Stock Analysis on Net
Stock Analysis on Net

Norfolk Southern Corp. (NYSE:NSC)

This company has been moved to the archive! The financial data has not been updated since April 27, 2022.

Common-Size Income Statement 
Quarterly Data

Norfolk Southern Corp., common-size consolidated income statement (quarterly data)

Microsoft Excel
3 months ended: Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019 Dec 31, 2018 Sep 30, 2018 Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017
Railway operating revenues 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
Purchased services and rents -14.99 -16.55 -15.15 -15.33 -14.89 -16.56 -19.39 -17.84 -15.35 -17.10 -14.89 -14.29 -14.93 -15.50 -15.27 -14.84 -14.76 -10.04 -14.12 -14.87 -14.64
Fuel -10.33 -7.92 -7.29 -6.72 -6.71 -5.29 -5.03 -4.03 -7.20 -8.29 -7.95 -8.68 -8.80 -9.50 -9.30 -9.39 -9.79 -8.95 -7.42 -7.21 -8.27
Cost of railway operating revenues -25.32% -24.47% -22.44% -22.04% -21.60% -21.84% -24.42% -21.87% -22.55% -25.39% -22.84% -22.97% -23.73% -25.00% -24.57% -24.22% -24.55% -19.00% -21.54% -22.07% -22.91%
Gross profit 74.68% 75.53% 77.56% 77.96% 78.40% 78.16% 75.58% 78.13% 77.45% 74.61% 77.16% 77.03% 76.27% 75.00% 75.43% 75.78% 75.45% 81.00% 78.46% 77.93% 77.09%
Compensation and benefits -21.23 -20.97 -21.35 -22.29 -23.15 -22.81 -23.06 -28.11 -23.70 -23.42 -24.01 -24.34 -25.60 -26.14 -24.60 -24.36 -27.13 -26.75 -28.28 -26.66 -28.85
Depreciation -10.36 -10.45 -10.41 -10.50 -11.06 -11.15 -11.69 -13.53 -11.12 -10.59 -10.07 -9.71 -9.96 -9.70 -9.37 -9.42 -10.01 -10.00 -9.93 -10.01 -10.06
Materials and other -5.87 -4.52 -5.96 -3.47 -5.72 -5.95 -7.30 -7.24 -6.32 -4.83 -8.03 -6.56 -6.69 -1.93 -6.85 -6.59 -7.58 -6.26 -6.14 -7.58 -8.16
Loss on asset disposal 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 -14.67 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Income from railway operations 37.22% 39.59% 39.83% 41.69% 38.46% 38.24% 33.52% 29.26% 21.64% 35.76% 35.06% 36.41% 34.01% 37.22% 34.61% 35.40% 30.73% 37.99% 34.12% 33.67% 30.02%
Other income (expense), net -0.17 0.74 0.49 1.25 0.27 1.67 1.56 2.35 0.84 0.67 0.77 0.75 1.55 0.00 1.02 1.00 0.29 0.49 0.86 1.21 0.93
Interest expense on debt -5.76 -5.79 -5.75 -5.75 -5.91 -6.22 -6.19 -7.48 -5.87 -5.65 -5.28 -5.23 -5.25 -5.11 -4.82 -4.52 -5.01 -5.02 -5.02 -5.31 -5.51
Income before income taxes 31.29% 34.54% 34.57% 37.19% 32.82% 33.70% 28.89% 24.12% 16.61% 30.78% 30.55% 31.93% 30.32% 32.11% 30.81% 31.88% 26.02% 33.46% 29.96% 29.58% 25.44%
Income taxes -7.17 -7.89 -8.17 -7.93 -7.31 -7.62 -6.19 -5.32 -2.10 -6.02 -7.43 -7.25 -6.48 -7.87 -6.99 -7.38 -5.70 115.21 -11.01 -10.73 -8.62
Net income 24.12% 26.65% 26.40% 29.26% 25.50% 26.08% 22.71% 18.80% 14.51% 24.76% 23.13% 24.68% 23.84% 24.24% 23.82% 24.50% 20.32% 148.67% 18.95% 18.85% 16.82%

Based on: 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).

Railway Operating Revenues
The railway operating revenues remain consistent at 100% across all quarters, serving as the baseline for analysis of the other financial items.
Purchased Services and Rents
This expense category generally ranges between approximately -14% and -19% of revenues, showing some volatility. Notably, there are peaks at -19.39% in September 2020 and troughs closer to -14.64% in early 2017 and early 2022. This suggests periods of increased cost pressures as well as some cost containment phases.
Fuel
Fuel costs relative to revenues show a declining trend from 2017 through mid-2020, dropping from around -8.27% to a low of -4.03%. However, post-2020, a reversal occurs with fuel expenses rising again to -10.33% by March 2022, indicating increased fuel prices or consumption impacts impacting operating costs more heavily in later periods.
Cost of Railway Operating Revenues
The overall cost of railway operating revenues fluctuates between approximately -19% and -25%, with a tendency to increase toward the end of the timeframe, reaching -25.32% in March 2022. This suggests some expansion in costs possibly driven by various components such as purchased services, fuel, and others.
Gross Profit
Gross profit as a percentage of revenues fluctuates between the mid-70%s and low 80%s, peaking at 81% in late 2017 and bottoming around 74.6% in late 2019 and early 2022. The general pattern shows relative stability, though with a slight decline toward the final quarters, reflecting rising operating costs marginally outpacing revenue growth.
Compensation and Benefits
This component of operating expenses generally declines over time from about -29% in early 2017 to just above -21% by early 2022, indicating improved labor cost efficiency or workforce restructuring reducing relative expense burden.
Depreciation
Depreciation consistently accounts for around -10% of revenues, with some fluctuations increasing to over -13% in mid-2020. This suggests possible fluctuations in asset base or accelerated depreciation in specific periods but remains a fairly stable cost driver overall.
Materials and Other
This category varies considerably, predominantly falling between -1.93% and -8.16%, with no clear trend but occasional dips signaling inconsistent patterns in material usage or other miscellaneous costs.
Loss on Asset Disposal
A significant loss representing -14.67% occurred only in mid-2020, standing out as an exceptional expense impacting that period's financials significantly.
Income from Railway Operations
Operating income shows a broad improvement trend from about 30% in early 2017 to a peak near 42% in mid-2021, subsequently declining slightly but remaining robust above 37% through early 2022. This demonstrates enhanced operational profitability, particularly after mid-2020 rebound.
Other Income (Expense), Net
This item fluctuates modestly around zero to a high of 2.35% in mid-2020, suggesting occasional gains or income from non-operating activities, but lacks a strong directional trend.
Interest Expense on Debt
Interest expense generally holds steady around -5% to -6%, with a notable increase to -7.48% in mid-2020, possibly reflecting increased borrowing costs or debt levels during that period but stabilizing thereafter.
Income Before Income Taxes
Income before taxes mirrors operating income trends, ranging from around 25% to over 37%, with a dip in 2020 around 16.61%, indicating the impact of extraordinary events or expenses during that year, but recovering strongly in 2021.
Income Taxes
Income tax percentages fluctuate generally between -5% and -11%, with a stark outlier in late 2017 at 115.21%, indicating a one-time tax event or tax adjustment in that period. Otherwise, the tax expense remains relatively stable as a proportion of revenues.
Net Income
Net income as a percentage of revenues exhibits variability with a pronounced spike to 148.67% in late 2017, likely the result of extraordinary income or accounting adjustments, followed by more typical ranges between 14% and 29%. The net income recovers steadily after a dip in early 2020 and stabilizes around mid-20%s in recent quarters, reflecting sustained profitability.