(The following story by Bob Cox appeared on the Fort Worth Star Telegram website on July 25.)
FORT WORTH, Texas — Burlington Northern Santa Fe, the Fort Worth-based railroad company, said that its second-quarter profit declined 19 percent, largely because of one-time charges for costs of an environmental cleanup in Montana.
Burlington Northern reported a profit of $350 million, or $1 a share, compared with $433 million, or $1.20 a share, a year earlier. Revenue rose 17 percent to $4.48 billion.
The company said it was raising its quarterly dividend by 25 percent to 40 cents a share.
Analysts had projected that BNSF would earn $1.30 a share on revenue of $4.43 billion.
“We experienced a number of challenges during the second quarter,” Chief Executive Matthew Rose said in a statement.
BNSF has fully restored rail service that was disrupted by flooding.
Second-quarter freight revenue increased $613 million to $4.35 billion compared with $3.74 billion a year earlier. The 16 percent increase was primarily attributable to improved yields and an increase in fuel surcharges of about $400 million driven by higher fuel prices.
The quarterly results included charges of 31 cents a share in cleanup costs, and 3 cents a share resulting from a fatal grade-crossing accident.