OMAHA, Neb. — Union Pacific Corporation on Thursday reported 2022 third quarter net income of $1.9 billion, or $3.05 per diluted share.
The nation's largest railroad said these results include a $114 million charge for a change to prior period accounting estimates related to new, tentative and ratified labor agreements. Excluding the effects of that charge, adjusted third quarter net income was $2.0 billion, or $3.19 per diluted share. This compares to 2021 third quarter net income of $1.7 billion, or $2.57 per diluted share.
Operating revenue of $6.6 billion was up 18% driven by higher fuel surcharge revenue, volume growth, and core pricing gains.
Business volumes, as measured by total revenue carloads, were up 3%.
Union Pacific’s reported operating ratio was 59.9%. Excluding the charge, the adjusted operating ratio of 58.2% deteriorated by 190 basis points. Lower fuel prices positively impacted the operating ratio by 70 basis points.
Adjusted operating income of $2.7 billion was up 13%.
The company repurchased 9.5 million shares in third quarter 2022 at an aggregate cost of $2.1 billion.
UP operates about 25 trains per day in Reno County, which include intermodal and grain shipments. The railroad carries the fourth-highest valuation in the county.
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