Celadon Group, Inc. Expects to Exceed September Quarter Consensus
INDIANAPOLIS--(BUSINESS WIRE)-- 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 Companys 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.
Celadon Group Inc.
Jeryl Desjarlais, Communications Manager
Source: Celadon Group Inc.Copyright Business Wire 2012