Darien, Conn.-based Genesee & Wyoming, Inc. on Friday, Oct. 31, 2014 reported third-quarter net income of $72.9 million, compared with net income of $66.2 million in the third quarter of 2013. Excluding the net impact of certain significant items discussed below, G&W's adjusted net income in the third quarter of 2014 was $69.3 million, compared with adjusted net income of $59.8 million in the third quarter of 2013.
Third-quarter diluted earnings per share of $1.27 was up from diluted EPS in the third quarter of 2013 of $1.16, with 300,000 more shares issued in the 2014 quarter.
GWI President and CEO Jack Hellmann said, "We are pleased with our results for the third quarter of 2014, as revenue increased approximately 8%, our adjusted operating ratio improved 2.1 percentage points to 71.7%, and our adjusted pre-tax income increased approximately 19%.
"In North America, our business was strong in the third quarter, with 7% growth in same railroad freight revenue, led by frac sand, salt, steel, and agricultural products. Meanwhile, the newly established Rapid City, Pierre & Eastern Railroad (RCP&E) performed well, as we benefited from the record harvest in South Dakota and improved the railroad's fluidity with connecting carriers," Hellman said.
"In Australia, our business was slightly weaker in the third quarter, with revenue in Australian dollars down approximately 2%, as intermodal and agricultural shipments weakened and track access income declined due to the previously announced closure of an iron ore mine," said Hellman.
GWI owns short line and regional freight railroads in the U.S., Canada, Australia, the Netherlands, and Belgium.