Union Pacific profit soars 64% in 4th quarter
Union Pacific Corp., owners of North America's largest railroad Union Pacific Railroad, reported fourth quarter net income of $485 million, up 64 percent compared to $296 million a year ago.
UP's quarterly operating income was up 52 percent to $810 million, from $533 million in the same quarter 2005. Operating revenue improved 9 percent to $4 billion from $3.6 billion.
For the whole of 2006, UP's net income increased 57 percent to $1.6 billion from $1 billion reported in 2005. Operating income improved 61 percent to $2.9 billion on a revenue gain of 15 percent to $15.6 billion.
'Overall, we turned in a great fourth-quarter performance — a strong finish to a record year,' said Jim Young, UP's president and chief executive officer. 'In 2006, we significantly improved our return on invested capital and laid the foundation for further operational and financial improvement, benefiting both our customers and our shareholders.'
Looking ahead, Young said: 'While economic indicators are mixed, we are optimistic about what we see ahead for Union Pacific in 2007.'