Question

what is PAM Transport company recent and projected financial performance?

current stratgies?

culture?

Fit of target to identified need?

(please explain in details with examples)؟؟

Answer 1

what is PAM Transport company recent and projected financial performance?

PAM Transport just finished the year with its second-best year of operating income, when excluding gains on sales of equipment and the litigation reserve expenses. In the month of October, with our largest customer shut down, we had to react quickly as we had approximately 400 drivers depending on running General Motors freight lanes. We asked these displaced drivers at the time of the strike if they wanted to take some time off or if they wanted to work. Almost 100% said they wanted to work so our Customer Service, Sales, and Operating teams jumped into action to find new freight sources to keep these driving professionals moving. Our strategy worked as we only lost 12 of these 400 drivers and our overall fleet size grew by six drivers over this same timeframe. Collectively, the PAM Transport team did a remarkable job recovering from the labour strike.

“From a quarterly financial perspective, we were able to maintain profitability throughout the strike period as we recorded positive operating income for October and for the fourth quarter overall on an adjusted basis (non-GAAP), excluding the litigation charges. Notwithstanding the impact of these charges, we are proud of our results considering the hurdles. “We have seen several major motor carriers exit the Mexico market within the past 18 months. It’s been well documented how many carriers exited the marketplace during 2019, and some of those carriers are major players in the automotive sector. I understand why carriers would struggle servicing Mexico and the automotive sectors as their freight is some of the most difficult and demanding freight to service well. It’s also where PAM Transport excels. As a result, we faced the strongest headwinds in recent memory and still maintained profitability on an adjusted basis.

“Our Logistics division, we believe, outperformed industry averages, both in revenue and profitability. Our revenue was down from 2018, as were most other logistic providers, and we made less money than 2018. But, our revenue was down less than most and our profitability was impacted much less. We have grown our customer base substantially and our logistics team does a great job of pivoting between contractual business and the spot market depending on where the opportunities for growth and profitability lies.”

P.A.M. Transportation Services Inc. posted a loss in its fourth quarter as well as a dip in revenue, capping an exceptionally challenging year, said the company's top executive. For 2019 as a whole, P.A.M. reported earnings of $7.9 million, or $1.34 per share, down from $24 million, or $3.90 per share, for 2018. Revenue, including fuel surcharges, stood at $514.2 million for 2019, down 4% from $533.3 million the previous year.

current strategies?

Disciplined pricing strategy

• Market driven, but with precise knowledge of specific lane/mode cost structure

• Focus on network balance and density

Fleet replacement strategy implemented to reduce truck cycle time to every 3 years

culture?

Diversified culture

• 50% auto, diversified among major auto OEM/suppliers

• No one customer comprises more than 20% of revenue

• Remaining 50% highly diversified