Kansas City Southern Q2 Profit Declines - Quick Facts

(RTTNews) - Kansas City Southern (KSU) reported that its second quarter net income available to common stockholders declined to $111.8 million or $1.01 per share, from $129.8 million, or $1.18 per share, in the comparable quarter last year.

Excluding the impacts of foreign exchange rate fluctuations and lease termination costs, adjusted earnings per share for the latest second quarter were $1.03, compared with $1.21 in the prior year. On average, 20 analysts polled by Thomson Reuters expected the company to report earnings of $1.02 per share. Analysts' estimates typically exclude special items.

Revenues for the quarter declined 10% to $585.8 million from $649.7 million in the prior year. Overall, carload volumes were 6% lower than in second quarter 2014. Excluding the estimated impacts of lower U.S. fuel prices and peso depreciation, revenue declined 2% compared to the second quarter of 2014. Analysts expected revenue of $602.78 million for the quarter.

Second quarter revenue declined in all commodity groups except Chemicals & Petroleum, which grew 1%. Energy revenue declined 46% driven by lower volumes in utility coal due to lower natural gas prices and in frac sand volumes as a result of the significant decline in U.S. drilling operations.