Common-Size Income Statement
Quarterly Data
Union Pacific Corp., common-size consolidated income statement (quarterly data)
Based on: 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 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).
Analysis of the common-size income statement reveals a stable revenue structure with a gradual shift toward an increased reliance on freight revenues. Operating margins remain robust, although they have been subject to volatility driven primarily by fluctuating energy costs and material inputs.
- Revenue Composition
- Freight revenues consistently represent the primary income source, showing a gradual upward trend from 92.96% in early 2021 to peaks near 94.95% by mid-2025. This increase is mirrored by a corresponding decline in other revenues, which decreased from a high of 7.61% in late 2021 to approximately 5.05% by mid-2025, indicating a narrowing of revenue streams.
- Operating Expense Dynamics
- Total operating expenses have generally fluctuated between 58% and 63% of operating revenues. A significant driver of this volatility is fuel expense, which experienced a sharp increase peaking at 14.99% in June 2022 before stabilizing in the 9% to 11% range during 2024 and 2025. Compensation and benefits costs remain the most substantial expense item, typically oscillating between 17% and 21% of revenues. Additionally, purchased services and materials exhibited a slight long-term increase in their share of revenues, rising from approximately 9% in 2021 to roughly 11% by 2025.
- Profitability and Margins
- Operating income margins demonstrated resilience, though they were subject to cyclicality, peaking at 44.93% in June 2021 and reaching a low of 36.64% in September 2023. A recovery trend followed, with margins stabilizing between 39% and 41% through 2024 and early 2025. Net income margins have remained strong, generally staying within the 25% to 32% range, with most recent figures centering around 27% to 30%.
- Non-Operating Items and Taxation
- Interest expenses have remained remarkably consistent, fluctuating within a narrow band between 4.80% and 5.80% of operating revenues. Income tax expenses typically represent 7% to 9% of revenues, maintaining a steady impact on the bottom line throughout the period analyzed.
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