Marten Transport, Ltd. · NASDAQ:MRTN
Marten Transport — Q4 2023 Earnings Presentation
16 slides from Marten Transport's earnings presentation, January 2024
Slide 1: Q4 2023
Q4 2023
Slide 2: Disclosure
Disclosure This presentation and discussion will contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “expects,” “anticipates,” “intends,” “estimates,” or similar expressions are intended to identify these forward-looking statem
Slide 3: Operating Results
Operating Results The severe freight recession in 2023 significantly impacted our operating results In each of the five years from 2018 through 2022, we set the then-current record for our highest annual operating revenue and operating income. We also achieved in each of 2020 through 2022 our then-b
Slide 4: The foundation of Marten's growing business platform network
The foundation of Marten’s growing business platform network designed for the best, most-efficient transportation service solutions for Marten’s customers Each of our business platforms is positioned to capitalize on growth opportunities as the market moves out of the freight recession • Truckload –
Slide 5: Marten's Solar Advantage
Marten’s Solar Advantage Solar has been installed at all of our facilities
Slide 6: Consistent Dedicated Growth
Marten’s Consistent Dedicated Growth We minimized the impact of the freight recession on our dedicated operations with the disciplined management of our stable freight base Dedicated Operating Revenue (excluding fuel surcharges) Dedicated Operating Income In millions In thousands 22% (1)% $350 $16,0
Slide 7: Brokerage Growth
Marten’s Brokerage Growth To protect our future brokerage growth, we have diversified our freight base from 90 customers at the start of ’22 to an average of 140 customers throughout ’23 – and we haven’t moved loads from brokerage to our tractors as is common with many carriers Brokerage Operating R
Slide 8: Shift in Brokerage Loads
Shift in Brokerage Loads Since ’22 we have focused on increasing our volume of non-dedicated and dry customer brokerage loads to minimize the impact in ’23 of a number of our dedicated customers shifting brokerage loads due to the freight recession
Slide 9: MRTN de Mexico Growth
MRTN de Mexico Growth -Minimized the impact of the freight recession -Dry expansion with first loads in Feb., ’22 and with operating revenue excluding fuel surcharges expected continued growth of $79.2 million for ’23 compared with $81.5 MRTN de Mexico Dry TL and Brokerage Loads million for ’22 1,50
Slide 10: Net Capital Expenditures
Net Capital Expenditures Increase in ’23 due to availability delays of ’22 purchases and price inflation In millions $200 $172.5 $180 $165 $160 $134.9 $140 $123.7 $120 $106.3 $100 $80 $60 $40 $20 $0 2020 2021 2022 2023 2024 Estimate
Slide 11: Marten People, Model and Culture/Data-Driven
Marten People, Model and Culture/Data-Driven Measured/Disciplined Management -Marten people initiate and implement our strategic vision and key strategic initiatives -Marten people developed and continuously update our proprietary information systems enabling real-time data-driven decisions for impr
Slide 12: Operating Revenue Excluding Fuel Surcharges
Marten’s Operating Revenue Excluding Fuel Surcharges -2022 was the 12th straight year with our highest operating revenue excluding fuel s/c - We expanded our customer diversity by adding 223 shipper codes for 107 new customers while reducing our fleet size to minimize the impact of this year’s freig
Slide 13: Operating Income
Marten’s Operating Income In each of the five years from 2018 through 2022 we had the then-best operating income in our history In millions $150 28% $140 $130 $120 20% $110 $100 22% (37)% $90 9% $80 24% $70 20% (5)% (2)% $60 7% 13% (2)% $50 22% 20% $40 $30 $20 $10 $0 2009 2010 2011 2012 2013 2014 20
Slide 14: Operating Ratio, Net of Fuel S/C
Marten’s Operating Ratio, Net of Fuel S/C In each of 2020 through 2022 we achieved our then-best ratio for any year since we became a public company in 1986 94% 93.5% 93% 92.0% 92% 91.2% 91.1% 90.7% 90.6% 91.0% 90.7% 91% 90.2% 89.7% 89.7% 89.7% 90% 89% 88.2% 88% 87.0% 87% 86.4% 86% 85% 84% 83% 82% 8
Slide 15: Earnings Per Diluted Share
Marten’s Earnings Per Diluted Share(1) $1.40 31% $1.30 $1.20 $1.10 23% $1.00 (36)% $0.90 13% $0.80 11% 62%(2) $0.70 $0.60 $0.50 10% 20% (3)% -%(2) $0.40 (2)% 23% 12% $0.30 21% $0.20 $0.10 $0.00 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 (1) Restated to reflect the thr
Slide 16: Organic Operating Results
Organic Operating Results Each of our business platforms is positioned to capitalize on growth opportunities as the market moves out of the freight recession Nothing has changed since Chris Henry wrote this in Dec. 2018: “Quarter-over-quarter, year-over-year, Marten Transport (NASDAQ: MRTN) has deli