Union Pacific Reports Q3 2026 Financial Results with 15% Revenue Growth and 16% Diluted EPS Increase

Union Pacific Corporation (UNP) Q3 2026 Earnings Overview

Key Financial Highlights

• Operating Revenues: Reached $7,197 million in Q3 2026, up 15% from $6,244 million in Q3 2025. Growth was driven by 6% volume expansion, core pricing gains, higher fuel surcharge revenue, and increased other revenue, partially offset by mix.
• Operating Income: Increased 15% to $2,943 million compared to $2,549 million in the prior-year period.
• Net Income & EPS: Net income was $2.1 billion, up 16% YoY. Diluted EPS was $3.49 (up 16% from $3.01 in Q3 2025), and adjusted diluted EPS was $3.53 (up 15% from $3.08).
• Operating Ratio (OR): Reported operating ratio improved by 10 basis points to 59.1%. Adjusted operating ratio was 58.8% (up 30 bps), impacted by 140 basis points of headwinds from higher fuel prices.

Operational Metrics

• Carload Volumes: Revenue carloads grew 6% YoY.
• Velocity & Dwell: Freight car velocity increased 1% to 228 daily miles per car; average terminal dwell improved 2% to 19.9 hours.
• Efficiency: Fuel consumption rate improved 2% to 1.034 gallons per thousand GTMs. Workforce productivity increased 5% to 1,219 car miles per employee.

Full-Year 2026 Outlook

• EPS Growth: Affirmed high-single-digit growth, on track with the multi-year compound annual growth target.
• Capital Plan: Updated 2026 capital plan to approximately $3.5 billion.
• Operating Ratio Guidance: Core operating ratio improvements expected, while reported OR faces pressure from elevated fuel costs.