By Rob Curran
Old Dominion Freight Line's first-quarter net income and freight tonnage fell, and the trucking line cited "ongoing softness in the domestic economy" for the slowdown.
The Thomasville, N.C.,-based trucker said first-quarter earnings fell to $254.7 million, or $1.19 a share, from $292.3 million, or $1.34 a share, a year earlier.
Earnings surpassed the average Wall Street peg of $1.14, according to a FactSet survey.
First-quarter sales fell 5.8% to $1.37 billion, in line with the mean analyst estimate, as provided by FactSet. The company cited a 6.3% drop in tonnage of less-than-truckload shipments for the decline, which was partially offset by an increase in LTL prices. The vast majority of Old Dominion's revenue comes from less-than-truckload shipping, in which trailers are typically loaded with multiple, smaller deliveries for commercial customers.
"While we were encouraged to see signs of improving demand during the first quarter, there continues to be uncertainty with the economy," said President and Chief Executive Marty Freeman in a statement.
Less-than-truckload shippers such as Old Dominion often take international deliveries across the U.S. border with Mexico. Tariffs are likely to complicate these operations.
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
April 23, 2025 07:28 ET (11:28 GMT)
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