Net income for the three-months ended March 31, 2025, was at $1.214 billion, up 6% from first-quarter 2024 ($1.143 billion).
BNSF’s total revenue for the quarter came in at $5.693 billion, up 1% from first-quarter 2024’s $5.660 billion, which the Class I attributed primarily to “a 4% increase in unit volume and core pricing gains, partially offset by a decrease in average revenue per car/unit resulting from lower fuel surcharge revenue and unfavorable business mix.”
According to BNSF, revenue changes for first-quarter 2025 also reflected the following:
- “Consumer Products volumes increased 9% in the first quarter of 2025 compared to 2024 primarily due to higher intermodal shipments resulting from increased west coast imports, along with an increase in automotive volume from higher vehicle production.
- “Agricultural and Energy Products volumes decreased slightly in the first quarter of 2025 compared to 2024 primarily due to lower volumes of domestic grains.
- “Industrial Products volumes decreased 6% in the first quarter of 2025 compared to 2024 primarily due to weather related impacts and lower demand for construction and building products.
- “Coal volumes increased 2% in the first quarter of 2025 compared to 2024 primarily due to increased demand from higher natural gas prices.”
BNSF’s operating expenses for first-quarter 2025 came in at $3.873 billion, down 2% from the prior-year period’s $3.940 billion. The railroad attributed a “significant portion” of the decline due to the following factors:
- “Fuel expense decreased 10% in the first quarter of 2025 compared to 2024, primarily due to lower average fuel prices, partially offset by higher volumes. Locomotive fuel price per gallon decreased 12% in the first quarter of 2025 compared to the same period in 2024.
- “Compensation and benefits expense decreased 2% in the first quarter of 2025 compared to 2024, primarily due to increased employee productivity, partially offset by wage inflation.
- “Purchased services expense increased 7% in the first quarter of 2025 compared to 2024, primarily due to higher volume related costs, cargo security investments, and general inflation.
- “There were no significant changes in materials and other, equipment rents, depreciation and amortization or interest expense.”
In related news, Warren Buffet is stepping down as Berkshire Hathaway CEO at the end of 2025 and handing over the reins to Vice Chairman Greg Abel, according to a Reuters report. The move marks the end of Buffet’s 60-year career at the helm of Berkshire Hathaway, which has close to 200 businesses, including BNSF.
