OVNT Overnite Corp (MM)

Overnite Corporation's First Quarter Net Income Increases 51 Percent RICHMOND, Va., April 28 /PRNewswire-FirstCall/ -- Overnite Corporation (NASDAQ:OVNT) today reported financial results for the quarter ended March 31, 2005. (Logo: http://www.newscom.com/cgi-bin/prnh/20050408/OVNTLOGO ) First Quarter Operating revenue for the first quarter was a $418.0 million, an increase of $39.5 million, or 10.4%, from $378.5 million in the first quarter of 2004. Net income was $11.4 million in the first quarter of 2005, an increase of 51.3% or $3.9 million, as compared to net income of $7.5 million for the first quarter of 2004. First quarter 2005 diluted earnings per share were $0.40 as compared with diluted earnings per share of $0.27 for the first quarter of 2004, an increase of 49.2%. Operating income for the first quarter of 2005 was $20.3 million as compared to operating income of $14.0 million in the first quarter of 2004. Overnite's operating ratio (total operating expenses divided by operating revenue) was 95.1% for the first quarter of 2005, compared to 96.3% for the first quarter of 2004. First quarter revenue growth reflects a 4.3% increase in tons per day coupled with a 4.0% increase in revenue per shipment, excluding fuel surcharges. "Our strategy to improve yield by growing our mix of small to mid-sized customers faster than that of large customers is continuing to gain strength and has greatly assisted our yield growth in a stable pricing environment," said Leo Suggs, Chairman, Chief Executive Officer and President of Overnite Corporation. Business Outlook Overnite anticipates second quarter 2005 earnings per diluted share to be $0.71 to $0.76, and earnings per diluted share for the full year of 2005 to be $2.60 to $2.70. "Our results so far for April have been strong and have bolstered our view about Overnite's future opportunities," said Mr. Suggs. Investor Conference Call and Web Simulcast Overnite will conduct a conference call on April 29, 2005, at 8:30 a.m. EDT to discuss the first quarter results of 2005, guidance for 2005, and other developments. The number to call for this teleconference is (800) 659-2056 or (617) 614-2714 for international calls. The passcode will be 72472167. Callers should dial in five to ten minutes in advance of the conference call. A replay of the call will be available for 48 hours after the call has been completed by dialing (888) 286-8010 or (617) 801-6888 for international callers and entering passcode 35753567. The call also will be webcast live via Overnite's Web site at http://www.ovnt.com/ and will be archived there for future playback. The webcast will also be available via StreetEvents at http://www.streetevents.com/. Additional information is available at Overnite's Web site: http://www.ovnt.com/. Overnite's contact for investors is Mike Mahan, (804) 231-8852. Overnite's media contact is Ira Rosenfeld, (804) 291-5362. Overnite Corporation is one of America's leading less-than-truckload transportation companies. Its principal operating company, Overnite Transportation Company, operates in all 50 states, Canada, Puerto Rico, Guam, the U.S. Virgin Islands and Mexico. Its other operating company, Motor Cargo, is a regional less-than-truckload carrier primarily serving the western United States, Canada and Mexico. Together, they form one of the largest less-than- truckload carriers in the United States with over 200 service centers. FORWARD-LOOKING AND CAUTIONARY STATEMENTS This press release contains "forward-looking statements" within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include information relating to future events, future financial performance, strategy, expectations, competitive environment, regulation and availability of resources. Forward-looking statements should not be read as a guarantee of future performance or results. Forward-looking statements are based on information available at the time and/or management's good faith belief with respect to future events, and are subject to risks and uncertainties that could cause Overnite's actual performance or results to differ materially from those expressed in the statements. Important factors that could cause such differences include, but are not limited to: whether Overnite is fully successful in implementing its financial and operational initiatives; industry competition, conditions, performance and consolidation; legislative and/or regulatory developments; the effects of adverse general economic conditions, both within the United States and globally; any adverse economic or operational repercussions from terrorist activities, any government response thereto and any future terrorist activities, war or other armed conflicts; changes in fuel prices; changes in labor costs; labor stoppages; the outcome of claims and litigation; natural events such as severe weather, floods and earthquakes; and other factors detailed from time to time in the reports that Overnite files with the Securities and Exchange Commission. Overnite assumes no obligation to update forward-looking statements to reflect actual results, changes in assumptions or changes in other factors affecting forward-looking information except to the extent required by applicable securities laws. OVERNITE CORPORATION CONSOLIDATED CONDENSED STATEMENTS OF INCOME (Unaudited) (Thousands of Dollars) For the three months Ended March 31, 2005 2004 Operating Revenue $ 417,955 $ 378,531 Operating Expenses: Salaries, wages and employee benefits 245,384 227,319 Supplies and expenses 44,445 32,550 Operating taxes 15,004 14,009 Claims and insurance 12,161 12,100 Rents and purchased transportation 43,065 41,161 Communication and utilities 5,614 5,535 Depreciation 14,508 15,058 Other 17,430 16,821 Total operating expenses 397,611 364,553 Operating Income 20,344 13,978 Other Income and Expense: Interest expense 1,351 1,346 Other income 74 39 Income before Income Taxes 19,067 12,671 Income tax expense 7,668 5,137 Net Income $ 11,399 $ 7,534 Net income per share - basic $ 0.41 $ 0.27 Net income per share - diluted $ 0.40 $ 0.27 Number of shares - basic 27,940,691 27,761,944 Number of shares - diluted 28,215,798 27,836,496 Operating Ratio 95.1% 96.3% Number of workdays 63 64 Work Day Operating Statistics Actual Adjusted Gross Weight hauled % Change (millions of pounds): LTL(1) 2,251.7 2,204.6 2.1% 3.8% Truckload(1) 463.2 439.0 5.5 7.2 Total 2,714.9 2,643.6 2.7% 4.3% Shipments (000's) LTL(1) 2,356.0 2,336.1 0.9% 2.5% Truckload(1) 32.1 30.5 5.2 6.9 Dedicated truckload 24.7 20.1 22.9 24.8 Total 2,412.8 2,386.7 1.1% 2.7% LTL weight per LTL shipment (pounds) 955.8 943.8 1.3% Length of Haul (miles) 775.1 774.9 - LTL revenue including fuel surcharge $ 362,338 $ 334,050 8.5 TL revenue including fuel surcharge $ 53,400 $ 42,473 25.7 LTL revenue per CWT (including fuel surcharge) $ 16.09 $ 15.15 6.2 LTL revenue per CWT (excluding fuel surcharge) $ 14.87 $ 14.54 2.3 TL revenue per CWT (including fuel surcharge) $ 6.23 $ 5.55 12.3 TL revenue per CWT (excluding fuel surcharge) $ 5.62 $ 5.32 5.6 OVERNITE CORPORATION CONSOLIDATED CONDENSED STATEMENTS OF FINANCIAL POSITION (Unaudited) (Thousands of Dollars) As of March 31, December 31, Assets 2005 2004 Current Assets Cash and cash equivalents $ 40,779 $ 20,774 Accounts receivable 184,572 171,804 Other current assets 46,828 59,624 Total current assets 272,179 252,202 Net properties 512,476 522,548 Total other assets 102,530 112,650 Total assets $ 887,185 $ 887,400 Liabilities and Common Shareholders' Equity Current liabilities $ 212,313 $ 200,121 Non-current liabilities: Long term debt 85,625 95,625 Other non-current liabilities 161,345 175,118 Total non-current liabilities 246,970 270,743 Common shareholders' equity 427,902 416,536 Total liabilities and common shareholders' equity $ 887,185 $ 887,400 OVERNITE CORPORATION CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS (Unaudited) (Thousands of Dollars) Quarter Ended Quarter Ended March 31, 2005 March 31, 2004 Cash provided by operating activities: Net income $ 11,399 $ 7,534 Depreciation 14,508 15,058 Change in current assets and liabilities 18,812 3,937 Other (5,657) 8,288 Cash provided by operating activities 39,062 34,817 Cash used in investing activities: Capital investment, net of sales proceeds (4,436) (5,327) Cash used in investing activities (4,436) (5,327) Cash provided by (used in) financing activities: Repayment of debt (10,000) (3,125) Cash overdrafts (3,491) - Dividends paid to shareholders (1,130) (1,120) Cash provided by (used in) financing activities (14,621) (4,245) Net change in cash: 20,005 25,245 Cash at beginning of period 20,774 11,068 Cash at end of period $ 40,779 $ 36,313 http://www.newscom.com/cgi-bin/prnh/20050408/OVNTLOGO http://photoarchive.ap.org/ DATASOURCE: Overnite Corporation CONTACT: Ira Rosenfeld, Director, Corporate Communications, of Overnite Transportation Company, +1-804-291-5362, or Web site: http://www.ovnt.com/

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