Strong pricing boosts rail earnings
Written by William C. Vantuono, Editor-in-ChiefThe seven U.S. Class I railroads earned net income totaling $2.76 billion in the second quarter of 2011, up 15.6% from the prior-year quarter, on revenue ton-miles that increased 3.45% to 425.1 billion.
In reporting these and other results, the railroads cited strong pricing as a factor.
Total railroad operating revenues increased 17.5% to $16.88 billion compared with the second quarter of 2010. Net railway operating income rose 15.4% to $2.93 billion.
For the 12-month period that ended June 30, the U. S. Class I’s earned total net income of $9.93 billion, an increase of 22.2% over the year-ago period on revenue ton-miles that were up 9.7% to 1.723 trillion. Total operating revenues increased 19.7% to $63.14 billion, and net railway operating income increased 23.% to $10.6 billion.
The Surface Transportation Board has posted on its website industry-wide results for the second quarter and for the 12 months ended June 30. The seven Class I’s are BNSF, CSX, CN/Grand Trunk, Kansas City Southern, Norfolk Southern, Soo Line, and Union Pacific.
