Covenant Transportation Group doubled its fourth quarter earnings, but the Chattanooga-based trucking giant still earned slightly less in 2013 than in the previous year.
Covenant said today it earned $3.3 million in net income, or 22 cents per share, in the three months ended Dec. 31. A year ago, fourth quarter profits totaled only $1.5 million, or 10 cents per share
For all of 2013, Covenant earned $5.2 million, or 35 cents per share, on revenues of $684.5. In the same period a year ago, Covenant earned $6.1 million, or 41 cents per share, on revenues of $674.3 million.
"We experienced cost pressure in several areas," Covenant CEO David Parker said in a statement today. "Salaries, wages and related expenses increased approximately 0.7 cents per mile due to employee pay adjustments since the fourth quarter of 2012, partially offset by lower workers' compensation expense.
But Parker said higher costs were partially offset by an overall reduction in fuel and insurance costs, aided by new and more fuel-efficient trucks.
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