Celadon takes quarterly loss amid ‘lackluster freight volumes’

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Celadon Group Inc. shares tumbled Thursday morning, a day after the Indianapolis-based trucking company reported a loss of $2.9 million, or 10 cents per share, in its latest quarter.

Shares were down almost 11 percent, to $5.50 each, in midmorning trading.

The company’s fiscal first quarter loss missed analyst expectations by 3 cents per share.  Celadon earned $11.3 million, or 41 cents per share, in the same quarter of 2015.

Revenue for the quarter decreased to $265 million, down from $266.1 million in the year-ago period.

Celadon attributed much of the quarterly loss to a $12 million decline in gains from the disposition of equipment.

“We characterized the trucking environment during the June quarter as having lackluster freight volumes, plentiful industry-wide capacity in most markets, and significant rate pressure from customers during contractual negotiations,” Celadon said in the quarterly report. “These trends continued during the September quarter.”

Celadon shares had declined 38 percent since the beginning of the year prior to Thursday’s trading and were down 58 percent in the last 12 months.

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