Union Pacific Railroad is reporting a net income of $3.3 billion for calendar year 2011, an 18 percent increase over the $2.8 billion income of 2010.
The company says its operating revenue totaled a record $19.6 billion last year versus $17.0 billion in 2010, and that operating income increased 15 percent to $5.7 billion, up from $5 billion the year prior.
“2011 was the most profitable year in Union Pacific’s history,” UP chairman and CEO Jim Young said in a statement announcing the numbers. “In 2011, we achieved best-ever marks in customer satisfaction and employee safety, invested a record $3.2 billion in capital and generated record free cash flow of $1.9 billion.”
The company’s fourth quarter net income last year was a reported $964 million, compared to $775 million in the same quarter of 2010. During the quarter, total revenue carloads, grew three percent over 2010, according to the company.
“The dedicated efforts of our employees, combined with the strength of our diverse railroad franchise, drove record fourth quarter results,” Young said.
Looking ahead, the company says it expects slow, but steady economic growth in 2012. It has already revealed plans to spend a record $3.6 billion this year to replace aging equipment, strengthen infrastructure to improve productivity and safety, and meet expected volume growth.
“The diversity of our unique railroad franchise will continue to provide growth opportunities in various markets,” Young said.
UP, which was incorporated in July 1862 and celebrates its 150th anniversary this year, operates routes from all major West Coast ports to the East and Gulf coasts.
Thursday, January 26, 2012
