Norfolk Southern’s 4Q Profit Improves

Eastern freight rail line Norfolk Southern Corp.’s fourth-quarter profit rose 3.6% and the railroad increased its dividend, the company said late Tuesday.

Norfolk Southern earned $399 million or $1.02 per share for the fourth quarter, compared with $385 million or 95 cents a year earlier.

Revenue rose to $2.45 billion in the quarter, from $2.32 billion a year earlier.

It also raised its dividend by 12%, to 29 cents, from 26 cents.

For the full year, Norfolk Southern said its net income fell to $1.46 billion or $3.68 per share, from $1.48 billion, or $3.57 per share in 2006.

Revenue rose to $9.43 billion from $9.41 billion.