OVERLAND PARK, Kan.--(BUSINESS WIRE)--May 2, 2001--Transportation.com, a privately held global transportation management company, today said positive results for the first quarter of 2001, including revenue of $6.7 million, are strong indicators it is on track to achieve a profitable run rate by the end of the year.
Growth in all of the company's business units, including freight forwarding, transactional and contractual transportation management services, and asset disposal, primarily through its online equipment auction service, contributed to first quarter revenue of $6.7 million.
"We have momentum on all fronts," affirmed Transportation.com President & CEO Jim Ritchie. "We're encouraged by what our customers and our results are telling us. Our services are helping small- to medium-sized companies increase revenues, streamline processes and reduce costs -- so much so that they keep coming back."
Transportation.com concluded its first nine months of operation with more than 8,700 members, up 23 percent since the first of the year. It also has shown comparable increases in shipping transactions and repeat business. Transactional shipments increased by 37 percent during the quarter compared to the first six months of operation. Approximately 40 percent of its transactional customers have returned to do more business with Transportation.com.
Ritchie said demand for the company's services is increasing because its technology solutions are not only easy to use, but also flexible and can be delivered through a variety of channels. "Most of our customers access our services directly from our Website. However, our services are available in other ways as well. As an application service provider (ASP), we can host and serve a branded version of our software. Our services also can be accessed through a set of public application programming interfaces (APIs) that allow integration with other computer systems."
Since introducing its first online auction last July, Transportation.com has sold more than 3,000 pieces of used transportation equipment, most of which sell within two weeks. It also has expanded its seller base to include four national carriers with extensive equipment fleets. Sales from its online auctions have generated in excess of $2 million for equipment sellers.
"We do more than simply bring equipment buyers and sellers together. Now we offer comprehensive support to sellers who want us to coordinate all the administrative functions associated with managing and disposing of used transportation equipment," said Ritchie. "That's a significant service for carriers because it allows them to focus resources on their own operations rather than on equipment disposal."
Ritchie said the company's positive outlook is due in large part to its growing volume of contractual customers and its robust sales pipeline. "We've already secured 21 long-term contracts for transportation services and have a significant volume of contractual business in our pipeline. Together these opportunities signal our accelerated growth and the development of a solid, long-term business foundation."
Transportation.com is a global transportation management company providing a broad range of traditional and Internet-based services to help shippers and carriers expand their businesses and achieve greater efficiencies and profits. The company offers worldwide shipment and transportation management services, as well as network consulting. Transportation.com also offers asset disposal services, including equipment auctions and classified advertising, as well as carrier-specific services such as truck buying, insurance, financial management and compliance, and emergency breakdown and preventive maintenance.
Transportation.com is funded by Yellow Corp. (Nasdaq:YELL), TL Ventures, an institutional venture capital firm, and Enertech Capital Partners, a private equity firm. The company's headquarters is in Irvine, Calif., and its Technology Center is in Overland Park, Kan. For more information, visit www.transportation.com.