Railroad News

Rail News Home Canadian Pacific 7/29/2021 Rail News: Canadian Pacific
Canadian Pacific yesterday announced second-quarter financial results, including these Q2 records: revenue of CA$2.05 billion, an adjusted operating ratio (OR) of 55.3%, diluted earnings per share (EPS) of $1.86 and adjusted diluted EPS of $1.03.CP's Q2 revenue climbed 15% from the year-ago period. Year over year, net income rose to CA$1.2 billion from CA$635 million.The Class I's reported OR of 60.1%, which includes Kansas City Southern acquisition-related costs, increased by 310 basis points from 57% a year ago. The adjusted OR, which excludes the KCS acquisition-related costs, improved 170 basis points, CP officials said in a press release.In addition, CP reported that Federal Railroad Administration (FRA)-reportable personal injuries declined 34% to a record-low 0.77 from 1.16 in Q2 2020, and its FRA-reportable train accident frequency decreased 70% versus Q2 2020's 1.19 to a record-low 0.36."Our industry-leading team of railroaders delivered another record quarter. I am particularly proud of our all-time record safety performance made possible by the collective efforts of the over 12,000-strong CP family," said President and Chief Executive Officer Keith Creel. "The robust base demand environment coupled with our unique growth opportunities has CP extremely well positioned as we head into the second half of the year."

Rail News Home Norfolk Southern Railway 7/28/2021 Rail News: Norfolk Southern Railway
Norfolk Southern Corp. today reported second-quarter 2021 financial results, which included second-quarter records for net income and diluted earnings per share, and all-time quarterly records for operating ratio (OR) and income from railway operations.The company’s net income rose 109% to $819 million, or $3.28 diluted earnings per share (EPS), from $392 million, or $1.53 diluted EPS, in the same quarter a year ago. Income from railway operations climbed 91% to $1.2 billion.The Class I's OR improved to 58.3% in the quarter — a new record — from 70.7% a year ago. Q2 railway operating revenue of $2.8 billion increased 34%, driven by a 25% increase in volume and a 7% increase in revenue per unit. Railway operating expenses totaled $1.6 billion, an increase of 11%."Our team met the challenge for the second quarter head-on, delivering another solid performance of sequential operating ratio improvement, driving meaningful productivity into our business as revenue and volume rebounded from last year," said NS Chairman, President and Chief Executive Officer James Squires in a press release. 

Rail News Home Norfolk Southern Railway 7/27/2021 Rail News: Norfolk Southern Railway
Norfolk Southern Corp. yesterday announced its science-based target to achieve a 42% reduction in Scope 1 and 2 greenhouse gas emissions (GHGs) intensity by 2034 from a 2019 base year.The commitment is another step in the company’s ongoing journey to build a more sustainable future, NS officials said in a press release.The Class I’s emissions reduction target has been approved by the Science Based Targets initiative (SBTi) and aligns with the goals of the Paris Agreement on climate change. Validation from the SBTi confirms that the company’s target is consistent with reductions required to keep warming to well-below 2°C above pre-industrial levels, NS officials said."Achieving our target will require continued investments in our locomotive fleet along with supplier engagement," said Josh Raglin, chief sustainability officer. "Our implementation of innovative technologies, sustainable operating practices and locomotive modernizations are part of our efforts to build a more sustainable transportation network."Locomotive fuel accounts for more than 90% of the railroad’s carbon emissions. NS set a fuel-efficiency goal as part of its 2015 strategic plan, targeting an 8.6% improvement by 2020. The company exceeded that goal with a 9.4% improvement, which resulted in savings of more than 130 million gallons of diesel and avoidance of about 1.3 million metric tons of emissions.NS' efforts to lower GHG emissions across the company include:
• $500 million of green bonds that recently were issued by the company to fund eligible green projects
• more than 700 locomotives that were retired in 2020, targeting older, less fuel-efficient models 
 
• a locomotive modernization program that involves converting older DC traction models to more reliable and efficient AC units, providing more pulling power with fewer locomotives

 • a program to equip locomotives with smart energy management technology that automatically matches horsepower to trailing tonnage and track terrain, maximizing fuel efficiency while using minimum horsepower 

 • a public-private partnership program to recycle older locomotives into low-emission “Eco” models to reduce emissions in urban communities on NS' network and enabling them to meet their Clean Air Act obligations 

• an initiative to replace diesel-powered overhead cranes with hybrid and fully electric cranes at intermodal facilities that's projected to reduce emissions at those terminals by approximately 75%.