HONOLULU, April 15, 2021 /PRNewswire/ -- Matson, Inc.
(NYSE: MATX) today announces preliminary first quarter financial
results, provides a business update and announces that its first
quarter earnings call date will be held on April 27, 2021.
![Matson Logo. (PRNewsFoto/Matson) Matson Logo. (PRNewsFoto/Matson)](https://mma.prnewswire.com/media/128194/matson_logo.jpg)
"Matson is off to a strong start to 2021 with continued solid
performance in both Ocean Transportation and Logistics," said
Chairman and Chief Executive Officer Matt
Cox. "Within Ocean Transportation, our China service continued to see significant
demand for its CLX and CLX+ expedited ocean services as volume for
e-commerce and other high demand goods remained elevated, which
resulted in very strong pre- and post-Lunar New Year volumes.
Our financial performance in the China service was the primary driver of the
increase in consolidated operating income year-over-year.
Currently, significant supply chain congestion continues,
particularly at the California
ports, and these conditions will most likely persist through the
second quarter and into the traditional peak season. We also
expect demand in the Transpacific tradelane to remain favorable as
elevated consumption trends, including heightened e-commerce
activity, are expected to continue beyond the second quarter.
Consequently, we expect significant demand for our expedited CLX
and CLX+ services to remain throughout the peak season into late
October."
Mr. Cox added, "In our other core tradelanes, we continued to
see steady demand for sustenance and home improvement goods with
higher year-over-year volumes. Logistics operating income
increased year-over-year as a result of continued elevated goods
consumption and inventory restocking in addition to favorable
supply and demand fundamentals in our core markets. As a
result, Matson expects first quarter operating income for Ocean
Transportation of $110.0 to
$115.0 million and Logistics
operating income of approximately $6.0
million. We also expect first quarter 2021 net income
and diluted EPS to be $80.0 to
$85.0 million and $1.83 to $1.93,
respectively."
First Quarter Tradelane Volume (Forty-foot equivalent units
(FEU)) (1)(2):
For the three months ended March 31,
2021 compared to the three months ended March 31, 2020 and on a FEU basis:
- Hawaii container volume
increased 0.6 percent primarily due to higher demand for sustenance
and home improvement goods, partially offset by one less westbound
sailing and lower tourism activity as a result of the
pandemic;
- Alaska volume decreased 4.9
percent due to lower northbound volume primarily due to one less
sailing this year and volume related to a competitor's dry-docking
in the year ago period and lower southbound volume, partially
offset by volume from the Alaska-to-Asia Express service. Normalizing
for the one less sailing this year and volume related to a
competitor's dry-docking in the year ago period, Alaska volume increased modestly;
- China volume was 218.6 percent
higher primarily due to volume from the CLX+ service in addition to
higher volume on the CLX service as a result of our increased
capacity in the tradelane;
- Guam volume was 2.0 percent
higher primarily due to higher demand for sustenance and home
improvement goods, partially offset by lower tourism activity as a
result of the pandemic; and
- Other containers volume decreased 2.4 percent.
(1)
|
Approximate volumes
included for the period are based on the voyage departure date, but
revenue and operating income are adjusted to reflect the percentage
of revenue and operating income earned during the reporting period
for voyages in transit at the end of each reporting
period.
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(2)
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Other containers
includes containers from services in various islands in Micronesia
and the South Pacific, and Okinawa, Japan.
|
A slide presentation that accompanies this press release is
available on the Company's website at www.matson.com, under
Investors.
Teleconference and Webcast
A conference call is scheduled on April
27, 2021 at 4:30 p.m. ET when
Matt Cox, Chairman and Chief
Executive Officer, and Joel Wine,
Executive Vice President and Chief Financial Officer, will discuss
Matson's first quarter results.
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Date of Conference
Call:
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Tuesday, April 27,
2021
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Scheduled
Time:
|
4:30 p.m. ET / 1:30
p.m. PT / 10:30 a.m. HT
|
Participant Toll Free
Dial-In #:
|
1-877-312-5524
|
International Dial-In
#:
|
1-253-237-1144
|
The conference call will be broadcast live along with an
additional slide presentation on the Company's website at
www.matson.com, under Investors. A replay of the conference
call will be available approximately two hours after the call
through May 4, 2021 by dialing
1-855-859-2056 or 1-404-537-3406 and using the conference number
7354223. The slides and audio webcast of the conference call
will be archived for one full quarter on the Company's website at
www.matson.com, under Investors.
About the Company
Founded in 1882, Matson (NYSE: MATX) is a leading provider of
ocean transportation and logistics services. Matson provides
a vital lifeline to the domestic non-contiguous economies of
Hawaii, Alaska, and Guam, and to other island economies in
Micronesia. Matson also
operates two premium, expedited services from China to Long Beach,
California, provides service to Okinawa, Japan and various islands in the
South Pacific, and operates an international export service from
Dutch Harbor to Asia. The
Company's fleet of owned and chartered vessels includes
containerships, combination container and roll-on/roll-off ships
and custom-designed barges. Matson Logistics, established in
1987, extends the geographic reach of Matson's transportation
network throughout the continental U.S. Its integrated,
asset-light logistics services include rail intermodal, highway
brokerage, warehousing, freight consolidation, Asia supply chain services, and forwarding to
Alaska. Additional information about the Company is available
at www.matson.com.
Forward-Looking Statements
Statements in this news release that are not historical facts
are "forward-looking statements," within the meaning of the Private
Securities Litigation Reform Act of 1995, including without
limitation those statements regarding operating income, net income,
earnings per share, demand for expedited CLX and CLX+ services,
supply and demand dynamics in the Transpacific tradelane, supply
chain congestion, consumption trends, and economic growth and
drivers in Hawaii, Alaska and Guam. These statements
involve a number of risks and uncertainties that could cause actual
results to differ materially from those contemplated by the
relevant forward-looking statement, including but not limited to
risks and uncertainties relating to repeal, substantial amendment
or waiver of the Jones Act or its application, or our failure to
maintain our status as a United
States citizen under the Jones Act; regional, national and
international economic conditions; new or increased competition or
improvements in competitors' service levels; fuel prices, our
ability to collect fuel-related surcharges and/or the cost or
limited availability of low-sulfur fuel; delays or cost overruns
related to the installation of scrubbers; our relationship with
vendors, customers and partners and changes in related agreements;
the actions of our competitors; our ability to offer a
differentiated service in China
for which customers are willing to pay a significant premium; the
imposition of tariffs or a change in international trade policies;
the magnitude and timing of the impact of public health crises,
including COVID-19; any unanticipated dry-dock or repair expenses;
any delays or cost overruns related to the modernization of
terminals; consummating and integrating acquisitions; changes in
general economic and/or industry-specific conditions; competition
and growth rates within the logistics industry; freight levels and
increasing costs and availability of truck capacity or alternative
means of transporting freight; changes in relationships with
existing truck, rail, ocean and air carriers; changes in customer
base due to possible consolidation among customers; conditions in
the financial markets; changes in our credit profile and our future
financial performance; our ability to obtain future debt
financings; continuation of the Title XI and CCF programs; the
impact of future and pending legislation, including environmental
legislation; government regulations and investigations; relations
with our unions; satisfactory negotiation and renewal of expired
collective bargaining agreements without significant disruption to
Matson's operations; war, terrorist attacks or other acts of
violence; the use of our information technology and communication
systems and cybersecurity attacks; and the occurrence of marine
accidents, poor weather or natural disasters. These
forward-looking statements are not guarantees of future
performance. This release should be read in conjunction with
our Annual Report on Form 10-K for the year ended December 31,
2020 and our other filings with the SEC through the date of this
release, which identify important factors that could affect the
forward-looking statements in this release. We do not
undertake any obligation to update our forward-looking
statements.
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|
Investor Relations
inquiries:
|
News Media
inquiries:
|
Lee
Fishman
|
Keoni
Wagner
|
Matson, Inc.
|
Matson, Inc.
|
510.628.4227
|
510.628.4534
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lfishman@matson.com
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kwagner@matson.com
|
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SOURCE Matson, Inc.