WOODSTOCK, Ont. – The Contrans Group Inc. (TSX:CSS) has reported a drop in first-quarter net earnings as the trucking company faced a number of challenges, including severe winter weather.
Contrans, which offers a range of trucking services, said it earned $4.8 million in the quarter or 14 cents per share and compared with net earnings of 5.3 million or 15 cents in the same 2012 quarter.
Revenues before fuel surcharges were $134.8 million, up from $121.4 million.
“After our record-setting year of 2012, we are off to a solid start in 2013,” chairman and CEO Stan Dunford said in a statement.
“The businesses that we acquired in 2012 are contributing positively and the rest of the Company has continued to grow internally.”
Dunford said Contrans was particularly pleased with the startup of its residential waste contract in Edmonton, which will contribute $4 million annually to revenue while adding to its list of non-cyclical customers.
“The first quarter was not, however, without its challenges,” Dunford added. “Unlike the winter of 2012, we lost some days this year to severe winter weather conditions.”
“In addition, there has been a lingering weakness in the economy that has affected parts of our customer base.”