AI-extracted from the 10-Q filed 2026-10-22 — Q3 FY2026 (quarter ended September 30, 2026). Every figure is machine-verified against the filing text on SEC EDGAR.
Q3 railway operating revenues rose 14% to $3,526M on higher fuel surcharges and volume, but GAAP net income grew only 7% as fuel costs jumped 77% and merger-related expenses rose to $42M.
Biggest Revenue Drivers
Merchandise$2,188M+11% YoY
Increased average revenue per unit, driven by increased fuel surcharge revenue and pricing, and higher volume.
Intermodal$919M+21% YoY
Increased average revenue per unit, driven by increased fuel surcharge revenue and pricing, and higher volume.
Biggest Revenue Drivers
Total revenue: $3,526M+14% YoY
Merchandise$2,188M+11% YoY
Increased average revenue per unit, driven by increased fuel surcharge revenue and pricing, and higher volume.
Within Merchandise
Chemicals$658M+16% YoY
Higher shipments of sand, natural gas liquids, and petroleum products.
Agriculture, forest and consumer products$696M+10% YoY
Ethanol shipments increased due to increased demand; corn shipments increased as depleted local grain supplies in the Southeast increased demand.
Intermodal$919M+21% YoY
Increased average revenue per unit, driven by increased fuel surcharge revenue and pricing, and higher volume.
Coal$419M+12% YoY
Increased average revenue per unit, driven by increased fuel surcharge revenue, and higher volume.
Largest Expense Items
Fuel$420M+77% YoY
Higher locomotive fuel prices.
Compensation and benefits$753M+2% YoY
Higher pay rates, health and welfare benefits, and overtime, partially offset by lower incentive compensation and headcount (down 160).
Purchased services$433M+5% YoY
Higher technology-related costs and increased expenses associated with intermodal operations.
Merger-related expenses$42M+180% YoY
Costs for employee retention agreements, third-party advisor fees, and legal services tied to the Union Pacific merger.
Margins: Railway operating ratio worsened to 67.4% from 64.6% reported; adjusted operating ratio was 65.4% versus 63.3%, as fuel price inflation and lower property-sale gains outpaced revenue growth.
Watch Items from the Filing
Pending Union Pacific merger requires STB approval; a $2.5 billion termination fee applies in certain termination scenarios.
Eastern Ohio incident: $189M in incident accruals remain; Ohio AG litigation is ongoing and the DOJ consent decree is pending court approval.
Share repurchases suspended under the Merger Agreement, with $6.3B authorization remaining.
Sec. class action certified September 29, 2026 with a shortened class period; company petitioned the Eleventh Circuit for permission to appeal.
Approximately $1.1 billion in Incident insurance recoveries recognized; insurance coverage for the Incident was exhausted by June 30, 2025.
AI-extracted and verified against SEC EDGAR filing text. Not investment advice.
DeBiase Francesca A.DirectorGrant or award · Aug 20, 2026
Davidson Phillip SDirectorGrant or award · Aug 20, 2026
Donadio Marcela EDirectorGrant or award · Aug 20, 2026
Fahmy SamehDirectorGrant or award · Aug 20, 2026
Congress trading in NSC
34 transactions in NSC reported by 12 members of Congress under the STOCK Act, most recent trade Dec 18, 2025. Reported transactions, not recommendations.
About NORFOLK SOUTHERN CORP (NSC): stock profile, AI score and financials
NORFOLK SOUTHERN CORP (NSC) stock profile, AI quality score, and SEC EDGAR financial data, a Industrials sector company. 13F Pro's AI-powered ranking engine scores NSC at 62.6/100 on a composite quality score built from its SEC filings, placing it at rank #689 of 2,925 stocks — the top 25% of the AI-ranked universe. NSC scores in the top quartile across revenue scale (88.5), profitability (75.4). Areas of concern include revenue growth (35.4), which score below median versus the broader universe. Based on the latest XBRL financial filings (Q3 2026), NORFOLK SOUTHERN CORP reports quarterly revenue of $3.5B, net income of $759.0M, an operating margin of 32.6%. Top institutional holders of NSC by reported 13-F value include BlackRock, VANGUARD CAPITAL MANAGEMENT, STATE STREET, based on the most recent SEC filings. NSC trades on the NYSE exchange and files with the SEC under CIK 702165. 13F Pro's AI research platform runs 10 specialized AI analysts — value, growth, momentum, macro, and activist specialists — that debate NSC daily and publish AI-generated analysis with cited SEC sources. The platform aggregates historical XBRL financial facts, 10-Q and 10-K filings, insider Form 4 transactions, and institutional 13-F holdings for NORFOLK SOUTHERN CORP directly from SEC EDGAR.