Average operating ratio at 0.93 during the fourth quarter of 1998

OTTAWA (May 12) — Margins at larger for-hire trucking companies did not improve during the fourth quarter of 1998 compared with the same period during the previous year, according to Statistics Canada.

The average operating ratio was 0.93, said the agency. The figure is based on 2343 Canadian motor carriers with annual revenues of $1 million or more.

Operating ratio denotes a company’s operating expenses divided by operating revenues. Any ratio under 1.00 represents an operating profit.

StatsCan said the fourth quarter showed an 8% increase in the number of carriers over the same period in 1997, with total operating revenues for these carriers increasing 4% to $3.9 billion. Both average operating revenue and expenses per carrier fell approximately 3% to $1.7 million and $1.5 million respectively over the fourth quarter of 1997.