• Consolidated Operating Income: Increased by $110.2 million year over year to $242.3 million.

• Ocean Transportation Operating Income: Increased by $108.7 million, driven by higher freight rates in China and domestic trade lanes.

• Logistics Operating Income: Increased by $1.5 million, reaching $15.4 million due to higher contributions from supply chain management and transportation brokerage.

• Net Income: Increased by 66.1% year over year.

• Diluted Earnings Per Share: Increased by 73.2% year over year.

• Interest Income: $10.4 million for the quarter.

• Interest Expense: Decreased by $0.6 million year over year.

• Hawaii Container Volume: Decreased by 2.2% year over year.

• China Container Volume: Increased by 2.6% year over year.

• Guam Container Volume: Decreased by 9.4% year over year.

• Alaska Container Volume: Increased by 1.4% year over year.

• SSAT Contribution: Increased by $5.6 million to $6.9 million.

• Cash Flow from Operations: Approximately $704.5 million for the trailing 12 months.

• Share Repurchase: Approximately 400,000 shares repurchased for $48.1 million in the third quarter.

• Total Debt: $410.6 million at the end of the third quarter.

• CapEx Projections for 2024: Total expected CapEx of $272 to $287 million.

Release Date: October 30, 2024

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Matson Inc (NYSE:MATX) reported a strong third quarter with higher year-over-year operating income in both ocean transportation and logistics.

• The China service saw significantly higher freight rates, contributing to increased consolidated operating income.

• Logistics operating income increased due to higher contributions from supply chain management and transportation brokerage services.

• The company raised its outlook for 2024 based on strong third-quarter performance and expected strength in the China service.

• Matson Inc (NYSE:MATX) has extended charters for its six ships in the Max service into 2026 and 2027, ensuring stability in its fleet operations.

Negative Points

• Container volume in Hawaii decreased by 2.2% year-over-year due to lower general demand and slow recovery in tourism.

• Guam's container volume decreased by 9.4% year-over-year, impacted by lower demand from retail and food and beverage segments.

• The Hawaii economy is projected to grow slowly, with challenges in tourism and population growth affecting volume expectations.

• Higher vessel operating costs partially offset the increase in ocean transportation operating income.

• Matson Inc (NYSE:MATX) anticipates a moderation in freight rates in the fourth quarter as peak season demand eases.