Marten Transport, Ltd. · NASDAQ:MRTN
Marten Transport — Q1 2023 Earnings Presentation
18 slides from Marten Transport's earnings presentation, April 2023
Slide 1: Q1 2023
Q1 2023 ns “4 *
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: Q1 Operating Revenue and Net Income Since 2020
Q1 Operating Revenue and Net Income Since 2020 Operating Revenue Net Income In millions In millions $350 $35 $287.3 $298.0 $30 $300 $27.5 $25 $250 $22.5 $218.6 $223.0 $18.0 $20 $200 $13.7 $15 $150 $10 $100 $5 Q1 '20 Q1 '21 Q1 '22 Q1 '23 Q1 '20 Q1 '21 Q1 '22 Q1 '23
Slide 4: Improving Organic Operating Results
Improving Organic Operating Results Each year since 2018 has had a very different market environment-with the start of 2023 considerably softer 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 achi
Slide 5: Profitable Organic Growth Since the Pandemic Began
Profitable Organic Growth Since the Pandemic Began Over the twelve quarters since the pandemic began, we have delivered improving top- and bottom-line results Operating Results Since the Pandemic Began – Percentage Change vs. Same Quarter of Prior Year Q1 Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 Q3 Q2 2023 2022 2
Slide 6: Expanding Regional Operating Centers Network
Expanding Regional Operating Centers Network THE FOUNDATION of Marten’s growing business platform network designed for the best, most-efficient transportation service solutions for Marten’s customers • Truckload – regional temp and dry and OTR operating from 15 regional service centers--40% of reven
Slide 7: Marten's Solar Advantage
Marten’s Solar Advantage Today’s freight market heightens the importance of cost management
Slide 8: Marten's Dedicated and Brokerage Growth
Marten’s Dedicated and Brokerage Growth Dedicated Revenue (excluding fuel surcharges) Brokerage Revenue (including fuel surcharges) In millions In millions $350 $220 22% 41% $325 $200 $300 2% 21% $180 $275 $250 20% $160 50% $225 $140 $200 22% 26% $175 $120 (11)% 23% $150 $100 $125 11% $80 $100 $60 $
Slide 9: Quarterly Operating Income Growth in our Dedicated and Brokerage Businesses Since 2014
Quarterly Operating Income Growth in our Dedicated and Brokerage Businesses Since 2014 Dedicated Operating Income Brokerage Operating Income In thousands In thousands $16,000 $7,000 935% 880% 536% 1,008% $14,000 718% 727% $6,000 451% $12,000 585% $5,000 $10,000 $4,000 $8,000 $3,000 $6,000 $2,000 $4,
Slide 10: Growth in Dry Regional Truckload Operations Since the Pandemic Began
Growth in Dry Regional Truckload Operations Since the Pandemic Began -We built our regional service centers with the vision to expand into dry operations – a market 5X > temp -Operating out of our Kansas City, Phoenix, Atlanta and Tampa facilities -1H ’22 expansion of our dry operations into Mexico
Slide 11: MRTN de Mexico Growth
MRTN de Mexico Growth -Results-driven performance –- operating revenue excluding fuel surcharges has increased 36% from $60.1 million for ’21 to $81.5 million for ’22 – and 11% from $18.6 million for Q1 ’22 to $20.7 million for Q1 ’23 -Temperature growth history with more expansive growth in the wor
Slide 12: Net Capital Expenditures
Net Capital Expenditures In millions $240 $225 $220 $200 $180 $160 $141.7 $134.9 $140 $106.3 $123.7 $120 $100 $80 $60 $40 $20 $0 2019 2020 2021 2022 2023 Estimate
Slide 13: Marten People, Model and Culture/Data-Driven Measured/Disciplined Management
Marten People, Model and Culture/Data-Driven Measured/Disciplined Management COVID-19 Pandemic has required accelerated disciplined data management changes • Marten people initiate and implement our strategic vision and key strategic initiatives • Marten people developed and continuously update our
Slide 14: Consistent Record Improvement in Marten's Operating Revenue Excluding Fuel Surcharges
Consistent Record Improvement in Marten’s Operating Revenue Excluding Fuel Surcharges -2022 was the 12 th straight year with our highest operating revenue excluding fuel s/c – which also increased 4% in Q1 ’23 despite the softer freight market In millions $1,100 23% $1,000 $900 8% 7% $800 9% 8% $700
Slide 15: Record Improvement in Marten's Operating Income
Record Improvement in 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% $90 9% $80 24% $70 20% (5)% (2)% $60 7% 13% (2)% $50 22% 20% $40 (19)% $30 $20 $10 $0 2009 2010
Slide 16: Record Improvement in Marten's Operating Ratio, Net of Fuel S/C
Record Improvement in 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% 91% 90.2% 89.7% 89.7% 89.7% 90% 88.6% 89% 88.2% 88% 87.0% 87% 86.4
Slide 17: Improvement in Marten's Earnings Per Diluted Share
Improvement in Marten’s Earnings Per Diluted Share(1) -2022 improved 31% over 2021 $1.40 31% $1.30 $1.20 $1.10 23% $1.00 $0.90 13% $0.80 11% 62%(2) $0.70 $0.60 $0.50 10% 20% (3)% -%(2) $0.40 (2)% 23% 12% (16)% $0.30 21% $0.20 $0.10 $0.00 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 20
Slide 18: Improving Organic Operating Results
Improving Organic Operating Results Nothing has changed since Chris Henry wrote this in Dec. 2018: “Quarter-over-quarter, year-over-year, Marten Transport (NASDAQ: MRTN) has delivered consistent, top quartile results. Key word is consistent. When compared to many of the others, you don’t see very ma