Tuesday, July 23, 2013

Norfolk Southern 2Q net income declines

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Norfolk Southern Corp. said its second-quarter net income of $465 million in the second quarter was 11% lower than the $524 million notched in the second quarter of 2012.

NS diluted earnings per share of $1.46 also declined, down 9% from the $1.60 per diluted share a year ago. The company announced the results Tuesday, July 23, 2013, after the close of trade on the New York Stock Exchange. Shares were down 0.66% to $76.86.

Revenue totaling $2.8 billion was down 3% from the second quarter of 2012, though shipment volumes rose 2%. Norfolk Southern's operating ratio was 70.2%, 4% higher than a year ago. Coal revenue fell 17% measured against he comparable quarter in 2012, while intermodal volume rose 4%.

Earlier Tuesday, the Board of Directors voted to increase the regular quarterly dividend on the company's common stock by 2 cents per share to 52 cents a share.

"In the second quarter, Norfolk Southern delivered solid results, supported by growth in our chemicals, intermodal, and automotive businesses, despite continuing weakness in the coal markets," said President and CEO Wick Moorman. "We continue to focus on service efficiency and velocity, which is enabling us to control operating expenses and deliver superior performance to our customers."