Norfolk Southern reports record-setting 2013 fourth-quarter and full-year results

NORFOLK, Va., Jan. 22, 2014 /PRNewswire/ –Norfolk Southern (NYSE: NSC) reported record fourth-quarter 2013 net income of $513 million, or $1.64 per diluted share, 24 percent higher compared with $413 million, or $1.30 per diluted share, earned in the fourth quarter of 2012. The railway operating ratio, or operating expenses as a percentage of revenue, improved 5 percent to 69.4 percent.

Fourth-quarter 2013 records

Railway operating revenues totaled $2.9 billion, up 7 percent. Income from railway operations was $881 million, 23 percent higher. Net income totaled $513 million, up 24 percent. Diluted earnings per share of $1.64 improved 26 percent.

2013 Records

Railway operating revenues reached $11.2 billion, up 2 percent. Income from railway operations was $3.3 billion, 4 percent higher. Net income totaled $1.9 billion, up 9 percent. Diluted earnings per share of $6.04 improved 12 percent. The railway operating ratio improved 1 percent to 71.0 percent.

“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.

Moorman continued: “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.”

Fourth Quarter 2013 Summary

Operating revenues increased to $2.9 billion, marking a 7 percent jump compared with fourth-quarter 2012. Strong intermodal, chemical, automotive, and agricultural shipments more than offset declines in coal traffic to drive total volumes up 4 percent.