KCS reports Q1 2018 results
(Source: Kansas City Southern press release (PDF), April 20, 2018)
KANSAS CITY, Mo. — Kansas City Southern (KCS) reported record first quarter 2018 revenues of $639 million, an increase of 5% from first quarter 2017. Overall, carload volumes increased 1% compared to the prior year.
FIRST QUARTER 2018 RESULTS
• Record first quarter revenues of $639 million, an increase of 5% from prior year on 1% volume growth;
• Record first quarter operating income of $219 million, 4% higher than a year ago;
• Operating ratio of 65.8%, compared with 65.4% in first quarter 2017;
• Record first quarter diluted earnings per share of $1.40, an increase of 1% over first quarter 2017; record first quarter adjusted diluted earnings per share of $1.30, an increase of 11% over first quarter 2017
First quarter 2018 revenues increased in four commodity groups, led by a 17% increase in Automotive, a 10% increase in Chemicals and Petroleum and a 9% increase in Intermodal. Revenue from Industrial and Consumer was also positive with an increase of 4% compared to the first quarter of 2017. These increases were partially offset by declines in Energy and Agriculture and Minerals of 11% and 2%, respectively, compared to the first quarter of 2017.
Operating expenses in the first quarter were $420 million, 5% higher than 2017. Operating income was a first quarter record at $219 million, an increase of 4% from the first quarter 2017. KCS reported a first quarter operating ratio of 65.8%, a 0.4 point deterioration over first quarter 2017.
Reported net income in the first quarter of 2018 was $145 million, or $1.40 per diluted share, compared with $147 million, or $1.38 per diluted share, in the first quarter of 2017. Excluding the impacts of foreign exchange, adjusted diluted earnings per share was a first quarter record of $1.30, compared to $1.17 in first quarter 2017.
“Despite congestion across the North American rail network, KCS grew volumes in all commodity groups except Energy and Agriculture and Minerals during the first quarter 2018,” stated Kansas City Southern’s President and Chief Executive Officer Patrick J. Ottensmeyer. “Furthermore, we maintain our outlook for mid-single digit volume growth for full year 2018.”
Friday, April 20, 2018
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