Q1 2026 Union Pacific Corp Earnings Call Transcript
Key Points
- Union Pacific Corp (UNP) reported record first-quarter results with net income of $1.7 billion, a 5% increase, and earnings per share of $2.87, a 6% increase.
- The company improved its operating ratio by 80 basis points to 59.9%, excluding merger costs.
- Freight revenue grew 4% despite a 1% decrease in volume, driven by core pricing gains and favorable business mix.
- Union Pacific Corp (UNP) achieved record first-quarter workforce productivity, enabling a 5% smaller workforce.
- The company generated $2.4 billion in cash from operations, up 10% from the previous year, and maintained an industry-leading dividend.
- Volume was 1% lower, impacting freight revenue negatively by 75 basis points.
- Fuel expenses increased by 7% due to higher fuel prices, posing a headwind for operating margins.
- Premium revenue declined 5% due to a 9% decrease in volume, particularly affected by lower West Coast imports.
- The merger process with Norfolk Southern is taking longer than anticipated, potentially delaying expected synergies.
- Union Pacific Corp (UNP) faces competitive pressures in select agricultural markets due to global and competitive environments.
Greetings, and welcome to the Union Pacific's first-quarter 2026 earnings conference call. (Operator Instructions) As a reminder, this conference is being recorded, and slides for today's presentation are available on Union Pacific's website.
It is now my pleasure to introduce your host, Mr. Jim Vena, Chiefa Executive Officer for Union Pacific. Thank you, Mr. Vena. You may now begin.
Well, good morning, everyone. Thanks for joining us. It's a wonderful morning here in Omaha a railroad and a little bit of rain coming down, but nothing that wouldn't stop men and women of Union Pacific from going out there and delivering. So really excited to be here and excited to review our first-quarter and then take your questions.
So of course, I'm joined here by the regular crew. We have the Chief Financial Officer with me, Jennifer Hamann. Got Eric. Eric railroad looks pretty good this morning. So excellent job our Executive Vice President of Operations. And of course, Executive Vice
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
