Union Pacific (UP) today reported fourth-quarter results that beat analysts' estimates. The earnings figure exceeded forecasts.
The company reported earnings per share of $2.66 and revenues of $5.73B. However, analysts had projected earnings per share of $2.62 and total revenue of $5.62B.
Shares of Union Pacific were up 3.30% trading at $247.40 in pre-market, according to the report.
Union Pacific (UP) moved 4% lower in the fourth quarter as a shortage of computer chips continued to hurt auto production and supply chain problems hampered shipments of imported containers of goods.
UP Chief Executive Officer Lance M. Fritz said: "While there remains uncertainty over COVID options and supply chain disruptions, we see a positive demand environment in 2022 and continued support for business development efforts driving growth."
Union Pacific's share price has fallen 4% since the start of the year and the S&P 500 has fallen 4% this year.
The company's expectations
Union Pacific expects freight volumes to grow faster than industrial production this year, which it expects to grow by 4.8%.
The railway plans to spend $3.3 billion on capital improvements to its network of 32,400 miles of track in 23 western states as it invests more in development. UP spent about $3 billion a year ago.