For 2008, revenues grew 9.7% year over year to $1.54 billion, although net income was down 4.4% to $68.7 million.
In commenting on results, the less-than-truckload super regional carrier’s executive chairman, Earl Congdon, noted, “We finished December stronger than we had anticipated and, as a result, our fourth quarter tonnage declined only 4.9%. Despite this decline, we were able to maintain our pricing discipline and increase our market share by continuing to provide superior service to our customers.”
The carrier has made a number of service-related changes of late to enhance its offerings. In mid-January it relocated its Omaha, NE Service Center that effectively doubled its capacity. The 74-door facility is located on a seven-acre site.
Old Dominion also doubled its terminal capacity in Ann Arbor, MI, in late January with a move to a 30-door facility on a five-acre site. At the end of January, the carrier opened a new warehouse at Worcester, MA. The warehousing division now has four service areas across the country. In addition to the Worcester facility, there is service at Commerce, CA, Reidsville, NC and Fort Worth, TX.
“The Worchester Warehouse’s capabilities will include shipment consolidation, container deconsolidation, cross docking, full-service warehousing and all modes of transportation such as truckload, LTL and air, explains Chris Reynolds, Old Dominion’s director of Warehousing. “The facility is conveniently positioned to support markets such as Boston and the metro areas around New York City.”
More recently, Old Dominion relocated to a 24-door service center at Butte, MT and a service center at Columbus, GA. “We believe our commitment to providing best-in-class service, especially in this environment, is a key differentiator for Old Dominion,” says Congdon. “Shippers have come to expect and rely on consistent service in order to keep their supply chains functioning as cost effectively as possible, especially in periods with reduced shipment volumes. We believe the consistent execution of our service strategy will allow us to continue to gain market share while enhancing our ability to take advantage of growth opportunities following an economic recovery or industry consolidation.”