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Union Pacific’s third-quarter profit rises on pricing strength

By Thomson Reuters Oct 22, 2026 | 6:51 AM

Oct 22 (Reuters) – Union Pacific reported a jump in third-quarter adjusted profit on ​Thursday, helped by higher ‌fuel surcharge revenue and core pricing strength, which more than offset cost pressures.

The Middle East ‌conflict ​has pushed energy ⁠prices higher, increasing ⁠fuel costs for transportation companies and putting pressure on margins across sectors, including ​trucking, logistics and aviation.

US railroads, however, have relied ⁠on pricing discipline ⁠and operational efficiencies to ​support profitability, while improvements in ​service reliability and network fluidity ‌have helped attract new freight volumes and retain customers.

Union Pacific said higher fuel ⁠prices hurt its operating ratio by 140 basis points during the quarter, ⁠pushing ‌it down to 59.1%.

The ⁠railroad’s total operating ​revenue ‌for the quarter ended ​September 30 ⁠came in at $7.2 billion, compared with $6.24 billion from a year earlier.

(Reporting by Apratim Sarkar in Bengaluru; Editing by ​Jonathan Ananda)