TravelCenters of America reports $15 million loss

Cybergal

Well-Known Member
TravelCenters of America reports $15 million loss
8/6/09
WESTLAKE, Ohio — TravelCenters of America reported Wednesday a $15 million loss for the second quarter, on $1.1 billion in revenues. The latest figures compare to a loss of $9.8 million on $2.3 billion in revenues for the same period in 2008.


The 50 percent decline is revenue was largely the result of the steep drop in diesel prices from this time last year.

TA also experienced, on a same site basis, a 10.7 percent decline in fuel volumes for the 2009 second quarter as compared to the 2008 second quarter. TA said it believes that the fuel volume declines are consistent with declines in trucking activity and diesel fuel consumption generally.
TheTrucker.com - America's Trucking Newspaper
 
Now wait a minute.
Supposedly, they don't make but a nickel per gallon on fuel and that stays the same no matter what the price is. They claim they make their money on the stuff they sell in the store, right?
So why would lower fuel prices cut into their profit?
Nice try guys. Think again.
 
A 1.2 Billion drop in revenue could easily translate to a $15 Million in profit loss, even at a nickel a gallon profit.
 
I believe they lost some of the revenue and profits due to their **** poor customer service and attitute toward professional drivers in favor of the general public and it has come full circle to bite them in the arse.
 
A 1.2 Billion drop in revenue could easily translate to a $15 Million in profit loss, even at a nickel a gallon profit.


That's true. I didn't look at the numbers real close. I guess my point was that the loss of revenue wasn't just because diesel was lower price. In theory people would buy more. That is if there was freight to ship and drivers to haul it. I think that is more the root of the problem.
After all, if you looked into past years when the price was the same as it is now, did they lose a bunch of money in those years?.....
 
I believe they lost some of the revenue and profits due to their **** poor customer service and attitute toward professional drivers in favor of the general public and it has come full circle to bite them in the arse.

Yes, indeed.
 
That's true. I didn't look at the numbers real close. I guess my point was that the loss of revenue wasn't just because diesel was lower price. In theory people would buy more. That is if there was freight to ship and drivers to haul it. I think that is more the root of the problem.
After all, if you looked into past years when the price was the same as it is now, did they lose a bunch of money in those years?.....

Economy is clearly a factor. When fuel prices went down this year, it simply meant a drop in revenue because trucks didn't start rolling more once this happened.

Another point was also covered well in another post, regarding their customer service. It has declined greatly over the years, and they have lost customer loyalty as a result.

I was in Matthews, Missouri last week and the Loves truck stop had their fuel islands backed up almost to the street, which resulted in me going across the highway to the T/A to get fuel. There was only 1 truck in the fuel island
 
I agree.I am an employee at TA,not going to say which one,but I dont put up with poor customer service.I have termmed 3 people for **** poor customer service in the past year and a half.And at my shop we dont service cars,pickups or RV's the go across the street.My shop is there for the driver.I guess thats why my customer count is up along with my customer service score.
 
I remember when you got a free cup of coffee at the fuel desk area at Petro and you could also fill your thermos...
 
Now they have done away with their buffets and started all you can eat menus. I would prefer one good meal that is real food cooked by a real cook instead of instant, frozen, out of a can, no cooking skills required garbage...
 
I agree.I am an employee at TA,not going to say which one,but I dont put up with poor customer service.I have termmed 3 people for **** poor customer service in the past year and a half.And at my shop we dont service cars,pickups or RV's the go across the street.My shop is there for the driver.I guess thats why my customer count is up along with my customer service score.
I'll take a guess....your store is in Montgomery, AL ?
 
TA is the absolute last choice for me to stop at because of the way they treat people and they are turning into nothing but a bunch of dumps.
 
TA is the only major chain to still charge for parking. Notice I said "major chain".

A lot of the TA's you see are old 76's and when they bought out 76, they really didn't change much.

My biggest bitch right now is the internet. I've paid for my 24 hours of wireless broadband service, and more often than not - and only at TA - it works for crap.

Other than that, what can you expect. They give a decent discount from credit to cash, the showers usually ain't bad, and once in a while you get a decent meal.

It's a TRUCK STOP. It's purpose is to make money off of you. Not to make you feel "at home on the road".
 

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