For-hire motor carriers of freight, top carriers

The top 80 for-hire motor carriers of freight (Canadian-based trucking companies earning $25 million or more annually) generated operating revenue of $2.14 billion and expenses of $1.98 billion in the fourth quarter. Average per-carrier revenue increased 26% from the fourth quarter of 2003, reaching $26.7 million. The rise in average revenue followed from both improved financial results and consolidations through acquisitions (there were 90 top carriers as of the fourth quarter of 2003).

The top for-hire carriers' operating ratio (operating expenses divided by operating revenue) was 0.93, compared with 0.95 in the fourth quarter of 2003. A ratio greater than 1.00 represents an operating loss.

The quarterly data have been revised back to the beginning of the first quarter of 2003. The largest changes occurred in the first three quarters of 2004 and have resulted in higher estimates of operating revenue and expenses for those periods (+3.9% for revenue for the first quarter, +12.8% for the second quarter and +9.1% for the third quarter). The revisions resulted mainly from corrected treatment of companies making major acquisitions.

Note: With few exceptions, additions and deletions to the top carriers are done only for the first quarter of each calendar year, while the composition of a top carrier may change at any time due to acquisitions or divestitures. Year-over-year variations in revenue and expenses may arise from changes to the mix of companies included in the top carriers and/or changes in the financial results reported by individual carriers. The revenue and expenses attributed to top carriers may also include that of some companies with less than $25 million in annual revenue, particularly when these companies exist in complex corporate structures where their individual activities may be difficult to accurately measure.

Definitions, data sources and methods: survey number 2748.

For more information, or to enquire about the concepts, methods or data quality of this release, contact Ron Chrétien (613-951-8774; ron.chetien@statcan.gc.ca) or Denis Pilon (613-951-2707; fax: 613-951-0579; denis.pilon@statcan.gc.ca), Transportation Division.