Genesee & Wyoming Reports Slight Rise In 3Q Profit

GREENWICH, Conn. (AP) — Genesee & Wyoming Inc. said on Tuesday that its third-quarter profit rose slightly as it sold its Mexican operations, though revenue fell.

The railroad operator reported a $21.7 million profit, or 53 cents per share, for the quarter that ended Sept. 30. During the same period a year earlier it earned $21.2 million, or 58 cents per share. Per share results were affected by a 13 percent increase in weighted average shares in the latest quarter, diluting share earnings from that period.

Revenue fell 14.4 percent to $136.4 million, down from $159.4 million a year earlier. The falloff would have been worse if not for acquisitions. Genesee & Wyoming's revenue from the same railroads it owned a year ago fell by $35.9 million, or 22.5 percent, but it added $12.9 million in revenue from acquisitions.

The company said it earned 48 cents per share from continuing operations. Analysts surveyed by Thomson Reuters were expecting a profit of 40 cents per share on revenue of $139 million.

During the quarter, the company sold its Mexican operations for a gain of $2.4 million, or 6 cents per share. It also sold a Bolivian investment, which resulted in a gain of 1 penny per share.