Union Pacific Corp. (NYSE:UNP)

The financial data exhibits distinct trends in revenues, expenses, and profitability over the observed quarters.

Revenue Trends

Freight revenues display an overall upward trend with fluctuations; after a drop to 3972 million in Q2 2020, they gradually increased to peak around the mid-2022 period surpassing 6100 million, followed by minor fluctuations around the 5600-5900 million range through early 2025.

Other revenues generally increased over the earlier periods, reaching a peak near 457 million in Q3 2022, but subsequently showed a gradual decline to around the low 300 million range by late 2024 and early 2025.

Total operating revenues, the sum of freight and other revenues, correspondingly rose from around 4200 million in Q2 2020 to a peak exceeding 6600 million in late 2022, before settling near 6000 to 6200 million in the most recent quarters.

Operating Expenses

Compensation and benefits increased notably from just under 900 million in early 2020 to over 1200 million by late 2022 and 2023. While some fluctuations occurred, this expense generally remained elevated, suggesting increased labor-related costs.

Purchased services and materials costs rose steadily from approximately 440 million to nearly 680 million by late 2025, indicating growing operational input expenditures.

Depreciation expenses remained relatively stable, increasing incrementally from about 547 million to 618 million over the full period, reflecting consistent capital asset usage or additions.

Fuel costs experienced pronounced volatility, increasing sharply from low 200-300 million in mid-2020 up to approximately 940 million by mid-2022. Subsequently, they trended downward toward 580-610 million, indicating fluctuating fuel price or consumption patterns.

Equipment and other rents exhibited minor fluctuation, generally hovering between 210 million and 248 million, without clear directional change.

Other operating expenses showed variability, with a notable peak of over 500 million in Q4 2020, then mostly stabilizing in the 280-360 million range afterward.

Overall operating expenses increased from just under 2600 million in early 2020 to above 3700 million by 2022 and stabilized around 3600-3700 million in recent quarters.

Profitability

Operating income initially dropped from above 2100 million in Q1 2020 to approximately 1650 million in Q2 2020 but recovered thereafter, generally oscillating between 2200 and 2500 million from 2021 onward.

Other income, net displayed no consistent pattern, with sporadic peaks such as 184 million in Q4 2022 and variances between 50 and 180 million across quarters, contributing occasional boosts to pre-tax income.

Interest expense was relatively stable, fluctuating mildly around 280-335 million, consistent with a steady debt profile.

Income before income taxes followed a trajectory similar to operating income, with dips to under 1500 million during early 2020, and recovery to the 2100-2300 million range subsequently.

Income tax expense tended to increase in line with taxable income, though with some variability. It peaked around 530-550 million during 2021-2022, temporarily dipped below 400 million in Q2 2023, then rebounded.

Net income trends mirrored income before tax, with a decline during the second quarter of 2020 to about 1100 million, followed by recovery and stabilization generally in the 1600-1900 million range thereafter, showing a resilient profitability despite cost pressures.

Overall, the financial data reflect a recovery and growth trajectory following a mid-2020 trough across most revenue and income categories. Expenses increased as freight and business volume expanded, particularly labor and fuel costs. Profitability remained stable due to revenue growth outpacing expense increases, with periodic fluctuations likely attributable to market and operational factors.