ABX Air, Inc. Reports Second Quarter Financial Results

ABX Air, Inc. Reports Second Quarter Financial Results

ABX Air, Inc. (NASDAQ:ABXA) today reported solid financial results compared with the second quarter of 2006, as pre-tax earnings from its rapidly growing, higher-margin air charter business more than offset reductions in pre-tax earnings from its commercial agreements with DHL.

For the second quarter, ABX Air’s results included:

— $4.5 million, or $0.08 per diluted share, in net earnings, which included $2.8 million in deferred (non-cash) income tax expense. That compares with $6.5 million, or $0.11 per diluted share, in net income for the same period last year, when no income tax expense was recorded. In 2006, income tax expense was offset by reductions in the tax valuation allowance.

— A 13% increase in pre-tax earnings to $7.3 million from $6.5 million, as pre-tax earnings more than doubled from ABX Air’s operations outside its commercial agreements with DHL.

— Revenues of $281.3 million, down 7.3% from a year ago, as revenues from operations related to the DHL agreements declined 12.2%. Prior-year second quarter revenues included a $17.5 million reimbursement from DHL for line-haul management services, which did not recur in 2007. Second quarter revenues from business unrelated to DHL reached $22.4 million, an increase of 156.8%.

Read the complete Press Release