C.H. Robinson (CHRW 91.85, -3.08) has given up 3.2% despite beating quarterly revenue expectations.
The freight carrier reported fourth quarter earnings of $1.08 per share, which may not be comparable to estimates due to a $12.10 million tax reform-related benefit resulting from the revaluation of deferred tax assets and liabilities. C.H. Robinson's revenue grew 16.0% year-over-year to $3.96 billion, which was better than expected.
The company's solid revenue growth was driven by higher pricing and volume growth in most of its segments.
Looking at the segment breakdown, North American Surface Transportation revenue jumped 14.8% year-over-year to $2.62 billion thanks to higher pricing in all services. Truckload net revenue grew 16.6% to $304.50 million even though truckload volumes fell 3.0%. Net revenue margin was unchanged year-over-year. Excluding the estimated impacts of the change in fuel prices, North America truckload rate per mile charged to customers increased 15.0% year-over-year. Truckload transportation costs grew 14.5% year-over-year.
Global Forwarding revenue grew 24.2% to $591.20 million with the acquisition of Milgram contributing about five percentage points to net revenue growth. Ocean net revenue grew 5.5% to $73.10 million while Air net revenue rose 16.7% year-over-year to $25.70 million. Customs net revenue grew 33.3% to $21.10 million. Growth in these units was fueled by higher volumes.
Robinson Fresh revenue increased 12.3% year-over-year to $594.60 million. Net revenue increased 4.6% to $54.12 million thanks to increased sourcing and transportation net revenue. Sourcing net revenue grew 4.6% to $27.10 million due to higher net revenue margin and improved case volume. Transportation net revenue grew 4.5% to $27.00 million.