Jefferies Reports 2Q Upside For Quality Distribution

According to Jefferies, Quality Distribution QLTY reported continuing EPS of $0.23, beating both consensus and the estimate by $0.06 (or 35%). Jefferies said that upside came from cost management/margin improvement. “The company also announced a multi-year fracing-related contract that mgmt had previously alluded to, worth $30-$40 million in gross revenues in 2012. We await Tuesday morning's conference call for more detail, but the report and news look good at first glance.” Quality Distribution closed yesterday at $12.21.