Genesee & Wyoming’s net profit jumped 32.6 percent to $32.9 million in the third quarter, as the short line and regional railroad operator flexed its pricing power on increased freight traffic.
The Greenwich, Conn.-based firm's rail traffic rose 17.3 percent year-over-year to 256,190 carloads, pushing freight revenue 20.7 percent to $115.7 million. The average revenue per carload rose 6 percent, excluding currency exchange appreciations, fuel surcharges and a favorable commodity mix.
The company’s non-freight revenue rose 10.5 percent year-over-year to $6.4 million and the carrier sees more business growth in the coming year.
“In the United States, the first months of operation of the Arizona Eastern Railway was in line with our acquisition plan,” said President and CEO Jack Hellmann. “In Canada, we are experiencing additional growth in iron ore shipments under our new contracts in the Labrador Trough.”