The Monday roundup of the latest financial data and analysis includes updates on deal-making activity, linehaul rates, intermodal volume and NAFTA trade.
Trucking and logistics deals were on the rise in the third quarter, according to PricewaterhouseCoopers and its quarterly analysis of mergers and acquisitions. (Slide 1)
“The North American trucking M&A market is particularly robust,” the report notes.
These smaller deals drove the increase in M&A activity for the sector, which also includes global infrastructure, air, and shipping industries.
“Acquiring carriers are seeking to expand truckload businesses, enhance logistics offerings, invest in technology and add new capacity as freight demand improves. In addition, several deals have helped companies improve their geographical reach within the United States and across North America,” PwC says. “However, trucking and logistics companies tend to be smaller than many other sector constituents, and deal multiples are also often lower.”
The Cass Truckload Linehaul Index, which measures changes in per-mile truckload linehaul rates, rose 6.7 percent year over year in September and was 2.4 percent higher than August. (Slide 2)
The same drivers appear to be in force this month, with demand improving and capacity exiting the marketplace at a rapid pace, as this year’s contract rate increases are starting to take effect, according to the report.
