Atlas Air Worldwide's net income falls
Atlas Air Worldwide Holdings’s adjusted net income fell in the first quarter compared to a year earlier, the company reported.
Its adjusted net income was $5.9 million for the first quarter.
First-quarter revenue grew 5 percent to $377.3 million.
“Our first-quarter results and initiatives demonstrate the benefits of a modern, efficient fleet, diversified business mix and solid balance sheet in a challenging business environment,” William J. Flynn, president and CEO, said. “Earnings in the first quarter were in line with our expectations and our outlook for the year. As a result, we are affirming previous guidance for 2013 but we are raising our expected adjusted earnings per share to $4.80 from $4.65 to reflect our actual and anticipated share repurchases.”
Revenue, volume and profitability growth in Atlas Air’s ACMI business during the first quarter were driven by its new 747-8Fs.
But Atlas Air’s AMC Charter saw a 41 percent drop in cargo block hours and lower average cargo revenue per block hour.
Reported earnings for the first quarter included an effective income tax rate benefit of 97.4 percent, reflecting a federal income tax benefit of $14.2 million.
Atlas Air said it expects every one of its business segments to be profitable in 2013.
“In an environment of continuing global uncertainty, we are well-positioned to serve our customers and the airfreight markets,” Flynn said. “We have performed well. We are ready to capitalize on market improvements. And we are executing a strategic plan that leverages our core competencies, provides a basis for returning capital to our investors through share repurchases and will enable us to grow over the long-term.”