Categories Earnings, Industrials

Kansas City Southern’s stock climbs after Q1 results top expectations

Kansas City Southern (NYSE: KSU) surpassed analysts’ expectations on revenue and earnings for the first quarter of 2019, sending shares climbing over 3% in morning hours on Wednesday.

Total revenues increased 6% year-over-year to $675 million. However, carload volumes fell 1%, mainly due to service interruption at Lazaro Cardenas.

Kansas City Southern reports first quarter 2019 earnings

On a reported basis, net income available to common stockholders dropped to $103 million, or $1.02 per share, from $144 million, or $1.40 per share, in the prior-year period, hurt by higher operating expenses. Adjusted EPS rose 18% year-over-year to $1.54.

Kansas City recorded revenue increases across most of its commodity groups with the highest in Chemical & Petroleum. Chemical & Petroleum revenues rose 21% year-over-year to $168.6 million, helped by refined product shipments to Mexico.

Agriculture & Minerals saw revenue growth of 8% due to improved network cycle times. Revenues declined in Intermodal and Automotive by 12% and 4%, respectively, due to auto plant shutdowns and teacher protests.

During the quarter, total carloads and units increased in the Chemical & Petroleum, Agriculture & Minerals, and Energy commodity groups while the remaining groups posted declines. The highest increase was in Chemical & Petroleum at 17%.

Revenue per carload/unit increased in the Chemical & Petroleum, Industrial & Consumer Products and Automotive commodity groups. Agriculture & Minerals saw a decline while Energy remained flat compared to the year-ago period.

 

Get access to timely and accurate verbatim transcripts that are published within hours of the event.

Most Popular

Does Unity Software (U) stock has more room to run?

Last month, the IPO market was in a full swing. IPOs of Snowflake (NYSE: SNOW) and JFROG (NASDAQ: FROG) had an impressive opening day in September, the former creating a

PepsiCo (PEP): Steady snacking habits amid pandemic drive strong quarter for beverage giant

PepsiCo Inc. (NASDAQ: PEP) beat market expectations on both revenue and earnings for the third quarter of 2020. The company saw the momentum continue in its snacks business while the

Does the virus-driven boom make Electronic Arts (EA) a good investment?

With more and more people turning to virtual entertainment sources, amid the virus-related movement restrictions, video game publishers like Electronic Arts (NASDAQ: EA) are witnessing unusually high demand. Not surprisingly,

Leave a Reply

Your email address will not be published. Required fields are marked *

Add Comment
Loading...

Cancel
Viewing Highlight
Loading...
Highlight
Close
Top