FT Markets Data
Union Pacific Corp

Union Pacific Reports Second Quarter 2025 Results

  • Diluted earnings per share (EPS) of $3.15 and adjusted diluted EPS* of $3.03
  • Operating ratio (OR) of 59.0% and adjusted OR* of 58.1%
  • Revenue carloads up 4%

OMAHA, Neb.--(BUSINESS WIRE)--Jul. 24, 2025-- Union Pacific Corporation (NYSE: UNP) today reported 2025 second quarter net income of $1.9 billion, or $3.15 per diluted share. Results compare to 2024 second quarter net income of $1.7 billion, or $2.74 per diluted share.

Second quarter 2025 results include a deferred tax benefit of $115 million, or $0.19 per diluted share, partially offset by a crew staffing agreement of $55 million, or $0.07 per diluted share. 2025 second quarter adjusted net income* of $1.8 billion, or $3.03 per diluted share*, compares to 2024 second quarter adjusted net income* of $1.7 billion, or $2.71 per diluted share*.

“We are delivering on our strategy and our second quarter results demonstrate our commitment to leading the industry as we set new standards for safety, service, and operational excellence.” said Jim Vena, Union Pacific Chief Executive Officer. "The foundation is built, we are growing with our customers, and we have strong momentum as we continue to maximize the value of our great franchise.”

Second Quarter Summary: 2025 vs. 2024

Financial Results: Operational Fluidity and Service Supporting Revenue Growth; Second Quarter Records for Freight Revenue and Operating Income

  • Operating revenue of $6.2 billion grew 2% driven by higher volume and solid core pricing gains partially offset by reduced fuel surcharge, business mix, and lower other revenue.
  • Freight revenue excluding fuel surcharge grew 6%.
  • Reported operating ratio was 59.0%, an improvement of 100 basis points. Adjusted operating ratio* was 58.1%, an improvement of 230 basis points.

Operating Results: Continued Improvement in Safety, Service, and Operational Excellence; Second Quarter Record for Locomotive Productivity and Best Ever Quarter for Workforce Productivity and Train Length

  • Reportable personal injury rate and reportable derailment rate both improved.
  • Freight car velocity was 221 daily miles per car, a 10% improvement.
  • Locomotive productivity was 141 gross ton-miles (GTMs) per horsepower day, a 5% improvement.
  • Average maximum train length was 9,689 feet, a 2% increase.
  • Workforce productivity improved 9% to 1,124 car miles per employee.

*

Adjusted diluted earnings per share and adjusted operating ratio are considered non-GAAP financial measures. See attached supplemental schedule of non-GAAP measures for a reconciliation to GAAP.

On Track With Investor Day Targets

  • Affirming 2025 Outlook:
    • Well-positioned to meet customer demand; challenging second half international intermodal comparison
    • Pricing dollars accretive to operating ratio
    • Earnings per share growth consistent with attaining the 3-year CAGR target of high-single to low-double digit
    • Industry-leading operating ratio and return on invested capital
    • No change to long-term capital allocation strategy
      - Capital plan of $3.4 billion
      - Share repurchases of $4.0 to $4.5 billion
      - Third quarter 2025 dividend increase of 3%

Second Quarter 2025 Earnings Conference Call

Union Pacific will webcast its second quarter 2025 earnings release presentation live at www.up.com/investor and via teleconference on Thursday, July 24, 2025, at 8:45 a.m. Eastern Time. Participants may join the conference call by dialing 877-407-8293 (or for international participants, 201-689-8349).

ABOUT UNION PACIFIC

Union Pacific (NYSE: UNP) delivers the goods families and businesses use every day with safe, reliable, and efficient service. Operating in 23 western states, the company connects its customers and communities to the global economy. Trains are the most environmentally responsible way to move freight, helping Union Pacific protect future generations. More information about Union Pacific is available at www.up.com.

Supplemental financial information is attached .

This news release and related materials contain statements about the Company’s future that are not statements of historical fact, including specifically the statements regarding the potential impacts of public health crises, including pandemics, epidemics and the outbreak of other contagious diseases, such as the coronavirus and its variant strains (COVID); the Russia-Ukraine and Israel-Hamas wars and other geopolitical tensions in the Middle East, and any impacts on our business operations, financial results, liquidity, and financial position, and on the world economy (including customers, employees, and supply chains), including as a result of fluctuations in volume and carloadings; expectations as to general macroeconomic conditions, including slowdowns and recessions, domestically or internationally, and future volatility in interest rates and fuel prices; closing of customer manufacturing, distribution, or production facilities; expectations as to operational or service improvements; expectations as to hiring challenges; availability of employees; expectations regarding the effectiveness of steps taken or to be taken to improve operations, service, infrastructure improvements, and transportation plan modifications (including those in response to increased traffic); expectations as to cost savings, revenue growth, and earnings; the time by which goals, targets, or objectives will be achieved; projections, predictions, expectations, estimates, or forecasts as to business, financial, and operational results, future economic performance, and planned capital investments ; proposed new products and services; estimates of costs relating to environmental remediation and restoration; estimates and expectations regarding tax matters; estimates and expectations regarding current or potential tariffs; expectations that claims, litigation, environmental costs, commitments, contingent liabilities, labor negotiations or agreements, cyber incidents or other matters. These statements are, or will be, forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements also generally include, without limitation, information, or statements regarding: projections, predictions, expectations, estimates, or forecasts as to the Company’s and its subsidiaries’ business, financial, and operational results, and future economic performance; and management’s beliefs, expectations, goals, and objectives and other similar expressions concerning matters that are not historical facts.

Forward-looking statements should not be read as a guarantee of future performance or results and will not necessarily be accurate indications of the times that, or by which, such performance or results will be achieved. Forward-looking information, including expectations regarding operational and financial improvements and the Company’s future performance or results are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in the statement. Important factors, including risk factors, could affect the Company’s and its subsidiaries’ future results and could cause those results or other outcomes to differ materially from those expressed or implied in the forward-looking statements. Information regarding risk factors and other cautionary information are available in the Company’s Annual Report on Form 10-K for 2024, which was filed with the SEC on February 7, 2025. The Company updates information regarding risk factors if circumstances require such updates in its periodic reports on Form 10-Q and its subsequent Annual Reports on Form 10-K (or such other reports that may be filed with the SEC).

Forward-looking statements speak only as of, and are based only upon information available on, the date the statements were made. The Company assumes no obligation to update forward-looking information to reflect actual results, changes in assumptions, or changes in other factors affecting forward-looking information. If the Company does update one or more forward-looking statements, no inference should be drawn that the Company will make additional updates with respect thereto or with respect to other forward-looking statements. References to the Company’s website are provided for convenience and, therefore, information on or available through the website is not, and should not be deemed to be, incorporated by reference herein.

UNION PACIFIC CORPORATION AND SUBSIDIARY COMPANIES

Condensed Consolidated Statements of Income (unaudited)

 

 

Millions, except per share amounts and percentages,

for the periods ended June 30,

2nd quarter

Year-to-date

 

2025

 

 

2024

 

%

 

 

2025

 

 

2024

 

%

 

Operating revenues

 

 

 

 

 

 

Freight revenues

$

5,843

 

$

5,638

 

4

%

$

11,534

 

$

11,254

 

2

%

Other revenues

 

311

 

 

369

 

(16

)

 

647

 

 

784

 

(17

)

Total operating revenues

 

6,154

 

 

6,007

 

2

 

 

12,181

 

 

12,038

 

1

 

Operating expenses

 

 

 

 

 

 

Compensation and benefits

 

1,249

 

 

1,187

 

5

 

 

2,461

 

 

2,410

 

2

 

Purchased services and materials

 

642

 

 

644

 

-

 

 

1,273

 

 

1,257

 

1

 

Depreciation

 

613

 

 

596

 

3

 

 

1,223

 

 

1,190

 

3

 

Fuel

 

576

 

 

625

 

(8

)

 

1,179

 

 

1,283

 

(8

)

Equipment and other rents

 

230

 

 

219

 

5

 

 

471

 

 

435

 

8

 

Other

 

319

 

 

336

 

(5

)

 

678

 

 

691

 

(2

)

Total operating expenses

 

3,629

 

 

3,607

 

1

 

 

7,285

 

 

7,266

 

-

 

Operating income

 

2,525

 

 

2,400

 

5

 

 

4,896

 

 

4,772

 

3

 

Other income, net

 

123

 

 

103

 

19

 

 

201

 

 

195

 

3

 

Interest expense

 

(335

)

 

(319

)

5

 

 

(657

)

 

(643

)

2

 

Income before income taxes

 

2,313

 

 

2,184

 

6

 

 

4,440

 

 

4,324

 

3

 

Income tax expense

 

(437

)

 

(511

)

(14

)

 

(938

)

 

(1,010

)

(7

)

Net income

$

1,876

 

$

1,673

 

12

%

$

3,502

 

$

3,314

 

6

%

 

 

 

 

 

 

 

Share and per share

 

 

 

 

 

 

Earnings per share - basic

$

3.16

 

$

2.75

 

15

%

$

5.86

 

$

5.44

 

8

%

Earnings per share - diluted

$

3.15

 

$

2.74

 

15

 

$

5.85

 

$

5.43

 

8

 

Weighted average number of shares - basic

 

594.1

 

 

609.4

 

(3

)

 

597.5

 

 

609.3

 

(2

)

Weighted average number of shares - diluted

 

594.8

 

 

610.3

 

(3

)

 

598.4

 

 

610.3

 

(2

)

Dividends declared per share

$

1.34

 

$

1.30

 

3

 

$

2.68

 

$

2.60

 

3

 

 

 

 

 

 

 

 

Operating ratio

 

59.0

%

 

60.0

%

(1.0) pts

 

59.8

%

 

60.4

%

(0.6) pts

Effective tax rate

 

18.9

%

 

23.4

%

(4.5) pts

 

21.1

%

 

23.4

%

(2.3) pts

UNION PACIFIC CORPORATION AND SUBSIDIARY COMPANIES

Freight Revenues Statistics (unaudited)

 

 

 

2nd quarter

 

Year-to-date

For the periods ended June 30,

 

2025

 

 

2024

 

%

 

 

 

2025

 

 

2024

 

%

 

Freight revenues (millions)

 

 

 

 

 

 

 

Grain & grain products

$

964

$

901

7

%

 

$

1,914

$

1,844

4

%

Fertilizer

 

201

 

 

203

 

(1

)

 

 

411

 

 

404

 

2

 

Food & refrigerated

 

267

 

 

278

 

(4

)

 

 

527

 

 

563

 

(6

)

Coal & renewables

 

469

 

 

339

 

38

 

 

 

885

 

 

727

 

22

 

Bulk

 

1,901

 

 

1,721

 

10

 

 

 

3,737

 

 

3,538

 

6

 

Industrial chemicals & plastics

 

646

 

 

593

 

9

 

 

 

1,253

 

 

1,165

 

8

 

Metals & minerals

 

561

 

 

530

 

6

 

 

 

1,082

 

 

1,045

 

4

 

Forest products

 

340

 

 

342

 

(1

)

 

 

661

 

 

680

 

(3

)

Energy & specialized markets

 

665

 

 

658

 

1

 

 

 

1,298

 

 

1,337

 

(3

)

Industrial

 

2,212

 

 

2,123

 

4

 

 

 

4,294

 

 

4,227

 

2

 

Automotive

 

632

 

 

659

 

(4

)

 

 

1,213

 

 

1,270

 

(4

)

Intermodal

 

1,098

 

 

1,135

 

(3

)

 

 

2,290

 

 

2,219

 

3

 

Premium

 

1,730

 

 

1,794

 

(4

)

 

 

3,503

 

 

3,489

 

-

 

Total

$

5,843

 

$

5,638

 

4

%

 

$

11,534

 

$

11,254

 

2

%

Revenue carloads (thousands)

 

 

 

 

 

 

 

Grain & grain products

 

216

 

 

200

 

8

%

 

 

430

 

 

410

 

5

%

Fertilizer

 

55

 

 

62

 

(11

)

 

 

104

 

 

109

 

(5

)

Food & refrigerated

 

43

 

 

46

 

(7

)

 

 

86

 

 

92

 

(7

)

Coal & renewables

 

205

 

 

158

 

30

 

 

 

390

 

 

335

 

16

 

Bulk

 

519

 

 

466

 

11

 

 

 

1,010

 

 

946

 

7

 

Industrial chemicals & plastics

 

177

 

 

169

 

5

 

 

 

346

 

 

333

 

4

 

Metals & minerals

 

191

 

 

184

 

4

 

 

 

365

 

 

354

 

3

 

Forest products

 

52

 

 

55

 

(5

)

 

 

103

 

 

108

 

(5

)

Energy & specialized markets

 

149

 

 

147

 

1

 

 

 

292

 

 

301

 

(3

)

Industrial

 

569

 

 

555

 

3

 

 

 

1,106

 

 

1,096

 

1

 

Automotive

 

209

 

 

218

 

(4

)

 

 

404

 

 

425

 

(5

)

Intermodal [a]

 

817

 

 

798

 

2

 

 

 

1,691

 

 

1,537

 

10

 

Premium

 

1,026

 

 

1,016

 

1

 

 

 

2,095

 

 

1,962

 

7

 

Total

 

2,114

 

 

2,037

 

4

%

 

 

4,211

 

 

4,004

 

5

%

Average revenue per car

 

 

 

 

 

 

 

Grain & grain products

$

4,467

 

$

4,493

 

(1

)%

 

$

4,451

 

$

4,493

 

(1

)%

Fertilizer

 

3,627

 

 

3,311

 

10

 

 

 

3,959

 

 

3,727

 

6

 

Food & refrigerated

 

6,237

 

 

5,943

 

5

 

 

 

6,147

 

 

6,086

 

1

 

Coal & renewables

 

2,283

 

 

2,156

 

6

 

 

 

2,267

 

 

2,173

 

4

 

Bulk

 

3,659

 

 

3,692

 

(1

)

 

 

3,700

 

 

3,740

 

(1

)

Industrial chemicals & plastics

 

3,647

 

 

3,507

 

4

 

 

 

3,625

 

 

3,497

 

4

 

Metals & minerals

 

2,950

 

 

2,885

 

2

 

 

 

2,967

 

 

2,955

 

-

 

Forest products

 

6,508

 

 

6,249

 

4

 

 

 

6,387

 

 

6,272

 

2

 

Energy & specialized markets

 

4,439

 

 

4,462

 

(1

)

 

 

4,436

 

 

4,439

 

-

 

Industrial

 

3,885

 

 

3,825

 

2

 

 

 

3,881

 

 

3,855

 

1

 

Automotive

 

3,034

 

 

3,033

 

-

 

 

 

3,004

 

 

2,991

 

-

 

Intermodal [a]

 

1,345

 

 

1,421

 

(5

)

 

 

1,355

 

 

1,444

 

(6

)

Premium

 

1,688

 

 

1,766

 

(4

)

 

 

1,673

 

 

1,779

 

(6

)

Average

$

2,764

 

$

2,768

 

-

%

 

$

2,739

 

$

2,811

 

(3

)%

 

[a] For intermodal shipments each container or trailer equals one carload.

UNION PACIFIC CORPORATION AND SUBSIDIARY COMPANIES

Condensed Consolidated Statements of Financial Position (unaudited)

 

Millions

Jun. 30,
2025

 

Dec. 31,
2024

 

Assets

 

 

Cash and cash equivalents

$

1,060

$

1,016

Other current assets

 

3,123

 

 

3,005

 

Investments

 

2,785

 

 

2,664

 

Properties, net

 

59,017

 

 

58,343

 

Operating lease assets

 

1,193

 

 

1,297

 

Other assets

 

1,398

 

 

1,390

 

Total assets

$

68,576

 

$

67,715

 

 

 

 

Liabilities and common shareholders' equity

 

 

Debt due within one year

$

2,522

 

$

1,425

 

Other current liabilities

 

3,930

 

 

3,829

 

Debt due after one year

 

30,291

 

 

29,767

 

Operating lease liabilities

 

831

 

 

925

 

Deferred income taxes

 

13,029

 

 

13,151

 

Other long-term liabilities

 

1,715

 

 

1,728

 

Total liabilities

 

52,318

 

 

50,825

 

Total common shareholders' equity

 

16,258

 

 

16,890

 

Total liabilities and common shareholders' equity

$

68,576

 

$

67,715

 

 

 

 

Debt / net income

 

4.7

 

 

4.6

 

Adjusted debt / adjusted EBITDA*

 

2.8

 

 

2.7

 

 

* Adjusted debt / adjusted EBITDA is a non-GAAP measure. See page 10 for a reconciliation to GAAP.

UNION PACIFIC CORPORATION AND SUBSIDIARY COMPANIES

Condensed Consolidated Statements of Cash Flows (unaudited)

 

 

Year-to-date

Millions, for the periods ended June 30,

 

2025

 

 

2024

 

Operating activities

 

 

Net income

$

3,502

 

$

3,314

 

Depreciation

 

1,223

 

 

1,190

 

Deferred and other income taxes

 

(123

)

 

43

 

Other - net

 

(59

)

 

(514

)

Cash provided by operating activities

 

4,543

 

 

4,033

 

Investing activities

 

 

Capital investments*

 

(1,842

)

 

(1,699

)

Other - net

 

3

 

 

107

 

Cash used in investing activities

 

(1,839

)

 

(1,592

)

Financing activities

 

 

Share repurchase programs

 

(2,679

)

 

(100

)

Debt issued

 

1,995

 

 

800

 

Dividends paid

 

(1,599

)

 

(1,588

)

Debt repaid

 

(409

)

 

(1,807

)

Net Issued/(paid) commercial paper

 

-

 

 

297

 

Other - net

 

43

 

 

30

 

Cash used in financing activities

 

(2,649

)

 

(2,368

)

Net change in cash, cash equivalents, and restricted cash

 

55

 

 

73

 

Cash, cash equivalents, and restricted cash at beginning of year

 

1,028

 

 

1,074

 

Cash, cash equivalents, and restricted cash at end of period

$

1,083

 

$

1,147

 

Free cash flow**

 

 

Cash provided by operating activities

$

4,543

 

$

4,033

 

Cash used in investing activities

 

(1,839

)

 

(1,592

)

Dividends paid

 

(1,599

)

 

(1,588

)

Free cash flow

$

1,105

 

$

853

 

*

Capital investments include locomotive and freight car early lease buyouts of $178 million in 2025 and $96 million in 2024.

**

Free cash flow is defined as cash provided by operating activities less cash used in investing activities and dividends paid. Free cash flow is considered non-GAAP financial measure by SEC Regulation G and Item 10 of SEC Regulation S-K and may not be defined and calculated by other companies in the same manner. We believe free cash flow is important to management and investors in evaluating our financial performance and measures our ability to generate cash without additional external financing. Free cash flow should be considered in addition to, rather than as a substitute for, cash provided by operating activities.

UNION PACIFIC CORPORATION AND SUBSIDIARY COMPANIES

Operating and Performance Statistics (unaudited)

 

 

 

2nd quarter

 

Year-to-date

For the periods ended June 30,

 

2025

 

 

2024

 

%

 

 

 

2025

 

 

2024

 

%

 

Operating/performance statistics

 

 

 

 

 

 

 

Freight car velocity (daily miles per car)

 

221

 

201

10

%

 

 

218

 

202

8

%

Average train speed (miles per hour)*

 

23.9

 

 

23.3

 

3

 

 

 

23.8

 

 

23.7

 

-

 

Average terminal dwell time (hours)*

 

21.2

 

 

22.7

 

(7

)

 

 

21.7

 

 

23.1

 

(6

)

Locomotive productivity (GTMs per horsepower day)

 

141

 

 

134

 

5

 

 

 

138

 

 

134

 

3

 

Gross ton-miles (GTMs) (millions)

 

220,258

 

 

206,806

 

7

 

 

 

433,050

 

 

412,835

 

5

 

Train length (feet)

 

9,689

 

 

9,544

 

2

 

 

 

9,590

 

 

9,415

 

2

 

Intermodal service performance index (%)

 

99

 

 

93

 

6 pts

 

 

96

 

 

93

 

3 pts

Manifest service performance index (%)

 

97

 

 

84

 

13 pts

 

 

95

 

 

85

 

10 pts

Intermodal car trip plan compliance (%)

 

88

 

 

83

 

5 pts

 

 

86

 

 

83

 

3 pts

Manifest car trip plan compliance (%)

 

74

 

 

64

 

10 pts

 

 

72

 

 

65

 

7 pts

Workforce productivity (car miles per employee)

 

1,124

 

 

1,031

 

9

 

 

 

1,108

 

 

1,015

 

9

 

Total employees (average)

 

29,711

 

 

30,556

 

(3

)

 

 

29,929

 

 

30,804

 

(3

)

 

 

 

 

 

 

 

 

Locomotive fuel statistics

 

 

 

 

 

 

 

Average fuel price per gallon consumed

$

2.42

 

$

2.73

 

(11

)%

 

$

2.46

 

$

2.77

 

(11

)%

Fuel consumed in gallons (millions)

 

232

 

 

223

 

4

 

 

 

468

 

 

453

 

3

 

Fuel consumption rate**

 

1.058

 

 

1.080

 

(2

)

 

 

1.082

 

 

1.097

 

(1

)

 

 

 

 

 

 

 

 

Revenue ton-miles (millions)

 

 

 

 

 

 

 

Grain & grain products

 

21,486

 

 

19,995

 

7

%

 

 

42,630

 

 

40,644

 

5

%

Fertilizer

 

3,346

 

 

3,570

 

(6

)

 

 

6,777

 

 

6,857

 

(1

)

Food & refrigerated

 

4,709

 

 

4,693

 

-

 

 

 

9,249

 

 

9,610

 

(4

)

Coal & renewables

 

23,117

 

 

16,351

 

41

 

 

 

43,331

 

 

35,234

 

23

 

Bulk

 

52,658

 

 

44,609

 

18

 

 

 

101,987

 

 

92,345

 

10

 

Industrial chemicals & plastics

 

8,004

 

 

8,069

 

(1

)

 

 

15,741

 

 

15,496

 

2

 

Metals & minerals

 

8,564

 

 

8,301

 

3

 

 

 

16,662

 

 

16,366

 

2

 

Forest products

 

5,533

 

 

5,663

 

(2

)

 

 

10,802

 

 

11,243

 

(4

)

Energy & specialized markets

 

10,011

 

 

10,229

 

(2

)

 

 

19,730

 

 

20,815

 

(5

)

Industrial

 

32,112

 

 

32,262

 

-

 

 

 

62,935

 

 

63,920

 

(2

)

Automotive

 

4,756

 

 

4,879

 

(3

)

 

 

9,200

 

 

9,415

 

(2

)

Intermodal

 

18,024

 

 

18,242

 

(1

)

 

 

37,439

 

 

35,577

 

5

 

Premium

 

22,780

 

 

23,121

 

(1

)

 

 

46,639

 

 

44,992

 

4

 

Total

 

107,550

 

 

99,992

 

8

%

 

 

211,561

 

 

201,257

 

5

%

*

Surface Transportation Board (STB) reported performance measures.

**

Fuel consumption is computed as follows: gallons of fuel consumed divided by gross ton-miles in thousands.

UNION PACIFIC CORPORATION AND SUBSIDIARY COMPANIES

Condensed Consolidated Statements of Income (unaudited)

 

Millions,

except per share amounts and percentages,

2025

1st qtr

2nd qtr

Year-to-date

Operating revenues

 

 

 

Freight revenues

$

5,691

 

$

5,843

 

$

11,534

 

Other revenues

 

336

 

 

311

 

 

647

 

Total operating revenues

 

6,027

 

 

6,154

 

 

12,181

 

Operating expenses

 

 

 

Compensation and benefits

 

1,212

 

 

1,249

 

 

2,461

 

Purchased services and materials

 

631

 

 

642

 

 

1,273

 

Depreciation

 

610

 

 

613

 

 

1,223

 

Fuel

 

603

 

 

576

 

 

1,179

 

Equipment and other rents

 

241

 

 

230

 

 

471

 

Other

 

359

 

 

319

 

 

678

 

Total operating expenses

 

3,656

 

 

3,629

 

 

7,285

 

Operating income

 

2,371

 

 

2,525

 

 

4,896

 

Other income, net

 

78

 

 

123

 

 

201

 

Interest expense

 

(322

)

 

(335

)

 

(657

)

Income before income taxes

 

2,127

 

 

2,313

 

 

4,440

 

Income tax expense

 

(501

)

 

(437

)

 

(938

)

Net income

$

1,626

 

$

1,876

 

$

3,502

 

 

 

 

 

Share and per share

 

 

 

Earnings per share - basic

$

2.71

 

$

3.16

 

$

5.86

 

Earnings per share - diluted

$

2.70

 

$

3.15

 

$

5.85

 

Weighted average number of shares - basic

 

601.0

 

 

594.1

 

 

597.5

 

Weighted average number of shares - diluted

 

601.9

 

 

594.8

 

 

598.4

 

Dividends declared per share

$

1.34

 

$

1.34

 

$

2.68

 

 

 

 

 

Operating ratio

 

60.7

%

 

59.0

%

 

59.8

%

Effective tax rate

 

23.6

%

 

18.9

%

 

21.1

%

UNION PACIFIC CORPORATION AND SUBSIDIARY COMPANIES

Freight Revenue Statistics (unaudited)

 

 

2025

 

1st qtr

2nd qtr

Year-to-date

Freight revenues (millions)

 

 

 

Grain & grain products

$

950

$

964

$

1,914

Fertilizer

 

210

 

 

201

 

 

411

 

Food & refrigerated

 

260

 

 

267

 

 

527

 

Coal & renewables

 

416

 

 

469

 

 

885

 

Bulk

 

1,836

 

 

1,901

 

 

3,737

 

Industrial chemicals & plastics

 

607

 

 

646

 

 

1,253

 

Metals & minerals

 

521

 

 

561

 

 

1,082

 

Forest products

 

321

 

 

340

 

 

661

 

Energy & specialized markets

 

633

 

 

665

 

 

1,298

 

Industrial

 

2,082

 

 

2,212

 

 

4,294

 

Automotive

 

581

 

 

632

 

 

1,213

 

Intermodal

 

1,192

 

 

1,098

 

 

2,290

 

Premium

 

1,773

 

 

1,730

 

 

3,503

 

Total

$

5,691

 

$

5,843

 

$

11,534

 

Revenue carloads (thousands)

 

 

 

Grain & grain products

 

214

 

 

216

 

 

430

 

Fertilizer

 

49

 

 

55

 

 

104

 

Food & refrigerated

 

43

 

 

43

 

 

86

 

Coal & renewables

 

185

 

 

205

 

 

390

 

Bulk

 

491

 

 

519

 

 

1,010

 

Industrial chemicals & plastics

 

169

 

 

177

 

 

346

 

Metals & minerals

 

174

 

 

191

 

 

365

 

Forest products

 

51

 

 

52

 

 

103

 

Energy & specialized markets

 

143

 

 

149

 

 

292

 

Industrial

 

537

 

 

569

 

 

1,106

 

Automotive

 

195

 

 

209

 

 

404

 

Intermodal [a]

 

874

 

 

817

 

 

1,691

 

Premium

 

1,069

 

 

1,026

 

 

2,095

 

Total

 

2,097

 

 

2,114

 

 

4,211

 

Average revenue per car

 

 

 

Grain & grain products

$

4,434

 

$

4,467

 

$

4,451

 

Fertilizer

 

4,339

 

 

3,627

 

 

3,959

 

Food & refrigerated

 

6,058

 

 

6,237

 

 

6,147

 

Coal & renewables

 

2,250

 

 

2,283

 

 

2,267

 

Bulk

 

3,744

 

 

3,659

 

 

3,700

 

Industrial chemicals & plastics

 

3,601

 

 

3,647

 

 

3,625

 

Metals & minerals

 

2,986

 

 

2,950

 

 

2,967

 

Forest products

 

6,264

 

 

6,508

 

 

6,387

 

Energy & specialized markets

 

4,433

 

 

4,439

 

 

4,436

 

Industrial

 

3,877

 

 

3,885

 

 

3,881

 

Automotive

 

2,971

 

 

3,034

 

 

3,004

 

Intermodal [a]

 

1,364

 

 

1,345

 

 

1,355

 

Premium

 

1,658

 

 

1,688

 

 

1,673

 

Average

$

2,714

 

$

2,764

 

$

2,739

 

 

[a] For intermodal shipments each container or trailer equals one carload.

UNION PACIFIC CORPORATION AND SUBSIDIARY COMPANIES

Non-GAAP Measures Reconciliation to GAAP (unaudited)

 

Financial Performance*

 

 

 

 

Millions, except per share amounts and percentages,

for the three months ended June 30, 2025

Reported
results
(GAAP)

Deferred tax
adjustment

Crew staffing
agreement

Adjusted
results
(non-GAAP)

Operating expenses

$

3,629

 

$

-

 

$

(55

)

$

3,574

 

Operating income

 

2,525

 

 

-

 

 

55

 

 

2,580

 

Income tax expense

 

(437

)

 

(115

)

 

(13

)

 

(565

)

Net income

 

1,876

 

 

(115

)

 

42

 

 

1,803

 

Earnings per share - diluted

 

3.15

 

 

(0.19

)

 

0.07

 

 

3.03

 

Operating ratio

 

59.0

%

 

-

%

 

(0.9

)%

 

58.1

%

Millions, except per share amounts and percentages,

for the three months ended June 30, 2024

Reported
results
(GAAP)

Gain on sale
of intermodal
equipment

Environmental
remediation

Adjusted
results
(non-GAAP)

Operating expenses

$

3,607

 

$

46

 

$

(23

)

$

3,630

 

Operating income

 

2,400

 

 

(46

)

 

23

 

 

2,377

 

Income tax expense

 

(511

)

 

11

 

 

(6

)

 

(506

)

Net income

 

1,673

 

 

(35

)

 

17

 

 

1,655

 

Earnings per share - diluted

 

2.74

 

 

(0.06

)

 

0.03

 

 

2.71

 

Operating ratio

 

60.0

%

 

0.8

%

 

(0.4

)%

 

60.4

%

*

The above tables reconcile our results for the three months ended as of June 30, 2025 and 2024, to adjust results that exclude the impact of certain items identified as affecting comparability. We use adjusted operating expenses, adjusted operating income, adjusted income tax expense, adjusted net income, adjusted diluted earnings per share (EPS), and adjusted operating ratio, as applicable, among other measures, to evaluate our actual operating performance. The measures listed in the above tables are considered non-GAAP by SEC Regulation G and Item 10 of SEC Regulation S-K. We believe these non-GAAP financial measures provide valuable information regarding earnings and business trends by excluding specific items that we believe are not indicative of our ongoing operating results of our business, providing a useful way for investors to make a comparison of our performance over time and against other companies in our industry. Since these are not measures of performance calculated in accordance with GAAP, they should be considered in addition to, rather than as a substitute for, operating expenses, operating income, income tax expense, net income, diluted EPS, and operating ratio as indicators of operating performance.

UNION PACIFIC CORPORATION AND SUBSIDIARY COMPANIES

Non-GAAP Measures Reconciliation to GAAP (unaudited)

 

Financial Performance*

 

 

 

 

Millions, except per share amounts and percentages,

for the six month ended June 30, 2025

Reported
results
(GAAP)

Deferred tax adjustment

Crew staffing agreement

Adjusted
results
(non-GAAP)

Operating expenses

$

7,285

 

$

-

 

$

(55

)

$

7,230

 

Operating income

 

4,896

 

 

-

 

 

55

 

 

4,951

 

Income tax expense

 

(938

)

 

(115

)

 

(13

)

 

(1,066

)

Net income

 

3,502

 

 

(115

)

 

42

 

 

3,429

 

Earnings per share - diluted

 

5.85

 

 

(0.19

)

 

0.07

 

 

5.73

 

Operating ratio

 

59.8

%

 

-

%

 

(0.4

)%

 

59.4

%

Millions, except per share amounts and percentages,

for the six month ended June 30, 2024

Reported
results
(GAAP)

Gain on sale
of intermodal
equipment

Environmental
remediation

Adjusted
results
(non-GAAP)

Operating expenses

$

7,266

 

$

46

 

$

(23

)

$

7,289

 

Operating income

 

4,772

 

 

(46

)

 

23

 

 

4,749

 

Income tax expense

 

(1,010

)

 

11

 

 

(6

)

 

(1,005

)

Net income

 

3,314

 

 

(35

)

 

17

 

 

3,296

 

Earnings per share - diluted

 

5.43

 

 

(0.06

)

 

0.03

 

 

5.40

 

Operating ratio

 

60.4

%

 

0.3

%

 

(0.2

)%

 

60.5

%

*

The above tables reconcile our results for the six months ended as of June 30, 2025 and 2024, to adjust results that exclude the impact of certain items identified as affecting comparability. We use adjusted operating expenses, adjusted operating income, adjusted income tax expense, adjusted net income, adjusted diluted EPS, and adjusted operating ratio, as applicable, among other measures, to evaluate our actual operating performance. The measures listed in the above tables are considered non-GAAP by SEC Regulation G and Item 10 of SEC Regulation S-K. We believe these non-GAAP financial measures provide valuable information regarding earnings and business trends by excluding specific items that we believe are not indicative of our ongoing operating results of our business, providing a useful way for investors to make a comparison of our performance over time and against other companies in our industry. Since these are not measures of performance calculated in accordance with GAAP, they should be considered in addition to, rather than as a substitute for, operating expenses, operating income, income tax expense, net income, diluted EPS, and operating ratio as indicators of operating performance.

UNION PACIFIC CORPORATION AND SUBSIDIARY COMPANIES

Non-GAAP Measures Reconciliation to GAAP (unaudited)

 

Debt / net income

 

 

Millions, except ratios

for the trailing twelve months ended [1]

Jun. 30,
2025

 

Dec. 31,
2024

 

Debt

$

32,813

$

31,192

Net income

 

6,935

 

 

6,747

 

Debt / net income

 

4.7

 

 

4.6

 

Adjusted debt / adjusted EBITDA*

 

 

Millions, except ratios

for the trailing twelve months ended [1]

Jun. 30,
2025

Dec. 31,
2024

Net income

$

6,935

 

$

6,747

 

Add:

 

 

Income tax expense

 

1,975

 

 

2,047

 

Depreciation

 

2,431

 

 

2,398

 

Interest expense

 

1,283

 

 

1,269

 

EBITDA

$

12,624

 

$

12,461

 

Adjustments:

 

 

Other income, net

 

(356

)

 

(350

)

Interest on operating lease liabilities [2]

 

46

 

 

48

 

Adjusted EBITDA (a)

$

12,314

 

$

12,159

 

Debt

$

32,813

 

$

31,192

 

Operating lease liabilities

 

1,143

 

 

1,271

 

Adjusted debt (b)

$

33,956

 

$

32,463

 

Adjusted debt / adjusted EBITDA (b/a)

 

2.8

 

 

2.7

 

[1]

The trailing twelve months income statement information ended June 30, 2025, is recalculated by taking the twelve months ended December 31, 2024, subtracting the six months ended June 30, 2024, and adding the six months ended June 30, 2025.

[2]

Represents the hypothetical interest expense we would incur (using the incremental borrowing rate) if the property under our operating leases were owned or accounted for as finance leases.

*

Adjusted debt (total debt plus operating lease liabilities plus after-tax unfunded pension and OPEB (other post-retirement benefit) obligations) to adjusted EBITDA (earnings before interest, taxes, depreciation, amortization, and adjustments for other income and interest on present value of operating leases) is considered a non-GAAP financial measure by SEC Regulation G and Item 10 of SEC Regulation S-K and may not be defined and calculated by other companies in the same manner. We believe this measure is important to management and investors in evaluating the Company’s ability to sustain given debt levels (including leases) with the cash generated from operations. In addition, a comparable measure is used by rating agencies when reviewing the Company’s credit rating. Adjusted debt to adjusted EBITDA should be considered in addition to, rather than as a substitute for, other information provided in accordance with GAAP. The most comparable GAAP measure is debt to net income ratio. The tables above provide reconciliations from net income to adjusted EBITDA, debt to adjusted debt, and debt to net income to adjusted debt to adjusted EBITDA. At June 30, 2025, and December 31, 2024, the incremental borrowing rate on operating leases was 4.0% and 3.8%, respectively. Pension and OPEB were funded at June 30, 2025, and December 31, 2024.

 

Union Pacific Investor contact: Diana Prauner at 402-544-4227 or dprauner@up.com
Union Pacific Media contact: Clarissa Beyah at 402-957-4793 or cbeyah@up.com

Source: Union Pacific Corporation