Covenant losses widen, but trucking firm beats expectations in first quarter results

Covenant losses widen, but trucking firm beats expectations in first quarter results

April 24th, 2013 by Dave Flessner in Local - Breaking News

David Parker is the president of Covenant Transport.

Covenant Transportation Group, Inc. doubled its first quarter losses from a year ago, but the Chattanooga-based trucking company still beat analysts' expectations by a penny per share.

Covenant said today that it lost $2 million, or 13 cents per share, on revenues of $164.7 million in the first three months of the year. In the first quarter of 2012, Covenant lost $640,000, or 4 cents per share, on revenues of $157 million.

Covenant said first quarter freight revenue grew 5.9 percent over a year ago

"We experienced an uneven operating environment in the first quarter as January freight was strong, followed by average demand but difficult weather conditions in February, and a March that started off well, but finished weaker than expected," Covenant CEO David Parker said in a statement today. "Despite the business, weather, and calendar headwinds, operating results were comparable to last year's first quarter, excluding the $2.4 million gain on sale of a terminal in the 2012 quarter."