Forward Air Corporation (NASDAQ:FWRD) on Tuesday reported results for the fourth quarter and the year ended Dec. 31 that showed double-digit increases in operating revenue.

Also on Tuesday, the company declared a quarterly cash dividend of $0.07 per share of common stock.

The dividend is payable to shareholders of record at the close of business on March 8, and is expected to be paid on March 23.

Operating revenue for the quarter ended Dec. 31, 2011, increased 11.2 percent to $148.2 million from $133.3 million for the same quarter in 2010.

Income from operations was $23.6 million, compared with $18.7 million for the fourth quarter of 2010, an increase of 26.2 percent.

As a percentage of operating revenue, income from operations increased to 15.9 percent for the fourth quarter of 2011 from 14.0 percent in the same quarter of 2010.

Net income per diluted share for the fourth quarter of 2011 was $0.50 compared with $0.41 in the same quarter of 2010, an increase of 22.0 percent.

Operating revenue for the year ended Dec. 31, increased 10.8 percent to $536.4 million from $483.9 million for the year ended Dec. 31, 2010.

Income from operations was $77.1 million, compared with $53.7 million in 2010.

The company's net income for the year ended Dec. 31, 2011, was $47.2 million, compared with $32.0 million in 2010.

Net income per diluted share for the year ended Dec. 31, was $1.60 compared with $1.10 in 2010.

"We are pleased to announce that a solid fourth quarter completed a record-breaking performance year for 2011," said Bruce A. Campbell, Forward Air chairman, president and CEO.

"Strong demand for our service offerings produced record -breaking operating revenue, operating income and earnings per share," Campbell said.

"While not a record, our 85.6 percent operating ratio for 2011 was an impressive 330 basis points improvement over 2010.

"With the benefit of the Forward Air business model, which continues to exhibit ample operating leverage, a solid pricing environment and current inventory and shipping trends that favor our expedited time-definite service offerings, our team is anxious to deliver even better results to our shareholders in 2012," Campbell said.

In closing, Campbell said, "As always, I would like to acknowledge our employees and independent contractors, whose hard work and dedication were critical in producing these outstanding results."

Rodney L. Bell, senior vice president and CFO, said, "We ended 2011 with cash on hand of $58.8 million. In anticipation of entering into a new credit facility subsequent to year-end, we used $50 million of our cash reserves to pay off our previous line-of-credit borrowings."

Bell said the company will finalize the new credit facility this month.

The new credit facility will have a five-year term with an initial borrowing capacity of $150 million, Bell said.

"This availability to credit, along with our continued ability to generate strong cash flows, will provide flexibility as we evaluate possible acquisition and other opportunities in the new year," he added.

In commenting on Forward Air's guidance for the first quarter, Bell said, "We anticipate our first quarter 2012 revenues will increase in the range of 8 to 12 percent over the comparable 2011 period, and we expect income per diluted share to be between $0.31 and $0.35 per share.

"This compares to $0.27 per share in the first quarter of 2011."