Old Dominion Freight Line — Third Quarter 2026 Earnings Summary

Financial Performance:

• Total revenue for the three months ended September 30, 2026, was $1,590.7 million, a 13.1% increase from $1,406.5 million in the prior year period; for the nine months ended September 30, 2026, revenue was $4,479.4 million, a 6.9% increase from $4,189.1 million.
• LTL services revenue was $1,576.6 million for the quarter (up 13.1% year-over-year) and $4,437.4 million for the nine-month period (up 6.9%).
• Operating income was $452.6 million for the quarter (up 25.4%) and $1,235.3 million for the nine-month period (up 16.9%).
• Operating ratio improved to 71.5% for the quarter (from 74.3%) and 72.4% for the nine-month period (from 74.8%).
• Net income was $343.7 million for the quarter (up 26.9%) and $932.6 million for the nine-month period (up 17.4%).
• Diluted earnings per share were $1.65 for the quarter (up 28.9%) and $4.47 for the nine-month period (up 19.5%).
• Net cash provided by operating activities was $469.5 million for the quarter and $1.1 billion for the first nine months.
• Cash and cash equivalents totaled $466.2 million as of September 30, 2026.
• Capital expenditures were $67.1 million for the quarter and $206.7 million for the nine-month period.
• Share repurchases utilized $400.6 million of cash in the first nine months; cash dividends paid were $180.7 million.
• Dividends declared per share were $0.29 for the quarter and $0.87 for the nine-month period.

Guidance and Future Outlook:

• The Company expects aggregate capital expenditures for 2026 to total approximately $380 million, including $180 million for real estate and service center expansion, $155 million for tractors and trailers, and $45 million for information technology and other assets.
• Management expressed confidence in the ability to win profitable market share and increase shareholder value over the long term.

Business Segments and Product Lines:

• LTL revenue per hundredweight increased 13.3% year-over-year to $38.40 for the quarter, driven by a 5.1% increase excluding fuel surcharges.
• LTL revenue per shipment increased 15.5% to $570.55 for the quarter.
• LTL tons per day decreased 0.1% to 32,194 (in thousands) for the quarter, reflecting a 2.0% decrease in shipments per day offset by a 1.9% increase in weight per shipment.
• Service metrics included 99% on-time service and a claims ratio of 0.1%.
• LTL revenue per hundredweight excluding fuel surcharges increased 5.1% for the quarter and 5.1% for the nine-month period.

Market and Competitive Landscape:

• The Company maintains a disciplined approach to yield management and describes its service metrics as best-in-class.
• Management noted that demand for services improved during the quarter, with LTL tons per day increasing on a year-over-year basis in September.
• The Company operates as one of the largest North American LTL motor carriers with a single integrated, union-free organization.

Risks and Challenges:

• Forward-looking statements highlight risks including inflationary pressures, economic downturns, and the inability to increase rates sufficiently to offset cost increases.
• Potential risks include challenges in executing growth strategies, labor market challenges affecting driver and technician retention, and increased costs for employee compensation.
• Operational risks include fluctuations in diesel fuel prices, equipment supply constraints, and regulatory compliance costs (FMCSA, DOT, environmental laws).
• Other risks involve cyber incidents, technology failures, claims related to cargo loss or personal injury, and the potential impact of unionization efforts.

Management Commentary and Tone:

• President and CEO Marty Freeman described the results as "strong financial results" driven by employee execution of the long-term strategic plan.
• Management emphasized a commitment to providing superior service at a fair price and maintaining revenue quality.
• Freeman highlighted that the operating ratio improvement was due to leverage from revenue growth and controlled discretionary spending, which offset increases in operating supplies and expenses.
• The tone was confident, citing the company's flexibility to respond to demand changes while operating efficiently.

Other Key Points:

• The Company returned capital to shareholders through share repurchases and dividends, utilizing $400.6 million for repurchases and paying $180.7 million in dividends during the first nine months of 2026.
• A conference call was held on October 28, 2026, at 10:00 a.m. Eastern Time to discuss results.
• The Company's LTL operating statistics exclude certain transportation and logistics services where pricing is not determined by weight.
• Total liabilities were $1,222.2 million as of September 30, 2026, compared to $1,159.1 million as of December 31, 2025.
• Total shareholders' equity was $4,672.0 million as of September 30, 2026.