third quarter 2020

What won and what lost in the third quarter for the rails?

Market conditions hastened the railcar manufacturer’s decision to move all of its railcar production to Mexico, according to company executives during the third-quarter earnings call.

Third-quarter revenue fell 14% year-over-year, parent company Berkshire Hathaway said. However, lower operating costs led BNSF to a sub-60 operating ratio.

FleetCor’s third-quarter revenue topped most Wall Street expectations for revenue at $580.8 million, while its earnings per share missed expectations by 46 cents.

The railroad will be idling rail yards around Atlanta and will cease humping operations at its Macon, Georgia, yard.

The Eastern U.S. railroad reported an adjusted net income of $643 million in the third quarter of 2020, compared with $657 million a year ago.

The railcar lessor has developed a new strategy that will focus on providing rail-related services and products as part of a broader effort to boost its profitability.

UP expects longer and heavier trains in its future as it seeks to take more intermodal market share away from trucks.

The company is also eyeing opportunities to develop its real estate offerings and will bring on more assets to handle additional volumes, executives said during CSX’s third-quarter earnings call.

Lower fuel prices drove Union Pacific’s operating ratio lower. Meanwhile, third-quarter net profit fell 12% year-over-year.