BELLEVUE, Wash., Nov. 14, 2011 /PRNewswire/ — Radiant Logistics, Inc. (OTC QB: RLGT), a domestic and international logistics services company, today reported financial results for the three months ended September 30, 2011.

For the three months ended September 30, 2011, Radiant reported net income of $655,000 on $71.8 million of revenues, or $0.02 per basic and fully diluted share, including $283,000 in non-recurring transition costs associated with the Company’s acquisition of DBA Distribution Services, Inc. (“DBA”) which are principally personnel costs that are being eliminated in connection with the winding down of DBA’s historical back-office operations as these functions are being transitioned to the Company’s headquarters in Bellevue, Washington. For the three months ended September 30, 2010, Radiant reported net income of $783,000 on $46.4 million of revenues, or $0.03 per basic and fully diluted share.

The Company also reported adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) of $1,639,000 for the three months ended September 30, 2011, which includes $283,000 in non-recurring transition costs associated with the Company’s acquisition of DBA, compared to adjusted EBITDA of $1,709,000 for the three months ended September 30, 2010. A reconciliation of the Company’s adjusted EBITDA to the most directly comparable GAAP measure appears at the end of this release. Excluding the $283,000 in non-recurring transition costs associated with the Company’s acquisition of DBA, the Company would have reported $1,922,000 in adjusted EBITDA for the three months ended September 30, 2011, for an increase of $213,000.

The Company has also provided additional prior period analysis using pro forma results of operations presented as if Radiant had acquired DBA as of July 1, 2009 which is included in the Company’s Form 10-Q for the quarter ended September 30, 2011 and filed November 14, 2011.

“We continue to make good progress in integrating DBA and delivered solid growth in gross and net revenues for our first fiscal quarter ended September 30, 2011,” said Bohn Crain, Chairman and CEO. “For the quarter ended September 30, 2011, we posted record revenues of $71.8 million, an improvement of $25.5 million or 54.9% over the comparable prior year period. Net transportation revenues also increased 50.4% to $21.2 million as compared to $14.1 million for the comparable prior year period. As we look at our operating costs as a function of net revenues, we saw reductions in agent commission expense (from 69.7% to 65.4%) partially offset by increases in our personnel costs (from 11.0% to 13.6%). This general dynamic is as expected with the composition of our network now including significant company owned operations in Newark and Los Angeles. We were less fortunate with respect to our selling, general and administrative expenses during the quarter which were 12.5% of net revenues for the quarter, as compared to 7.5% of net revenues for the comparable prior year period. These higher costs were driven principally by non-recurring legal expenses (approximately $300,000 in total) which we incurred in connection with transactions in progress, capital market initiatives and a small number of other individually immaterial legal matters. We expect our sales, general and administrative costs to revert to more normalized levels in future quarters, subject of course, to the productivity of our acquisition pipeline.”

“For the quarter ended September 30, 2011, we also reported adjusted EBITDA of $1,639,000 for the three months ended September 30, 2011, which includes $283,000 in non-recurring transition costs associated with our acquisition of DBA, compared to adjusted EBITDA of $1,709,000 for the comparable prior year period, for a decrease of $70,000. Excluding the $283,000 in non-recurring transition costs associated with our acquisition of DBA, we would have reported $1,922,000 in adjusted EBITDA for the three months ended September 30, 2011, for an increase of $213,000. In addition, there is a total of $231,000 in non-recurring legal costs, which if excluded, would further increase our adjusted EBITDA to a total of $2,153,000.”

Mr. Crain continued, “We believe our long-standing business strategy will continue to deliver positive results and sustain our trend of double digit growth going forward. From our current platform, we believe profitable growth can be best achieved by continuing to bring value to the agent-based forwarding community and continuing to execute our three-prong strategy of first, providing continuous improvement to our existing network participants in terms of technology, buy rates and enhanced service offerings; second, building upon the success of our organic growth initiative by on-boarding additional agent stations; and third, opportunistically pursuing acquisition opportunities, including strategic opportunities within the community of agent-based forwarders. Through this process we have identified and are in conversations with a select number of potential partners that could complement our existing network. I look forward to updating you on our progress as these opportunities continue to develop.”

Supplemental Pro Forma Information

We believe that supplemental disclosure of our adjusted EBITDA, or earnings before interest, taxes, depreciation and amortization adjusted for stock-based compensation, unusual items and other non-cash costs is a useful measure for investors because it eliminates the effect of certain non-cash costs and provides an important metric for our business. A reconciliation of annual pro forma adjusted EBITDA amounts to net income, the most directly comparable GAAP measure is as follows:

Historical Results

Investor Conference Call

Radiant will host a conference call for shareholders and the investing community on Thursday, November 17, 2011 at 4:00 pm, ET that will include a discussion of the contents of the release. The call can be accessed by dialing (877) 407-8031, or (201) 689-8031 for international participants, and is expected to last approximately 30 minutes. Callers are requested to dial in 5 minutes before the start of the call. An audio replay will be available for one week after the teleconference by dialing (877) 660-6853, or (201) 612-7415 for international callers, and using account number 286 and conference ID number 382986. The call will also be webcast and may be accessed via Radiant’s website at http://radiantdelivers.com or through InvestorCalendar.com.

About Radiant Logistics (OTC QB: RLGT)

Radiant Logistics (www.radiantdelivers.com) is a non-asset based third-party transportation & logistics provider with complete global reach, as well as one of the largest and fastest growing networks in North America. The company delivers world-class transportation, logistics and information solutions to its customers, as well as growth, liquidity, and ongoing support for its strategic operating partners. Operating a network of over 100 company-owned and exclusive agent offices under the Airgroup, Adcom Worldwide, Distribution by Air and Radiant brands, the company services a diversified account base that includes manufacturers, distributors and government agencies, using a network of independent carriers and international agents positioned strategically around the world.

This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, regarding future operating performance, events, trends and plans. All statements other than statements of historical fact contained herein, including, without limitation, statements regarding our future financial position, business strategy, budgets, projected revenues and costs, and plans and objectives of management for future operations, are forward-looking statements. Forward-looking statements generally can be identified by the use of forward-looking terminology such as “may,” “will,” “expects,” “intends,” “plans,” “projects,” “estimates,” “anticipates,” or “believes” or the negative thereof or any variation thereon or similar terminology or expressions. We have based these forward-looking statements on our current expectations and projections about future events. These forward-looking statements are not guarantees and are subject to known and unknown risks, uncertainties and assumptions about us that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by such forward-looking statements. Important factors that could cause our actual results to differ from our expectations, include but are not limited to, our ability to: use our Bellevue, Washington operations as a “platform” upon which we can build a profitable global transportation and supply chain management company; retain and build upon the relationships we have with our exclusive agency offices; continue the development of our back office infrastructure and transportation and accounting systems in a manner sufficient to service our expanding revenues and base of exclusive agency locations; maintain the future operations of Adcom and DBA in a manner consistent with its past practices, continue growing our business and maintain historical or increased gross profit margins; locate suitable acquisition opportunities; secure the financing necessary to complete any acquisition opportunities we locate; assess and respond to competitive practices in the industries in which we compete, mitigate, to the best extent possible, our dependence on current management and certain of our larger exclusive agency locations; assess and respond to the impact of current and future laws and governmental regulations affecting the transportation industry in general and our operations in particular; as well as those risk factors disclosed in Item 1A of our Report on Form 10 K for the year ended June 30, 2011 other filings with the Securities and Exchange Commission and other public documents and press releases which can be found on our web-site (www.radiant-logistics.com). Readers are cautioned not to place undue reliance on our forward-looking statements, as they speak only as of the date made. Such statements are not guarantees of future performance or events and we undertake no obligation to disclose any revision to these forward-looking statements to reflect events or circumstances occurring after the date hereof.

SOURCE Radiant Logistics, Inc.