C.H. Robinson Worldwide Inc. reported a 12.3% increase in total revenues in 2013 but a 30% drop in net income.
The Eden Prairie, Minn., logistics company said in its annual report March 3 that total consolidated revenue in 2013 was $12.8 billion. Through 285 offices, the company handled about 12.7 million shipments and worked with more than 46,000 active customers, according to the report.
Operating expenses rose 10.7% to $1.2 billion in 2013, according to the company, with the increase linked to a 7.9% rise in personnel expenses and an increase of 18.3% in other selling, general and administrative expenses. Net income for 2013 declined 30% to $415.9 million, and basic net income per share decreased 28% to $2.65, according to the report.
Business segment result
C.H. Robinson total revenues rose 12.3% in 2013 compared with 2012, with transportation revenues up 14.3% to $11.1 billion compared with $9.7 billion in 2012. The November 2012 acquisition of Phoenix International Freight Services Ltd., an international freight forwarder in Chicago, helped drive the increase, according to the report.
The company’s sourcing revenue increased 3% to $1.7 billion in 2013, compared with $1.6 billion in 2012. Higher case volumes helped boost revenue, according to the report.
Total transportation net revenues increased 11.1% $1.70 billion in 2013, while transportation net revenue margin decreased to 15.3% in 2013 compared with 15.8% in 2012. The decline was mostly driven by higher transportation costs which were partially offset by an increase in transportation rates, according to the report.