Union Pacific profit increases 43 percent in 1Q as volume improves in all areas except coal

UP 1Q profit jumps 43 pct as demand improves

OMAHA, Neb. — Union Pacific Corp.’s profits soared 43 percent in the first quarter because the railroad hauled more goods than last year in every sector except coal.

The Omaha, Neb.-based railroad says that it earned $516 million, or $1.01 per share, in the quarter. That’s up from the $362 million, or 72 cents per share, the railroad generated last year during the Great Recession.

UP’s results suggest the health of the nation’s economy is improving, and the railroad beat Wall Street expectations. Analysts expected earnings of 94 cents per share on $3.81 billion revenue.

Union Pacific says its revenue grew 16 percent to nearly $4 billion. Revenue even improved 5 percent in UP’s coal business even though shipping volume was down 1 percent.

On the Net:

Union Pacific Corp.: www.up.com