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Kansas City Southern (KSU) Q1 Earnings Top Estimates, Up Y/Y
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Kansas City Southern’s first-quarter 2019 earnings (excluding 52 cents from non-recurring items) of $1.54 beat the Zacks Consensus Estimate of $1.45. The bottom line also rose 18.5% on a year-over-year basis. Results were aided by higher revenues across most segments and a better operational performance.
The company delivered revenues of $674.8 million, surpassing the Zacks Consensus Estimate of $668 million. Moreover, the top line improved 5.7% on a year-over-year basis. Overall, carload volumes dipped 1% year over year on account of service disruption.
In the reported quarter, adjusted operating income increased 10% to $242 million. Kansas City Southern’s operating ratio (operating expenses as a percentage of revenues) improved to 64.2% from 65.8% a year ago despite operating expenses rising 22.5%.
Kansas City Southern Price, Consensus and EPS Surprise
The Chemical & Petroleum segment generated revenues of $168.6 million, up 21% year over year. Volumes expanded 17% year over year. Revenues per carload also climbed 4% from the prior-year quarter.
The Industrial & Consumer Products segment generated revenues of $149.8 million, up 2% year over year. While business volumes contracted 3%, revenues per carload increased 5% year over year.
The Agriculture & Minerals segment’s total revenues were $122.9 million, up 8% year over year. While business volumes increased 9%, revenues per carload slipped 1%, both on a year-over-year basis.
The Energy segment’s revenues logged $64.6 million, up 5% year over year. While business volumes expanded 6% year over year, revenues per carload remained flat.
Intermodal revenues were $79.9 million, down 12% year over year. This downside was due to auto plant shutdowns among other factors. Moreover, business volumes and revenues per carload decreased 9% and 3%, respectively, in the quarter under review.
Revenues at the Automotive segment decreased 4% year over year to $57.6 million as a result of auto plant shutdowns among other factors. While business volumes declined 8%, revenues per carload climbed 5%, both on a year-over-year basis.
Other revenues totaled $31.4 million, up 15% year over year.
Investors interested in the broader Transportation sector are keenly awaiting first-quarter 2019 earnings reports from key players, namely Union Pacific Corporation (UNP - Free Report) , Landstar System, Inc. (LSTR - Free Report) and United Parcel Service, Inc. (UPS - Free Report) . While Union Pacific is scheduled to announce first-quarter earnings on Apr 18, Landstar and UPS will release the same on Apr 24 and Apr 25, respectively.
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Kansas City Southern (KSU) Q1 Earnings Top Estimates, Up Y/Y
Kansas City Southern’s first-quarter 2019 earnings (excluding 52 cents from non-recurring items) of $1.54 beat the Zacks Consensus Estimate of $1.45. The bottom line also rose 18.5% on a year-over-year basis. Results were aided by higher revenues across most segments and a better operational performance.
The company delivered revenues of $674.8 million, surpassing the Zacks Consensus Estimate of $668 million. Moreover, the top line improved 5.7% on a year-over-year basis. Overall, carload volumes dipped 1% year over year on account of service disruption.
In the reported quarter, adjusted operating income increased 10% to $242 million. Kansas City Southern’s operating ratio (operating expenses as a percentage of revenues) improved to 64.2% from 65.8% a year ago despite operating expenses rising 22.5%.
Kansas City Southern Price, Consensus and EPS Surprise
Kansas City Southern Price, Consensus and EPS Surprise | Kansas City Southern Quote
Segmental Details
The Chemical & Petroleum segment generated revenues of $168.6 million, up 21% year over year. Volumes expanded 17% year over year. Revenues per carload also climbed 4% from the prior-year quarter.
The Industrial & Consumer Products segment generated revenues of $149.8 million, up 2% year over year. While business volumes contracted 3%, revenues per carload increased 5% year over year.
The Agriculture & Minerals segment’s total revenues were $122.9 million, up 8% year over year. While business volumes increased 9%, revenues per carload slipped 1%, both on a year-over-year basis.
The Energy segment’s revenues logged $64.6 million, up 5% year over year. While business volumes expanded 6% year over year, revenues per carload remained flat.
Intermodal revenues were $79.9 million, down 12% year over year. This downside was due to auto plant shutdowns among other factors. Moreover, business volumes and revenues per carload decreased 9% and 3%, respectively, in the quarter under review.
Revenues at the Automotive segment decreased 4% year over year to $57.6 million as a result of auto plant shutdowns among other factors. While business volumes declined 8%, revenues per carload climbed 5%, both on a year-over-year basis.
Other revenues totaled $31.4 million, up 15% year over year.
Zacks Rank
Kansas City Southern carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Upcoming Releases
Investors interested in the broader Transportation sector are keenly awaiting first-quarter 2019 earnings reports from key players, namely Union Pacific Corporation (UNP - Free Report) , Landstar System, Inc. (LSTR - Free Report) and United Parcel Service, Inc. (UPS - Free Report) . While Union Pacific is scheduled to announce first-quarter earnings on Apr 18, Landstar and UPS will release the same on Apr 24 and Apr 25, respectively.
Radical New Technology Creates $12.3 Trillion Opportunity
Imagine buying Microsoft stock in the early days of personal computers… or Motorola after it released the world’s first cell phone. These technologies changed our lives and created massive profits for investors.
Today, we’re on the brink of the next quantum leap in technology. 7 innovative companies are leading this “4th Industrial Revolution” - and early investors stand to earn the biggest profits.
See the 7 breakthrough stocks now>>