Norfolk Southern reports Q1 2025 results, highlights 8% adjusted EPS growth

Norfolk Southern Corporation (NYSE: NSC) released its first quarter 2025 financial results, reporting solid performance despite weather disruptions and macroeconomic uncertainty. The company reaffirmed its full-year guidance.

Key Q1 2025 financial highlights:

- Revenue: $3.0 billion, slightly down from $3.004 billion in Q1 2024
- Income from railway operations (GAAP): $1.1 billion
- Adjusted income from operations: $961 million, up 6% from adjusted Q1 2024
- Operating ratio: 61.7% (GAAP); adjusted: 67.9%, improved by 200 basis points from Q1 2024
- Diluted EPS: $3.31 (GAAP); adjusted EPS: $2.69, up 8% year-over-year
- Volume: Increased 1% year-over-year
- Insurance recoveries: Exceeded incremental costs from the Eastern Ohio incident

President and CEO Mark George praised the company's resilience, citing improved efficiency and customer service during a winter marked by storms.

Segment performance:

Revenue excluding fuel surcharges rose 2% year-over-year to $2.79 billion. Gains were attributed to volume growth and operational efficiency. Adjusted operating ratio and earnings reflect improved underlying business fundamentals.

Outlook:

Norfolk Southern maintained its full-year 2025 guidance while acknowledging continued macroeconomic uncertainty, particularly regarding fuel and freight demand trends.