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Marten Transport’s truckload segment exceeded a 100% operating ratio in Q3 amid a struggling market, the carrier reported Thursday.

The operating loss meant sales failed to line up with expenses. The weak performance was an abrupt deterioration from ORs of below 90% for Marten during the lucrative quarters of the COVID-19 pandemic.

“Our earnings were heavily pressured by the considerable duration and depth of the freight market recession’s oversupply and weak demand,” Executive Chairman Randolph Marten said in an earnings release.

He also noted the current challenging freight environment has included “the cumulative impact of inflationary operating costs and freight rate reductions, which has also led to freight network disruptions.”

The Mondovi, Wisconsin-based firm has seen its intermodal segment also exceed 100% operating ratios during other quarters this year, but Q3 was a double-whammy for multiple segments with operating losses.

Despite the trucking recession, the company added to some signs of optimism in a market in which industry leaders have noted more seasonal patterns.

Marten saw a positive indication in Q3, too: Its truckload rate per total mile recovered slightly from the previous quarter, after falling sequentially in Q1 and Q2, according to an investor presentation.

“This quarter was the first quarter with sequential improvement in our combined truckload and dedicated rate per total mile since the fourth quarter of 2022,” Marten said.

The company’s overall Q3 operating ratio, net of fuel surcharges, rose to 97.9%, up from 92.8% a year ago. In contrast, Marten posted record-setting profit margins in 2021 and 2022.