Shares of Norfolk Southern Corp. NSC,
tacked on 0.2% in premarket trading Wednesday, after the railroad operator reported first-quarter profit and revenue that rose from a year ago and topped expectations amid strength in the intermodal and coal business segments, while expense growth outpaced revenue growth. Net income increased to $703 million, or $2.93 a share, from $673 million, or $2.66 a share, in the year-ago period. The FactSet consensus for earnings per share was $2.92. Railway revenue grew 10.5% to $2.92 billion, above the FactSet consensus of $2.83 billion, as general merchandise revenue rose 4.0% to $1.67 billion, intermodal revenue jumped 18.8% to $854 million and coal revenue surged 24.7% to $389 million. Expenses rose 12.7% to $1.83 billion, with fuel costs souring 70.1% to $301 million. The stock has declined 14.5% year to date through Tuesday, while the Dow Jones Transportation Average DJT,
has slumped 10.5% and the Dow Jones Industrial Average DJIA,
has lost 8.5%.
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