Norfolk Southern’s Q1 2016 Earnings Review: Cost Reductions Offset Impact Of Top Line Headwinds

-10.40%
Downside
256
Market
230
Trefis
NSC: Norfolk Southern logo
NSC
Norfolk Southern

Norfolk Southern’s earnings per share rose 29% year-over-year in Q1, primarily as a result of a decline in operating costs, mainly due to a decline in fuel expenses as a result of lower oil prices.  Also, the success of the company’s efforts to reduce operating costs with a decline in shipment volumes, which was reflected in a 630 basis points year-over-year improvement in the operating ratio. The company’s top line declined mainly due to a fall in coal shipment volumes and fuel surcharge revenue.

NSC Earnings 1

 

Relevant Articles
  1. What’s Next For Norfolk Southern Stock After A 21% Fall This Year?
  2. Which Is A Better Railroad Pick – Norfolk Southern Stock Or CSX?
  3. Will Norfolk Southern Stock Rebound To Its Pre-Inflation Shock Highs?
  4. Will Norfolk Southern Stock Trade Higher Post Q1?
  5. Why Did Norfolk Southern Stock Fall 30% Since 2021?
  6. Pick Either Norfolk Southern Stock Or This Travel Company: Both May Offer Similar Returns

Have more questions about Norfolk Southern? See the links below.

Notes:

1) The purpose of these analyses is to help readers focus on a few important things. We hope such lean communication sparks thinking, and encourages readers to comment and ask questions on the comment section, or email content@trefis.com
2) Figures mentioned are approximate values to help our readers remember the key concepts more intuitively. For precise figures, please refer to our complete analysis for Norfolk Southern

 

See More at Trefis | View Interactive Institutional Research (Powered by Trefis)

Get Trefis Technology