UNP · 10-Q · 2026Q3 · Full report
Operating Margin Drivers
UNION PACIFIC CORP · 2026-10-22 · Importance 54 · Surprise 40 · No source text
Third-quarter operating income increased 15% to $2.9 billion, and the operating ratio improved 0.1 percentage point to 59.1% from 59.2% a year earlier. Top-line growth, productivity, and lower acquisition-related costs offset higher fuel costs and inflation in the quarter. For the first nine months, the operating ratio deteriorated 0.1 percentage point to 59.7%, as fuel prices, inflation, and acquisition-related expenses outweighed pricing gains and productivity. The quarter’s locomotive fuel price averaged $4.21 per gallon versus $2.56 a year earlier, a 64% increase.
Key facts
- UNION PACIFIC CORP reported third-quarter 2026 diluted earnings of $3.49 per share, net income of $2.1 billion, and an operating ratio of 59.1%, compared with $3.01 per share, $1.8 billion, and 59.2%, respectively, in third-quarter 2025. source
- UNION PACIFIC CORP operating income increased 15% to $2.9 billion in third-quarter 2026, and its operating ratio improved 0.1 points to 59.1%. source
- UNION PACIFIC CORP third-quarter 2026 operating ratio improved 0.1 points to 59.1%, while its year-to-date 2026 operating ratio deteriorated 0.1 points to 59.7%. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| operating_income | positive | realized | +5.3% | UNION PACIFIC CORP operating income increased 15% to $2.9 billion in third-quarter 2026, and its operating ratio improved 0.1 points to… |
| net_income | positive | realized | +4.2% | UNION PACIFIC CORP reported third-quarter 2026 diluted earnings of $3.49 per share, net income of $2.1 billion, and an operating ratio of… |
| margin | positive | realized | +0.1% | UNION PACIFIC CORP operating income increased 15% to $2.9 billion in third-quarter 2026, and its operating ratio improved 0.1 points to… |