How Does Old Dominion Freight Line Make its Money?
Old Dominion Freight Line is the largest less-than-truckload (LTL) carrier in the United States, providing regional, inter-regional, and national LTL freight services. LTL shipping combines shipments from multiple customers into a single truck, making it more cost-effective for smaller loads than full truckload shipping. Old Dominion operates a network of 255+ service centers across North America, and is widely regarded as the best-managed trucking company in the industry. The company’s superior service quality — measured by on-time delivery rates above 99% and a claims ratio near zero — allows it to command premium pricing.
Old Dominion Freight Line (ODFL) Business Model
Old Dominion Freight Line operates in the transportation sector. Below is a summary of Old Dominion Freight Line’s revenue streams, how the company generates income, and the key financial metrics from its most recent annual report. This breakdown uses data from Old Dominion Freight Line’s 2024 fiscal year filings with the SEC.
Old Dominion Freight Line Competitors
Old Dominion Freight Line’s key competitors and comparable public companies in the transportation sector include FedEx, UPS, Delta Air Lines, and Union Pacific. Each of these companies competes for market share, investor attention, and revenue in overlapping segments. See how Old Dominion Freight Line stacks up by comparing their revenue breakdown, margins, and growth metrics.
Old Dominion Freight Line Competitors
Old Dominion Freight Line’s key competitors and comparable public companies in the transportation sector include FedEx, UPS, Delta Air Lines, and Union Pacific. Each of these companies competes for market share, investor attention, and revenue in overlapping segments. See how Old Dominion Freight Line stacks up by comparing their revenue breakdown, margins, and growth metrics.
Old Dominion Freight Line Competitors
Old Dominion Freight Line’s key competitors and comparable public companies in the transportation sector include FedEx, UPS, Delta Air Lines, and Union Pacific. Each of these companies competes for market share, investor attention, and revenue in overlapping segments. See how Old Dominion Freight Line stacks up by comparing their revenue breakdown, margins, and growth metrics.
Old Dominion Freight Line Competitors
Old Dominion Freight Line’s key competitors and comparable public companies in the transportation sector include FedEx, UPS, Delta Air Lines, and Union Pacific. Each of these companies competes for market share, investor attention, and revenue in overlapping segments. See how Old Dominion Freight Line stacks up by comparing their revenue breakdown, margins, and growth metrics.
Revenue Breakdown
| Segment | 2024 | 2023 | YoY Growth |
|---|---|---|---|
| LTL Services | $5,600 | $5,500 | +1.8% |
| Other Services (Accessorials, Fuel Surcharges) | $300 | $280 | +7.1% |
| Total Revenue | $5,900 | $5,900 | +0.0% |
LTL Services — 95% of Revenue
Other Services (Accessorials, Fuel Surcharges) — 5% of Revenue
Income Statement Overview
| Metric | 2024 | 2023 |
|---|---|---|
| Total Revenue | $5,900 | $5,900 |
| Cost of Revenue | $3,600 | $3,500 |
| Gross Profit | $2,300 | $2,400 |
| Operating Expenses | $600 | $600 |
| Operating Income | $1,700 | $1,800 |
| Net Income | $1,300 | $1,400 |
All values in millions USD unless otherwise stated.
Key Financial Metrics
- Gross Margin: 39.0%
- Operating Margin: 28.8%
- Revenue Growth: 0.0%
Is Old Dominion Freight Line Profitable?
Yes, Old Dominion Freight Line is profitable. The company reported net income of $1,300 on total revenue of $5,900. With an operating margin of 28.8%, Old Dominion Freight Line demonstrates solid profitability for the transportation sector. The gross margin of 39.0% reflects Old Dominion Freight Line’s pricing power and cost structure.
What to Watch
- LTL freight market recovery and industrial production trends
- Revenue per hundredweight growth as pricing discipline holds
- Service center expansion and capacity positioning for the next freight cycle
- Operating ratio improvement as the industry benchmark for LTL efficiency
Old Dominion Freight Line (ODFL) Financial Summary
Old Dominion Freight Line (ODFL) is a transportation company that generated $5,900 in total revenue in fiscal year 2024. Revenue grew 0.0% year-over-year. The company earned $1,300 in net income, making it profitable. For a deeper look at Old Dominion Freight Line’s revenue breakdown, business segments, and financial performance, review the detailed analysis above.