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Old Dominion Freight Line Q1 Earnings Down 4.2%

Old Dominion Freight Line reported first-quarter 2026 earnings per diluted share of $1.14, down 4.2% from $1.19 a year earlier, as revenue and volume both declined.

Total revenue fell 2.9% to $1.335 billion from $1.375 billion in the first quarter of 2025. LTL services revenue also slipped 2.9% to $1.322 billion from $1.361 billion, while other services revenue dropped 8.7% to $12.8 million from $14.0 million.

Operating income decreased 6.1% to $317.3 million from $338.1 million. The operating ratio worsened to 76.2% from 75.4%, an 80-basis-point increase. Net income declined 6.4% to $238.3 million from $254.7 million.

Volume trends weakened on a year-over-year basis. LTL tons per day fell 7.7%, reflecting a 7.9% drop in shipments per day, partly offset by a 0.3% increase in weight per shipment. LTL revenue per hundredweight, excluding fuel surcharges, rose 4.4%.

The company said revenue pressure came despite improving demand later in the quarter. It also reported 99% on-time service and a claims ratio below 0.1%.

Cash from operations was $373.6 million in the quarter. Capital expenditures totaled $62.6 million, with full-year 2026 capital spending expected to be about $265 million. That total includes $125 million for real estate and service center expansion, $95 million for tractors and trailers, and $45 million for information technology and other assets.

Old Dominion ended the quarter with $288.1 million in cash and equivalents. It spent $88.1 million on share repurchases and paid $60.5 million in dividends. Diluted weighted average shares outstanding fell 2.0% to 209.3 million from 213.5 million. The market has reacted to these announcements by moving the company's shares -1.26% to a price of $219.98. If you want to know more, read the company's complete 8-K report here.

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