LTL Volumes and Costs Remain High

Freightwaves reported on August 12, that July LTL volumes, according to a Cass report, are 15.5% over July 2019 and prices are up 46% year over year*

If your company is experiencing LTL delays and higher than expected costs, you are not alone.  LTL carriers are experiencing record volumes and prices, as you would expect, are on the rise

7/28 - Old Dominion - operating income up 28.1% with a record operating ratio (OR) of 72.7.  For those not in the transportation business that's a 27.8% margin in an arena where carriers are considered healthy when they operate in the low 90's (less than 10% margin)

7/28 - XPO "In North American LTL, the second quarter operating ratio was 82.7% and the adjusted operating ratio was 80.6%. Excluding gains from sales of real estate, LTL adjusted operating ratio improved 1,030 basis points year-over-year to a quarterly record of 81.1%."

7/29 - Saia announces operating income up 132.4% and yield per shipment up 17.9%

8/4 - YRC announces Q2 results that include operating income up 29.36%

Fenichey can help you minimize delays as much as possible by providing truckload, LTL, and intermodal rail options and REALISTIC transit times.

Contact your rep or [email protected] if you would like to discuss your needs and how we can help you succeed.

 

*https://www.freightwaves.com/news/freight-costs-high-again-in-july-bottlenecks-hamper-shipments