LONG BEACH, Calif., June 4, 2009 (GLOBE NEWSWIRE) — UTi Worldwide Inc. (Nasdaq:UTIW) today reported financial results for its fiscal 2010 first quarter ended April 30, 2009. Results in the fiscal 2010 first quarter were adversely impacted by continued weak freight and logistics volumes, partially offset by lower transportation and operating costs.
Eric W. Kirchner, chief executive officer, said, “Results in the first quarter continued to be impacted by the macroeconomic conditions and lower than expected transportation and logistics volumes. Purchased transportation costs also decreased, mitigating to some extent the volume deterioration. We continued to respond to the volume declines by reducing our operating costs, although these reductions did not fully offset the decrease in net revenue. We are intensifying our sales efforts to improve revenue growth, particularly in freight forwarding, without sacrificing profitability. These efforts may take some time, but we remain fully committed to our goal of achieving long-term growth and margin improvement.”
The decrease in revenues in the 2010 fiscal first quarter compared to the prior-year first quarter was due to the significant decline in forwarding and logistics volumes, currency fluctuations, and the exiting of businesses last year through the company’s earlier cost reduction plan. On an organic, constant currency basis, adjusted net revenue declined six percent in the 2010 first quarter compared to the first quarter a year ago.