Pamt Corp posts loss 110.6% adjusted TL OR
Pamt Corp. reported a second‑quarter net loss of $7.4 million, or 36 cents per share, as the truckload carrier continued to trim its fleet in an effort to restore profitability.
Quarterly results show mixed performance
The loss marks the seventh consecutive quarter of negative earnings for the carrier. Adjusted earnings per share, which exclude a one‑time accrual for prior auto liability claims, came in at 25 cents. By comparison, the year‑ago period showed a net loss of 46 cents per share.
Consolidated revenue rose 9 percent year over year to $165 million, though revenue excluding fuel surcharges increased only 2 percent. The truckload (TL) unit saw a 7 percent decline in revenue (ex‑fuel) as the number of trucks in service fell 4 percent and revenue per truck per week dropped 3 percent. Loaded miles per truck rose 15 percent, while revenue per loaded mile (ex‑fuel) was down 5 percent year over year but up 4 percent from the first quarter.
“For the first time in more than three years, market conditions enabled a meaningful sequential increase in rate per total mile,” said President Lance Stewart. “This marks an important step toward addressing rates that have been pressured lower while inflationary cost pressures have persisted.”
Related: July PMI 55.6% highest in years LTL bullish
The TL unit posted an operating ratio (OR) of 114.2 percent, but after removing the one‑time insurance accrual the adjusted OR was 110.6 percent, an improvement of 190 basis points over the same quarter last year. Despite the better ratio, the unit recorded its 11th straight operating loss.
Fleet reductions and financial outlook
The carrier’s fleet count stood just under 2,000 units, down from more than 2,400 tractors three years ago. This reduction reflects a broader industry trend of carriers shrinking capacity to align costs with weaker demand.
Operating cash flow for the first half of the year totaled $16.7 million.
Liquidity, comprising cash, equity holdings, and credit‑line availability, fell to $117 million, a $24 million decline from the first quarter. Outstanding debt rose $12 million to $333 million.
In a personnel change, Daniel Kleine was appointed chief financial officer. He joined Pamt three years ago as vice president of tax and most recently served as senior vice president of finance and treasurer.
Related: US Truck Enforcement Sweeps Hit 32 Drivers and 45 Vehicles
The logistics unit, separate from the TL operation, generated $51 million in revenue, a 24 percent year‑over‑year increase, and achieved a 96.4 percent OR, reflecting a 230‑basis‑point margin improvement.
While gross profit margins for the logistics segment are not disclosed, the reported figures suggest that ancillary services may be offsetting some of the pressure on the core truckload business.
Stewart noted that “as industry pressures continue to constrain driver supply, we believe opportunities for further rate correction remain, and we have achieved additional progress through the date of this release.” The comment highlighted the carrier’s view that rate improvements are still possible despite ongoing headwinds.
Overall, the data indicate that Pamt is coping with a challenging market by reducing capacity and seeking incremental rate gains, but the path to sustained profitability remains uncertain.
