BVI-registered freight-logistics company UTi Worldwide reported its financial results for the first quarter of the year 2009, which appeared to be even worse that it had been expected by Wall Street. After announcing the results, the stock of the company fell down 5% – much more than average.
For the period ended April 30, 2009, the BVI company named the earning figure of US$9.8 mln on revenue of US$768.4 mln – much lower that market analysts’ expectations of nearly US$938 mln; and both these figures were much lower than a year ago – 27% and 35% respectively. Among the reasons for so dramatic fall of revenues of UTi Worldwide, there is the large slowdown in worldwide shipping volumes. The company has already reported losses for the period ended January 31, 2009, and now the downfall continued.
The company also has cut expenses during this period to about US$292 mln – 20% if compared to the same last year period.
The BVI company said its earnings figures included restructuring costs and the sale of real estate in South Africa. Also, the company blamed currency fluctuations of its losses.
CEO of UTi Worldwide, Eric Kirchner, said in a statement that he wants to heighten company’s sales efforts to improve revenue growth, but did not specify what kind of measures these could be.