Why Old Dominion Freight Line Shares Are Slumping Today

  • Old Dominion Freight Line Inc ODFL shares are diving Wednesday morning following its first-quarter results, which missed Street expectations.
  • ODFL revenues in the first-quarter FY23 fell 3.7% year-over-year to $1.44 billion on lower volumes, missing the consensus of $1.48 billion.
  • Revenue fall reflects a 3.5% decrease in LTL services revenue and a 17.4% decrease in other services revenue, reflecting continued softness in the domestic economy and a challenging operating environment.
  • EPS of $2.58 missed the consensus of $2.69.
  • Operating income decreased by 5.6% Y/Y to $383.05 million, and the margin contracted by 50 bps to 26.6%.
  • The operating ratio for the quarter was 73.4%, compared to 72.9% a year ago.
  • Old Dominion's net cash provided by operating activities was $415.4 million for Q1. The company had $207.6 million in cash and equivalents.
  • Outlook: The Company lowered its aggregate capital expenditure guidance for FY23 to approximately $700 million from the earlier forecast of $800 million. This includes planned expenditures of $260 million for real estate and service center expansion projects; $365 million for tractors and trailers; and $75 million for information technology and other assets.
  • Price Action: ODFL shares traded lower by 4.53% at $324.01 premarket on the last check Wednesday.
  • Photo Via Company
Market News and Data brought to you by Benzinga APIs
Actual EPS
EPS Surprise
Actual Rev
Rev Surprise
Posted In: EarningsEquitiesNewsGuidanceMarketsMoversGeneralBriefswhy it's moving
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!