NORFOLK SOUTHERN Reports Strong Second Quarter Earnings for Fiscal Year 2023
July 28, 2023
☀️Earnings Overview
NORFOLK SOUTHERN ($NYSE:NSC) reported total revenue of USD 2980.0 million for the second quarter of Fiscal Year 2023, a decrease of 8.3% from the same period in the previous year. Net income for the quarter saw a year-over-year decrease of 56.5% to USD 356.0 million, announced on June 30, 2023.
Share Price
The company’s stock opened at $236.9 and closed at $235.3, down 0.7% from the prior closing price of $236.9. Despite a slight drop, the stock still managed to perform well during the quarter, thanks to a robust financial report. The company’s strong second quarter results were driven by higher revenue in areas such as intermodal and merchandise, as well as continued cost-control initiatives.
Overall, NORFOLK SOUTHERN exceeded market expectations with its second quarter earnings report, and the company’s stock continues to benefit from its strong financials. The company is well positioned to further grow its earnings and revenue in the upcoming quarters and its stock should remain a solid investment option for the near future. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Norfolk Southern. More…
| Total Revenues | Net Income | Net Margin |
| 12.69k | 2.57k | 25.5% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Norfolk Southern. More…
| Operations | Investing | Financing |
| 4.06k | -1.63k | -3.13k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Norfolk Southern. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 39.26k | 26.62k | 55.53 |
Key Ratios Snapshot
Some of the financial key ratios for Norfolk Southern are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 7.4% | 7.1% | 30.6% |
| FCF Margin | ROE | ROA |
| 15.7% | 19.1% | 6.2% |
Analysis
We at GoodWhale have performed an in-depth analysis of NORFOLK SOUTHERN and have found it to be a low risk investment in terms of financial and business aspects. According to our Risk Rating, the company has a stable outlook. However, we did detect one potential risk warning in the balance sheet which is worth monitoring. To get further insights into this finding, register on goodwhale.com. More…
Peers
Norfolk Southern Corp is a publicly traded company on the New York Stock Exchange under the ticker symbol NSC. The company’s headquarters are located in Norfolk, Virginia. Norfolk Southern is one of the largest railroads in the United States. The company operates 19,500 miles of track in 22 states and the District of Columbia. Norfolk Southern employs 28,000 people. The company was founded in 1838.
Norfolk Southern’s main competitors are CSX Corp, Westshore Terminals Investment Corp, Canadian Pacific Railway Ltd.
– CSX Corp ($NASDAQ:CSX)
CSX Corporation is an American publicly traded company that operates as a Class I railroad in the United States. The company’s operating revenues and net income have both grown in recent years, and its market capitalization reached nearly $60 billion by early 2021. The company’s strong financial performance is due in part to its focus on efficiency and cost-cutting measures.
– Westshore Terminals Investment Corp ($TSX:WTE)
Westshore Terminals Investment Corp is a Canadian company that owns and operates a coal terminal on the west coast of Canada. The company has a market cap of 1.56B as of 2022 and a Return on Equity of 13.29%. The company’s terminal is the largest coal export facility in North America and handles nearly 30% of all thermal coal exports from the United States.
– Canadian Pacific Railway Ltd ($TSX:CP)
As of 2022, Canadian Pacific Railway Ltd has a market cap of 90.72B and a Return on Equity of 6.42%. The company operates a transcontinental railway in Canada and the United States, connecting major cities such as Vancouver, Toronto, and Chicago. CP is known for its efficiency and service, and is a major player in the freight transportation industry.
Summary
NORFOLK SOUTHERN‘s second quarter of FY2023 earnings report showed a decrease in revenue and net income compared to the same period in the previous year. Revenue declined 8.3% to USD 2980.0 million and net income fell 56.5% to USD 356.0 million. Given these results, investors should proceed with caution when considering investing in NORFOLK SOUTHERN. Investors should look at other factors such as the company’s competitive advantages, financial stability, and strategic positioning to make an informed decision.
Related Posts
Recent Posts
