Genesee & Wyoming Reports Traffic for March 2019
DARIEN, Conn.–(BUSINESS WIRE)–Genesee & Wyoming Inc. (G&W) (NYSE:GWR) today reported traffic volumes for March 2019.
G&W’s total traffic in March 2019 was 256,647 carloads, a decrease of 23,265 carloads, or 8.3%, compared with March 2018. G&W’s same railroad traffic in March 2019 decreased 10,958 carloads, or 4.1%, compared with G&W’s traffic in March 2018, excluding carloads from G&W’s former Continental European intermodal business (ERS), which was sold in June 2018, and short line lease expirations in Canada (Goderich-Exeter Railway (GEXR) and Southern Ontario Railway (SOR)) in the fourth quarter of 2018.
G&W’s traffic in the first quarter of 2019 was 761,513 carloads, a decrease of 49,800 carloads, or 6.1%, compared with the first quarter of 2018. G&W’s same railroad traffic in the first quarter of 2019 decreased 12,208 carloads, or 1.6%, compared with the first quarter of 2018, excluding carloads from ERS, which was sold in June 2018, and short line lease expirations in Canada (GEXR and SOR) in the fourth quarter of 2018. G&W’s North American traffic and operations were affected by severe winter weather in the U.S. and Canada and flooding in the U.S. in the first quarter of 2019.
The table below sets forth summary total carloads by segment.
| Segment |
March |
March |
Total |
Total % |
Same |
|||||||||||
| North American Operations | 134,064 | 142,470 | (8,406) | (5.9%) | (4.0%) | |||||||||||
| Australian Operations(2) | 45,188 | 50,901 | (5,713) | (11.2%) | (11.2%) | |||||||||||
| U.K./European Operations | 77,395 | 86,541 | (9,146) | (10.6%) | 0.5% | |||||||||||
| Total G&W Operations | 256,647 | 279,912 | (23,265) | (8.3%) | (4.1%) |
| (1) Excludes 2,811 carloads in March 2018 from short line leases in Canada (GEXR and SOR), which expired in the fourth quarter of 2018 and 9,496 carloads in March 2018 from ERS, which was sold in June 2018. |
| (2) 51.1% owned by G&W. |
Highlights by Segment
- North American Operations: Traffic in March 2019 was 134,064 carloads, a decrease of 5.9% compared with March 2018. Same railroad traffic in March 2019 decreased 4.0% compared with March 2018, excluding short line lease expirations in Canada, primarily due to decreased coal & coke and other commodity group traffic.
- Australian Operations: Traffic in March 2019 was 45,188 carloads, a decrease of 11.2% compared with March 2018, primarily due to decreased agricultural products and coal & coke traffic. Carload information for G&W’s 51.1% owned Australian Operations is presented on a 100% basis.
- U.K./European Operations: Traffic in March 2019 was 77,395 carloads, a decrease of 10.6% compared with March 2018. Same railroad traffic in March 2019 increased 0.5% compared with March 2018, excluding traffic from ERS, primarily due to increased petroleum products traffic in the U.K., partially offset by decreased minerals & stone traffic in U.K.
The table below sets forth North American Operations carload information by commodity group.
| North American Operations: |
March |
March |
Total |
Total % |
Same |
|||||||||||
| Agricultural Products | 19,732 | 18,896 | 836 | 4.4% | 7.1% | |||||||||||
| Autos & Auto Parts | 3,134 | 3,156 | (22) | (0.7%) | 4.8% | |||||||||||
| Chemicals & Plastics | 14,465 | 15,319 | (854) | (5.6%) | (1.9%) | |||||||||||
| Coal & Coke | 15,372 | 19,572 | (4,200) | (21.5%) | (21.5%) | |||||||||||
| Food & Kindred Products | 4,692 | 5,313 | (621) | (11.7%) | (8.8%) | |||||||||||
| Intermodal | 1,784 | 1,181 | 603 | 51.1% | 51.1% | |||||||||||
| Lumber & Forest Products | 11,479 | 12,672 | (1,193) | (9.4%) | (8.8%) | |||||||||||
| Metallic Ores | 1,190 | 1,459 | (269) | (18.4%) | (18.3%) | |||||||||||
| Metals | 13,031 | 12,667 | 364 | 2.9% | 6.0% | |||||||||||
| Minerals & Stone | 17,021 | 17,550 | (529) | (3.0%) | (1.2%) | |||||||||||
| Petroleum Products | 8,689 | 8,199 | 490 | 6.0% | 9.6% | |||||||||||
| Pulp & Paper | 13,633 | 14,442 | (809) | (5.6%) | (5.5%) | |||||||||||
| Waste | 4,256 | 4,277 | (21) | (0.5%) | 0.2% | |||||||||||
| Other | 5,586 | 7,767 | (2,181) | (28.1%) | (24.9%) | |||||||||||
| Total Carloads | 134,064 | 142,470 | (8,406) | (5.9%) | (4.0%) |
| (1) Excludes 2,811 carloads in March 2018 from short line leases in Canada (GEXR and SOR), which expired in the fourth quarter of 2018. |
The following highlights relate to North American same railroad traffic:
- Coal & coke traffic decreased 4,200 carloads, or 21.5%, primarily due to decreased shipments in G&W’s Midwest region largely due to delayed shipments associated with flooding.
- Other commodity group traffic decreased 1,850 carloads, or 24.9%, primarily due to decreased empty car shipments in most G&W regions.
- All remaining traffic increased by a net 455 carloads.
- In addition to coal traffic, severe winter weather and flooding negatively affected traffic in minerals & stone, lumber & forest products and pulp & paper commodities.
The table below sets forth carload information for G&W’s 51.1% owned Australian Operations by commodity group.
| Australian Operations(1): |
March |
March |
Total |
Total % |
|||||||||
| Agricultural Products | 1,741 | 4,829 | (3,088) | (63.9%) | |||||||||
| Coal & Coke | 31,435 | 34,508 | (3,073) | (8.9%) | |||||||||
| Intermodal | 4,166 | 4,463 | (297) | (6.7%) | |||||||||
| Metallic Ores | 1,968 | 1,866 | 102 | 5.5% | |||||||||
| Minerals & Stone | 5,851 | 5,218 | 633 | 12.1% | |||||||||
| Petroleum Products | 27 | 17 | 10 | 58.8% | |||||||||
| Total Carloads | 45,188 | 50,901 | (5,713) | (11.2%) |
| (1) 51.1% owned by G&W. |
- Agricultural products traffic decreased 3,088 carloads, or 63.9%, primarily due to a weaker 2018-2019 South Australia grain harvest.
- Coal & coke traffic decreased 3,073 carloads, or 8.9%, primarily due to decreased shipments in the Hunter Valley.
- All remaining traffic increased by a net 448 carloads.
The table below sets forth U.K./European Operations carload information by commodity group.
| U.K./European Operations: |
March |
March |
Total |
Total % |
Same |
|||||||||||
| Agricultural Products | 110 | 318 | (208) | (65.4%) | (65.4%) | |||||||||||
| Coal & Coke | 2,284 | 1,843 | 441 | 23.9% | 23.9% | |||||||||||
| Intermodal | 58,582 | 67,590 | (9,008) | (13.3%) | 0.8% | |||||||||||
| Minerals & Stone | 15,360 | 16,790 | (1,430) | (8.5%) | (8.5%) | |||||||||||
| Petroleum Products | 1,059 | – | 1,059 | NM | NM | |||||||||||
| Total Carloads | 77,395 | 86,541 | (9,146) | (10.6%) | 0.5% |
| (1) Excludes 9,496 carloads in March 2018 from ERS, which was sold in June 2018. |
The following highlights relate to U.K./European same railroad traffic:
- Petroleum products traffic increased 1,059 due to new jet fuel shipments in the U.K.
- Minerals & stone traffic decreased 1,430 carloads, or 8.5%, primarily due to decreased shipments in the U.K. in part due to a 3rd party derailment on the open access rail network.
- All remaining traffic increased by a net 721 carloads.
First Quarter of 2019
The table below sets forth summary total carloads by segment.
| Segment | Q1 2019 | Q1 2018 |
Total |
Total % |
Same |
|||||||||||
| North American Operations | 393,857 | 406,013 | (12,156) | (3.0%) | (1.2%) | |||||||||||
| Australian Operations(2) | 137,378 | 143,515 | (6,137) | (4.3%) | (4.3%) | |||||||||||
| U.K./European Operations | 230,278 | 261,785 | (31,507) | (12.0%) | (0.6%) | |||||||||||
| Total G&W Operations | 761,513 | 811,313 | (49,800) | (6.1%) | (1.6%) |
| (1) Excludes 7,466 carloads in Q1 2018 from short line leases in Canada (GEXR and SOR), which expired in the fourth quarter of 2018 and 30,126 carloads in Q1 2018 from ERS, which was sold in June 2018. |
| (2) 51.1% owned by G&W. |
The table below sets forth North American Operations carload information by commodity group.
| North American Operations: | Q1 2019 | Q1 2018 |
Total |
Total % |
Same |
|||||||||||
| Agricultural Products | 54,255 | 53,764 | 491 | 0.9% | 3.4% | |||||||||||
| Autos & Auto Parts | 8,419 | 8,716 | (297) | (3.4%) | 0.6% | |||||||||||
| Chemicals & Plastics | 40,928 | 43,342 | (2,414) | (5.6%) | (2.0%) | |||||||||||
| Coal & Coke | 54,070 | 61,966 | (7,896) | (12.7%) | (12.7%) | |||||||||||
| Food & Kindred Products | 14,365 | 15,183 | (818) | (5.4%) | (2.6%) | |||||||||||
| Intermodal | 3,809 | 3,084 | 725 | 23.5% | 23.5% | |||||||||||
| Lumber & Forest Products | 32,945 | 36,250 | (3,305) | (9.1%) | (8.6%) | |||||||||||
| Metallic Ores | 3,602 | 4,396 | (794) | (18.1%) | (18.0%) | |||||||||||
| Metals | 37,250 | 35,238 | 2,012 | 5.7% | 9.3% | |||||||||||
| Minerals & Stone | 47,505 | 47,696 | (191) | (0.4%) | 1.4% | |||||||||||
| Petroleum Products | 27,068 | 25,660 | 1,408 | 5.5% | 9.2% | |||||||||||
| Pulp & Paper | 41,313 | 41,357 | (44) | (0.1%) | 0.1% | |||||||||||
| Waste | 12,974 | 11,981 | 993 | 8.3% | 9.0% | |||||||||||
| Other | 15,354 | 17,380 | (2,026) | (11.7%) | (8.7%) | |||||||||||
| Total Carloads | 393,857 | 406,013 | (12,156) | (3.0%) | (1.2%) |
| (1) Excludes 7,466 carloads in Q1 2018 from short line leases in Canada (GEXR and SOR), which expired in the fourth quarter of 2018. |
The table below sets forth carload information for G&W’s 51.1% owned Australian Operations by commodity group.
| Australian Operations(1): | Q1 2019 | Q1 2018 |
Total |
Total % |
|||||||||
| Agricultural Products | 4,260 | 13,112 | (8,852) | (67.5%) | |||||||||
| Coal & Coke | 99,502 | 96,856 | 2,646 | 2.7% | |||||||||
| Intermodal | 11,701 | 12,754 | (1,053) | (8.3%) | |||||||||
| Metallic Ores | 5,357 | 4,871 | 486 | 10.0% | |||||||||
| Minerals & Stone | 16,499 | 15,863 | 636 | 4.0% | |||||||||
| Petroleum Products | 59 | 59 | – | 0.0% | |||||||||
| Total Carloads | 137,378 | 143,515 | (6,137) | (4.3%) |
| (1) 51.1% owned by G&W. |
The table below sets forth U.K./European Operations carload information by commodity group.
| U.K./European Operations: | Q1 2019 | Q1 2018 |
Total |
Total % |
Same |
|||||||||||
| Agricultural Products | 533 | 966 | (433) | (44.8%) | (44.8%) | |||||||||||
| Coal & Coke | 8,284 | 5,895 | 2,389 | 40.5% | 40.5% | |||||||||||
| Intermodal | 181,002 | 210,780 | (29,778) | (14.1%) | 0.2% | |||||||||||
| Minerals & Stone | 37,473 | 44,144 | (6,671) | (15.1%) | (15.1%) | |||||||||||
| Petroleum Products | 2,986 | – | 2,986 | NM | NM | |||||||||||
| Total Carloads | 230,278 | 261,785 | (31,507) | (12.0%) | (0.6%) |
| (1) Excludes 30,126 carloads in Q1 2018 from ERS, which was sold in June 2018. |
Other
The term carload represents physical railcars and estimated railcar equivalents of commodities for which G&W is paid on a metric ton or other measure to move freight, as well as intermodal units.
Historically, G&W has found that traffic information may be indicative of freight revenues on its railroads. Freight revenues are revenues for which G&W is paid on a per car, per container or per metric ton basis to move freight. Activities such as railcar switching, port terminal shunting, traction services and other similar freight-related services are excluded from our traffic information as the resulting revenues are not classified as freight revenue. Traffic information may not be indicative of total operating revenues, operating expenses, operating income or net income. Please refer to the documents G&W files from time to time with the Securities and Exchange Commission, such as its Form 10-Q and 10-K, which contain additional information on G&W’s freight traffic and segment reporting.
About G&W
G&W owns or leases 120 freight railroads organized in eight locally managed operating regions with 8,000 employees serving 3,000 customers.
- G&W’s six North American regions serve 41 U.S. states and four Canadian provinces and include 114 short line and regional freight railroads with more than 13,000 track-miles.
- G&W’s Australia Region serves New South Wales, the Northern Territory and South Australia and operates the 1,400-mile Tarcoola-to-Darwin rail line. The Australia Region is 51.1% owned by G&W and 48.9% owned by a consortium of funds and clients managed by Macquarie Infrastructure and Real Assets.
- G&W’s UK/Europe Region includes the U.K.’s largest rail maritime intermodal operator and second-largest freight rail provider, as well as regional rail services in Continental Europe.
G&W subsidiaries and joint ventures also provide rail service at more than 40 major ports, rail-ferry service between the U.S. Southeast and Mexico, transload services, contract coal loading, and industrial railcar switching and repair.
For more information, visit gwrr.com.
Contacts
Genesee & Wyoming Inc.
Thomas D. Savage, 1-203-202-8900
Senior Vice President – Corporate Development & Treasurer
Web Site: http://www.gwrr.com
This article published with permission from Business Wire
