Union Pacific Corp.'s third-quarter EPS missed analysts' expectations as the railroad operator recorded a year-over-year decline in net income and revenue.
The company booked net income of $1.56 billion in the third quarter, down 2% from $1.59 billion in the year-earlier period.
Third-quarter EPS rose 3% year over year to $2.22 from $2.15. The S&P Global Market Intelligence consensus GAAP EPS estimate was $2.31.
Total operating revenue slid 7% year over year to $5.52 billion from $5.93 billion. Business volumes also fell as declines in agricultural products, premium and energy shipments more than offset an increase in industrial volumes.
The company's operating income fell 2% to $2.23 billion from $2.27 billion in the year-earlier quarter. Meanwhile, total operating expenses decreased 10% to $3.28 billion from $3.66 billion.
Union Pacific said its operating ratio reached an all-time best in the third quarter, falling to 59.5% from 61.7% a year ago.