Kansas City Southern Posts Mixed Results as Earnings Dip, Revenue Rises
Kansas City Southern reported first-quarter net income of $145 million, or $1.40 a share, on revenue of $639 million, a 5% rise from the prior year. In the first quarter of 2017, the railroad reported net income of $147 million, or $1.38 per share.
Carload volumes increased 1% from a year ago, and the operating ratio came in at 65.8% compared with 65.4% in first-quarter 2017.
“Despite congestion across the North American rail network, KCS grew volumes in all commodity groups except energy and agriculture and minerals during the first quarter,” CEO Patrick Ottensmeyer said.
The Kansas City, Mo.-based firm saw its chemical division generate revenue of $140 million, up 10% from $127 million a year ago. Revenue per carload unit rose 8% to $2,051. The Industrial division reported revenue of $146.3 million, up 4%, and revenue per carload rose 3% to $1,784.
The agriculture and mineral division had revenues of $113.4 million, down 2%, and the revenue per carload was up 3% to $1,993. The energy division had revenue of $61.3 million, down 11%, while its revenue per carload came in at $1,066, up 11% from a year ago.
Kansas City Southern operates railroads in the United States, Mexico and Panama.
