Why Old Dominion Freight Line (ODFL) Shares Are Slumping Today - Old Dominion Freight Line (NASDAQ:ODFL)

Old Dominion Freight Line Inc ODFL shares are diving Wednesday morning following its first-quarter results, which missed Street expectations.
ODFL revenues in the first-quarter FY23 fell 3.7% year-over-year to $1.44 billion on lower volumes, missing the consensus of $1.48 billion.
Revenue fall reflects a 3.5% decrease in LTL services revenue and a 17.4% decrease in other services revenue, reflecting continued softness in the domestic economy and a challenging operating environment.
EPS of $2.58 missed the consensus of $2.69.
Operating income decreased by 5.6% Y/Y to $383.05 million, and the margin contracted by 50 bps to 26.6%.
The operating ratio for the quarter was 73.4%, compared to 72.9% a year ago.
Old Dominion's net cash provided by operating activities was $415.4 million for Q1. The company had $207.6 million in cash and equivalents.
Outlook: The Company lowered its aggregate capital expenditure guidance for FY23 to approximately $700 million from the earlier forecast of $800 million. This includes planned expenditures of $260 million for real estate and service center expansion projects; $365 million for tractors and trailers; and $75 million for information technology and other assets.
Price Action: ODFL shares traded lower by 4.53% at $324.01 premarket on the last check Wednesday.
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Why Old Dominion Freight Line Shares Are Slumping Today