Union Pacific Beats Q4 Expectations Despite Volume Headwinds

Company warns of muted volume outlook for 2024 due to international intermodal business loss, lower coal demand, and soft economic conditions.

Union Pacific Corporation reported a fourth-quarter FY23 operating revenue of $6.159 billion, beating the consensus of $6.05 billion.
Freight revenues increased 1% Y/Y to $5.801 billion, with Bulk flat YoY, Industrial +4%, and Premium -3%.
EPS was $2.71 (+1% Y/Y), beating the consensus of $2.57.
Union Pacific generated operating cash flow for the fiscal of $8.38 billion versus $9.36 billion a year ago.
2024 Outlook: Union Pacific said its volume outlook muted by international intermodal business loss, lower coal demand, and soft economic conditions.