Norfolk Southern early Wednesday, Oct. 22, 2014, reported net income of $559 million in the third quarter, up 16% from $482 million in the third quarter of 2013 and a quarterly record.
Diluted earnings per share of $1.79 rose 175 from $1.53 per diluted share reported in the comparable quarter of a year ago, NS said.
Revenue rose 7% to $3.0 billion in the quarter compared with a year ago. Norfolk Southern's operating ratio "improved 4% to 67.0%," the company said.
"Norfolk Southern reported another record-setting quarter during which we achieved our best third-quarter results in revenues, operating income, net income, earnings per share, and operating ratio," said CEO Wick Moorman.
"Higher traffic volumes along with continued gains in productivity drove these excellent results," Moorman said. "We remain focused on ensuring we can support continued demand for freight rail transportation by hiring additional employees, investing in new equipment, and completing capacity projects in order to provide our customers with the freight rail service they expect today and in the future."
Among major commodity groups handled by the Class I railroad, only coal revenue declined, down 2%. Chemicals revenue moved up 14%, while NS intermodal revenue rose 10%.