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Tuesday, July 15, 2014

MARTEN TRANSPORT ANNOUNCES SECOND QUARTER RESULTS

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MARTEN TRANSPORT ANNOUNCES SECOND QUARTER RESULTS


Marten Transport, Ltd. (Nasdaq/GS:MRTN) today reported an increase in net income to $7.9 million, or 24 cents per diluted share, in the second quarter ended June 30, 2014, from $7.7 million, or 23 cents per diluted share, in the second quarter of 2013.  For the six-month period ended June 30, 2014, net income was $13.2 million, or 39 cents per diluted share, compared with $14.9 million, or 45 cents per diluted share, in the 2013 six-month period. 


Operating revenue, consisting of revenue from truckload and logistics operations, increased to $168.4 million in the second quarter of 2014 from $161.4 million in the second quarter of 2013, and increased to $327.8 million in the 2014 six-month period from $325.9 million in the 2013 six-month period.  Operating revenue, net of fuel surcharges and MW Logistics, LLC (MWL) revenue, increased 4.6% to $135.7 million in the 2014 quarter from $129.7 million in the 2013 quarter, and increased 2.9% to $263.2 million in the 2014 six-month period from $255.8 million in the 2013 six-month period.  Fuel surcharge revenue increased to $32.7 million in the second quarter of 2014 from $31.7 million in the 2013 quarter, and increased to $64.6 million in the 2014 six-month period from $63.4 million in the 2013 six-month period.  With the March 2013 deconsolidation of MWL, no MWL revenue was included in the first six months of 2014 or in the second quarter of 2013, compared with $6.7 million in the first six months of 2013.


Operating expenses as a percentage of operating revenue, with both amounts net of fuel surcharge revenue, was 90.5% in the second quarter of 2014 compared with the 89.9% ratio achieved in the second quarter of 2013.  The ratio was 91.8% in the 2014 six-month period compared with 90.2% in the 2013 six-month period.


Chairman and Chief Executive Officer Randolph L. Marten said, “We remain confident that we are well positioned for the remainder of 2014 and beyond with our rate initiatives that will continue through this year’s third quarter, as the operating environment is becoming more favorable with tightening capacity.  We are encouraged by our strong June 2014 performance with net income for the month of $3.1 million, and our opportunity for further profitability growth with our diverse service infrastructure.  We continue to drive gains in our key operating measures as our revenue per tractor increased 4.1% over the second quarter of 2013, our seventeenth consecutive quarterly increase.”


“We also utilized our credit facility in the second quarter of 2014 to acquire a larger regional operating facility in southern California, which we believe will give us the ability to further expand our footprint in that market.”


Marten Transport, with headquarters in Mondovi, Wis., is one of the leading temperature-sensitive truckload carriers in the United States.  Marten specializes in transporting and distributing food and other consumer packaged goods that require a temperature-controlled or insulated environment.  Marten offers service in the United States, Canada and Mexico, concentrating on expedited movements for high-volume customers.  Marten’s common stock is traded on the Nasdaq Global Select Market under the symbol MRTN.


Since 2004, Marten Transport’s results and consolidated financial statements have included the accounts of MWL, a third-party provider of logistics services to the transportation industry.  On March 28, 2013, a member of MWL made a capital contribution to MWL.  As a result, it was determined that MWL was no longer required to be consolidated.  Accordingly, Marten deconsolidated MWL and started accounting for its ownership interest in MWL under the equity method of accounting, effective as of that date.


This press release contains certain statements that may be considered 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.  These statements by their nature involve substantial risks and uncertainties, and actual results may differ materially from those expressed in such forward-looking statements.  Important factors known to the Company that could cause actual results to differ materially from those discussed in the forward-looking statements are discussed in Item 1A of the Company’s Annual Report on Form 10-K for the year ended December 31, 2013.  The Company undertakes no obligation to correct or update any forward-looking statements, whether as a result of new information, future events or otherwise.


CONTACTS: Tim Kohl, President, and Jim Hinnendael, Chief Financial Officer, of Marten Transport, Ltd., 715-926-4216.

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Posted by Marten Admin on 07/15 at 02:14 PM