Kansas City Southern hits record revenues in first quarter 2017
Railroad operator Kansas City Southern reported first quarter 2017 record revenues of US$ 610 million, an increase of 8% over first quarter 2016, and adjusted diluted earnings of US$ 1.17 per share, an increase of 14% over first quarter 2016.
Overall carload volumes were 6% higher compared to first quarter 2016. Excluding the estimated impact of Mexican peso depreciation, revenue increased by 11% compared to the first quarter of 2016.
Despite solid results, KCS shares were down 1.18% at US$ 89.50 by the time the report was released.
According to analysts consulted by Reuters uncertainty about President Donald Trump’s promise to renegotiate the North American Free Trade Agreement and a Mexican antitrust investigation, which the company is challenging before regulators, are weighing on the KCS stock price.
KCSM serves northeastern and central Mexico and the port cities of Lazaro Cardenas, Tampico and Veracruz. Its rail holdings and strategic alliances are primary components of a NAFTA Railway system, linking the commercial and industrial centers of the U.S., Mexico and Canada.