Norfolk Southern reports first-quarter 2022 results

Rhea-AI Summary

Norfolk Southern Corporation (NYSE: NSC) reported record-setting first-quarter 2022 financial results. Key figures include railway operating revenues at $2.9 billion, a 10% increase year-over-year, and net income of $703 million, yielding diluted earnings per share of $2.93. Despite a 13% rise in operating expenses to $1.8 billion due to higher fuel and service costs, the income from railway operations reached $1.1 billion, a 7% year-over-year growth. The operating ratio stood at 62.8%.

Positive

• First-quarter railway operating revenues reached $2.9 billion, setting a record and growing 10% year-over-year.
• Net income was $703 million, contributing to diluted earnings per share of $2.93, illustrating strong profitability.
• Income from railway operations hit a record $1.1 billion, up 7% compared to the previous year.

Negative

• Operating expenses increased by 13% to $1.8 billion, primarily driven by higher fuel and service costs.

ATLANTA, April 27, 2022 /PRNewswire/ -- Norfolk Southern Corporation (NYSE: NSC) today reported first-quarter 2022 financial results which included first-quarter records for railway operating revenues, income from railway operations, net income, and diluted earnings per share.

First-quarter railway operating revenue was $2.9 billion, income from railway operations was $1.1 billion, net income was $703 million, and diluted earnings per share was $2.93.

Norfolk Southern reported double-digit revenue and EPS growth in the quarter.  "Our financial results in the first quarter were solid, despite current network challenges." said Alan H. Shaw, Norfolk Southern President.  "I am confident that our efforts to improve our service through accelerated hiring and refinements to our operating plan will provide a platform for long-term growth and efficiency for both our customers and shareholders."

First-Quarter Summary

• Railway operating revenues of $2.9 billion were a first-quarter record, up 10%, or $276 million, compared with first-quarter 2021, driven by a 16% increase in revenue per unit. 
• Railway operating expenses were $1.8 billion, an increase of 13%, or $206 million, compared with the same period last year due to higher fuel, purchased services, and equipment rents expenses.
• Income from railway operations was a first-quarter record of $1.1 billion, an increase of 7%, or $70 million, year-over-year.
• The railway operating ratio was 62.8%.

About Norfolk Southern
Norfolk Southern Corporation (NYSE: NSC) is one of the nation's premier transportation companies, moving the goods and materials that drive the U.S. economy. Norfolk Southern connects customers to markets and communities to economic opportunity, with safe, reliable, and sustainable shipping solutions. The company's service area includes 22 states and the District of Columbia, every major container port in the eastern United States, and a majority of the U.S. population and manufacturing base.

Forward-looking statements
This news release contains forward-looking statements that may be identified by the use of words like "believe," "expect," "anticipate," "estimate," "plan," "consider," "project," and similar references to the future. Forward-looking statements reflect our good-faith evaluation of information currently available. These forward-looking statements are subject to a number of risks and uncertainties, and our actual results may differ materially from those projected. Please refer to our annual and quarterly reports filed with the SEC for a full discussion of those risks and uncertainties we view as most important. Forward-looking statements are not, and should not be relied upon as, a guarantee of future performance or results, nor will they necessarily prove to be accurate indications of the times at or by which any such performance or results will be achieved. As a result, actual outcomes and results may differ materially from those expressed in forward-looking statements. We undertake no obligation to update or revise forward-looking statements.

 

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SOURCE Norfolk Southern Corporation

FAQ

What were the first-quarter 2022 earnings for Norfolk Southern (NSC)?

Norfolk Southern reported first-quarter 2022 earnings with a net income of $703 million and diluted earnings per share of $2.93.

How much did Norfolk Southern's railway operating revenue increase in Q1 2022?

Norfolk Southern's railway operating revenue increased by 10% to $2.9 billion in the first quarter of 2022.

What is the operating ratio reported by Norfolk Southern for Q1 2022?

The operating ratio for Norfolk Southern in the first quarter of 2022 was 62.8%.

What drove the increase in Norfolk Southern's operating expenses in Q1 2022?

The increase in Norfolk Southern's operating expenses in Q1 2022 was primarily due to higher fuel, purchased services, and equipment rents costs.