Norfolk Southern Corp. today reported a better-than-expected quarterly net profit, as strong pricing offset falling freight volumes due to the slowing U.S. economy.
The Norfolk, Va.-based railroad reported fourth-quarter net income of $452 million, up from $399 million a year earlier.
Revenue totaled $2.5 billion, up 2 percent from the same period in 2007.
The railroad said freight volumes slid 8 percent in the quarter. Intermodal revenues were $480 million, down 3 percent compared with fourth-quarter 2007.
The operating ratio, a key measure of efficiency, improved by 4.5 percentage points to 67.5 percent.
Norfolk Southern said it plans capital expenditures of $1.4 billion in 2009.