Freight

Adapt or die: Railroads must embrace advanced technologies

Advancements in the logistics industry over the past ten years have been vast, especially in over-the-road shipping modes with shippers utilizing 3PLs at record levels for domestic transportation management. The move toward partnering with logistics service providers has allowed shippers to use the power of modern technology to increase visibility and track product movements throughout their supply chains with greater efficiency than ever before. Unfortunately, rail has not seen advancement at the same pace, leaving shippers with the perception that rail carriers are behind the times.

Petroleum fuels gains

Continuing on the heels of last week’s trend, three of the 10 carload commodity groups posted a year-over-year increase—and total carloads were slightly up—but all other traffic declined, according to figures released on April 17 by the Association of American Railroads (AAR) for the week ended April 13.

KCS reports record 1Q2019 revenues, strong growth

Kansas City Southern (KCS) on April 17 reported record first-quarter 2019 revenues of $675 million, a 6% year-over-year increase on a 1% volume decline, based on adjusted operating income of $242 million. Its adjusted operating ratio was 64.2% compared to 65.8% the year prior. Adjusted diluted earnings per share were $1.54—18% higher than a year ago.