GWI reports strong third-quarter results

Genesee & Wyoming earned net income of $24.8 million in third-quarter 2010, up from $21.7 million in the third quarter of 2009. GWI’s per-share earnings in this year’s third quarter increased to 59 cents from 53 cents in the third quarter of 2009.

Income from continuing operations in the third quarter of 2010 was $22.1 million, or 53 cents per diluted share, compared with $19.7 million, or 48 cents in the 2009 quarter.

In the third quarter of 2010, GWI recognized income from net insurance proceeds of $2.8 million or seven cents per diluted share in discontinued operations related to damage caused by a hurricane in the company’s former Mexico region in 2005.

“GWI’s financial results for the third quarter of 2010 were strong, as revenues increased 15% and we maintained an adjusted operating ratio of 76.5%,” said John C. Hellmann, president and CEO. “Our adjusted operating income increased 29% and we have now generated a company-record $99 million of free cash flow over the first nine months of 2010.”

He said GFWI anticipates completing the acquisition of FreightLink in November, “"following which our Australian business will represent approximately one-third of GWI revenues.”