(Reuters circulated the following story by James B. Kelleher on July 24.)
CHICAGO — U.S. railroad Burlington Northern Santa Fe Corp. said on Tuesday that quarterly net profit fell as a result of higher fuel expenses.
The Ft. Worth, Texas-based company reported second-quarter net income of $433 million or $1.20 a share, compared with $471 million or $1.27 a share a year earlier.
Wall Street analysts had on average expected earnings per share for the quarter of $1.22, according to Reuters Estimates.
Total revenues increased about 4 percent to $3.843 billion. Core freight revenues also rose 4 percent to $3.74 billion as demand for petroleum products, chemicals and plastic products offset a decline in building and construction products.
But those gains were erased by a more than 5 percent jump in operating expenses during the quarter, driven by higher fuel expenses.