From Yahoo Finance: 2025-05-05 09:42:00

BNSF Railway, owned by Berkshire Hathaway, saw higher profits in the first quarter due to volume growth and pricing gains. CEO Warren Buffett mentioned that the railroad is earning more than last year, with a pretax profit increase of 5.5% to $1.6 billion and net income rising 6.2% to $1.2 billion.

The operating ratio for BNSF Railway improved to 67.9% in the first quarter, with expenses falling 1.7%. Revenue in the consumer products segment increased by 3.2% due to higher intermodal shipments and automotive volume growth. However, agricultural and energy products revenue rose by 0.8% while volume fell by 0.3%.

Industrial products revenue for BNSF Railway declined by 3.3% due to weather-related impacts and lower demand for construction and building products. Coal revenue also sank by 4.1% as volume growth was not enough to offset a decline in rates. This was attributed to increased demand from higher natural gas prices.

Warren Buffett, at the Berkshire Hathaway annual meeting, announced that he would step down at the end of the year. Greg Abel will take over as chief executive on Jan. 1, 2026, overseeing non-insurance operations including BNSF. Buffett will remain as Berkshire’s chairman.



Read more at Yahoo Finance: BNSF profits rise as volume and rates increase