Matson, Inc. (NYSE:MATX) Q1 2023 Earnings Conference Call May 4, 2023 4:30 PM ET

Company Participants

Lee Fishman – Investor Relations

Matt Cox – Chairman and Chief Executive Officer

Joel Wine – Executive Vice President and Chief Financial Officer

Conference Call Participants

Jack Atkins – Stephens

Jake Lacks – Wolfe Research

Ben Nolan – Stifel

Operator

Good day and thank you for standing by. Welcome to the Matson First Quarter 2023 Financial Results Conference Call. At this time, all participants are in a listen-only mode. After the speakers’ presentation, there will be a question-and-answer session. [Operator Instructions] Please be advised that today’s conference is being recorded.

I would now like to hand the conference over to your speaker today, Lee Fishman, please go ahead.

Lee Fishman

Thank you, Felicia. Joining me on the call today are Matt Cox, Chairman and Chief Executive Officer; and Joel Wine, Executive Vice President and Chief Financial Officer. Slides from this presentation are available for download at our website, www.matson.com, under the Investors tab.

Before we begin, I would like to remind you that during the course of this call, we will make forward-looking statements within the meaning of the Federal Securities Laws regarding expectations, predictions, projections or future events. We believe that our expectations and assumptions are reasonable. We caution you to consider the risk factors that could cause actual results to differ materially from those in the forward-looking statements in the press release, the presentation slides and this conference call.

These risk factors are described in our press release and presentation and are more fully detailed under the caption Risk Factors on Pages 14 to 24 of our Form 10-K filed on February 24, 2023, and in our subsequent filings with the SEC. Please also note that the date of this conference call is May 04, 2023, and any forward-looking statements that we make today are based on assumptions as of this date. We undertake no obligation to update these forward-looking statements.

I’ll now turn the call over to Matt.

Matt Cox

Okay, thanks Lee, and thanks to those on the call. I will start on Slide 3. Despite being down from the extraordinary pandemic driven demand level over the last two years, Matson’s ocean transportation and logistics business segments performed well in a challenging business environment. For the first quarter within ocean transportation, our China service generated lower year-over-year volume and freight rates, which were the primary contributors to the decline in our consolidated operating income. We also saw lower year-over-year volumes in Hawaii, Alaska and Guam compared to the year ago period. In logistics, operating income decreased year-over-year, primarily due to lower contributions from supply chain management and transportation brokerage.