TFI International, one of North America’s largest transport carriers, says the president’s trade war USA Donald Trump exacerbates the difficult prospects of the freight transport industry and that he had to abandon a deal because of it.
“Our industrial final market is exposed to duty -related uncertainty, which was evident during the first quarter before the announcement on April 2 April of the new US duties in dozens of countries,” said Managing Director Alain Bedard today Thursday (24.4.2025). “Our industry -based customers are just waiting,” he said, using the example of American farmers who cannot sell in China right now. “Our customers make tractors, manufacture agricultural equipment, etc. And these guys do not sell much because their customers, farmers, are insecure right now. “
Revenue of $ 1.96 billion in the first quarter was 5% higher than in the same period last year, mainly due to acquisitions, but the customized and reduced profits were 76 cents per share, losing estimates by about 18 cents, according to data collected by Bloomberg.
TFI lost the estimates of both previous quarters. Concerning cross -border transport, Bedard explained that while the truck cargo volumes headed to the US have not changed significantly, “there is nothing returning to Canada right now, so it’s an issue. Backhaul kills us right now. ” US Imports of Canadian steel have been reduced due to the 25% duties imposed in March, but aluminum imports remain high, according to Bedard.
Deceleration of mergers and acquisitions
TFI has been mainly developed through acquisitions over the last decade, buying businesses in the US, Canada and Mexico. But the trade war is now stopping the biggest agreements. “We have a transaction we liked, but because of all this uncertainty about tariffs, we had to abandon this deal,” Bedard said.
Also pledged to correct or get rid of the unacceptable units. Last year, TFI bought Daseke Inc. based in Texas for $ 1.1 billion in business value, but the company has since been struggling to boost the operating performance of its new owner. Bedard said TFI expects that profits per share will be between $ 1.25 and $ 1.40 for the second quarter on a customized residual base, assuming that there will be no significant changes in the macroeconomic environment.
Analysts expected $ 1.41 for the quarter, according to data collected by Bloomberg.
TFI shares negotiated almost 5% higher today, reaching $ 113.78 at 12:22 pm in Toronto. They have still dropped more than 40% in the last year, but over five years they have overflowed.
TFI created a dispute in February when it proposed its transfer to the US, criticizing one of its largest shareholders, Caisse de Depot et Placement du Quebec. The company reversed its decision a few days later.