Profit of the largest railway company in the United States fell 4.7 times


The net profit of Union Pacific Corp., the largest railway company in North America, fell 4.7 times in 2018 to $1.55 billion, or $2.12 per share. Last year, the company made a profit of $7.28 billion, or $9.25 per share. High performance in 2017 was associated with US tax reform. Union Pacific revenue rose 6% in October-December last year, according to a company press release. Despite the decline in profits, analysts had predicted an even greater decline. Experts had expected a profit of $2.07 and revenue of $5.74 billion. Revenue increased to $5.76 billion. Union Pacific's profitability rate rose to 61.6%. The company increased revenues from the transportation of agricultural products by 5%, industrial products - by 10%, premium products - by 15%. Energy transportation brought the company 8% less revenue than last year. Union Pacific ended 2018 with a profit of $5.97 billion, or $7.91 per share, while last year the figures were $10.7 billion, or $13.36 per share. The company's capitalization grew by 17.5% to $114 billion.

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