Railway and intermodal provider set records for revenues and earnings in 2014.
Norfolk Southern Corp., parent company of Norfolk Southern Railway, has reported its fourth quarter and full-year financial results for 2014.
The company’s net income for Q4 2014 was $511 million, down less than half a percent year-over-year from $513 million in Q4 2013. Norfolk Southern increased net income for the entire 2014 year by 5 percent, from $1.9 billion to $2 billion, a new record for the company. It also set a new high in 2014 for diluted earnings per share at $6.39, a 6 percent increase from $6.04 per diluted share for 2013.
For the fourth quarter, Norfolk Southern reported railway operating revenues of $2.9 billion and income from railway operations of $891 million. Gains in merchandise ($1.7 billion, up 3 percent from Q4 2013) and intermodal revenues ($649 million, up 5 from Q4 2013) were offset by weaker coal revenues ($543 million, down 15 percent from Q4 2013), according to a statement from the company. Total volume for the quarter was up 4 percent due to increases in intermodal and merchandise traffic of 6 percent and 5 percent, respectively, compared with the same period in 2013.
Railway operating revenues for the year amounted to $11.6 billion, 3 percent higher than 2013, and total income from railway operations was $3.6 billion. General merchandise revenues increased by 6 percent to $6.7 billion and intermodal revenues increased by 7 percent to $2.6 billion, while coal revenues decreased by 6 percent to $2.4 billion. Total traffic volume for 2014 increased 5 percent compared to 2013, with increases in merchandise and intermodal traffic of 5 percent and 8 percent, and a 5 percent decrease in coal volume compared to 2013.
Norfolk Southern CEO Wick Moorman said the company “delivered another solid quarter of financial performance, capping a record-setting year during which our company achieved its best results for revenues, operating income, net income, earnings per share, and operating ratio. For 2015, we plan to invest $2.4 billion in capital investments to maintain the safety and quality of our rail network, enhance service, improve operational efficiency, and support growth opportunities.”
NS reports fourth quarter and full-year 2014 financial results
