Union Pacific profit down 9%, but railroad eyes economic recovery

[Omaha Steve]

Source: Omaha World Herald-AP

By JOSH FUNK

Union Pacific's first-quarter profit declined 9% as the railroad delivered less freight and its revenue fell, but it said the economy is steadily improving.

The Omaha-based company said Thursday that it earned $1.34 billion, or $2 per share, in the quarter. That's down from $1.47 billion, or $2.15 per share, a year earlier.

The results did not meet Wall Street expectations as it delivered 1% less freight and had to deal with the severe cold in February. The average estimate of six analysts surveyed by Zacks Investment Research was for earnings of $2.06 per share. The railroad estimated that costs related to the weather weighed down its results by 16 cents per share.

Union Pacific's revenue fell 4% to $5 billion in the period, which fell short of the $5.04 billion that analysts expected as coal and industrial revenue were weak.



Union Pacific expects shipping volume to grow roughly 6% overall in 2021.
AP


Read more: https://omaha.com/news/state-and-regional/union-pacific-profit-down-9-but-railroad-eyes-economic-recovery/article_831020e6-a370-11eb-b55b-5750367db965.html

[elleng]

1. 'but it said the economy is steadily improving.

The results did not meet Wall Street expectations as it delivered 1% less freight and had to deal with the severe cold in February. The average estimate of six analysts surveyed by Zacks Investment Research was for earnings of $2.06 per share. The railroad estimated that costs related to the weather weighed down its results by 16 cents per share.

Union Pacific’s revenue fell 4% to $5 billion in the period, which fell short of the $5.04 billion that analysts expected as coal and industrial revenue were weak.'