| Type | Public |
|---|---|
| Traded as | TSX: TFI |
| Industry | Transport and Logistics |
| Founded | 1957 |
| Founder(s) | Emond brothers |
| Headquarters | Saint-Laurent, Montreal, Canada |
| Key people | Alain Bédard chair,pres,CEO André Bérard dir |
| Revenue | Cdn$2.002 bil (2010)8.4%[1] |
| Net income | Cdn$104.6 mil (2010)857%[2] |
| Total assets | Cdn$1.624 bil (2010)6.4%[1][3] |
| Total equity | Cdn$612 mil (2010)14.7%[4] |
| Employees | 14,700 (up 26%)[5] June'11 |
| Divisions | 68 |
| Website | www.transforce.ca |
This company is not affiliated with the Delaware based transportation staffing company of the same name. The Delaware company has a registered trademark on the name TransForce Inc.[6]
Transforce is a Canadian transport and logistics company based in Montreal, Quebec. It operates across Canada through 4 business segments, and in parts of the United States through partnerships (one is with Estes Express Lines). It has Canada's largest LTL business,[7] largest trucking fleet[8] and ranked 14th in terms of revenue in 2005 among North American LTL carriers[9] (however more recent lists such as [1] suggest it may be closer to top 5 (2010 1st qtr revenue transforce $466.1 million versus 5th ranked US company $359.9 million[10]). Its trucking fleet consists of 6700 power units and 12000 trailers.[11] Two thirds of its business comes from operations in Eastern Canada while the rest is from Western Canada.
The company's main source of growth has been complete takeovers (it holds no stakes in other companies) of smaller trucking companies (35 since 1992) which are then made into subsidiaries, though more recently organic growth contributed to the 53% rise in freight in the first half of 2010.[12] In December 2010 it attempted to enter the US market when it approached Dallas based Dynamex with a $248 million takeover offer. In the 12 months leading up to October 31, 2010 Dynamex made $418 million in revenue (about a quarter as much as Transforce).[13] Even though TransForce cut its trucking fleet by 100 power units in 2010 revenue didn't fall, the result of improved equipment efficiency.[2] The company is currently controlled by the Saputo family (Emanuele (Lino) and Joey are 2 of the company's 8 board members).[14][15] Former Quebec premier Lucien Bouchard is a member of the board of directors, representing the interests of Davies Ward Phillips & Vineberg.[16]
In the first half of 2011 each business unit contributed the following to revenue: Package and Courier 31.6% (up from 19.6%), Less-Than-Truckload 20.7% (down from 28.3%), Truckload 28.7% (down from 34.0%), Specialized Services 23.8% (steady from 23.6% hoh). Top customer's (55% of total revenue) are involved in the retail (21%), energy (18%), services (12%), automotive (8%), waste management (6%), metals & mining (6%) and forestry (5%) industries.[5]
Part of the company's strategy has been to give subsidiaries (most were at one time independent companies) a certain level of autonomy. That allows each subsidiary to continue to cater to different regional markets, giving the parent company access to more markets. TransForce then uses its influence and cash flow to help increase the capacity of each subsidiary (like it did in 2010 when its purchase of a 52 door cross dock terminal in Calgary tripled the capacity of TST overland and expanded its shipping network).[23] For the 2010 year, overall revenue increased slightly (8.4%) but LTL revenue decreased 5.9% (because of lower prices and the stronger Canadian dollar); the company's takeover of ATS together with an agreement signed by Canpar with the Ontario government, improved results for the package-courier business.[2]
In the first nine months of 2011 TransForce earned $60.513 million (down 11%) on revenue of $1,757.693 million (up 31% compared with 9M10, for the 3q revenue up 45%, profit down 22%).[24]