Railroad News

1/20/2017    

Rail News: BNSF Railway

1/20/2017    

Rail News: BNSF Railway

1/20/2017    

Rail News: Passenger Rail

Rail News Home Kansas City Southern 1/20/2017 Rail News: Kansas City Southern
Kansas City Southern today reported fourth-quarter 2016 net income of $130 million, or $1.21 per diluted share, compared with $140 million, or $1.28 per diluted share, in fourth-quarter 2015. Adjusted diluted earnings per share came in at $1.12 for Q4 2016, down from $1.23 in Q4 2015, KCS officials said in a press release.The Class I's revenue of $599 million for the quarter remained unchanged from the same period a year ago, they said.Overall, carload volumes also were unchanged in the quarter compared with the prior year. Excluding the estimated impact of Mexican peso depreciation, revenue would have increased 3 percent compared with revenue in Q4 2015, KCS officials said.Operating income during Q4 2016 fell 4 percent to $211 million compared with Q4 2015. KCS' operating ratio for the quarter was 64.8 percent, a 1.4 point increase from Q4 2015.Operating expenses during the quarter rose 2 percent to $388 million compared with the year-ago quarter.KCS' quarterly results missed Wall Street analysts' expectations for earnings and revenue.For the full year 2016, net income totaled $480 million, or $4.43 per diluted share, compared with $485 million, or $4.40 per diluted share, in the previous year. Adjusted diluted earnings per share were $4.48 compared with $4.49 in 2015.KCS posted $2.3 billion in revenue for full-year 2016, down 3 percent compared with 2015's revenue. Carloads declined 2 percent to 2.17 million during the year compared with the previous year. Operating income for all of 2016 rose 2 percent to $819 million. The 2016 operating ratio was 64.9 percent, a 1.9 point improvement from 2015's operating ratio and a 1.5 point improvement from the prior year's adjusted operating ratio."KCS' ability to react swiftly and efficiently was proven throughout 2016, as our network faced challenging operational interruptions throughout the year. In addition, volatility in key commodities such as energy, consumer, and intermodal markets created uncertainty during 2016," said KCS President and Chief Executive Officer Patrick Ottensmeyer. "Despite these conditions, KCS' achieved a full-year operating ratio of 64.9 percent, a 1.5 point improvement versus 2015 adjusted."The company is aware of the economic and political uncertainty ahead in 2017, Ottensmeyer said."However, we continue to emphasize our commitment to growth and we are well positioned to take full advantage of the significant new business opportunities that lie ahead of us." he added. Contact Progressive Railroading editorial staff. More News from 1/20/2017

1/20/2017    

Rail News: Kansas City Southern

1/20/2017    

Rail News: Kansas City Southern

1/19/2017    

Rail News: Passenger Rail

1/19/2017    

Rail News: Federal Legislation & Regulation

U.S. Sen. Bob Menendez (D-N.J.) met with U.S. Department of Transportation (USDOT) Secretary-designate Elaine Chao on Jan. 18 to discuss infrastructure priorities, specifically, the Gateway Program.

Sen. Menendez, the ranking member of the Senate's mass transit subcommittee, said the meeting impressed upon Secretary Chao, who led the U.S. Labor Department under President George W. Bush, that advancing the Gateway project to replace the aging Hudson River rail tunnels must be the nation's top transportation infrastructure priority in the Trump Administration.

TransLink has announced the start of Phase One of its expanded transit services that will be available in 2017 in conjunction with the 10-Year Vision for Metro Vancouver Transportation.

 

1/19/2017    

Rail News: Passenger Rail

1/19/2017    

Rail News: High-Speed Rail

Canadian Pacific Railway Limited (CP) has announced the appointment of Keith Creel as the company’s president and CEO effective Jan. 31. The change follows E. Hunter Harrison's decision to retire from the railroad.

 

Rail News Home Canadian Pacific 1/19/2017 Rail News: Canadian Pacific
Canadian Pacific yesterday reported fourth-quarter 2016 revenue fell 3 percent to 1.64 billion Canadian dollars from CA$1.69 billion, while diluted earnings per share (EPS) rose 25 percent to CA$2.61 from $2.08 in fourth-quarter 2015.Adjusted diluted EPS climbed 12 percent to CA$3.04 from $2.72, according to a CP press release. The Class I's Q4 revenue and earnings were lower than expected by stock market analysts.However, CP's focus on cost controls resulted in record low operating ratios for the fourth quarter (56.2 percent) and full year (58.6 percent)."While the fourth quarter was weighed down by challenging operating conditions, including unexpected and extreme weather on the West Coast that compounded the impact of an already delayed grain harvest, it once again highlighted our resiliency and ability to operate efficiently under tough conditions," said CP Chief Executive Officer E. Hunter Harrison in the press release.For the full year 2016, CP's revenue declined 7 percent to CA$6.23 billion, while reported diluted EPS increased 27 percent to CA$10.63. Adjusted EPS rose 2 percent to CA$10.29. "2016 featured stiff economic headwinds and a challenging volume environment, headlined by a precipitous decline in crude oil shipments and weakness in grain movements, particularly in the first half," Harrison said. "These are not excuses, but opportunities to showcase our operating ability and leadership. As we have shown over the last four years, the precision railroading model works in all economic conditions." In 2017, the railroad will continue to work on improving productivity, fluidity and safety of operations, CP officials said."With continued margin improvement and an anticipated increase in volumes, led by a stronger bulk outlook, we expect adjusted diluted EPS growth to be in the high single-digits," said CP President and Chief Operating Officer Keith Creel. "With our strong leadership team, plus the commitment and discipline shown by the thousands of men and women every day at CP, the franchise is well positioned for 2017 and beyond." CP plans to spend about CA$1.25 billion in capital programs this year, an increase of 6 percent over 2016. Contact Progressive Railroading editorial staff. More News from 1/19/2017

1/19/2017    

Rail News: Canadian Pacific

1/19/2017    

Rail News: Canadian Pacific

Rail News Home Union Pacific Railroad 1/19/2017 Rail News: Union Pacific Railroad
Union Pacific Railroad today reported fourth-quarter 2016 net income rose 2 percent to $1.1 billion, or $1.39 per diluted share, compared with net income in fourth-quarter 2015.Operating revenue in Q4 2016 slipped 1 percent to $5.2 billion compared with the same period a year ago, according to a UP press release.The Class I beat analysts' expectations for Q4 earnings. "While full-year volumes were down substantially year over year, we did see declines moderate in the fourth quarter," said Lance Fritz, Union Pacific chairman, president and chief executive officer. "As we worked through the challenges of the year, we remained focused on the strategy we live each day through our six value tracks. Executing on these value tracks enables us to run a safe, efficient and productive railroad while providing our customers an excellent value proposition."Fourth-quarter business volumes, as measured by total revenue carloads, declined 3 percent in the quarter compared with 2015. Although agricultural product shipments rose 8 percent, volumes fell in UP's five remaining business groups. UP's 62 percent operating ratio improved 1.2 points compared with the operating ratio in Q4 2015.By business group, Q4 freight revenue rose 7 percent in agricultural products; remained flat in chemicals and intermodal; fell 2 percent in industrial products; and declined 6 percent in both automotive and coal.For full-year 2016, UP reported net income of $4.2 billion, or $5.07 per diluted share, compared with $4.8 billion, or $5.49 per diluted share in 2015, representing 11 and 8 percent decreases, respectively. Operating revenue totaled $19.9 billion as compared to $21.8 billion in 2015. Operating income totaled $7.3 billion, down 10 percent compared to 2015.Also last year, freight revenue fell 9 percent to $18.6 billion compared with 2015. Carloadings last year slipped 7 percent compared with the previous year, with declines in UP's chemicals, coal, industrial products and intermodal business groups.UP's operating ratio for full-year 2016 rose to 63.5 percent, which was 0.4 points higher than the full-year record set in 2015.Looking ahead to this year, UP is "fairly optimistic about some of the macro-economic indicators that drive our core business," said Fritz."Higher energy prices, favorable agricultural markets and improving business and consumer confidence all support a return to positive volume growth this year," Fritz said. "We continue to have confidence in the strength and diversity of the Union Pacific franchise, which will position us well to safely and efficiently leverage stronger volumes as our markets begin to rebound." Contact Progressive Railroading editorial staff. More News from 1/19/2017

1/19/2017    

Rail News: Union Pacific Railroad

1/19/2017    

Rail News: Union Pacific Railroad

1/19/2017    

Rail News: People