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Tuesday, October 15, 2013

MARTEN TRANSPORT ANNOUNCES THIRD QUARTER 2013 RESULTS

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Marten Transport, Ltd. (Nasdaq:MRTN) today reported the highest net income for any quarter in the company’s history.  Net income improved 22.4% to $8.0 million, or 24 cents per diluted share, for the third quarter ended September 30, 2013, from $6.5 million, or 20 cents per diluted share, for the third quarter of 2012.  For the nine-month period ended September 30, 2013, net income increased 16.9% to $22.8 million, or 68 cents per diluted share, from $19.5 million, or 59 cents per diluted share, for the 2012 nine-month period.
 
Operating revenue, consisting of revenue from truckload and logistics operations, increased to $167.1 million for the third quarter of 2013 from $163.6 million for the third quarter of 2012, and increased to $493.0 million for the 2013 nine-month period from $472.0 million for the 2012 nine-month period.  Operating revenue, net of fuel surcharges and MW Logistics, LLC (MWL) revenue, increased 7.0% to $134.5 million for the 2013 quarter from $125.8 million for the 2012 quarter, and increased 8.6% to $390.3 million for the 2013 nine-month period from $359.3 million for the 2012 nine-month period.  Fuel surcharge revenue increased to $32.6 million for the third quarter of 2013 from $30.3 million for the 2012 quarter, and increased to $96.0 million for the 2013 nine-month period from $88.9 million for the 2012 nine-month period.  With the March 2013 deconsolidation of MWL, no MWL revenue was included in the third quarter of 2013 compared with $7.6 million in the 2012 quarter.  MWL revenue included in the first nine months of 2013 decreased by $17.2 million from the first nine months of last year with the deconsolidation.

 

Operating expenses as a percentage of operating revenue, with both amounts net of fuel surcharge revenue, improved to 89.9% for the third quarter of 2013 from 92.6% for the third quarter of 2012.  The ratio improved to 90.1% for the 2013 nine-month period from 91.5% for the 2012 nine-month period.

 

Chairman and Chief Executive Officer Randolph L. Marten said, “We are pleased to announce our highest net income for any quarter in our history as well as our fourteenth consecutive year-over-year increase in quarterly profitability.  We believe our continued growth and profitability are directly related to the strong positioning of our truckload operations, as well as the diversification of our service offerings in intermodal and brokerage.  Our total truckload, intermodal and broker loads increased 11.9% in the third quarter of 2013 over the prior year’s quarter.  We continue to drive improvements in tractor utilization and revenue per tractor, which increased 3.3% over the third quarter of 2012 – on top of a 7.3% increase in the third quarter of 2012 over the 2011 quarter.  These continued improvements helped us achieve an operating ratio excluding fuel surcharge of 89.9% for the third quarter of 2013, our second best ratio over the past 28 quarters.”

 

Marten Transport, Ltd. (Nasdaq:MRTN) today reported the highest net income for any quarter in the company’s history.  Net income improved 22.4% to $8.0 million, or 24 cents per diluted share, for the third quarter ended September 30, 2013, from $6.5 million, or 20 cents per diluted share, for the third quarter of 2012.  For the nine-month period ended September 30, 2013, net income increased 16.9% to $22.8 million, or 68 cents per diluted share, from $19.5 million, or 59 cents per diluted share, for the 2012 nine-month period.

 

Operating revenue, consisting of revenue from truckload and logistics operations, increased to $167.1 million for the third quarter of 2013 from $163.6 million for the third quarter of 2012, and increased to $493.0 million for the 2013 nine-month period from $472.0 million for the 2012 nine-month period.  Operating revenue, net of fuel surcharges and MW Logistics, LLC (MWL) revenue, increased 7.0% to $134.5 million for the 2013 quarter from $125.8 million for the 2012 quarter, and increased 8.6% to $390.3 million for the 2013 nine-month period from $359.3 million for the 2012 nine-month period.  Fuel surcharge revenue increased to $32.6 million for the third quarter of 2013 from $30.3 million for the 2012 quarter, and increased to $96.0 million for the 2013 nine-month period from $88.9 million for the 2012 nine-month period.  With the March 2013 deconsolidation of MWL, no MWL revenue was included in the third quarter of 2013 compared with $7.6 million in the 2012 quarter.  MWL revenue included in the first nine months of 2013 decreased by $17.2 million from the first nine months of last year with the deconsolidation.

 

Operating expenses as a percentage of operating revenue, with both amounts net of fuel surcharge revenue, improved to 89.9% for the third quarter of 2013 from 92.6% for the third quarter of 2012.  The ratio improved to 90.1% for the 2013 nine-month period from 91.5% for the 2012 nine-month period.

 

Chairman and Chief Executive Officer Randolph L. Marten said, “We are pleased to announce our highest net income for any quarter in our history as well as our fourteenth consecutive year-over-year increase in quarterly profitability.  We believe our continued growth and profitability are directly related to the strong positioning of our truckload operations, as well as the diversification of our service offerings in intermodal and brokerage.  Our total truckload, intermodal and broker loads increased 11.9% in the third quarter of 2013 over the prior year’s quarter.  We continue to drive improvements in tractor utilization and revenue per tractor, which increased 3.3% over the third quarter of 2012 – on top of a 7.3% increase in the third quarter of 2012 over the 2011 quarter.  These continued improvements helped us achieve an operating ratio excluding fuel surcharge of 89.9% for the third quarter of 2013, our second best ratio over the past 28 quarters.”

 

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.  Accordingly, effective as of that date, Marten was no longer the primary beneficiary, deconsolidated MWL and started accounting for its ownership interest in MWL under the equity method of accounting.

 

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, 2012.  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 10/15 at 02:48 PM