Matson

Matson (MATX) Q1 2025 Earnings

Reported May 5, 2025 at 4:10 PM ET · SEC Source

Q1 25 EPS

$2.18

MISS 3.82%

Est. $2.27

Q1 25 Revenue

$782.0M

MISS 1.24%

Est. $791.9M

vs S&P Since Q1 25

+69.2%

BEATING MARKET

MATX +101.4% vs S&P +32.2%

Market Reaction

Did MATX Beat Earnings? Q1 2025 Results

Matson posted a mixed first quarter for 2025, falling short on both top and bottom lines as its China ocean service, while still a powerful earnings engine, could not fully offset broader headwinds. The company reported EPS of $2.18, missing the cons… Read more Matson posted a mixed first quarter for 2025, falling short on both top and bottom lines as its China ocean service, while still a powerful earnings engine, could not fully offset broader headwinds. The company reported EPS of $2.18, missing the consensus estimate of $2.27 by 3.82%, while revenue of $782.00 million trailed the $791.85 million estimate by 1.24%, even as that figure still represented 8.3% growth year-over-year. The real story, however, lies ahead: since tariffs took effect in April, Matson's China container volume has plunged approximately 30% year-over-year, prompting CEO Matt Cox to issue a materially cautious outlook. The company now expects Q2 2025 consolidated operating income to come in meaningfully below the $124.60 million achieved in Q2 2024, with full-year 2025 consolidated operating income projected below 2024's $551.30 million. Jefferies recently initiated coverage with a Buy rating and a $125 price target, though the tariff-driven demand destruction clouding the China trade lane remains the defining challenge for the quarters ahead.

Key Takeaways

  • Carryover of elevated China freight rates from Q4 2024
  • Higher container volumes in Hawaii (+3.2%) due to competitor vessel dry-docking
  • Higher Alaska container volumes (+4.8%) from increased northbound demand
  • SSAT joint venture income increased $6.2 million year-over-year to $6.6 million driven by higher lift volume
  • Significantly higher China freight rates year-over-year
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MATX YoY Financials

Q1 2025 vs Q1 2024, source: SEC Filings

24/7 Wall St

MATX Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26

“Our first quarter financial performance was as expected with significantly higher year-over-year consolidated operating income. The year-over-year increase was primarily driven by our China service, which benefitted from the carryover of elevated freight rates from the fourth quarter of 2024 combined with healthy freight demand following a traditional post-Lunar New Year period. For our domestic tradelanes, we saw higher year-over-year volume in Hawaii and Alaska and lower year-over-year volume in Guam. In Logistics, our operating income was lower year-over-year primarily due to a lower contribution from freight forwarding and transportation brokerage, partially offset by a higher contribution from supply chain management.”

— Matt Cox, Q1 2025 Earnings Press Release