Old Dominion Freight Line produced strong financial results for Q2 2017, which included a double-digit increase in revenue and an increase of more than 20% in earnings per diluted share. The company has recorded a 21.4% increase in earnings per diluted share to $1.19 on revenue of $839.9m. The 11.2% increase in revenue for Q2 was driven by a 6.1% increase in LTL tonnage per day and a 5.1% increase in LTL revenue. Excluding fuel surcharges, the company’s LTL revenue increased by 3.8%.
Old Dominion attributed the growth in LTL tonnage to the continued improvement in the domestic economy and the consistent execution of its long-term strategic plan of delivering superior service at a fair price.
The Company’s operating ratio in Q2 2017 improved 140 basis points to a new company record of 80.9%. This improvement was generally due to the leverage created by the accelerated revenue growth, which benefited from increases in both freight density and yield. As a result, most of the operating costs improved as a percent of revenue when compared to the Q2 2016.
David S. Congdon, Vice Chairman and Chief Executive Officer of Old Dominion, commented: “Old Dominion’s robust second-quarter operating and financial performance highlighted many of the core strengths of our business model. We are encouraged by these results as well as our revenue growth trends and the momentum of the domestic economy. As a result, we will continue to make the investments necessary to support the future growth of our business.”
Source: Old Dominion Freight Line
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