Norfolk Southern Q4 Profits Plunge Amid Rising Derailment Costs

Railroad company's earnings hit by ongoing Ohio cleanup, but reports 3% increase in shipments and predicts similar revenue growth in 2024.

Norfolk Southern's Q4 profit fell 33% due to the ongoing costs of last year's derailment in Ohio.
Without the $150 million in additional derailment costs, Norfolk Southern's profits would have been down 14%.
The total costs related to the derailment are now estimated to exceed $1.1 billion, with cleanup still ongoing and unsettled lawsuits and penalties.
Norfolk Southern received an additional $76 million in insurance payments related to the derailment during Q4, bringing the total insurance payments to $101 million.
Despite the financial setbacks, Norfolk Southern reported a 3% increase in shipments during Q4 and predicts a 3% revenue growth in 2024.