rail
Union Pacific's Revenue Ride Amid Volume Dip
Adriana Pulley · December 4, 2023 · 1 min read
Revenue Peak: UP's 2022 revenue soared to $23.2 billion, a record high.
Volume Decline: Carload volumes have shrunk by 17% since 2014, challenging the freight giant.
Union Pacific Railroad is on an interesting track: its revenues have hit an all-time high of $23.2 billion in 2022, thanks to inflationary assistance. Carload volumes tell another story, shrinking significantly over the years. Even without coal, there's a 9% drop. Yet, UP isn't just sitting in the station.
Service Metrics Steaming Ahead
On-Time Triumphs: Intermodal traffic punctuality is impressive at 94%.
Operational Overhaul: Car velocity and first/last mile performance are on the rise.
Car velocity is chugging along 25% faster, while first and last mile services have edged up 2 points to 92%.
Looking Ahead
Can UP regain its lost carload volume? It's banking on intermodal gains to do just that.
Layoffs Loom: Over 1,000 workers laid off amid deferred track maintenance.
Union Alarms: The union warns of "catastrophic outcomes," but UP cites unexpected budget overruns due to weather events.
Source: AP News | Trains.com
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