Old Dominion Freight Line, Inc. announced its financial results for the first quarter ended March 31, 2025, on April 23, 2025. The company reported diluted earnings per share (EPS) of $1.19, exceeding analyst estimates of $1.15 per share.
Total revenue for the first quarter was $1.37 billion, a 5.8% decrease year-over-year, aligning with analyst expectations. The operating ratio increased by 190 basis points to 75.4%, primarily due to the deleveraging effect of lower revenue on operating expenses and increased depreciation.
The decrease in revenue was largely due to a 6.3% decrease in LTL tons per day, reflecting ongoing softness in the domestic economy. However, LTL revenue per hundredweight, excluding fuel surcharges, increased by 4.1% compared to the first quarter of 2024, demonstrating effective yield management.
In response to continued economic uncertainty, Old Dominion reduced its aggregate capital expenditures for 2025 by $125 million, bringing the revised estimate to approximately $450 million. This revised plan allocates $210 million for real estate, $190 million for tractors and trailers, and $50 million for information technology and other assets.
This capital expenditure adjustment reflects a prudent reevaluation of projects while maintaining significant excess capacity to support future growth. The company continues to return capital to shareholders, utilizing $201.1 million for share repurchases and paying $59.5 million in cash dividends during the quarter.
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