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As Union Pacific Railroad’s network fluidity continued to improve during the third quarter, so did the Class I’s earnings and income. Today, UP reported quarterly earnings per share of 94 cents and net income of $369 million, a 22 percent and 83 percent increase, respectively, compared with third-quarter 2004.

In addition, UP’s quarterly operating revenue — which included record commodity revenue — rose 13 percent to $3.5 billion, operating income increased 15 percent to $481 million and operating ratio improved 0.3 points to 86.1. During the quarter, the railroad’s average terminal dwell time decreased 7 percent to 28.1 hours and cars on line fell 1 percent to 318,626 units compared with the same 2004 period. However, quarterly operating expenses rose 12 percent to $2.9 billion.

“We saw solid revenue growth in all six of our business segments in the quarter,” said UP Chairman and Chief Executive Officer Dick Davidson in a prepared statement. “With the exception of autos, demand across the board continues to be remarkably strong.”

During 2005’s first nine months, UP’s revenue rose 11 percent to $9.9 billion, net income increased 39 percent to $730 million, operating income went up 16 percent to $1.2 billion and operating ratio improved 0.6 points to 87.3 compared with the same 2004 period. Operating expenses rose 10 percent to $8.7 billion.

“Our company has seen both financial and operational improvement through the year,” said Davidson. “We continue to be challenged as we work to move record volume across a system that has been stressed by hurricanes along the Gulf Coast and major washouts in Kansas. Nevertheless, efforts to improve our operating efficiency are beginning to show results.”