Universal Truckload Services, Inc. Reports First Quarter 2013 Financial Results

   Universal Truckload Services, Inc. Reports First Quarter 2013 Financial
                                   Results

PR Newswire

WARREN, Mich., April 25, 2013

WARREN, Mich., April 25, 2013 /PRNewswire/ --Universal Truckload Services,
Inc. (NASDAQ: UACL) announced financial results for the first quarter ended
March 30, 2013. Basic and diluted earnings per share totaled $0.38 from net
income of $11.4 million. This compares to net income of $14.4 million, or
$0.48 per basic and diluted share, and pro forma net income of $10.4 million,
or $0.35 per basic and diluted share, for the first quarter of 2012.

Income from operations increased 10.7%, to $19.3 million or 7.8% of operating
revenues for the first quarter ended March 30, 2013, compared to $17.4 million
or 6.8% of operating revenues for the first quarter of 2012. Our net income
and earnings per share declined, however, due to the change in tax status of
LINC Logistics Company, which we acquired in the fourth quarter of 2012. Our
consolidated financial statements include LINC's results for all periods
presented. LINC was an "S" corporation for federal income tax purposes prior
to October 1, 2012. As a result, our effective tax rate increased to 37.8% in
the first quarter ended March 30, 2013, compared to 15.6% in the first quarter
of 2012.

First quarter 2013 growth in demand for our intermodal and value-added
services was offset by reduced demand for transportation services compared to
the first quarter of 2012. Operating revenues totaled $248.1 million for the
thirteen weeks ended March 30, 2013, an aggregate 3.1% decline from $256.0
million in the first quarter of 2012. Our intermodal services increased 31.8%
and value-added services increased 5.6% in the first quarter of 2013, while
transportation services decreased 10.0% compared to the same period one year
earlier. Operating revenues from dedicated transportation routes were
essentially flat, while transactional transportation business declined.

"Demand for our transportation services started slowly in 2013, which reflects
decisions we undertook to shed certain under-performing sales channels,
deferred demand from our alternative energy customers, recent economic trends,
and unfavorable weather," observed Scott Wolfe, Universal's Chief Executive
Officer. "Nevertheless, we continue to execute our plan for the transactional
side of our business with a focus on enhancing our agent base, expanding
awareness of Universal's identity in the marketplace, and developing
enterprise accounts. Concurrently, we are pleased with the continuing
progress of our intermodal and value-added services business, which continued
to expand in the first quarter of 2013, and which can offer attractive returns
based on our unique supply chain capabilities and our ability to secure longer
term contracts with customers."

We calculate and report selected financial metrics in connection with lending
arrangements, or to isolate and exclude the impact of non-operating expenses
related to our corporate development activities. These statistics are
described in more detail below in the section captioned "Non-GAAP Financial
Measures." Our EBITDA increased 11.3% to $24.3 million for the thirteen weeks
ended March 30, 2013, from $21.8 million for the thirteen weeks ended March
31, 2012. Expressed as a percentage of operating revenues, first quarter 2013
EBITDA was 9.8%, compared to 8.5% for the first quarter of 2012. For the
first quarter of 2012, trends in EBITDA are substantially similar to trends in
income from operations.

As of March 30, 2013, Universal held cash and cash equivalents totaling $4.8
million and marketable securities totaling $10.4 million. Outstanding debt at
the end of the first quarter of 2013 totaled $136.0 million.

Conference call:

We invite you to participate in a conference call on Monday, April 29, 2013 at
10:00 a.m. Eastern Time where management will discuss first quarter 2013
financial performance. Hosting the call will be Scott Wolfe, Chief Executive
Officer, Don Cochran, President and David Crittenden, Chief Financial Officer.

To participate: Please call (877) 866-3199 (toll free) or (660) 422-4956
(toll) and provide conference ID 47990086.

To listen to an audio replay: Please call (855) 859-2056 (toll free) or (404)
537-3406 (toll) and enter conference ID  47990086, or locate the link in the
investor page at: www.goutsi.com. Audio replay is available through May 29,
2013. 

About Universal:

Universal Truckload Services, Inc. is a leading asset-light provider of
customized transportation and logistics solutions throughout the United
States, Mexico and Canada. We provide our customers with supply chain
solutions that can be scaled to meet their changing demands and volumes. We
offer our customers a broad array of services across their entire supply
chain, including transportation, value-added, and intermodal services. Our
customized solutions and flexible business model are designed to provide us
with a highly variable cost structure.

Some of the statements contained in this press release might be considered
forward-looking statements. These statements identify prospective
information. Forward-looking statements are based on information available at
the time and/or management's good faith belief with respect to future events,
and are subject to risks and uncertainties that could cause actual performance
or results to differ materially from those expressed in the statements. These
forward-looking statements are subject to a number of factors that may cause
actual results to differ materially from the expectations described.
Additional information about the factors that may adversely affect these
forward-looking statements is contained in the Company's reports and filings
with the Securities and Exchange Commission. The Company assumes no
obligation to update forward-looking statements to reflect actual results,
changes in assumptions or changes in other factors affecting forward-looking
information except to the extent required by applicable securities laws.

UNIVERSAL TRUCKLOAD SERVICES, INC.
Unaudited Condensed Consolidated Statements of Income
(In thousands, except per share data)
                                        Thirteen Weeks Ended
                                        March 30,            March 31,
                                        2013                 2012
Operating revenues:
 Transportation services              $    166,927      $  185,390
 Value-added services                 47,770               45,258
 Intermodal services                  33,412               25,344
Total operating revenues                248,109              255,992
Operating expenses:
 Purchased transportation and         134,514              145,091
equipment rent
 Direct personnel and related         43,347               43,156
benefits
 Commission expense                   9,335                10,241
 Operating expense (exclusive of      19,160               17,736
items shown separately)
 Occupancy expense                    4,962                4,984
 Selling, general and administrative  7,802                7,438
 Insurance and claims                 4,678                5,498
 Depreciation and amortization        5,060                4,453
 Total operating expenses             228,858              238,597
 Income from operations               19,251               17,395
Interest expense, net                   (1,102)              (796)
Other non-operating income              134                  504
Income before provision for income     18,283               17,103
taxes
Provision for income taxes              6,909                2,664
Net income                             $     11,374     $   14,439
Earnings per common share:
 Basic                                $       0.38   $     0.48
 Diluted                              $       0.38   $     0.48
Weighted average number of common
shares outstanding:
 Basic                                30,054               30,065
 Diluted                              30,196               30,065
Pre-merger dividends declared per       $            $     1.00
common share:                           -
Pro Forma earnings per common share -
"C" corporation status:
 Pro Forma provision for income
taxes due to LINC Logistics            $         
                                        -                    $    4,003
 Company conversion to "C"
corporation
 Pro Forma net income                 $     11,374     $   10,436
 Earnings per common share:
 Basic                              $       0.38   $     0.35
 Diluted                              $       0.38   $     0.35

UNIVERSAL TRUCKLOAD SERVICES, INC.
Unaudited Condensed Consolidated Balance Sheets
(In thousands)
                                         March 30,          December 31,

                                         2013               2012
Assets
 Cash and cash equivalents             $      4,818  $      2,554
 Marketable securities                 10,394             9,962
 Accounts receivable - net             122,315            118,903
 Other current assets                  37,755             37,719
 Total current assets                  175,282            169,138
 Property and equipment - net          125,866            127,791
 Other long-term assets - net          29,969             30,440
Total assets                             $    331,117    $    327,369
Liabilities and shareholders' equity
 Total current liabilities             $    106,074    $    103,717
 Total long-term liabilities           155,398            166,280
 Total liabilities                     261,472            269,997
 Total shareholders' equity            69,645             57,372
 Total liabilities and shareholders'   $    331,117    $    327,369
equity

UNIVERSAL TRUCKLOAD SERVICES, INC.
Unaudited Summary of Operating Data
                                        Thirteen Weeks Ended
                                        March 30,           March 31,
                                        2013                2012
Average Headcount
    Employees                           2,876               2,493
    Full time equivalents               2,083               1,941
     Total                          4,959               4,434
Average number of tractors
    Provided by owner-operators         3,372               3,286
    Owned                               685                 603
    Third party lease                   45                  40
     Total                          4,102               3,929
Transportation Revenues:
    Average operating revenues per      $             $      
    loaded mile (a)                     2.69               2.70
    Average operating revenues per
    loaded mile,
          excluding fuel surcharges,    $             $      
          where separately              2.31               2.34
          identifiable (a)
    Average operating revenues per      $            $       
    load (a)                            997                 987
    Average operating revenues per
    load, excluding
          fuel surcharges, where        $            $       
          separately identifiable       855                 857
          (a)
    Average length of haul (a) (b)      370                 366
    Number of loads (a)                 151,041             171,199
Value Added Services:
    Number of facilities (d)
          Customer provided             16                  12
          Company leased                28                  27
           Total                    44                  39
Intermodal Revenues:
    Drayage (in thousands)              $     24,862   $     21,234
    Domestic Intermodal (in             5,948               1,391
    thousands)
    Depot (in thousands)                2,602               2,719
     Total (in thousands)           $     33,412   $     25,344
    Average operating revenues per      $             $      
    loaded mile (c)                     4.44               4.23
    Average operating revenues per
    loaded mile,
          excluding fuel surcharges,    $             $      
          where separately              3.55               3.42
          identifiable (c)
    Average operating revenues per      $            $       
    load (c)                            320                 282
    Average operating revenues per
    load, excluding
          fuel surcharges, where        $            $       
          separately identifiable       256                 228
          (c)
    Number of loads (c)                77,657              75,263
    Number of container yards           11                  10
    Excludes operating data from Universal Logistics Solutions, Inc.,
    Universal Logistics Solutions International, Inc., and Central Global
(a) Express, Inc., in order to improve the relevance of the statistical data
    related to our brokerage services and improve the comparability to our
    peer companies. Also excludes final mile delivery and shuttle service
    loads.
(b) Average length of haul is computed using loaded miles, excluding final
    mile delivery and shuttle service loads.
    Excludes operating data from Universal Logistics Solutions, Inc. in order
(c) to improve the relevance of the statistical data related to our
    intermodal services and improve the comparability to our peer companies.
(d) Excludes storage yards, terminals and office facilities.

Non-GAAP Financial Measures

In addition to providing consolidated financial statements based on generally
accepted accounting principles in the United States of America (GAAP), we are
providing additional financial measures that are not required by or prepared
in accordance with GAAP (non-GAAP). We present EBITDA as supplemental measures
of our performance. We define EBITDA as net income plus (i)interest
expense, net, (ii)provision for income taxes and (iii)depreciation and
amortization, and less other non-operating income, or EBITDA. You are
encouraged to evaluate these adjustments and the reasons we consider them
appropriate for supplemental analysis.

In accordance with the requirements of Regulation G issued by the Securities
and Exchange Commission, we are presenting the most directly comparable GAAP
financial measure and reconciling the non-GAAP financial measure to the
comparable GAAP measure. Set forth below is a reconciliation of net income,
the most comparable GAAP measure, to EBITDA for each of the periods indicated:

                                    Thirteen Weeks Ended
                                    March 30,          March 31,
                                    2013               2012
                                    ( in thousands)
EBITDA
 Net income                       $              $    14,439
                                    11,374
 Provision for income taxes       6,909              2,664
 Interest expense, net            1,102              796
 Depreciation and                 5,060              4,453
amortization
 Other non-operating income       (134)              (504)
 EBITDA                           $              $    21,848
                                    24,311
 EBITDA margin (a)                9.8%               8.5%
(a) EBITDA margin is computed by dividing EBITDA by total operating revenues
for each of the periods indicated.

We present EBITDA because we believe it assists investors and analysts in
comparing our performance across reporting periods on a consistent basis by
excluding items that we do not believe are indicative of our core operating
performance.

EBITDA has limitations as an analytical tool. Some of these limitations are:

  oEBITDA does not reflect our cash expenditures, or future requirements, for
    capital expenditures or contractual commitments;
  oEBITDA does not reflect changes in, or cash requirements for, our working
    capital needs;
  oEBITDA does not reflect the significant interest expense, or the cash
    requirements necessary to service interest or principal payments, on our
    debts;
  oalthough depreciation and amortization are non-cash charges, the assets
    being depreciated and amortized will often have to be replaced in the
    future, and EBITDA does not reflect any cash requirements for such
    replacements; and
  oOther companies in our industry may calculate EBITDA differently than we
    do, limiting its usefulness as a comparative measure.

Because of these limitations, EBITDA should not be considered in isolation or
as a substitute for performance measures calculated in accordance with GAAP.
We compensate for these limitations by relying primarily on our GAAP results
and EBITDA only supplementally.

SOURCE Universal Truckload Services, Inc.

Website: http://www.goutsi.com
Contact: David A. Crittenden, Chief Financial Officer, DCrittenden@goutsi.com,
(586) 467-1427