Kansas City Southern reported its profit in the first quarter of 2013 was $103.7 million, jumping 38.5 percent from $74.9 million in the first quarter of 2012.
Quarterly revenue was $552.8 million, rising 1.0 percent year-over-year from $547.5 million. Revenue gains in automotive, intermodal, energy and industrial and consumer products offset declines in agriculture and minerals revenue, which were primarily caused by a decrease in grain volumes from drought conditions in the Midwest during 2012, the Class I railroad said in a written statement. Chemical and petroleum revenue was flat compared with the first quarter of 2012.
The operating ratio in the first quarter of 2013 was 70.5 percent, a 0.7 point improvement from the first quarter of 2012.
“The continued growth of our energy franchise, particularly that related to the transport of crude oil into the Gulf region, along with announcements of increased automotive production in Mexico, are but a few reasons that the KCS growth story remains very much intact,” said David L. Starling, president and CEO. “Energy and automotive, along with cross-border intermodal, Lázaro Cárdenas expansion and a host of other opportunities throughout the system, position KCS very well for significant business growth over the next several years.”
“With the winter and first quarter behind us, we at KCS remain optimistic that our abundance of expanded and new business opportunities places us in a good position for growth during the remainder of 2013 and beyond,” he added.