Old Dominion Freight Line Provides Update for Second-Quarter 2017
June 05 2017 - 7:00AM
Business Wire
Old Dominion Freight Line, Inc. (NASDAQ: ODFL) today reported
certain less-than-truckload (“LTL”) operating metrics for May 2017.
LTL tons per day increased 5.8% as compared to May 2016 due to a
5.7% increase in LTL shipments per day and a 0.1% increase in LTL
weight per shipment. For the quarter-to-date period, LTL revenue
per hundredweight increased 5.3% and LTL revenue per hundredweight,
excluding fuel surcharges, increased 3.5% as compared to the same
period last year.
David S. Congdon, Vice Chairman and Chief Executive Officer of
Old Dominion, commented, “We are pleased with the growth in our LTL
tons for April and May, and believe that our growth reflects an
improving domestic economy. This growth in LTL tons is also
attributable to the consistent execution of our long-term strategic
plan, which includes delivering superior service at a fair price to
our customers. By continuing to deliver this value proposition in
an improving economy, we believe we can win market share and
increase shareholder value.”
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 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 competitive environment with respect to
industry capacity and pricing, including the use of fuel
surcharges, which could negatively impact our total overall pricing
strategy and our ability to cover our operating expenses; (2) our
ability to collect fuel surcharges and the effectiveness of those
fuel surcharges in mitigating the impact of fluctuating prices for
diesel fuel and other petroleum-based products; (3) the negative
impact of any unionization, or the passage of legislation or
regulations that could facilitate unionization, of our employees;
(4) the challenges associated with executing our growth strategy,
including our ability to successfully consummate and integrate any
acquisitions; (5) changes in our goals and strategies, which are
subject to change at any time at our discretion; (6) various
economic factors such as recessions, downturns in the economy,
global uncertainty and instability, changes in U.S. social,
political, and regulatory conditions or a disruption of financial
markets may decrease demand for our services; (7) increases in
driver compensation or difficulties attracting and retaining
qualified drivers to meet freight demand; (8) our exposure to
claims related to cargo loss and damage, property damage, personal
injury, workers' compensation, group health and group dental,
including increased premiums, adverse loss development, increased
self-insured retention levels and claims in excess of insured
coverage levels; (9) cost increases associated with employee
benefits, including costs associated with employee healthcare
plans; (10) the availability and cost of capital for our
significant ongoing cash requirements; (11) the availability and
cost of new equipment and replacement parts, including regulatory
changes and supply constraints that could impact the cost of these
assets; (12) decreases in demand for, and the value of, used
equipment; (13) the availability and cost of diesel fuel; (14) the
costs and potential liabilities related to compliance with, or
violations of, existing or future governmental laws and
regulations, including environmental laws, engine emissions
standards, hours-of-service for our drivers, driver fitness
requirements and new safety standards for drivers and equipment;
(15) the costs and potential liabilities related to various legal
proceedings and claims that have arisen in the ordinary course of
our business, some of which include class-action allegations; (16)
the costs and potential liabilities related to governmental
proceedings, inquiries or notices; (17) the costs and potential
liabilities related to our international business operations and
relationships; (18) the costs and potential adverse impact of
compliance with, or violations of, current and future rules issued
by the Department of Transportation, the Federal Motor Carrier
Safety Administration, including its Compliance, Safety,
Accountability initiative, and other regulatory agencies; (19)
seasonal trends in the less-than- truckload industry, including
harsh weather conditions and disasters; (20) our dependence on key
employees; (21) the concentration of our stock ownership with the
Congdon family; (22) the costs and potential adverse impact
associated with future changes in accounting standards or
practices; (23) potential costs associated with cyber incidents and
other risks, including system failure, security breach, disruption
by malware or other damage; (24) 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 could cause us to incur costs or result
in a loss of business; (25) the costs and potential adverse impact
associated with transitional challenges in upgrading or enhancing
our technology systems; (26) damage to our reputation through
unfavorable publicity; (27) the costs and potential adverse impact
of compliance with anti-terrorism measures on our business; (28)
dilution to existing shareholders caused by any issuance of
additional equity; (29) the impact of a quarterly cash dividend or
the failure to declare future cash dividends; (30) fluctuations in
the market value of our common stock; (31) 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; and (32) other risks and
uncertainties described in our most recent Annual Report on Form
10-K and other filings with the Securities and Exchange Commission.
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 (i) as 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 a leading,
less-than-truckload (“LTL”), union-free motor carrier providing
regional, inter-regional and national LTL services, which include
ground and air expedited transportation and consumer household
pickup and delivery through a single integrated organization. In
addition to its core LTL services, the Company offers a range of
value-added services including container drayage, truckload
brokerage, supply chain consulting and warehousing.
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version on businesswire.com: http://www.businesswire.com/news/home/20170605005370/en/
Old Dominion Freight Line, Inc.Adam N. Satterfield,
336-822-5721Senior Vice President, Finance and Chief Financial
Officer
Old Dominion Freight Line (NASDAQ:ODFL)
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