There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Ahead of this earnings release, the estimate revisions trend for Old Dominion: unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the ...

[Financial Highlights](index=1&type=section&id=Financial%20Highlights) [Second Quarter 2024 Performance Summary](index=1&type=section&id=Second%20Quarter%202024%20Performance%20Summary) Old Dominion Freight Line reported strong financial results for the second quarter of 2024, with total revenue increasing **6.1%** year-over-year to nearly **$1.5 billion**. Net income grew by **10.2% to $322.0 million**, and diluted earnings per share rose **11.3% to $1.48**, reflecting improved profitability and operational efficiency Q2 & H1 2024 Financial Summary (in thousands, except per share amounts) | Metric | Q2 2024 | Q2 2023 | % Chg. | H1 2024 | H1 2023 | % Chg. | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | **Total Revenue** | $1,498,697 | $1,413,189 | 6.1% | $2,958,770 | $2,855,325 | 3.6% | | **Operating Income** | $421,691 | $391,594 | 7.7% | $808,117 | $774,643 | 4.3% | | **Net Income** | $322,045 | $292,362 | 10.2% | $614,349 | $577,400 | 6.4% | | **Diluted EPS** | $1.48 | $1.33 | 11.3% | $2.82 | $2.61 | 8.0% | - All prior-period share and per-share data have been adjusted to reflect the company's March 2024 **two-for-one** stock split[15](index=15&type=chunk) [Management Commentary](index=1&type=section&id=Management%20Commentary) [CEO's Perspective on Q2 Results](index=1&type=section&id=CEO%27s%20Perspective%20on%20Q2%20Results) CEO Marty Freeman highlighted the company's third consecutive quarter of profitable growth despite a soft domestic economy, attributing success to a long-term strategic plan focused on superior service at a fair price, enabling yield management and market share gains, with the operating ratio improving to **71.9%** as a key factor in double-digit earnings growth - The company achieved its third consecutive quarter of growth in both revenue and earnings per diluted share, with earnings increasing by double digits for the first time in over a year[16](index=16&type=chunk) - Q2 revenue growth was driven by a **4.4%** increase in LTL revenue per hundredweight and a **1.9%** increase in LTL tons per day[4](index=4&type=chunk) - The operating ratio improved by **40** basis points to **71.9%**, driven by quality revenue growth and operating efficiencies, which led to an **11.3%** increase in EPS[18](index=18&type=chunk) - The company's strategy of providing superior service at a fair price is considered a key differentiator that positions it to win long-term market share[20](index=20&type=chunk) [Financial Performance Analysis](index=1&type=section&id=Financial%20Performance%20Analysis) [Revenue and Tonnage Analysis](index=1&type=section&id=Revenue%20and%20Tonnage%20Analysis) LTL services revenue, the company's core business, grew **6.2%** in Q2 2024, supported by a **3.1%** increase in LTL shipments per day, partially offset by a **1.2%** decrease in weight per shipment, while LTL revenue per hundredweight increased by **4.4%** (or **4.9%** excluding fuel surcharges), reflecting successful yield-management strategies - The increase in LTL tons per day resulted from a **3.1%** increase in LTL shipments per day, which was partially offset by a **1.2%** decrease in weight per shipment[4](index=4&type=chunk) LTL Revenue Metrics Change (Q2 2024 vs Q2 2023) | Metric | % Change | | :--- | :--- | | LTL Revenue per Hundredweight | 4.4% | | LTL Revenue per Hundredweight (ex-fuel) | 4.9% | | LTL Revenue per Shipment | 3.2% | [Operating Performance](index=3&type=section&id=Operating%20Performance) The company demonstrated improved profitability with its operating ratio decreasing to **71.9%** in Q2 2024 from **72.3%** in Q2 2023, as total operating expenses increased to **$1.077 billion**, with 'Salaries, wages & benefits' remaining the largest cost component at **45.6%** of revenue, a slight increase from the prior year - The operating ratio improved by **40** basis points to **71.9%** for the second quarter of 2024[18](index=18&type=chunk) Operating Expenses as a % of Revenue (Q2 2024 vs Q2 2023) | Expense Category | Q2 2024 % | Q2 2023 % | | :--- | :--- | :--- | | Salaries, wages & benefits | 45.6% | 45.5% | | Operating supplies & expenses | 10.7% | 11.7% | | Depreciation & amortization | 5.6% | 5.6% | | **Total operating expenses** | **71.9%** | **72.3%** | [Key Operating Statistics](index=7&type=section&id=Key%20Operating%20Statistics) In Q2 2024, Old Dominion's key operating metrics showed positive trends in shipment volumes and pricing, with LTL shipments per day growing by **3.1%** year-over-year, though efficiency metrics like weight per shipment and average length of haul experienced slight declines of **1.2%** and **0.8%** respectively Q2 Operating Statistics (2024 vs 2023) | Metric | Q2 2024 | Q2 2023 | % Chg. | | :--- | :--- | :--- | :--- | | LTL tons (in thousands) | 2,340 | 2,296 | 1.9% | | LTL shipments per day | 48,444 | 46,998 | 3.1% | | LTL weight per shipment (lbs.) | 1,509 | 1,527 | (1.2)% | | Average length of haul (miles) | 918 | 925 | (0.8)% | [Capital Management and Shareholder Returns](index=3&type=section&id=Capital%20Management%20and%20Shareholder%20Returns) [Cash Flow and Capital Expenditures](index=3&type=section&id=Cash%20Flow%20and%20Capital%20Expenditures) The company generated **$387.8 million** in net cash from operating activities in Q2 2024, continuing its investment in growth with planned capital expenditures for the full year 2024 totaling approximately **$750 million**, primarily focused on real estate expansion and fleet modernization - Net cash provided by operating activities was **$387.8 million** for Q2 2024 and **$811.7 million** for the first half of the year[18](index=18&type=chunk) - The company expects total 2024 capital expenditures to be approximately **$750 million**, allocated as follows: **$350 million** for real estate, **$325 million** for tractors and trailers, and **$75 million** for technology and other assets[5](index=5&type=chunk) [Share Repurchases and Dividends](index=3&type=section&id=Share%20Repurchases%20and%20Dividends) Old Dominion actively returned capital to shareholders in the first half of 2024, utilizing **$637.1 million** for its share repurchase program, which includes a **$200.0 million** accelerated share repurchase agreement, and paying out **$112.6 million** in cash dividends - In the first six months of 2024, the company used **$637.1 million** for share repurchases and paid **$112.6 million** in cash dividends[19](index=19&type=chunk) [Company Overview and Outlook](index=3&type=section&id=Company%20Overview%20and%20Outlook) [Company Profile](index=5&type=section&id=Company%20Profile) Old Dominion Freight Line, Inc. is a leading North American less-than-truckload (LTL) motor carrier, operating a single, integrated, union-free network across the continental U.S., offering regional, inter-regional, and national LTL services, along with value-added services such as container drayage, truckload brokerage, and supply chain consulting - Old Dominion is one of the largest North American LTL motor carriers, operating through a single integrated, union-free organization[9](index=9&type=chunk) - In addition to its core LTL services, the company offers value-added services including container drayage, truckload brokerage, and supply chain consulting[9](index=9&type=chunk) [Forward-Looking Statements and Risk Factors](index=3&type=section&id=Forward-Looking%20Statements%20and%20Risk%20Factors) The earnings release contains forward-looking statements subject to various risks and uncertainties, highlighting numerous potential risks that could impact future results, including economic factors like inflation and recessions, competitive pricing pressures, fuel price volatility, labor market challenges, cybersecurity threats, and regulatory changes - The report cautions that forward-looking statements involve risks that could cause actual results to differ materially[20](index=20&type=chunk) - Key identified risks include economic downturns, fuel price fluctuations, competition, labor costs and availability, cybersecurity incidents, and regulatory compliance[8](index=8&type=chunk)[20](index=20&type=chunk) [Detailed Financial Statements](index=6&type=section&id=Detailed%20Financial%20Statements) [Consolidated Statements of Operations](index=6&type=section&id=Consolidated%20Statements%20of%20Operations) The detailed statements of operations for Q2 2024 show a **6.1%** increase in revenue to **$1.5 billion** and a **5.4%** increase in total operating expenses to **$1.08 billion**, resulting in a **7.7%** rise in operating income to **$421.7 million** compared to Q2 2023 Condensed Statement of Operations (Q2 2024 vs Q2 2023, in thousands) | Line Item | Q2 2024 | Q2 2023 | | :--- | :--- | :--- | | Revenue | $1,498,697 | $1,413,189 | | Total operating expenses | $1,077,006 | $1,021,595 | | Operating income | $421,691 | $391,594 | | Income before income taxes | $426,446 | $391,926 | | Net income | $322,045 | $292,362 | [Consolidated Balance Sheets](index=7&type=section&id=Consolidated%20Balance%20Sheets) As of June 30, 2024, Old Dominion's balance sheet shows total assets of **$5.34 billion**, a decrease from **$5.51 billion** at the end of 2023, primarily driven by a reduction in cash and cash equivalents from **$433.8 million** to **$74.3 million** due to share repurchase activities, while total liabilities remained relatively stable at **$1.23 billion** Condensed Balance Sheet (in thousands) | Account | June 30, 2024 | Dec 31, 2023 | | :--- | :--- | :--- | | Cash and cash equivalents | $74,304 | $433,799 | | Total current assets | $807,113 | $1,143,333 | | Net property and equipment | $4,277,820 | $4,095,405 | | **Total assets** | **$5,343,096** | **$5,512,393** | | Total current liabilities | $552,754 | $544,658 | | **Total liabilities** | **$1,231,197** | **$1,254,582** | | **Equity** | **$4,111,899** | **$4,257,811** |

Wall Street expects a year-over-year increase in earnings on higher revenues when Old Dominion Freight Line (ODFL) reports results for the quarter ended June 2024. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates. While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion ...

What Our Model Says Q1 Highlights Here are a few stocks from the broader Zacks Transportation sector that investors may consider, as our model shows that these have the right combination of elements to beat their second-quarter 2024 earnings. The Zacks Consensus Estimate for CPA's second-quarter 2024 earnings has been revised downward by 14.9% in the past 60 days to $2.98 per share. CPA has an impressive earnings surprise history, having surpassed the Zacks Consensus Estimate in each of the preceding four q ...

Eastern Virginia Medical School (EVMS); Ellmer College of Health Sciences; Ellmer School of Nursing; EVMS School of Health Professions; and the proposed Joint School of Public Health (awaiting approval by the State Council of Higher Education for Virginia and the Council on Education for Public Health), a partnership with Norfolk State University. In a letter to campus, President Hemphill wrote, "As we have successfully secured all required approvals, most notably from the Commonwealth of Virginia and the S ...

While stock splits are often celebrated, since they tend to come on the heels of large increases in a company's stock price, it's important to remember that stock splits don't meaningfully alter the fundamentals of a stock investment. By increasing the number of shares, the stock price is reduced in the same ratio, and all of a company's per-share performance metrics are also reduced. A shareholder is no better, or worse, off after a stock split than just prior to the transaction. In the case of Old Dominio ...

Trucking company Old Dominion Freight Line (ODFL -2.98%) is seeing an uptick in activity, but not quite at the levels that investors had hoped. Old Dominion and other truckers have been moving in the wrong direction of late. The company's shares are down 25% from their 2024 highs due to soft demand. Shipping customers are worried about the health of the U.S. economy and are trimming inventories as a result. Is Old Dominion stock a buy? Old Dominion historically has been among the industry's top performers, ...

Old Dominion's revenue per day improved 5.6% year over year in May 2024 due to an increase in LTL revenue per hundredweight, which was partially offset by a 1.5% rise in LTL tons per day. The uplift in LTL tons per day was due to a 0.7% decrease in LTL weight per shipment, which was partially offset by a 2.3% increase in LTL shipments per day. Quarter to date, Old Dominion's LTL revenue per hundredweight and LTL revenue per hundredweight, excluding fuel surcharges, jumped 4.2% and 4.7%, year over year, resp ...

ODFL currently carries a Zacks Rank #3 (Hold). Old Dominion has an impressive earnings surprise history. The company's earnings outpaced the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average surprise of 2.81%. On the flip side, high capital expenditures might hurt ODFL's bottom line. For 2024, ODFL anticipates its total capital expenditures to be approximately $750 million. Of the total, $350 million is expected to be invested in real estate and service center expansion p ...

A month has gone by since the last earnings report for Old Dominion Freight Line (ODFL) . Shares have lost about 12.8% in that time frame, underperforming the S&P 500. Old Dominion Freight Line's first-quarter 2024 earnings per share of $1.34 surpassed the Zacks Consensus Estimate of $1.33 and increased 3.9% year over year. Management has stated that all per-share data, even for the prior-year period, have been adjusted to reflect the two-for-one stock split. The stock split was announced by ODFL during the ...