Eastern Railroad Discussion > NS 1st Quarter Numbers Met Projections

 Financial results released on Wednesday by Norfolk Southern were largely in line with preliminary results the carrier announced earlier.
In the first quarter of this year net income was $53 million, or 23 cents per diluted earnings per share down from $466 million, or $2.04 per diluted EPS, in the first quarter of 2023.
NS reported total railway operating revenue of $3 billion, down from $3.1 billion a year ago. Income from operations fell 70 percent to $213 million, compared to $711 million in the same period of 2023.

The railroad posted a first quarter 2024 operating ratio of 92.9 percent compared to 77.3 percent in the previous year's quarter.
In a news release, NS said $592 million and $387 million of expense during the first quarters of 2024 and 2023, respectively, were costs related to the Feb. 3, 2023, derailment in East Palestine, Ohio.

The total expense recognized in the first quarter of 2024 includes the effect of $108 million in insurance recoveries, while no insurance recoveries were recorded in the first quarter of 2023.
NS said any additional amounts recoverable from insurance or from third parties will be reflected in future periods in which recovery is considered probable.
No amounts have been recorded related to potential third-party recoveries, which may reduce amounts payable by NS's insurers under applicable insurance coverage, according to the statement.

NS expects to reduce its management workforce by May by 350 positions. The reduction is being done through buyouts and layoffs.
Thinning the management ranks is expected to cost NS $64 million. None of those leaving NS whether voluntarily or involuntarily are covered by a labor union contract. From the akronrrblog