Norfolk Southern’s stock falls after revenue falls shy of expectations
Shares of Norfolk Southern Corp. slid 2.1% in premarket trading Wednesday, after the railroad operator reported a decline in third-quarter earnings and revenue that fell a bit more than expected, as misses in its coal and intermodal business offset a beat in general merchandise. Net income fell to $657 million, or $2.49 a share, from $702 million, or $2.52 a share, in the year-ago period. The results include a per-share write-off of 9 cents resulting from a legal dispute. The FactSet net EPS consensus was $2.62 and the adjusted EPS consensus was $2.60. Revenue declined 3.6% to $2.84 billion, just shy of the FactSet consensus of $2.86 billion. Merchandise revenue slipped 0.3% to $1.73 billion, above the FactSet consensus of $1.72 billion, while intermodal revenue fell 5.2% to $707 million to miss expectations of $723 million and coal revenue dropped 13% to $403 million, below expectations of $403.7 million. The stock has declined 3.9% over the past three months through Tuesday, while the Dow Jones Transportation Average has slipped 1.0% and the Dow Jones Industrial Average has eased 2.1%.
Source : MTV
