Mr. Alain Bedard reports

TFI INTERNATIONAL ANNOUNCES 2019 FIRST QUARTER RESULTS

TFI International Inc. has released its results for the first quarter ended March 31, 2019.

"The year is off to a strong start at TFI International, continuing our momentum that grew throughout 2018. We produced record first quarter results due to our relentless focus on strong execution and profitable growth, regardless of the economic cycle," said Alain Bedard, chairman, president and chief executive officer. "The significant year-over-year increase in our quarterly operating income was driven by strong performance across all segments. We continue to believe that our investors value growing and tangible cash flow, which we delivered on again this quarter. In addition, we completed the acquisition of three attractive businesses during the quarter and were also able to return $117-million to shareholders through a combination of dividends and share repurchases. For the remainder of the year, as always, our focus will be on creating and unlocking shareholder value, and returning excess capital to shareholders whenever possible."

                        FINANCIAL HIGHLIGHTS  
           (in millions of dollars, except per-share data)

                                                     Quarters ended March 31,                                         
                                                       2019             2018

Total revenue                                      $1,230.8         $1,196.5
Revenue before fuel surcharge                       1,097.4          1,061.6
Adjusted EBITDA (1)                                   188.9            129.0
Operating income                                      106.3             75.4
Net cash from operating activities                    160.7             57.8
Adjusted net income (1)                                67.1             50.4
Adjusted EPS -- diluted (1) ($)                        0.77             0.55
Net income                                             65.1             48.2
EPS -- diluted ($)                                     0.74             0.53
Weighted average number of shares (000s)             85,174           88,950

(1) This is a non-international financial reporting standard measure. 
(2) The current period results include the impacts from the adoption of the 
new IFRS 16 Leases. As is permitted with this new standard, comparative 
information has not been restated and, therefore, may not be comparable.

First quarter results

Total revenue of $1.23-billion was up 3 per cent, and net of fuel surcharge, revenue of $1.10-billion was up 3 per cent, compared with the prior-year period.

Operating income grew 41 per cent to $106.3-million from $75.4-million the prior-year period, driven by strong execution across the organization, increased quality of revenue and cost-efficiencies.

Net income was $65.1-million, or 74 cents per diluted share, as compared with net income of $48.2-million, or 53 cents per diluted share, the prior-year period. Adjusted net income, a non-IFRS measure, was $67.1-million, up 33 per cent from $50.4-million the prior-year period.

Diluted earnings per share of 74 cents compares wit 53 cents in the first quarter of 2018, with the increase primarily attributable to higher revenues and stronger operating margins. Adjusted diluted EPS, a non-IFRS measure, increased 40 per cent to 77 cents from 55 cents in Q1 2018.

Segmented results

During the first quarter of 2019, revenue grew across all segments except logistic and last mile, which declined 5 per cent relative to the first quarter of 2018.

Operating income was higher for all segments, driven by strong operating performance in addition to a sale of a property at less than truckload, for a consideration of $16.5-million, generating a gain of $9.4-million.

Cash flow and financial position

Net cash from operating activities was $160.7-million during Q1 2019, up 178 per cent from $57.8-million the prior-year quarter. This $102.9-million increase is attributable to positive changes in non-cash operating working capital for $52.3-million and to higher cash flow from operating activities before net change in non-cash operating working capital of $50.6-million attributable to stronger operating results and the replacement of lease expenses by depreciation of right-of-use assets and interests on lease liabilities as a result of the implementation of IFRS 16 Leases. IFRS 16 positively impacted cash from operating activities by a net amount of $23.8-million. The company returned $117.3-million to shareholders during the year, of which $20.7-million was through dividends and $96.6-million was through share repurchases.

Conference call

TFI International will host a conference call on Wednesday, April 24, 2019, at 8 a.m. ET to discuss these results. Interested parties can join the call by dialling 1-877-223-4471. A recording of the call will be available until midnight, May 8, 2019, by dialling 1-800-585-8367 or 416-621-4642 and entering passcode 9897443.

About TFI International Inc.

TFI International is a North American leader in the transportation and logistics industry, operating across the United States, Canada and Mexico through its subsidiaries. TFI International creates value for shareholders by identifying strategic acquisitions and managing a growing network of wholly owned operating subsidiaries. Under the TFI International umbrella, companies benefit from financial and operational resources to build their businesses and increase their efficiency. TFI International companies service the following segments:

• Package and courier;
• Less than truckload;
• Truckload;
• Logistics and last mile.

We seek Safe Harbor.