|Expeditors Announces Net Earnings Increase of 53%|
Tuesday August 1, 9:00 am ET
SEATTLE--(BUSINESS WIRE)--Aug. 1, 2006--Expeditors International of Washington, Inc. (NASDAQ:EXPD) today announced net earnings of $56,329,000 for the second quarter of 2006, compared with $36,698,000 (1) for the same quarter of 2005, an increase of 53%. Net revenues for the second quarter of 2006 increased 25% to $313,570,000 as compared with $250,660,000 reported for the second quarter of 2005. Total revenues and operating income were $1,129,324,000 and $88,803,000 in 2006 compared with $927,999,000 and $58,729,000 (1) for the same quarter of 2005, increases of 22% and 51%, respectively. Diluted net earnings per share for the second quarter were $.25 as compared with $.17 for the same quarter in 2005, an increase of 47%. The company also reported that same store net revenues and operating income increased 25% and 51%, respectively, for the second quarter of 2006 when compared with 2005.
For the six months ended June 30, 2006, net earnings rose to $108,681,000 from $67,744,000 (1) in 2005, an increase of 60%. Net revenues for the six months increased to $609,767,000 from $481,343,000 for 2005, up 27%. Total revenues and operating income for the six months were $2,153,916,000 and $174,204,000 in 2006 compared with $1,753,163,000 and $109,177,000 (1) for the same period in 2005, increases of 23% and 60%, respectively. Diluted net earnings per share for the first two quarters of 2006 were $.49 as compared with $.31 for the same period of 2005, an increase of 58%. Same store net revenues and operating income increased 26% and 59%, respectively, for the six months ended June 30, 2006 when compared with same period of 2005.
"You take results like these any time you can get them," commented Peter J. Rose, Chairman and Chief Executive Officer. "The second quarter of 2006 was strong across the board. We remain encouraged by the degree that our operational productivity and efficiency initiatives continue to allow us to increase business volumes without a commensurate increase in operating costs. We were also pleased to see our fee-based ocean products -- order management and ocean forwarding -- making year over year gains -- this is something that we haven't seen in quite some time."
"Our culture makes customer service and profitability management the focus of each and every employee. Placing this responsibility beyond the purview of a small group empowers those who are most able to execute and deliver," Rose continued. "The combined efforts of every individual from the most senior District Manager to the newest runner determines how we deliver customer service and how well we generate profits. Our results reflect the fact that our employees understand the culture, live it and improve upon it, each and every day. To paraphrase Robert Frost, that makes all the difference," Rose concluded.