Marten Transport Ltd. Earnings: Here’s Why Investors are Ambivalent Now

Marten Transport Ltd. (NASDAQ:MRTN) delivered a profit and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company.

Marten Transport Ltd. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 0% to $0.23 in the quarter versus EPS of $0.23 in the year-earlier quarter.

Revenue: Rose 2.83% to $161.4 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Marten Transport Ltd. reported adjusted EPS income of $0.23 per share. By that measure, the company missed the mean analyst estimate of $0.24. It missed the average revenue estimate of $167.31 million.

Quoting Management: Chairman and Chief Executive Officer Randolph L. Marten said, “We continue to grow and expand our business despite continued slow economic growth and a challenging rate environment. Our total truckload, intermodal and broker loads were up 13.2% in the second quarter of 2013 over the prior year’s quarter. We believe the strong positioning of our truckload operations has continued to pay benefits, including a 2.8% increase in miles per tractor and a 2.6% increase in revenue per tractor over the second quarter of 2012. These increases were on top of the 6.0% and 5.4% improvements in these measurements in the second quarter of 2012 over the second quarter of 2011. This continued improvement in efficiency helped us achieve our thirteenth consecutive year-over-year increase in quarterly net income.”

Key Stats (on next page)…

Revenue decreased 1.87% from $164.47 million in the previous quarter. EPS increased 9.52% from $0.21 in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $0.24 and has not changed. For the current year, the average estimate has moved up from a profit of $0.93 to a profit of $0.95 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at]