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Union Pacific's quarterly earnings increases 7%.

U.S. railroad operator Union Pacific reported a 7%. rise in second-quarter earnings on Thursday, as strong rates and. increased volumes more than balanced out reduced fuel additional charge and. company mix headwinds.

The company stated it expects volumes in the 2nd half of. the year to remain unpredictable based upon macro indicators and coal. need, while including it plans to carry out share repurchases. worth about $1.5 billion in 2024.

Union Pacific's CEO, Jim Vena, in May said that the. business needs to deal with a great deal of inflationary pressure that was. developed into the railroads and has actually looked towards pricing gains. and productivity enhancements to reduce the concern.

The business, seen as a bellwether for the U.S. economy,. has continued to face headwinds from domestic coal demand as. individuals turn to inexpensive stockpiles of gas for energy.

Union Pacific's earnings rose to $1.67 billion, or. $ 2.74 per share, in the quarter ended June 30, from $1.57. billion, or $2.57 per share, a year earlier.

Regardless of couple of severe weather condition events, rail service at Union. Pacific held up well during the quarter as railroads continue to. enhance train speed and dwell time, intending to accomplish over the. road volume conversion.

(source: Reuters)