Expeditors International Q4 Profit Misses View, But Revenues Top

(RTTNews) - Global logistics company Expeditors International of Washington, Inc. (EXPD) reported Tuesday a profit for the fourth quarter that edged down from last year, despite revenue growth. Earnings per share missed analysts' expectations, while quarterly revenues topped their estimates.

"Our 2013 fourth quarter showed steady growth in airfreight and ocean freight services, both in revenue and in volumes," Chairman and CEO Peter Rose said.

The Seattle, Washington-based company reported net earnings of $83.50 million for the fourth quarter, edging down from $84.21 million in the prior-year quarter, while earnings per share grew to $0.41 from last year's $0.40.

On average, 18 analysts polled by Thomson Reuters expected the company to report earnings of $0.47 per share for the quarter. Analysts' estimates typically exclude special items.

Total revenues for the quarter grew 6 percent to $1.63 billion from $1.54 billion in the same quarter last year, and topped thirteen Wall Street analysts' consensus estimate of $1.58 billion.

Net revenues increased 4 percent to $478.07 million from $461.51 million in the prior-year quarter.

Airfreight services revenues grew to $742 million from $701 million in the year-ago quarter. Quarterly revenues at ocean freight and ocean services grew to $496 million from $472 million in the prior-year quarter. Customs brokerage and other services generated revenues of $388 million, higher than $363 million in the same quarter last year.

"Airfreight volumes rose 5% while ocean freight volumes were up nearly 16%, as compared with the fourth quarter 2012. Airfreight pricing remained remarkably consistent with the 2012 fourth quarter while pricing in the ocean freight market continued to be weak and somewhat volatile, reflecting the underlying economic challenges that faced ocean freight carriers caused primarily by overcapacity concerns," Rose added.

Operating income for the quarter increased 4 percent to $133.66 million from $128.03 million in the prior-year quarter. Total operating expenses were $1.49 billion, higher than $1.41 billion in the year-ago quarter.

For fiscal 2013, the company reported net earnings of $348.53 million or $1.68 per share, higher than $333.36 million or $1.68 per share in the prior year. Total revenues for the full year grew 1 percent to $6.08 billion from $5.99 billion in the previous year, with net revenues increasing 3 percent.

Analysts expected the company to report full-year 2013 earnings of $1.74 per share on annual revenues of $6.02 billion.

In Tuesday's regular trading session, EXPD is currently trading at $39.86, up $2.15 or 5.12% on a volume of 0.82 million shares. In the past 52-week period, the stock has been trading in a range of $34.83 to $46.90.