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Record 4Q earnings for Norfolk Southern

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Written by: Douglas John Bowen

Norfolk Southern Corp. Wednesday, Jan. 22, 2014 reported record fourth-quarter net income of $513 million, or $1.64 per diluted share, up 24% from $413 million, or $1.30 per diluted share, earned in the fourth quarter of 2012. Revenue of $2.9 billion in the quarter was up 7% from a year ago.

Norfolk Southern's operating ratio, improved 5% to 69.4%, the company said.

"Strong intermodal, chemical, automotive, and agricultural shipments more than offset declines in coal traffic to drive total volumes up 4%" during the fourth quarter, NS said.

Also releasing full-year results for 2013, Norfolk Southern reported revenue of $11.2 billion, up 2% from 2012, and net income of $1.9 billion, up 9% in 2013 from the prior year. Diluted earnings per share of $6.04 rose 12% from 2012, while the railroad's operating ration "improved 1% to 71.0%."

"Norfolk Southern's team of safety and service-oriented employees drove our record-setting fourth-quarter results through increased productivity, efficient network operations, and continued revenue gains," said Norfolk Southern CEO Wick Moorman. "We're seeing the results of our investments in network capacity and technology enhance our ability to offer superior service to all of our customers."

"In 2014, we plan to invest $2.2 billion, a 12 percent increase over 2013, to maintain safe railway operations, purchase locomotives and freight cars, and support growth and productivity initiatives," Moorman added.


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