second quarter earnings 2020

BNSF’s Q2 net earnings fall, but operating ratio improves

A photograph of a BNSF train traveling through an open field of dry land. A mountain range is in the background.

Like its other Class I counterparts, the COVID-19 pandemic hit BNSF’s (NYSE: BRK) bottom line in the second quarter, with revenue falling 22% amid an 18% drop in rail volumes.

“BNSF is an important part of the national and global supply chain and, as an essential business, has continued to operate throughout the duration of the COVID-19 pandemic. However, the COVID-19 pandemic has caused a significant economic slowdown that has adversely affected the demand for transportation services,”...

https://www.freightwaves.com/news/bnsfs-q2-net-earnings-fall-but-operating-ratio-improves

Norfolk Southern seeks to boost its intermodal market share

A photograph of a Norfolk Southern train on a train track. There are tulips next to the track.

Norfolk Southern (NYSE: NSC) is planning to add more intermodal service products in the southern U.S. as a way to take volume away from the trucking market, executives said during the company’s second-quarter earnings call on Wednesday, July 29.

Those products, which could be launched as early as the third quarter of this year, include products between the U.S. Southwest and the U.S. Southeast, as well as between the U.S. Southeast to the U.S. Northeast, said NS Chief Marketing Officer Alan Shaw.

https://www.freightwaves.com/news/norfolk-southern-seeks-to-boost-its-intermodal-market-share

Pandemic puts pressure on Norfolk Southern

A photograph of a Norfolk Southern train traveling through a field.

Norfolk Southern’s (NYSE: NSC) net profits for the second quarter slipped 46% to $392 million, or $1.53 in diluted earnings per share, compared with $722 million, or $2.70 in diluted earnings per share, in the second quarter of 2019.

A 26% decline in rail volumes contributed to the drop in profits year-over-year. Operating revenues fell 29% to $2.1 billion. Meanwhile, operating expenses slipped 21% to $1.5 billion on lower expenses for fuel, compensation and benefits and purchased services. 

Incom...

https://www.freightwaves.com/news/pandemic-puts-pressure-on-norfolk-southern

Frac sand losses hit Trinity’s bottom line

A photograph of a row or Trinity-manufactured tank cars.

Trinity Industries’ (NYSE: TRN) exposure to the financial troubles in the frac sand sector hurt the company’s second-quarter net profits.

The railcar manufacturer and lessor reported an operating loss of $307.3 million, or $1.76 per diluted share, in the second quarter of 2020, versus operating profit of $107 million, or 29 cents per diluted share, for the same period in 2019.

A $369.4 million noncash impairment charge related to the small cube covered hoppers used by several frac sand companies...

https://www.freightwaves.com/news/frac-sand-losses-hit-trinitys-bottom-line

Union Pacific eyes highway-to-rail conversion opportunities

A photograph of a Union Pacific train at a rail yard.

Union Pacific (NYSE: UNP) is looking for opportunities to take more market share away from trucks, whether that means through investments or through its own service product, executives said during the company’s second-quarter earnings call Thursday.

“I wouldn’t be surprised if there are other investments we make that look more like the activity Loup does, where you’re providing ancillary services from the railroad, but they are primary services to a customer. And it makes us a more valuable...

https://s29755.pcdn.co/news/union-pacific-eyes-highway-to-rail-conversion-opportunities

Union Pacific’s second-quarter net profit slips 28%

A photograph of a Union Pacific train at a rail crossing.

Net profit for Union Pacific (NYSE: UNP) in the second quarter fell 28% amid a 20% decline in volumes resulting from the economic impact of the coronavirus pandemic.

Second-quarter net income totaled $1.1 billion, or $1.67 per diluted share, compared with $1.6 billion, or $2.22 per diluted share, in the second quarter of 2019.

Operating revenue slipped 24% to $4.2 billion, with second quarter volumes falling 20% “due to deteriorating economic conditions brought on by the COVID-19 pandemic,” Union...

https://s29755.pcdn.co/news/union-pacifics-second-quarter-net-profit-slips-28

CSX views 2H with guarded optimism

A photograph of a CSX train locomotive.

CSX (NASDAQ: CSX) is “cautiously optimistic” about volumes in the second half of 2020, noting that while volumes have rebounded significantly in recent weeks, the coronavirus, the election and overall economic uncertainty remain potential headwinds.

“There remains a lot of uncertainty around the pace of the recovery and the continuing impact of COVID-19 on states and businesses,” said Mark Wallace, CSX’s executive vice president for sales and marketing, during CSX’s second-quarter earnings call...

https://s29755.pcdn.co/news/csx-views-2h-with-guarded-optimism

Canadian Pacific says mid-50s operating ratio within reach

A photograph of a Canadian Pacific train traveling across a field.

An operating ratio in the mid-50s percentage range is still possible for Canadian Pacific (NYSE: CP) for as early as next year, even as the coronavirus pandemic continues to play out in North America, company executives said during Wednesday’s second-quarter earnings call.

Operating ratio, a company’s expenses as a percentage of its revenue, is a metric that some investors use to gauge the financial health of a company. A lower operating ratio can imply improved financial performance.

And for the...

https://www.freightwaves.com/news/canadian-pacific-says-mid-50s-operating-ratio-within-reach

CSX’s second-quarter net income falls 43%

A photograph of CSX's logo on a large outdoor screen in the middle of a city intersection.

Second-quarter net profits for CSX (NASDAQ: CSX) slipped 43% amid a pandemic-induced 26% drop in revenue.

Net income totaled $499 million, or $0.65 per diluted share, in the second quarter of 2020 compared with $870 million, or $1.08 per diluted share, in the second quarter of 2019.

(CSX)

Second-quarter revenue fell 26% to $2.26 billion amid lower economic activity driven by the COVID-19 pandemic, CSX said. Volumes fell 20% to 1.26 million units, while revenue per unit slipped 7% to $1,794.

(CSX)

https://www.freightwaves.com/news/csxs-second-quarter-net-income-falls-43

Canadian Pacific’s second-quarter net profit falls 12%

A photograph of a Canadian Pacific train traveling through a grassy field.

Canadian Pacific’s (NYSE: CP) second-quarter net profit slipped 12% amid a 9% decrease in revenue.

Net income totaled C$635 million (US$473 million), or C$4.66 in diluted earnings per share, in the second quarter of 2020, compared with C$724 million, or C$5.17 in diluted earnings per share, in the second quarter of 2019.

“The CP family of railroaders has achieved these results during some of the most challenging conditions the world has experienced in recent memory,” said CP President and CEO...

https://s29755.pcdn.co/news/canadian-pacifics-second-quarter-net-profit-falls-12

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