Saia Reports Fourth Quarter Earnings per Share of $0.32

JOHNS CREEK, GA--(Marketwired - Jan 31, 2014) -  Saia, Inc. (NASDAQ: SAIA), a leading transportation provider offering multi-regional less-than-truckload (LTL), non-asset truckload and logistics services, today reported improved fourth quarter 2013 results driven by effective revenue management and operational efficiencies. All prior period share and per share data in this release have been adjusted to reflect the Company's June 2013 three for two stock split.

Fourth Quarter 2013 Compared to Fourth Quarter 2012 Results

• Revenues were $280 million, an increase of 5.8%
• Operating income increased 46% to $14.7 million compared to $10.1 million
• Diluted earnings per share were $0.32 compared to $0.22
• Operating ratio was 94.7 compared to 96.2
• LTL tonnage per workday increased 2.9% as LTL shipments per workday were up 1.7% with a 1.2% increase in weight per shipment
• LTL yield was up 2.3%

"Saia's Quality Matters initiative continues to be the guiding force in advancing our value proposition in the marketplace. Saia employees across our organization are focused on providing consistent, superior customer service. These efforts have fueled another quarter of meaningful yield increase which combined with efficiency and technology initiatives led us to a 45% increase in earnings per share compared to the fourth quarter last year," said Saia President and Chief Executive Officer Rick O'Dell.

"Investments in technology, equipment and continuous on-going employee training have allowed Saia to post its ninth consecutive quarter of 98% on-time service. The combination of strong service and our committed pricing effort enabled Saia to improve its operating ratio by 150 basis points versus fourth quarter last year. With our recently expanded sales force, Saia ended the year with improving tonnage trends and we believe we are well positioned to grow our market share going forward," O'Dell said.

2013 Results Compared to 2012 Results

• Revenues were $1,139 million compared to $1,099 million
• Operating income was $74.4 million compared to $58.7 million
• Net income was $43.6 million compared to $32.0 million
• Diluted earnings per share were $1.73 compared to $1.29
• Operating ratio was 93.5 compared to 94.7

Financial Position and Capital Expenditures
Total debt was $76.9 million at December 31, 2013. Net of the Company's $0.2 million cash balance at quarter end, debt to total capital was 20.1%. This compares to total debt of $60.7 million and net debt to total capital of 19.2% in the prior year quarter.

Net capital expenditures in 2013 were $122 million. This compares to $83 million in the prior year. The Company currently plans net capital expenditures in 2014 of approximately $85 million. This expenditure level reflects primarily replacement of revenue equipment, and investments in technology and real estate projects.

Conference Call
Management will hold a conference call to discuss quarterly results today at 11:00 a.m. Eastern Time. To participate in the call, please dial 888-500-6950 or 719-457-2697 referencing conference ID #7135869. Callers should dial in five to ten minutes in advance of the conference call. This call will be webcast live via the Company web site at www.saiacorp.com. A replay of the call will be offered two hours after the completion of the call through February 6, 2014 at 2:00 p.m. Eastern Time. The replay will be available by dialing 1-888-203-1112 or 719-457-0820.

Saia, Inc. (NASDAQ: SAIA) offers customers a wide range of less-than-truckload, non-asset truckload, expedited and logistics services. With headquarters in Georgia, Saia LTL Freight operates 147 terminals in 34 states. For more information on Saia, Inc. visit the Investor Relations section at www.saiacorp.com.

The Securities and Exchange Commission encourages companies to disclose forward-looking information so that investors can better understand the future prospects of a company and make informed investment decisions. This news release contains these types of statements, which are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995.

Words such as "anticipate," "estimate," "expect," "project," "intend," "may," "plan," "predict," "believe," "should" and similar words or expressions are intended to identify forward-looking statements. Investors should not place undue reliance on forward-looking statements and the Company undertakes no obligation to update or revise any forward-looking statements. All forward-looking statements reflect the present expectation of future events of our management as of the date of this news release and are subject to a number of important factors, risks, uncertainties and assumptions that could cause actual results to differ materially from those described in any forward-looking statements. These factors, risks, assumptions and uncertainties include, but are not limited to, general economic conditions including downturns in the business cycle; the creditworthiness of our customers and their ability to pay for services; competitive initiatives and pricing pressures, including in connection with fuel surcharge; the Company's need for capital and uncertainty of the current credit markets; the possibility of defaults under the Company's debt agreements (including violation of financial covenants); possible issuance of equity which would dilute stock ownership; integration risks; indemnification obligations associated with the 2006 sale of Jevic Transportation, Inc.; the effect of litigation including class action lawsuits; cost and availability of qualified drivers, fuel, purchased transportation, real property, revenue equipment and other assets; governmental regulations, including but not limited to Hours of Service, engine emissions, the "Compliance, Safety, Accountability" (CSA) initiative, compliance with legislation requiring companies to evaluate their internal control over financial reporting, changes in interpretation of accounting principles and Homeland Security; dependence on key employees; inclement weather; labor relations, including the adverse impact should a portion of the Company's workforce become unionized; effectiveness of Company-specific performance improvement initiatives; terrorism risks; self-insurance claims and other expense volatility; increased costs as a result of recently enacted healthcare reform legislation and other financial, operational and legal risks and uncertainties detailed from time to time in the Company's SEC filings. As a result of these and other factors, no assurance can be given as to our future results and achievements. A forward looking statement is neither a prediction nor a guarantee of future events or circumstances and those future events or circumstances may not occur.

Saia, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(Amounts in thousands)
(Unaudited)
				December 31,				December 31,
				2013				2012
ASSETS
CURRENT ASSETS:
	Cash and cash equivalents			$	159			$	321
	Accounts receivable, net				117,937				106,814
	Prepaid expenses and other				52,157				37,028
		Total current assets			170,253				144,163
PROPERTY AND EQUIPMENT:
	Cost				797,527				718,527
	Less: accumulated depreciation				365,301				356,823
		Net property and equipment			432,226				361,704
OTHER ASSETS					14,322				13,821
		Total assets		$	616,801			$	519,688
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
	Accounts payable			$	50,799			$	43,706
	Wages and employees' benefits				35,248				30,842
	Other current liabilities				47,667				44,609
	Current portion of long-term debt				7,143				22,143
		Total current liabilities			140,857				141,300
OTHER LIABILITIES:
	Long-term debt, less current portion				69,740				38,562
	Deferred income taxes				69,916				55,611
	Claims, insurance and other				31,496				29,696
		Total other liabilities			171,152				123,869
STOCKHOLDERS' EQUITY:
	Common stock				24				24
	Additional paid-in capital				213,648				206,969
	Deferred compensation trust				(2,246	)			(2,213	)
	Retained earnings				93,366				49,739
		Total stockholders' equity			304,792				254,519
		Total liabilities and stockholders' equity		$	616,801			$	519,688

Saia, Inc. and Subsidiaries
Consolidated Statements of Operations
For the Quarters and Years Ended December 31, 2013 and 2012
(Amounts in thousands, except per share data)
(Unaudited)
				Fourth Quarter								Years
				2013				2012				2013				2012
OPERATING REVENUE				$	279,655			$	264,427			$	1,139,094			$	1,098,679
OPERATING EXPENSES:
	Salaries, wages and employees' benefits				144,019				136,284				572,487				546,755
	Purchased transportation				17,952				15,350				72,975				74,521
	Fuel, operating expenses and supplies				73,405				74,964				306,364				308,176
	Operating taxes and licenses				8,530				9,222				36,513				38,283
	Claims and insurance				7,409				6,303				25,494				24,712
	Depreciation and amortization				13,799				12,304				51,564				47,985
	Operating gains, net				(151	)			(78	)			(721	)			(487	)
		Total operating expenses			264,963				254,349				1,064,676				1,039,945
OPERATING INCOME					14,692				10,078				74,418				58,734
NONOPERATING EXPENSES:
	Interest expense				1,584				1,707				6,490				7,807
	Other, net				(37	)			(70	)			(217	)			(212	)
		Nonoperating expenses, net			1,547				1,637				6,273				7,595
INCOME BEFORE INCOME TAXES					13,145				8,441				68,145				51,139
Income tax expense					5,081				3,035				24,518				19,091
NET INCOME				$	8,064			$	5,406			$	43,627			$	32,048
Average common shares outstanding - basic					24,246				23,862				24,154				23,823
Average common shares outstanding - diluted					25,289				24,879				25,205				24,815
Basic earnings per share				$	0.33			$	0.23			$	1.81			$	1.35
Diluted earnings per share				$	0.32			$	0.22			$	1.73			$	1.29

Saia, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows
For the Years Ended December 31, 2013 and 2012
(Amounts in thousands)
(Unaudited)
				Years
				2013				2012
OPERATING ACTIVITIES:
Net cash provided by operating activities				$	101,312			$	100,675
		Net cash provided by operating activities			101,312				100,675
INVESTING ACTIVITIES:
	Acquisition of property and equipment				(126,358	)			(86,120	)
	Proceeds from disposal of property and equipment				4,338				3,305
	Acquisition of subsidiary, net of cash				-				(7,616	)
		Net cash used in investing activities			(122,020	)			(90,431	)
FINANCING ACTIVITIES:
	Repayment of long-term debt				(22,143	)			(22,143	)
	Borrowings of revolving credit agreement, net				38,327				9,990
	Proceeds from stock option exercises				4,948				913
	Other financing activities				(586	)			-
		Net cash used in financing activities			20,546				(11,240	)
NET DECREASE IN CASH AND CASH EQUIVALENTS					(162	)			(996	)
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD					321				1,317
CASH AND CASH EQUIVALENTS, END OF PERIOD				$	159			$	321

Saia, Inc. and Subsidiaries
Financial Information
For the Quarters Ended December 31, 2013 and 2012
(Unaudited)
															Fourth Quarter
				Fourth Quarter								%			Amount/Workday				%
				2013				2012				Change			2013		2012		Change
Workdays															62		62
Operating ratio					94.7	%			96.2	%
Tonnage (1)		LTL			888				863			2.9			14.32		13.91		2.9
		TL			187				157			19.2			3.02		2.53		19.2
Shipments (1)		LTL			1,490				1,466			1.7			24.04		23.64		1.7
		TL			27				23			18.0			0.43		0.37		18.0
Revenue/cwt. (2)		LTL		$	14.46			$	14.13			2.3
		TL		$	5.73			$	5.90			(2.7	)
Revenue/shipment (2)		LTL		$	172.22			$	166.36			3.5
		TL		$	802.35			$	816.62			(1.7	)
Pounds/shipment		LTL			1,191				1,177			1.2
		TL			13,992				13,851			1.0
Length of Haul					746				728			2.5

(1)	In thousands
(2)	Revenue does not include the adjustment required for financial statement purposes in accordance with the Company's revenue recognition policy and other revenue.