Old Dominion Profit Dives 62 Percent

First-quarter profit at Old Dominion Freight Line dropped nearly 62 percent as weakening demand and lower prices took their toll on the multi-regional LTL carrier’s profits.

Old Dominion earned $4 million in the first quarter, compared with $10.4 million a year earlier. Revenue fell 19.8 percent to $295.1 million.

Total tons hauled in the quarter slipped 12.4 percent from a year ago; total shipments dropped 17.5 percent. Revenue per hundredweight, excluding fuel charges, declined 1 percent to $11.53.

"Industry conditions during the first quarter of 2009 continued to reflect the effects of the recessionary economic environment on freight demand, and pricing pressure was as severe as we have ever experienced," Executive Chairman Earl Congdon said in a statement.

"Although our commitment to pricing discipline contributed to the decline in tonnage during the first quarter, we believe this strategy will contribute to the long-term success of the company and will also be validated by our operating performance relative to the industry," Congdon said.

Contact Marcy Frank at mfrank@joc.com .