UTi Worldwide Q4 Loss Widens, Stock Tanks - Update

(RTTNews) - UTi Worldwide Inc. (UTIW) Tuesday reported a loss for the fourth quarter that widened significantly from a year ago, hurt largely by one-time charges related to restructuring efforts and lower revenues. Shares of the company tanked over 11 percent in the after-hours trade, following the announcement.

Long Beach, California-based UTi Worldwide's fourth-quarter loss widened to $103.9 million or $1.02 per share from last year's loss of $56.0 million or $0.53 per share.

Chief Executive Edward Feitzinger said, "Our results for the fourth quarter were particularly disappointing and included a number of one-time charges that stemmed from our January restructuring and reorganization efforts."

Revenues for the fourth quarter fell 10 percent to $964.6 million from $1.07 billion last year. Net revenue, which excludes transportation costs, fell 14 percent to $312.2 million.

The revenues decline was largely due to lower air and ocean yields and volumes in freight forwarding, as well as the strengthening of the U.S. dollar against the euro and South African Rand.

Analysts polled by Thomson Reuters expected a loss of $0.08 per share on revenues of $1.08 billion for the fourth quarter. Analysts' estimates typically exclude special items.

Contract logistics and distribution decreased 1.6 percent to $193.8 million, while freight forwarding revenues dropped 29.7 percent to $118.3 million last year.

UTIW closed Tuesday's trading at $12.30, down $0.24 or 1.91%, on the Nasdaq. The stock further dropped $1.45 or 11.79% in the after-hours trade.