Old Dominion Freight Line, Inc.: Q4 FY2025 earnings call

What management said about Q4 FY2025, from the documents filed with the SEC on 4 February 2026: press release. Guidance figures: 1 raised, 4 new. The quarter’s numbers.

Key takeaways

Revenue and earnings fell year over year: Fourth-quarter revenue was $1,307,296 thousand, down 5.7%. Diluted EPS was $1.09, down 11.4%. Full-year revenue of $5,496,389 thousand fell 5.5%. Source
Cost-based pricing approach: Management described pricing as cost-based, designed to offset cost inflation over the long term and to fund investment in capacity, technology and people. Source
Overhead costs rose on lower revenue: Management said lower revenue deleveraged operating expenses, lifting overhead costs by 140 basis points as a share of revenue, partly offset by lower direct operating costs. Source
LTL tons fell 10.7% in quarter: Total LTL tons were 1,903 thousand, down 10.7%. Full-year LTL tons were 8,177 thousand, down 9.1%. Source
Fourth-quarter capital spending fell: Capital expenditures were $45.7 million in the fourth quarter, down from $94.0 million in the third quarter. Source
Share repurchases and dividends in 2025: For 2025, the company used $730.3 million for share repurchases and paid $235.6 million in cash dividends. Source

“Although our revenue and earnings per diluted share both decreased in the fourth quarter, our team continued to focus on executing the fundamental elements of our long-term strategic plan.”
Marty Freeman, President and Chief Executive Officer

Guidance

Area	Period	Figure	Against last quarter
Capital expenditures Source	full year 2026	approximately $265 million	New
Real estate and service center expansion capital expenditures Source	full year 2026	$125 million	New
Tractors and trailers capital expenditures Source	full year 2026	$95 million	New
Information technology and other assets capital expenditures Source	full year 2026	$45 million	New
Quarterly cash dividend Source	first quarter of 2026	$0.29 per share	Raised

What changed from last quarter

New guidance: A 2026 capital expenditure plan of about $265 million was given. The third-quarter release had given a 2025 plan of about $450 million. Source
New: The quarterly cash dividend was increased 3.6% to $0.29 per share for the first quarter of 2026. Source

Results and growth drivers

Revenue and earnings fell year over year: Fourth-quarter revenue was $1,307,296 thousand, down 5.7%. Diluted EPS was $1.09, down 11.4%. Full-year revenue of $5,496,389 thousand fell 5.5%. Source
Operating and net income declined: Operating income was $304,251 thousand, down 8.9%. Net income was $229,470 thousand, down 12.8%. Full-year diluted EPS was $4.84, down 11.7%. Source
Fewer diluted shares in the quarter: Diluted weighted average shares fell 2.1% to 209,891 thousand in the fourth quarter, from 214,399 thousand a year earlier. Source
Revenue decline traced to volume: Management attributed the revenue decrease mainly to lower LTL tons per day, partly offset by higher LTL revenue per hundredweight. Source

Service levels and customers

On-time service and claims ratio reported: The company reported 99% on-time service and a 0.1% cargo claims ratio for the quarter. Source
Same service levels as third quarter: The third-quarter release reported the same 99% on-time service and 0.1% cargo claims ratio.
Service central to pricing plan: Management said the cornerstone of its plan is service to customers at a fair price, which it links to its yield approach. Source

“Old Dominion produced solid financial results in the fourth quarter, and we believe our profitability metrics continue to lead our industry.”
Marty Freeman, President and Chief Executive Officer

Pricing and yield

Cost-based pricing approach: Management described pricing as cost-based, designed to offset cost inflation over the long term and to fund investment in capacity, technology and people. Source
Revenue per hundredweight rose with fuel: LTL revenue per hundredweight including fuel surcharges was $33.91, up 5.6%. The full-year figure was $33.31, up 3.9%. Source
Weight per shipment declined: LTL weight per shipment fell 1.0% to 1,486 pounds, and average length of haul fell 1.0% to 906 miles. Source

Costs and operating ratio

Overhead costs rose on lower revenue: Management said lower revenue deleveraged operating expenses, lifting overhead costs by 140 basis points as a share of revenue, partly offset by lower direct operating costs. Source
Salaries and wages rose as a share: Salaries, wages and benefits were 49.1% of revenue in the quarter, up from 47.3%. The full-year share was 47.9%, up from 46.2%. Source
Depreciation rose as a share: Depreciation and amortization was 7.1% of revenue in the quarter, up from 6.4% a year earlier. Source
Discretionary spending managed: Management said it operated efficiently and managed discretionary spending during the quarter. Source

“we remain confident that we are in an unparalleled position within our industry to win market share, generate profitable revenue growth and increase shareholder value over the long term.”
Marty Freeman, President and Chief Executive Officer

Volumes and demand

LTL tons fell 10.7% in quarter: Total LTL tons were 1,903 thousand, down 10.7%. Full-year LTL tons were 8,177 thousand, down 9.1%. Source
Tons per day decline deepened: Tons per day fell 9.0% in the third quarter, against the 10.7% fall in the fourth quarter.
Intercity miles fell faster than tons: LTL intercity miles were 144,055 thousand, down 11.1%. Average length of haul was 906 miles, down 1.0%. Source
Macroeconomic softness cited: Management described the period as prolonged macroeconomic softness that it continued to operate through. Source

Capital spending and cash flow

Fourth-quarter capital spending fell: Capital expenditures were $45.7 million in the fourth quarter, down from $94.0 million in the third quarter. Source
2025 spending below earlier plan: Full-year 2025 capital expenditures were $415.0 million, against an earlier expectation of about $450 million.
Operating cash flow covered spending: Operating cash flow was $310.2 million in the fourth quarter, compared with $45.7 million of capital expenditures in the same period. Source

Cash balance and shareholder returns

Share repurchases and dividends in 2025: For 2025, the company used $730.3 million for share repurchases and paid $235.6 million in cash dividends. Source
Year-end cash balance higher: Cash and cash equivalents were $120.1 million at December 31, 2025, up from $46.6 million at September 30, 2025. Source
Long-term debt reduced in quarter: Long-term debt was $19,995 thousand at December 31, 2025, down from $64,993 thousand at September 30, 2025. Source

Strategy and investment

Long-term plan continues: Management said it continues to execute its long-term strategic plan, with superior service at a fair price as its cornerstone. Source
Network and technology investment continues: Management said it continues strategic investments in its network and technology to support growth with customers. Source
Confidence in winning market share: Management said it is confident its position lets it win market share and generate profitable revenue growth over the long term. Source

Coming up, as management said on 4 February 2026

Dividend payment and record dates: The first-quarter dividend is payable March 18, 2026, to holders of record at the close of business March 4, 2026. Source

Figures management reported

Figure	Reported
LTL tonnage per day Source	30,691, down 10.7%
LTL shipments per day Source	41,308, down 9.7%
LTL revenue per hundredweight, excluding fuel surcharges Source	$28.88, up 4.9%
LTL revenue per shipment, excluding fuel surcharges Source	$429.21, up 3.9%
Operating ratio Source	76.7%

Risks management discussed

Demand: Management described a prolonged period of macroeconomic softness that the company continued to operate through during the quarter. Source
Financial: Management said lower revenue deleveraged operating expenses, raising overhead costs as a share of revenue. Source

Earlier plans management reported on

Not stated: Management restated its plan's cornerstone as superior service to customers at a fair price. Source
Met: Management said it again provided 99% on-time service and a 0.1% cargo claims ratio in the quarter. Source

Other quarters

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.

As filed with the SEC

Open the filing on EDGAR

OLD DOMINION FREIGHT LINE REPORTS FOURTH QUARTER 2025

EARNINGS PER DILUTED SHARE OF $1.09

QUARTERLY CASH DIVIDEND TO INCREASE 3.6% TO $0.29 PER SHARE

THOMASVILLE, N.C. (February 4, 2026) - Old Dominion Freight Line, Inc. (Nasdaq: ODFL) today announced financial results for the three-month and twelve-month periods ended December 31, 2025.

	Three Months Ended			Twelve Months Ended
	December 31,			December 31,
(In thousands, except per share amounts)	2025	2024	% Chg.	2025	2024	% Chg.
Total revenue	$1,307,296	$1,385,829	(5.7)%	$5,496,389	$5,814,810	(5.5)%
LTL services revenue	$1,295,862	$1,372,297	(5.6)%	$5,446,151	$5,761,105	(5.5)%
Other services revenue	$11,434	$13,532	(15.5)%	$50,238	$53,705	(6.5)%
Operating income	$304,251	$334,020	(8.9)%	$1,361,045	$1,543,998	(11.8)%
Operating ratio	76.7%	75.9%		75.2%	73.4%
Net income	$229,470	$263,144	(12.8)%	$1,023,703	$1,186,073	(13.7)%
Diluted earnings per share	$1.09	$1.23	(11.4)%	$4.84	$5.48	(11.7)%
Diluted weighted average shares outstanding	209,891	214,399	(2.1)%	211,598	216,485	(2.3)%

Marty Freeman, President and Chief Executive Officer of Old Dominion, commented, “Old Dominion’s fourth quarter financial results reflect our ongoing commitment to revenue quality and cost discipline in what remains a challenging operating environment. Although our revenue and earnings per diluted share both decreased in the fourth quarter, our team continued to focus on executing the fundamental elements of our long-term strategic plan. The cornerstone of our plan remains our commitment to providing our customers with superior service at a fair price. As a result of the dedication of our OD Family of employees, we were pleased to once again provide our customers with 99% on-time service and a cargo claims ratio of 0.1%.

“The decrease in our fourth quarter revenue was primarily due to a 10.7% decrease in our LTL tons per day, which was partially offset by an increase in our LTL revenue per hundredweight. The decrease in our LTL tons per day reflects a 9.7% decrease in our LTL shipments per day and a 1.0% decrease in our LTL weight per shipment. LTL revenue per hundredweight, excluding fuel surcharges, increased 4.9% compared to the fourth quarter of 2024. The ongoing improvement in our yield is the result of our disciplined, cost-based approach to pricing that is designed to offset our cost inflation over the long term and support our investments in our capacity, technology and our people.

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“Our operating ratio increased by 80 basis points to 76.7% for the fourth quarter of 2025. We continued to operate efficiently and diligently managed our discretionary spending during the quarter, but the decline in revenue had a deleveraging effect on many of our operating expenses. This contributed to a 140 basis-point increase in our overhead costs as a percent of revenue, which was partially offset by a decrease in our direct operating costs as a percent of revenue. The combination of a decrease in our revenue and an increase in our operating ratio resulted in an 11.4% reduction in our earnings per diluted share to $1.09 for the fourth quarter.”

Cash Flow and Use of Capital

Old Dominion’s net cash provided by operating activities was $310.2 million for the fourth quarter of 2025 and $1.4 billion for the year. The Company had $120.1 million in cash and cash equivalents at December 31, 2025.

Capital expenditures were $45.7 million for the fourth quarter of 2025 and $415.0 million for the year. The Company expects its aggregate capital expenditures for 2026 to total approximately $265 million, including planned expenditures of $125 million for real estate and service center expansion projects; $95 million for tractors and trailers; and $45 million for information technology and other assets.

Old Dominion continued to return capital to shareholders during the fourth quarter of 2025 through its share repurchase and dividend programs. For the year, the Company utilized $730.3 million of cash for its share repurchase program and paid $235.6 million in cash dividends.

Increase to Quarterly Cash Dividend

The Company’s Board of Directors has declared a first-quarter cash dividend of $0.29 per share, payable on March 18, 2026, to shareholders of record at the close of business on March 4, 2026. This dividend represents a 3.6% increase compared to the quarterly cash dividend paid in the first quarter of 2025.

Summary

Mr. Freeman concluded, “Old Dominion produced solid financial results in the fourth quarter, and we believe our profitability metrics continue to lead our industry. These results were made possible by the hard work and dedication of our OD Family of employees, who have continued to consistently execute our long-term strategic plan during this prolonged period of macroeconomic softness. Our outstanding team has remained focused on providing our customers with best-in-class service, which continues to support our disciplined approach to yield management. This has allowed us to continue to make strategic investments in our network and technology that will support our ability to grow with our customers in the future. As a result, we remain confident that we are in an unparalleled position within our industry to win market share, generate profitable revenue growth and increase shareholder value over the long term.”

Old Dominion will hold a conference call to discuss this release today at 10:00 a.m. Eastern Time. Investors will have the opportunity to listen to the conference call live over the internet by going to ir.odfl.com. Please log on at least 15 minutes early to register, download and install any necessary audio software. For those who cannot listen to the live broadcast, a replay will be available at this website shortly after the call and will be available for 30 days. A telephonic replay will also be available through February 11, 2026, at (855) 669-9658, Access Code 9011045.

Forward-looking statements in this news release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. We caution the reader that such forward-looking statements involve risks and

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uncertainties that could cause actual events and results to be materially different from those expressed or implied herein, including, but not limited to, the following: (1) the challenges associated with executing our growth strategy, and developing, marketing and consistently delivering high-quality services that meet customer expectations; (2) various economic factors such as inflationary pressures or downturns in the domestic economy, and our inability to sufficiently increase our customer rates to offset the increase in our costs; (3) changes in our relationships with significant customers; (4) our exposure to claims related to cargo loss and damage, property damage, personal injury, workers’ compensation and healthcare, increased self-insured retention or deductible levels or premiums for excess coverage, and claims in excess of insured coverage levels; (5) reductions in the available supply or increases in the cost of equipment and parts; (6) higher costs for or limited availability of suitable real estate; (7) the availability and cost of third-party transportation used to supplement our workforce and equipment needs; (8) fluctuations in the availability and price of diesel fuel and our ability to collect fuel surcharges, as well as the effectiveness of those fuel surcharges in mitigating the impact of fluctuating prices for diesel fuel and other petroleum-based products; (9) seasonal trends in the less-than-truckload (“LTL”) industry, harsh weather conditions and disasters; (10) the availability and cost of capital for our significant ongoing cash requirements; (11) decreases in demand for, and the value of, used equipment; (12) our ability to successfully consummate and integrate acquisitions; (13) various risks arising from our international business relationships; (14) the costs and potential adverse impact of compliance with anti-terrorism measures on our business; (15) the competitive environment with respect to our industry, including pricing pressures; (16) changes in international trade policies, including with respect to tariffs; (17) our customers’ and suppliers’ businesses may be impacted by various economic factors such as recessions, inflation, downturns in the economy, global uncertainty and instability, changes in U.S. social, political, and regulatory conditions or a disruption of financial markets; (18) the negative impact of any unionization, or the passage of legislation or regulations that could facilitate unionization, of our employees; (19) increases in the cost of employee compensation and benefit packages used to address general labor market challenges and to attract or retain qualified employees, including drivers and maintenance technicians; (20) our ability to retain our key employees and continue to effectively execute our succession plan; (21) potential costs and liabilities associated with cyber incidents and other risks with respect to our information technology systems or those of our third-party service providers, including system failure, security breach, disruption by malware or ransomware or other damage; (22) the failure to adapt to new technologies implemented by our competitors in the LTL and transportation industry, which could negatively affect our ability to compete; (23) the failure to keep pace with developments in technology, any disruption to our technology infrastructure, or failures of essential services upon which our technology platforms rely, which could cause us to incur costs or result in a loss of business; (24) disruption in the operational and technical services (including software as a service) provided to us by third parties, which could result in operational delays and/or increased costs; (25) the Compliance, Safety, Accountability initiative of the Federal Motor Carrier Safety Administration (“FMCSA”), which could adversely impact our ability to hire qualified drivers, meet our growth projections and maintain our customer relationships; (26) the costs and potential adverse impact of compliance with, or violations of, current and future rules issued by the Department of Transportation, the FMCSA and other regulatory agencies; (27) the costs and potential liabilities related to compliance with, or violations of, existing or future governmental laws and regulations, including environmental laws; (28) the effects of legal, regulatory or market responses to climate change concerns; (29) emissions-control and fuel efficiency regulations that could substantially increase operating expenses; (30) varied stakeholder expectations relating to evolving sustainability considerations and related reporting obligations; (31) the increase in costs associated with healthcare and other mandated benefits; (32) the costs and potential liabilities related to legal proceedings and claims, governmental inquiries, notices and investigations; (33) the impact of changes in tax laws, rates, guidance and interpretations; (34) the concentration of our stock ownership with the Congdon family; (35) the ability or the failure to declare future cash dividends; (36) fluctuations in the amount and frequency of our stock repurchases; (37) volatility in the market value of our common stock; (38) the impact of certain provisions in our articles of incorporation, bylaws, and Virginia law that could discourage, delay or prevent a change in control of us or a change in our management;

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and (39) other risks and uncertainties described in our most recent Annual Report on Form 10-K and other filings with the SEC. Our forward-looking statements are based upon our beliefs and assumptions using information available at the time the statements are made. We caution the reader not to place undue reliance on our forward-looking statements as (i) these statements are neither a prediction nor a guarantee of future events or circumstances and (ii) the assumptions, beliefs, expectations and projections about future events may differ materially from actual results. We undertake no obligation to publicly update any forward-looking statement to reflect developments occurring after the statement is made, except as otherwise required by law.

Old Dominion Freight Line, Inc. is one of the largest North American LTL motor carriers and provides regional, inter-regional and national LTL services through a single integrated, union-free organization. Our service offerings, which include expedited transportation, are provided through an expansive network of service centers located throughout the continental United States. The Company also maintains strategic alliances with other carriers to provide LTL services throughout North America. In addition to its core LTL services, the Company offers a range of value-added services including container drayage, truckload brokerage and supply chain consulting.

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	Fourth Quarter				Year to Date
OLD DOMINION FREIGHT LINE, INC.
Statements of Operations
(In thousands, except per share amounts)		2025		2024		2025		2024
Revenue	$1,307,296	100.0%	$1,385,829	100.0%	$5,496,389	100.0%	$5,814,810	100.0%
Operating expenses:
Salaries, wages & benefits	642,113	49.1%	655,902	47.3%	2,635,325	47.9%	2,689,314	46.2%
Operating supplies & expenses	134,447	10.3%	145,651	10.5%	570,981	10.4%	635,320	10.9%
General supplies & expenses	42,530	3.2%	40,559	2.9%	169,161	3.1%	176,546	3.0%
Operating taxes & licenses	33,772	2.6%	35,837	2.6%	138,940	2.5%	144,690	2.6%
Insurance & claims	19,339	1.5%	39,815	2.9%	74,416	1.4%	92,359	1.6%
Communications & utilities	9,272	0.7%	9,618	0.7%	38,939	0.7%	40,827	0.7%
Depreciation & amortization	92,669	7.1%	88,808	6.4%	364,683	6.6%	344,568	5.9%
Purchased transportation	25,555	2.0%	29,154	2.1%	110,036	2.0%	122,815	2.1%
Miscellaneous expenses, net	3,348	0.2%	6,465	0.5%	32,863	0.6%	24,373	0.4%
Total operating expenses	1,003,045	76.7%	1,051,809	75.9%	4,135,344	75.2%	4,270,812	73.4%
Operating income	304,251	23.3%	334,020	24.1%	1,361,045	24.8%	1,543,998	26.6%
Non-operating (income) expense:
Interest expense	284	0.0%	25	0.0%	296	0.0%	212	0.0%
Interest income	(1,240)	0.0%	(1,903)	(0.2)%	(4,145)	(0.1)%	(17,011)	(0.3)%
Other expense, net	60	0.0%	723	0.1%	3,586	0.1%	3,200	0.1%
Income before income taxes	305,147	23.3%	335,175	24.2%	1,361,308	24.8%	1,557,597	26.8%
Provision for income taxes	75,677	5.7%	72,031	5.2%	337,605	6.2%	371,524	6.4%
Net income	$229,470	17.6%	$263,144	19.0%	$1,023,703	18.6%	$1,186,073	20.4%
Earnings per share:
Basic	$1.10		$1.23		$4.86		$5.51
Diluted	$1.09		$1.23		$4.84		$5.48
Weighted average outstanding shares:
Basic	208,853		213,289		210,535		215,326
Diluted	209,891		214,399		211,598		216,485

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	Fourth Quarter			Year to Date
	2025	2024	% Chg.	2025	2024	% Chg.
OLD DOMINION FREIGHT LINE, INC.
Operating Statistics
Work days	62	62	- %	253	254	(0.4)%
Operating ratio	76.7%	75.9%		75.2%	73.4%
LTL intercity miles	144,055	162,124	(11.1)%	616,261	673,237	(8.5)%
LTL tons	1,903	2,130	(10.7)%	8,177	9,000	(9.1)%
LTL tonnage per day	30,691	34,351	(10.7)%	32,319	35,433	(8.8)%
LTL shipments	2,561	2,837	(9.7)%	11,072	12,011	(7.8)%
LTL shipments per day	41,308	45,763	(9.7)%	43,762	47,288	(7.5)%
LTL revenue per hundredweight	$33.91	$32.10	5.6%	$33.31	$32.05	3.9%
LTL revenue per hundredweight, excluding fuel surcharges	$28.88	$27.52	4.9%	$28.42	$27.13	4.8%
LTL revenue per shipment	$503.95	$481.91	4.6%	$492.01	$480.29	2.4%
LTL revenue per shipment, excluding fuel surcharges	$429.21	$413.21	3.9%	$419.74	$406.52	3.3%
LTL weight per shipment (lbs.)	1,486	1,501	(1.0)%	1,477	1,499	(1.5)%
Average length of haul (miles)	906	915	(1.0)%	911	919	(0.9)%
Average active full-time employees	20,706	22,032	(6.0)%	21,304	22,522	(5.4)%

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In thousands

Note:

Our LTL operating statistics exclude certain transportation and logistics services where pricing is generally not determined by weight. These statistics also exclude adjustments to revenue for undelivered freight required for financial statement purposes in accordance with our revenue recognition policy.

	December 31,	December 31,
OLD DOMINION FREIGHT LINE, INC.
Balance Sheets
(In thousands)	2025	2024
Cash and cash equivalents	$120,091	$108,676
Other current assets	574,742	612,007
Total current assets	694,833	720,683
Net property and equipment	4,504,204	4,505,431
Other assets	271,123	265,281
Total assets	$5,470,160	$5,491,395
Current maturities of long-term debt	$20,000	$20,000
Other current liabilities	463,906	520,529
Total current liabilities	483,906	540,529
Long-term debt	19,995	39,987
Other non-current liabilities	655,202	666,291
Total liabilities	1,159,103	1,246,807
Equity	4,311,057	4,244,588
Total liabilities & equity	$5,470,160	$5,491,395

Note: The financial and operating statistics in this press release are unaudited.

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Contacts
Adam N. Satterfield · Executive Vice President andChief Financial Officer · (336) 822-5721