Marten Transport, the truckload carrier, had a blowout fourth quarter. Thus establishing many records in its financial performance.
Marten Transport: Big Growth in Operating Revenue
There is a 4.7% increase in operating revenue to a record $227.3 million. In fact, Marten is showing gains in the operating ratios of all its units. The entire company has got better going up to an 88.8% gain by 250 basic points from 91.3% in the fourth quarter of last year. From 88.3% to 92.5%, the truckload segment’s OR Strengthened. Its Dedicated segment has gone up from 87.8% to 88.6%. The Intermodal posted an OR of 90.5%, up from 94%. The Brokerage sector has only improved slightly, to 91.9% from 92.1%. There was an increase in the Truckload OR was helping by a 5.4% gain in the segment’s revenue. As well as the net of fuel which rose to $87.46 million from $83 million in the fourth quarter of 2019. In fact, operating income rose to $11.27 million from the $7.11 million, which is a jump of 58.5%.
Marten’s Dedicated Sector Net of Fuel
Up 14.1% to $71.31 million from $59.57 million is the revenue for Marten’s Dedicated sector net of fuel growth by far more of this amount. In fact, the operating income climbing 22.1% to $9.9 million from $8.11 million.
From $1.5 million to $20.81 million, Intermodal revenue net of fuel dropped. However, it was reported improved operting income of $2.17 million, which is up from $1.47 million.
The revenue inches up by less than $1 million to $27.38 million, Marten’s brokerage group saw this increase. It was a jump of 3.4%. The operating income was up $127,000 to $2.22 million. This was a jump of 6.1% that caused a small gain in OR.
Randolph Marten Expressed Excitement about Earnings
Moreover, the company’s chairman and CEO, Randolph Marten, enthused about the earnings in a prepared statement. ( Marten doesn’t take earning calls with analysts).
Marten Transport’s 75-Year History
Producing the highest operating revenue and operating income for any quarter and year in our 75-year history is the company’s persistent pursuit of continuous operating improvement, he said. In 2020, we had the best ratio for any year since we became a public company in 1986. This includes the operating ratio and net of fuel surcharges.
Not across the board in its segments is the improvement in the company’s OR for the full year. The Truckload segment improved 270 basis points to 89.5%. The full Marten OR was build up to 89.3% from 90.9%. The Dedicated went forward to higher to 86.8% from 88.3%. However, the Intermodal segment was weakened to 93.5% from 92.7%. The Brokerage weakened by 100 basis points to 92.8%.