Operating Profit Margin
since 2005
Calculation
Union Pacific Corp., operating profit margin, long-term trends, calculation
| Operating profit margin | = | 100 | × | Operating income1 | ÷ | Operating revenues1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2025 | 40.17% | = | 100 | × | 9,846) | ÷ | 24,510) |
| Dec 31, 2024 | 40.05% | = | 100 | × | 9,713) | ÷ | 24,250) |
| Dec 31, 2023 | 37.65% | = | 100 | × | 9,082) | ÷ | 24,119) |
| Dec 31, 2022 | 39.87% | = | 100 | × | 9,917) | ÷ | 24,875) |
| Dec 31, 2021 | 42.83% | = | 100 | × | 9,338) | ÷ | 21,804) |
| Dec 31, 2020 | 40.11% | = | 100 | × | 7,834) | ÷ | 19,533) |
| Dec 31, 2019 | 39.40% | = | 100 | × | 8,554) | ÷ | 21,708) |
| Dec 31, 2018 | 37.30% | = | 100 | × | 8,517) | ÷ | 22,832) |
| Dec 31, 2017 | 37.95% | = | 100 | × | 8,061) | ÷ | 21,240) |
| Dec 31, 2016 | 36.47% | = | 100 | × | 7,272) | ÷ | 19,941) |
| Dec 31, 2015 | 36.91% | = | 100 | × | 8,052) | ÷ | 21,813) |
| Dec 31, 2014 | 36.49% | = | 100 | × | 8,753) | ÷ | 23,988) |
| Dec 31, 2013 | 33.90% | = | 100 | × | 7,446) | ÷ | 21,963) |
| Dec 31, 2012 | 32.23% | = | 100 | × | 6,745) | ÷ | 20,926) |
| Dec 31, 2011 | 29.27% | = | 100 | × | 5,724) | ÷ | 19,557) |
| Dec 31, 2010 | 29.36% | = | 100 | × | 4,981) | ÷ | 16,965) |
| Dec 31, 2009 | 23.98% | = | 100 | × | 3,392) | ÷ | 14,143) |
| Dec 31, 2008 | 22.68% | = | 100 | × | 4,075) | ÷ | 17,970) |
| Dec 31, 2007 | 20.73% | = | 100 | × | 3,375) | ÷ | 16,283) |
| Dec 31, 2006 | 18.51% | = | 100 | × | 2,884) | ÷ | 15,578) |
| Dec 31, 2005 | 13.22% | = | 100 | × | 1,795) | ÷ | 13,578) |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in millions
The operating profit margin exhibited a generally positive trend over the period from 2005 to 2025, although with some fluctuations. Initial values indicated a substantial increase from 2005 to 2009, followed by a period of relative stability and then further growth through 2021. A slight decline was observed in 2022, followed by a recovery in 2023 and 2024, with a marginal increase in 2025.
- Initial Growth (2005-2009)
- From 2005 to 2009, the operating profit margin increased from 13.22% to 23.98%. This represents a significant improvement in profitability, potentially driven by revenue growth, cost management, or a combination of both. The increase was not linear, with varying rates of improvement year-over-year.
- Period of Stability and Further Expansion (2010-2021)
- Following 2009, the operating profit margin remained relatively stable between approximately 29% and 30% for several years before experiencing a period of expansion from 2017 onwards. By 2021, the margin reached a peak of 42.83%, indicating a substantial enhancement in operational efficiency and profitability. This period coincided with increasing operating revenues.
- Recent Fluctuations (2022-2025)
- A slight decrease in the operating profit margin was observed in 2022, falling to 39.87% from the high of 42.83% in 2021. This suggests potential pressures on profitability, such as increased costs or slower revenue growth. However, the margin recovered to 40.05% in 2023 and 40.17% in 2025, indicating resilience and a return to a more favorable profitability level. The increase from 2024 to 2025 was minimal.
- Overall Trend
- Despite short-term fluctuations, the overall trend in the operating profit margin is upward. The company demonstrated an ability to improve its profitability over the long term, although recent years suggest a potential stabilization of this trend. The operating profit margin consistently remained above 36% from 2014 onwards, indicating a sustained level of operational efficiency.
The operating income also generally increased over the period, mirroring the trend in the operating profit margin. This suggests a strong correlation between revenue generation and the ability to convert those revenues into profits.
Comparison to Competitors
Union Pacific Corp., operating profit margin, long-term trends, comparison to competitors
| Union Pacific Corp. | FedEx Corp. | Uber Technologies Inc. | United Airlines Holdings Inc. | United Parcel Service Inc. | |
|---|---|---|---|---|---|
| Dec 31, 2025 | 40.17% | 5.93% | — | — | — |
| Dec 31, 2024 | 40.05% | 6.34% | 6.36% | 8.93% | 9.30% |
| Dec 31, 2023 | 37.65% | 5.45% | 2.98% | 7.84% | 10.05% |
| Dec 31, 2022 | 39.87% | 6.68% | -5.75% | 5.20% | 13.05% |
| Dec 31, 2021 | 42.83% | 6.98% | -21.97% | -4.15% | 13.17% |
| Dec 31, 2020 | 40.11% | 3.49% | -43.66% | -41.41% | 9.08% |
| Dec 31, 2019 | 39.40% | 6.41% | -60.76% | 9.94% | 10.52% |
| Dec 31, 2018 | 37.30% | 7.44% | — | 7.97% | 9.77% |
| Dec 31, 2017 | 37.95% | 8.35% | — | 9.27% | 11.43% |
| Dec 31, 2016 | 36.47% | 6.11% | — | 11.87% | 8.98% |
| Dec 31, 2015 | 36.91% | 3.93% | — | 13.64% | 13.14% |
| Dec 31, 2014 | 36.49% | 7.56% | — | 6.10% | 8.53% |
| Dec 31, 2013 | 33.90% | 5.76% | — | 3.26% | 12.69% |
| Dec 31, 2012 | 32.23% | 7.46% | — | 0.10% | 2.48% |
| Dec 31, 2011 | 29.27% | 6.05% | — | 4.91% | 11.45% |
| Dec 31, 2010 | 29.36% | 5.75% | — | 4.20% | 11.86% |
| Dec 31, 2009 | 23.98% | 2.10% | — | -0.99% | 8.39% |
| Dec 31, 2008 | 22.68% | 5.47% | — | -21.98% | 10.45% |
| Dec 31, 2007 | 20.73% | 9.30% | — | 5.15% | 1.16% |
| Dec 31, 2006 | 18.51% | 9.33% | — | 2.31% | 13.95% |
| Dec 31, 2005 | 13.22% | 8.42% | — | -1.26% | 14.43% |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).