Express1 Expedited Solutions Inc (NYSE:XPO) filed Quarterly Report for the period ended 2009-03-31.
Segmentz Inc is a provider of expedited transportation and logistics management services to its target client base ranging from mid-sized to Fortune 100 companies. Their services include regional outsourced trucking time definite transportation dedicated delivery and supply chain management services. They operate a network of terminals in the Southeast and Midwest United States. Express1 Expedited Solutions Inc has a market cap of $27.2 million; its shares were traded at around $0.85 with a P/E ratio of 8.5 and P/S ratio of 0.3.
Highlight of Business Operations:Net income for the quarter ended March 31, 2009, totaled $5,000 compared to $643,000 for the same quarter in 2008. As mentioned previously, the economic recession and related weak demand for transportation services contributed to the reduction in overall profitability. Management continues to believe that the operating adjustments adopted during the first quarter will help restore the Companys profitability during the remaining 9 months of 2009.
For the quarter ended March 31, 2009, Express-1 generated income from operations before tax of $160,000 compared to $1,254,000 in the same quarter in 2008. We understand that the business environment has changed, and do not believe in top line, low margin, solutions that would jeopardize our bottom-line. Our goal is to position ourselves for an economic turnaround.
For the quarter ended March 31, 2009, Concert Group Logistics generated income from operations before tax of $200,000 compared to $241,000 in the same quarter in 2008.
Bounce Logistics can no longer be considered a start up enterprise as the Company recorded $41,000 of income from continuing operations in the first quarter of 2009, as compared to a $126,000 loss in the first quarter of 2008. Based on continuing adjustments in the operational model, we anticipate the profitability of Bounce to continue to grow in 2009. The Bounce management team has continued to be successful in expanding its operational footprint and developing customer accounts that have resulted in higher rates of revenue and improving margin in a very tight transportation economy.
During the first quarter of 2009, the Company used $1.1 million in cash to pay the final earnout payment to the former owners of Concert Group Logistics. In addition, $250,000 was used to purchase certain assets and related liabilities of First Class Expediting Services, Inc. Both of these transactions were primarily funded through a net draw on the Companys line of credit.
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