USA Truck, Inc (USAK) saw its loss widen to $4.89 million, or $0.61 a share for the quarter ended Mar. 31, 2017. In the previous year period, the company reported a loss of $1.81 million, or $0.19 a share. On an adjusted basis, loss per share was at $0.55 for the quarter compared with a profit of $0.15a share in the same period last year. Revenue during the quarter dropped 8.09 percent to $101.67 million from $110.62 million in the previous year period. Operating margin for the quarter stood at negative 6.29 percent as compared to a negative 2.14 percent for the previous year period.
Operating loss for the quarter was $6.40 million, compared with an operating loss of $2.36 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $1.98 million compared with $10.10 million in the prior year period. At the same time, adjusted EBITDA margin contracted 718 basis points in the quarter to 1.95 percent from 9.13 percent in the last year period.
President and Chief executive officer James Reed commented, “Having now completed three months in the role as USA Truck’s Chief executive officer, I believe we are making important strides toward improving our Trucking segment’s productivity, and taking the right steps in building a lean and efficient company that can generate profits in the relative near-term and create sustainable value over time. My first priority has been, and will continue to be, returning USA Truck to profitability as quickly as possible. Accomplishment of that goal requires focusing our efforts on the following objectives
Working capital drops significantly
USA Truck, Inc has witnessed a decline in the working capital over the last year. It stood at $8.30 million as at Mar. 31, 2017, down 44.92 percent or $6.77 million from $15.08 million on Mar. 31, 2016. Current ratio was at 1.13 as on Mar. 31, 2017, down from 1.23 on Mar. 31, 2016. Days sales outstanding went up to 56 days for the quarter compared with 55 days for the same period last year.
Debt moves up
USA Truck, Inc has witnessed an increase in total debt over the last one year. It stood at $129.28 million as on Mar. 31, 2017, up 22.80 percent or $24 million from $105.28 million on Mar. 31, 2016. Total debt was 47.31 percent of total assets as on Mar. 31, 2017, compared with 36.58 percent on Mar. 31, 2016. Debt to equity ratio was at 2.41 as on Mar. 31, 2017, up from 1.25 as on Mar. 31, 2016. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
