AI Takeaway
ODFL reported a modest earnings decline in Q1 FY2026, with net income falling 6.4% YoY to $238.3M and EPS (diluted) dropping to $1.14, though operating cash flow surged 11.0% and the balance sheet remained exceptionally strong with minimal long-term debt.
EPS (Basic)
$1.14
-5.00% YoY
Operating Income
$317.34M
-6.13% YoY
Filed · Analysis updated · Source: SEC EDGAR 10-Q filing
Operating income declined 6.1% YoY to $317.3M from $338.1M in the prior-year period, reflecting margin pressure likely tied to softer freight demand and cost headwinds typical in the LTL trucking sector.
Source: 10-Q Financial Data, Income Statement
Despite the earnings decline, operating cash flow grew 11.0% YoY to $373.6M, demonstrating ODFL's ability to convert earnings to cash efficiently and fund operations without relying on external financing.
Source: 10-Q Financial Data, Cash Flow Statement
Cash and equivalents surged 196.4% YoY to $288.1M from $97.2M, significantly bolstering liquidity and providing flexibility for capital allocation including dividends and buybacks.
Source: 10-Q Financial Data, Balance Sheet
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Upgrade to unlockODFL's revenue and profitability are highly sensitive to LTL freight volumes and pricing dynamics. A softening macro environment or excess trucking capacity could further compress operating margins beyond the 6.1% YoY decline already observed in Q1 FY2026.
Source: 10-Q Financial Data, Income Statement
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Upgrade to unlockReported EPS of $1.14 versus the $1.07 analyst consensus — a +6.5% beat for Q1 FY2026.
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Income | $317.34M | $338.06M | -6.13% |
Net Income | $238.26M | $254.66M | -6.44% |
EPS (Basic) | $1.14 | $1.20 | -5.00% |
EPS (Diluted) | $1.14 | $1.19 | -4.20% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Total Assets | $5.66B | $5.49B | +3.02% |
Current Assets | $926.25M | $734.38M | +26.13% |
Total Liabilities | $1.26B | $1.26B | +0.10% |
Current Liabilities | $591.72M | $557.35M | +6.17% |
Stockholders' Equity | $4.4B | $4.24B | +3.88% |
Cash & Equivalents | $288.08M | $97.2M | +196.39% |
Long-Term Debt | $20M | — | — |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Cash Flow | $373.63M | $336.52M | +11.03% |
Investing Cash Flow | $-52.65M | $-82.92M | +36.50% |
Financing Cash Flow | $-152.99M | $-265.08M | +42.28% |
Dividends Paid | $60.5M | $59.49M | +1.69% |
Share Buybacks | $88.14M | $201.08M | -56.17% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
ROE | 5.4% | — | — |
ROA | 4.2% | — | — |
Current Ratio | $1.565 | — | — |
Debt to Equity | $0.286 | — | — |
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ODFL reported net income of $238.3M and diluted EPS of $1.14 in Q1 FY2026, both down approximately 6% YoY. Despite the earnings decline, operating cash flow rose 11.0% to $373.6M, reflecting strong underlying cash generation.
ODFL's operating income fell 6.1% YoY to $317.3M in Q1 FY2026, likely driven by softer LTL freight demand and cost pressures common in the trucking industry. The decline flowed through to net income, which dropped 6.4% to $238.3M.
ODFL's balance sheet is exceptionally strong, with only $20.0M in long-term debt, $4.4B in stockholders' equity, and a current ratio of 1.57. Cash and equivalents nearly tripled YoY to $288.1M, providing ample liquidity.
ODFL maintained its dividend, paying $60.5M in Q1 FY2026 (up 1.7% YoY), but significantly reduced share buybacks by 56.2% to $88.1M from $201.1M in the prior year. This suggests a more conservative approach to capital returns amid the earnings softness.
ODFL generated $373.6M in operating cash flow in Q1 FY2026, an 11.0% increase YoY, even as net income declined. Capital expenditures (investing outflows) fell to $52.7M, resulting in estimated free cash flow of approximately $320.9M for the quarter.