for the September 2012
quarter will be announced after the close of market on October 23, 2012.
“We believe these results certainly validate the combination of a sound
acquisition strategy employed over the last twelve months and a vigilant
focus on the cost side of the business. The acquisition side of our
business model is creating additional customer freight and driver
recruiting opportunities, which results in additional capacity to
service our customers and increase revenue. The focus on the cost side
of the business has resulted in one of the newest fleets in the
industry, resulting in lower maintenance costs and improved fuel
economy. In addition, we have taken a disciplined approach to managing
all other expenses, while working to improve overall efficiencies
throughout the organization by employing technological enhancements,
having strong capable employees to embrace the technology and utilizing
it to enhance our operations. We believe this has positioned us with a
sound operating platform by which to grow future earnings.”
Celadon Group Inc. (www.celadongroup.com),
through its subsidiaries, provides long-haul and regional full-truckload
freight service across the United States, Canada and Mexico. The company
also owns Celadon Logistics Services, which provides freight brokerage
services, less-than-truckload services, as well as supply chain
management solutions, including warehousing and dedicated fleet services.
This press release contains certain statements that may be considered
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933, as amended and Section 21E of the Securities
Exchange Act of 1934, as amended. Such statements may be identified by
their use of terms or phrases such as "expects," "estimates,"
"projects," "believes," "anticipates," "plans," "intends," and similar
terms and phrases. Forward-looking statements are based upon the current
beliefs and expectations of our management and are inherently subject to
risks and uncertainties, some of which cannot be predicted or
quantified, which could cause future events and actual results to differ
materially from those set forth in, contemplated by, or underlying the
forward-looking statements. Actual results may differ from those
set forth in the forward-looking statements. The following
factors, among others, could cause actual results to differ materially
from those in forward-looking statements: the risk that our perception
of additional capacity due to seating trucks and perceived benefits
thereof are inaccurate; the risk that our perception of changes in our
customer base and perceived benefits thereto are inaccurate; the risk
that managing our tractor fleet age does not result in greater
flexibility and lower operating expenses; excess tractor and trailer
capacity in the trucking industry; decreased demand for our services or
loss of one or more of our major customers; surplus inventories;
recessionary economic cycles and downturns in customers' business
cycles; strikes, work slowdowns, or work stoppages at our facilities, or
at customer, port, border crossing, or other shipping related
facilities; increases in compensation for and difficulty in attracting
and retaining qualified drivers and independent contractors; increases
in insurance premiums and deductible amounts; elevated experience in the
frequency or severity of claims relating to accident, cargo, workers'
compensation, health, and other matters; fluctuations in claims expenses
that result from high self-insured retention amounts and differences
between estimates used in establishing and adjusting claims reserves and
actual results over time; increases or rapid fluctuations in fuel
prices, as well as fluctuations in hedging activities and surcharge
collection, the volume and terms of diesel purchase commitment, interest
rates, fuel taxes, tolls, and license and registration fees;
fluctuations in foreign currency exchange rates; increases in the prices
paid for new revenue equipment and changes in the resale value of our
used equipment; increases in interest rates or decreased availability of
capital or other sources of financing for revenue equipment; seasonal
factors such as harsh weather conditions that increase operating costs;
competition from trucking, rail, and intermodal competitors; regulatory
requirements that increase costs or decrease efficiency, including
revised hours-of-service requirements for drivers and new emissions
control regulations; our ability to identify acceptable acquisition
candidates, consummate acquisitions, and integrate acquired operations;
the timing of, and any rules relating to, the opening of the border to
Mexican drivers; challenges associated with doing business
internationally; our ability to retain key employees; and the effects of
actual or threatened military action or terrorist attacks or responses,
including security measures that may impede shipping efficiency,
especially at border crossings.
Readers should review and consider these factors along with the
various disclosures by the company in its press releases, stockholder
reports, and filings with the Securities Exchange Commission. We
disclaim any obligation to update or revise any forward-looking
statements to reflect actual results or changes in the factors affecting
the forward-looking information.
