Norfolk Southern’s net income up 23%
Higher traffic volumes helped Norfolk Southern Corp., parent of Norfolk Southern
Railway Co., raise its first quarter net income 23 percent to $194 million from
$158 million in the year-earlier quarter.
Railway operating revenues for the first quarter rose 16 percent to
a record $1.96 billion, while operating income from railway operations also
increased 16 percent to $403 million. Traffic volume was up approximately
106,000 units or 6 percent.
Norfolk Southern said its railway operating expenses were up 16
percent to $1.6 billion caused by costs associated with increased traffic
volume, higher diesel fuel prices and expenses related to the Graniteville
derailment.
First quarter general merchandise revenue rose 12 percent to a
record $1.1 billion, as all market groups, with the exception of automotive,
reported double-digit increases.
Intermodal revenues reached a record $408 million, up 24 percent.
Norfolk Southern said it was the fifth consecutive quarter during which
intermodal showed double-digit revenue growth.
