Titanium Transportation Group weathered a tumultuous 2020, ending the fiscal year with record fourth quarter and full-year results.
“Record fourth quarter results marked a strong finish to an extraordinary year that exceeded expectations,” said Ted Daniel, CEO, Titanium Transportation Group. “With cautious optimism for economic recovery, we enter 2021 accompanied by an industry leading technology and service platform focused on delivering growth including the expansion of our U.S.-based logistics business and the recently announced acquisition of International Truckload Services (ITS) Group.”
Revenue for the year was up 20.2%, to $200.7 million. In the fourth quarter, revenue surged 52% year-over-year to $65.9 million. Truck transportation revenue rose 1.9% to $26.8 million while logistics segment revenue rose 122.9% to $40.4 million, including $24.2 million from Titanium’s three U.S. brokerages.
The company reported net income of $2.1 million in the fourth quarter and $6.3 million on the year, representing improvements of 668% and 295%, respectively.
The ITS acquisition is expected to add $80 million in annualized revenue in 2021 and Titanium plans to open two new U.S. brokerage offices this year, followed by another two in 2022.
“The acquisition of ITS is a clear example of executing on our focused and disciplined acquisition growth strategy. The integration is well underway and we expect to realize synergies and leverage best practices from each organization,” said Daniel. “Similarly, the strong results of our U.S. logistics business validate the decision to strategically invest in a U.S.-based freight brokerage segment – an asset-light business that leverages Titanium’s strong operational and technological foundations.”
Titanium is projecting $330 million in revenue this year. On a conference call with analysts, chief operating officer Marilyn Daniel said contract rates are up about 3-5% this year, and could strengthen further later in the year. The integration of ITS should be complete by the end of the year and is on schedule, she said.