Marten Transport Ltd.: Q4 FY2025 earnings call

What management said about Q4 FY2025, from the documents filed with the SEC on 27 January 2026: press release. The quarter’s numbers.

Key takeaways

Fourth-quarter net income fell year on year: Net income was $3.7 million, or 5 cents per diluted share, against $5.6 million, or 7 cents, a year earlier. It rose 66.1% from third-quarter net income of $2.2 million. Source
Operating income rose from third quarter: Operating income was $4.6 million against $6.7 million a year earlier, and up 67.3% from $2.7 million in the third quarter. Full-year operating income was $22.9 million against $33.2 million. Source
Dedicated revenue and income fell: Dedicated revenue was $65.9 million, down 13.7%. Its operating ratio was 95.4% against 94.7%, and operating income was $3.0 million against $4.1 million. Source
Consolidated operating ratio rose to 97.8%: Consolidated operating ratio was 97.8% against 97.1%. Net of fuel surcharges it was 97.5% against 96.7%, and 98.6% in the third quarter. Source
Operating cash flow fell sharply: Operating cash flow was $5.6 million against $23.8 million in the fourth quarter, and $93.5 million against $134.8 million for the year. Source
Intermodal assets sold to Hub Group: Intermodal assets were sold to Hub Group, Inc. for $51.8 million in cash, effective September 30, 2025. The sale covered certain intermodal equipment, including over 1,200 refrigerated containers, and contracts.
Driver productivity rose sequentially: Management credited employees with sequential increases in revenue per tractor, rate per total mile and miles per tractor in truckload and dedicated operations. Source

“We are encouraged by the sequential improvement in our profitability.”
Randolph L. Marten, Chairman of the Board and Chief Executive Officer

Results and growth drivers

Fourth-quarter net income fell year on year: Net income was $3.7 million, or 5 cents per diluted share, against $5.6 million, or 7 cents, a year earlier. It rose 66.1% from third-quarter net income of $2.2 million. Source
Full-year net income declined: Full-year net income was $17.4 million, or 21 cents per diluted share, against $26.9 million, or 33 cents, in 2024. Source
Operating revenue fell 8.8%: Fourth-quarter operating revenue was $210.1 million against $230.4 million. Excluding fuel surcharges it was $185.5 million against $202.9 million. Full-year operating revenue was $883.7 million against $963.7 million. Source
Operating income rose from third quarter: Operating income was $4.6 million against $6.7 million a year earlier, and up 67.3% from $2.7 million in the third quarter. Full-year operating income was $22.9 million against $33.2 million. Source

Segments and regions

Dedicated revenue and income fell: Dedicated revenue was $65.9 million, down 13.7%. Its operating ratio was 95.4% against 94.7%, and operating income was $3.0 million against $4.1 million. Source
Brokerage revenue rose 13.8%: Brokerage revenue was $38.2 million against $33.5 million. Its operating ratio was 98.0% against 93.0%, and operating income was $0.8 million against $2.3 million. Source
Truckload revenue slipped, income fell: Truckload revenue was $106.0 million, down 1.2%. Its operating ratio was 99.3% against 98.3%, and operating income was $0.8 million against $1.8 million. Source
Intermodal revenue ended after sale: No intermodal revenue was reported in the fourth quarter, against $13.2 million a year earlier. Full-year intermodal revenue was $33.7 million against $58.8 million. Source

“Our strong, debt-free balance sheet enhances our ability to continue investing in our technology and modern fleet and position our operations to capitalize on profitable organic growth opportunities.”
Randolph L. Marten, Chairman of the Board and Chief Executive Officer

Operating statistics and productivity

Truckload revenue per tractor rose sequentially: Truckload revenue net of fuel surcharges per tractor per week was $4,200 against $4,227 a year earlier and $4,129 in the third quarter. Average tractors were 1,652 against 1,676. Source
Dedicated revenue per tractor rose sequentially: Dedicated revenue net of fuel surcharges per tractor per week was $3,870 against $3,841 a year earlier and $3,776 in the third quarter. Average tractors fell to 1,103 from 1,288. Source
Truckload miles per trip and non-revenue miles: Average truckload miles per trip were 511 against 535. Non-revenue miles were 11.2% of the total against 11.8%. Truckload total miles were 38,124 thousand against 39,147 thousand. Source
Dedicated total miles declined: Dedicated total miles were 22,782 thousand in the fourth quarter against 26,799 thousand a year earlier. Source
Brokerage loads rose year on year: Brokerage loads were 25,501 in the fourth quarter against 21,749 a year earlier and 25,940 in the third quarter. Source

Costs, margins and pricing

Consolidated operating ratio rose to 97.8%: Consolidated operating ratio was 97.8% against 97.1%. Net of fuel surcharges it was 97.5% against 96.7%, and 98.6% in the third quarter. Source
Full-year operating ratio rose: Full-year operating ratio was 97.4% against 96.6%. Net of fuel surcharges it was 97.1% against 96.0%. Source
Salaries and purchased transportation fell: Salaries, wages and benefits were $75.7 million against $83.0 million, and purchased transportation was $36.1 million against $39.2 million. Depreciation was $25.2 million against $27.5 million. Source
Equipment sale gains were larger: Gain on disposition of revenue equipment was $3.3 million against $0.4 million. The full-year gain was $12.1 million against $5.0 million. Source
Insurance and claims cost rose for year: Insurance and claims were $15.0 million against $15.1 million in the quarter, and $55.6 million against $53.1 million for the year. Source
Fuel and fuel taxes fell: Fuel and fuel taxes were $30.8 million against $33.0 million in the quarter, and $130.0 million against $147.1 million for the year. Source

“We expect the current administration’s recent immigration enforcement efforts including stricter standards for non-domiciled commercial driver’s licenses and increased enforcement of English Language Proficiency regulations to positively impact such opportunities.”
Randolph L. Marten, Chairman of the Board and Chief Executive Officer

Cash and returns to shareholders

Operating cash flow fell sharply: Operating cash flow was $5.6 million against $23.8 million in the fourth quarter, and $93.5 million against $134.8 million for the year. Source
Investing outflows fell from last year: Net cash used for investing activities was $7.1 million in the quarter against $44.9 million, and $42.9 million for the year against $152.1 million. Source
Dividend held at prior-year level: Dividends declared were $0.06 per share in the quarter and $0.24 for the year, the same as in 2024. Financing outflows were $4.7 million in the quarter and $19.6 million for the year. Source
Cash rose; escrow deposit appears: Cash and cash equivalents were $43.3 million against $17.3 million. A $5.0 million escrow deposit is shown in current assets, where the prior release showed it below property and equipment. Source

Strategy and investment

Intermodal assets sold to Hub Group: Intermodal assets were sold to Hub Group, Inc. for $51.8 million in cash, effective September 30, 2025. The sale covered certain intermodal equipment, including over 1,200 refrigerated containers, and contracts.
Dedicated and brokerage model highlighted: Management said the business model's value was highlighted by dedicated and brokerage operating results over the last two years. Source
Focus on service, efficiency and costs: Management listed its focus areas as safe, premium service, data-driven operating efficiencies and aggressive cost controls, in response to freight market conditions. Source
Tractor count fell, average age rose: Total tractors were 2,654 against 3,006, and average tractor age was 2.3 years against 1.9. Trailers were 5,107 against 5,440, with average age of 4.9 years against 5.3. Source

People and leadership

Driver productivity rose sequentially: Management credited employees with sequential increases in revenue per tractor, rate per total mile and miles per tractor in truckload and dedicated operations. Source
Independent contractor tractors declined: Independent contractors provided 77 tractors at year-end 2025 against 88 a year earlier. Source
Executives listed in release: The release lists Randy Marten as Chairman and Chief Executive Officer, Doug Petit as President, and Jim Hinnendael as Executive Vice President and Chief Financial Officer. No leadership change is stated. Source

Figures management reported

Figure	Reported
Operating ratio (consolidated, fourth quarter 2025 and 2024) Source	97.8% and 97.1%
Fuel and fuel taxes (fourth quarter 2025, thousands) Source	$30,765
Truckload revenue net of fuel surcharges per tractor per week Source	$4,200
Truckload total miles (fourth quarter 2025, thousands) Source	38,124
Brokerage loads (fourth quarter 2025) Source	25,501
Total tractors and average tractor age at December 31, 2025 Source	2,654 tractors; 2.3 years

Risks management discussed

Demand: Management cited freight market oversupply, weak demand and freight rate reductions as pressures on earnings. Source
Financial: Management cited the cumulative impact of inflationary operating costs as a pressure on earnings. Source
Operational: Management cited freight network disruptions as a pressure on earnings. Source

Other quarters

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.

As filed with the SEC

Open the filing on EDGAR

MARTEN TRANSPORT ANNOUNCES FOURTH QUARTER AND YEAR END RESULTS

MONDOVI, Wis., January 27, 2026 (GLOBE NEWSWIRE) -- Marten Transport, Ltd. (Nasdaq/GS:MRTN) today reported net income of $3.7 million, or 5 cents per diluted share, for the fourth quarter ended December 31, 2025, compared with $5.6 million, or 7 cents per diluted share, for the fourth quarter of 2024. The 2025 fourth-quarter earnings improved 66.1% sequentially from 2025 third-quarter net income of $2.2 million, or 3 cents per diluted share. For the year ended December 31, 2025, net income was $17.4 million, or 21 cents per diluted share, compared with $26.9 million, or 33 cents per diluted share, for 2024.

Operating revenue was $210.1 million for the fourth quarter of 2025 compared with $230.4 million for the fourth quarter of 2024. Excluding fuel surcharges, operating revenue was $185.5 million for the 2025 quarter compared with $202.9 million for the 2024 quarter. Fuel surcharge revenue decreased to $24.7 million for the 2025 quarter from $27.6 million for the 2024 quarter.

Operating revenue was $883.7 million for 2025 compared with $963.7 million for 2024. Excluding fuel surcharges, operating revenue was $779.0 million for 2025 compared with $840.0 million for 2024. Fuel surcharge revenue decreased to $104.7 million for 2025 from $123.7 million for 2024.

Operating income was $4.6 million for the fourth quarter of 2025 compared with $6.7 million for the fourth quarter of 2024. The 2025 fourth-quarter operating income improved 67.3% from operating income of $2.7 million for the third quarter of 2025.

Operating income was $22.9 million for 2025 compared with $33.2 million for 2024.

Operating expenses as a percentage of operating revenue were 97.8% for the 2025 fourth quarter and 97.1% for the 2024 fourth quarter. Operating expenses as a percentage of operating revenue, with both amounts net of fuel surcharges, were 97.5% for the 2025 fourth quarter and 96.7% for the 2024 fourth quarter, compared with 98.6% for the third quarter of 2025.

Operating expenses as a percentage of operating revenue were 97.4% for 2025 and 96.6% for 2024. Operating expenses as a percentage of operating revenue, with both amounts net of fuel surcharges, were 97.1% for 2025 and 96.0% for 2024.

Chairman of the Board and Chief Executive Officer Randolph L. Marten stated, “We are encouraged by the sequential improvement in our profitability. Our people also drove sequential increases this quarter in our revenue per tractor, rate per total mile and miles per tractor within each of our truckload and dedicated operations.”

“Our unique multifaceted business model’s value continued to be highlighted by the operating results of our dedicated and brokerage operations throughout the last two years. Our earnings have been heavily pressured by the historic duration and depth of the freight market recession’s oversupply and weak demand -- and the cumulative impact of inflationary operating costs, freight rate reductions and freight network disruptions.”

“We are focused on minimizing the freight market’s impact with our emphasis on safe, premium service, data-driven operating efficiencies and aggressive cost controls. Our strong, debt-free balance sheet enhances our ability to continue investing in our technology and modern fleet and position our operations to capitalize on profitable organic growth opportunities. We expect the current administration’s recent immigration enforcement efforts including stricter standards for non-domiciled commercial driver’s licenses and increased enforcement of English Language Proficiency regulations to positively impact such opportunities.”

Current Investor Presentation

Marten Transport, with headquarters in Mondovi, Wis., is a multifaceted business offering a network of time and temperature-sensitive and dry truck-based transportation and distribution capabilities across Marten’s five distinct business platforms - Temperature-Sensitive and Dry Truckload, Dedicated, Brokerage and MRTN de Mexico. Marten’s Intermodal operations were sold effective September 30, 2025. Marten is one of the leading temperature-sensitive truckload carriers in the United States, specializing in transporting and distributing food, beverages and other consumer packaged goods that require a temperature-controlled or insulated environment. The Company offers service in the United States, Mexico and Canada, concentrating on expedited movements for high-volume customers. Marten’s common stock is traded on the Nasdaq Global Select Market under the symbol MRTN.

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 include a discussion of Marten’s prospects for future growth, including the impact on the freight market of the current administration’s recent immigration enforcement efforts including stricter standards for non-domiciled commercial driver’s licenses and increased enforcement of English Language Proficiency regulations, and 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 Part I, Item 1A of the Company’s Annual Report on Form 10-K for the year ended December 31, 2024. 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: Randy Marten, Chairman of the Board and Chief Executive Officer, Doug Petit, President, and Jim Hinnendael, Executive Vice President and Chief Financial Officer, of Marten Transport, Ltd., 715-926-4216.

CONSOLIDATED CONDENSED BALANCE SHEETS

	December 31,	December 31,
(In thousands, except share information)	2025	2024
	(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$43,278	$17,267
Escrow deposit	5,000	-
Receivables:
Trade, net	85,807	89,992
Other	13,084	5,364
Prepaid expenses and other	24,532	25,888
Total current assets	171,701	138,511
Property and equipment:
Revenue equipment, buildings and land, office equipment and other	1,128,932	1,198,737
Accumulated depreciation	(352,426)	(370,124)
Net property and equipment	776,506	828,613
Other noncurrent assets	1,560	1,633
Total assets	$949,767	$968,757
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$28,769	$25,781
Insurance and claims accruals	43,700	44,246
Accrued and other current liabilities	19,763	23,492
Total current liabilities	92,232	93,519
Deferred income taxes	89,716	107,034
Noncurrent operating lease liabilities	194	282
Total liabilities	182,142	200,835
Stockholders’ equity:
Preferred stock, $.01 par value per share; 2,000,000 shares authorized; no shares issued and outstanding	-	-
Common stock, $.01 par value per share; 192,000,000 shares authorized; 81,542,174 shares at December 31, 2025, and 81,463,938 shares at December 31, 2024, issued and outstanding	815	815
Additional paid-in capital	54,762	52,941
Retained earnings	712,048	714,166
Total stockholders’ equity	767,625	767,922
Total liabilities and stockholders’ equity	$949,767	$968,757

CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS

(Unaudited)

	Three Months		Year
	Ended December 31,		Ended December 31,
(In thousands, except per share information)	2025	2024	2025	2024
Operating revenue	$210,108	$230,432	$883,652	$963,708
Operating expenses (income):
Salaries, wages and benefits	75,728	83,009	312,070	341,732
Purchased transportation	36,050	39,231	159,113	169,142
Fuel and fuel taxes	30,765	32,992	129,999	147,143
Supplies and maintenance	14,504	14,331	61,208	63,337
Depreciation	25,168	27,528	105,392	111,653
Operating taxes and licenses	2,446	2,683	9,737	10,302
Insurance and claims	15,034	15,134	55,645	53,109
Communications and utilities	2,217	2,195	8,753	9,029
Gain on disposition of revenue equipment	(3,317)	(387)	(12,067)	(4,971)
Other	6,931	6,989	30,889	30,012
Total operating expenses	205,526	223,705	860,739	930,488
Operating income	4,582	6,727	22,913	33,220
Other	(466)	(394)	(1,464)	(3,126)
Income before income taxes	5,048	7,121	24,377	36,346
Income taxes expense	1,351	1,488	6,933	9,424
Net income	$3,697	$5,633	$17,444	$26,922
Basic earnings per common share	$0.05	$0.07	$0.21	$0.33
Diluted earnings per common share	$0.05	$0.07	$0.21	$0.33
Dividends declared per common share	$0.06	$0.06	$0.24	$0.24

SEGMENT INFORMATION

(Unaudited)

			Dollar	Percentage
			Change	Change
	Three Months		Three Months	Three Months
	Ended		Ended	Ended
	December 31,		December 31,	December 31,
(Dollars in thousands)	2025	2024	2025 vs. 2024	2025 vs. 2024
Operating revenue:
Truckload revenue, net of fuel surcharge revenue	$91,201	$93,106	$(1,905)	(2.0)%
Truckload fuel surcharge revenue	14,822	14,188	634	4.5
Total Truckload revenue	106,023	107,294	(1,271)	(1.2)
Dedicated revenue, net of fuel surcharge revenue	56,086	64,997	(8,911)	(13.7)
Dedicated fuel surcharge revenue	9,831	11,391	(1,560)	(13.7)
Total Dedicated revenue	65,917	76,388	(10,471)	(13.7)
Intermodal revenue, net of fuel surcharge revenue	-	11,238	(11,238)	(100.0)
Intermodal fuel surcharge revenue	-	1,971	(1,971)	(100.0)
Total Intermodal revenue	-	13,209	(13,209)	(100.0)
Brokerage revenue	38,168	33,541	4,627	13.8
Total operating revenue	$210,108	$230,432	$(20,324)	(8.8)%
Operating income/(loss):
Truckload	$783	$1,821	$(1,038)	(57.0)%
Dedicated	3,025	4,073	(1,048)	(25.7)
Intermodal	-	(1,502)	1,502	100.0
Brokerage	774	2,335	(1,561)	(66.9)
Total operating income	$4,582	$6,727	$(2,145)	(31.9)%
Operating ratio:
Truckload	99.3%	98.3%
Dedicated	95.4	94.7
Intermodal	-	111.4
Brokerage	98.0	93.0
Consolidated operating ratio	97.8%	97.1%
Operating ratio, net of fuel surcharges:
Truckload	99.1%	98.0%
Dedicated	94.6	93.7
Intermodal	-	113.4
Brokerage	98.0	93.0
Consolidated operating ratio, net of fuel surcharges	97.5%	96.7%

SEGMENT INFORMATION

(Unaudited)

			Dollar	Percentage
			Change	Change
	Year		Year	Year
	Ended		Ended	Ended
	December 31,		December 31,	December 31,
(Dollars in thousands)	2025	2024	2025 vs. 2024	2025 vs. 2024
Operating revenue:
Truckload revenue, net of fuel surcharge revenue	$363,929	$377,452	$(13,523)	(3.6)%
Truckload fuel surcharge revenue	57,800	62,340	(4,540)	(7.3)
Total Truckload revenue	421,729	439,792	(18,063)	(4.1)
Dedicated revenue, net of fuel surcharge revenue	236,504	267,077	(30,573)	(11.4)
Dedicated fuel surcharge revenue	41,922	52,058	(10,136)	(19.5)
Total Dedicated revenue	278,426	319,135	(40,709)	(12.8)
Intermodal revenue, net of fuel surcharge revenue	28,730	49,468	(20,738)	(41.9)
Intermodal fuel surcharge revenue	4,941	9,286	(4,345)	(46.8)
Total Intermodal revenue	33,671	58,754	(25,083)	(42.7)
Brokerage revenue	149,826	146,027	3,799	2.6
Total operating revenue	$883,652	$963,708	$(80,056)	(8.3)%
Operating income/(loss):
Truckload	$825	$3,283	$(2,458)	(74.9)%
Dedicated	16,734	23,037	(6,303)	(27.4)
Intermodal	(1,883)	(3,922)	2,039	52.0
Brokerage	7,237	10,822	(3,585)	(33.1)
Total operating income	$22,913	$33,220	$(10,307)	(31.0)%
Operating ratio:
Truckload	99.8%	99.3%
Dedicated	94.0	92.8
Intermodal	105.6	106.7
Brokerage	95.2	92.6
Consolidated operating ratio	97.4%	96.6%
Operating ratio, net of fuel surcharges:
Truckload	99.8%	99.1%
Dedicated	92.9	91.4
Intermodal	106.6	107.9
Brokerage	95.2	92.6
Consolidated operating ratio, net of fuel surcharges	97.1%	96.0%

OPERATING STATISTICS

(Unaudited)

	Three Months		Year
	Ended December 31,		Ended December 31,
	2025	2024	2025	2024
Truckload Segment:
Revenue (in thousands)	$106,023	$107,294	$421,729	$439,792
Average revenue, net of fuel surcharges, per tractor per week	$4,200	$4,227	$4,184	$4,123
Average tractors	1,652	1,676	1,668	1,751
Average miles per trip	511	535	520	533
Non-revenue miles percentage	11.2%	11.8%	11.1%	12.1%
Total miles (in thousands)	38,124	39,147	153,699	158,985
Dedicated Segment:
Revenue (in thousands)	$65,917	$76,388	$278,426	$319,135
Average revenue, net of fuel surcharges, per tractor per week	$3,870	$3,841	$3,825	$3,767
Average tractors	1,103	1,288	1,186	1,356
Average miles per trip	296	313	299	319
Non-revenue miles percentage	1.2%	1.5%	1.3%	1.3%
Total miles (in thousands)	22,782	26,799	96,356	110,681
Intermodal Segment:
Revenue (in thousands)	$-	$13,209	$33,671	$58,754
Loads	-	3,803	10,168	16,975
Average tractors	-	88	56	110
Brokerage Segment:
Revenue (in thousands)	$38,168	$33,541	$149,826	$146,027
Loads	25,501	21,749	95,951	89,138
At December 31, 2025 and December 31, 2024:
Total tractors	2,654	3,006
Average age of company tractors (in years)	2.3	1.9
Total trailers	5,107	5,440
Average age of company trailers (in years)	4.9	5.3
Ratio of trailers to tractors	1.9	1.8
Total refrigerated containers	-	786

	Three Months		Year
	Ended December 31,		Ended December 31,
(In thousands)	2025	2024	2025	2024
Net cash provided by operating activities	$5,582	$23,793	$93,488	$134,814
Net cash used for investing activities	(7,135)	(44,891)	(42,877)	(152,138)
Net cash used for financing activities	(4,654)	(4,625)	(19,600)	(18,622)
Weighted average shares outstanding:
Basic	81,524	81,457	81,512	81,406
Diluted	81,530	81,507	81,519	81,472

Includes tractors driven by both company-employed drivers and independent contractors. Independent contractors provided 77 and 88 tractors as of December 31, 2025 and 2024, respectively.
Represents the percentage of miles for which the company is not compensated.