Genesee & Wyoming Reports Traffic for March 2017 and the First Quarter of 2017

DARIEN, Conn.--()--Genesee & Wyoming Inc. (G&W) (NYSE:GWR) today reported traffic volumes for March 2017 and the first quarter of 2017.

G&W’s traffic in March 2017 was 290,752 carloads, an increase of 52,455 carloads, or 22.0%, compared with March 2016. G&W’s same-railroad traffic in March 2017 was 251,490 carloads, an increase of 13,193 carloads, or 5.5%, compared with March 2016.

G&W’s traffic in the first quarter of 2017 was 821,248 carloads, an increase of 139,864 carloads, or 20.5%, compared with the first quarter of 2016. G&W’s same-railroad traffic in the first quarter of 2017 was 715,656 carloads, an increase of 34,272 carloads, or 5.0%, compared with the first quarter of 2016.

The table below sets forth summary total carloads by segment for March 2017 and March 2016.

Segment      

March
2017

   

March
2016

    Change    

%
Change

North American Operations 137,977 133,300 4,677 3.5%
Australian Operations(1) 55,388 15,637 39,751 NM
U.K./European Operations 97,387 89,360 8,027 9.0%
Total G&W Operations 290,752 238,297 52,455 22.0%
Carloads from New Railroads 39,262
Same-railroad carloads 251,490 238,297 13,193 5.5%
(1) 51.1% owned by G&W as of December 1, 2016.
 

March 2017 Highlights by Segment

  • North American Operations: Traffic in March 2017 was 137,977 carloads, an increase of 3.5% compared with March 2016, including carloads from the Providence and Worcester Railroad Company (P&W) acquisition, which closed on November 1, 2016. On a same-railroad basis, North American traffic increased 1.4%, primarily due to increased coal & coke traffic.
  • Australian Operations: Traffic in March 2017 was 55,388 carloads, including carloads from the Glencore Rail (GRail) acquisition, which closed on December 1, 2016. On a same-railroad basis, Australian traffic increased 21.3%, primarily due to increased metallic ores traffic. Please note, simultaneous with the GRail acquisition, G&W issued a 48.9% equity stake in its Australian Operations to Macquarie Infrastructure and Real Assets. Carload information for the Australian Operations is presented on a 100% basis.
  • U.K./European Operations: Traffic in March 2017 was 97,387 carloads, an increase of 9.0% compared with March 2016, primarily due to increased intermodal and coal & coke traffic.

The table below sets forth North American Operations carload information for March 2017 and March 2016 by commodity group.

North American Operations:      

March
2017

   

March
2016

    Change     % Change
Agricultural Products 19,653 19,654 (1) (0.0%)
Autos & Auto Parts 3,514 2,814 700 24.9%
Chemicals & Plastics 16,166 15,745 421 2.7%
Coal & Coke 19,602 13,884 5,718 41.2%
Food & Kindred Products 5,383 5,180 203 3.9%
Intermodal 628 12 616 NM
Lumber & Forest Products 12,219 12,780 (561) (4.4%)
Metallic Ores 1,848 2,103 (255) (12.1%)
Metals 12,559 13,043 (484) (3.7%)
Minerals & Stone 16,811 16,679 132 0.8%
Petroleum Products 8,079 8,524 (445) (5.2%)
Pulp & Paper 12,757 13,442 (685) (5.1%)
Waste 3,596 3,215 381 11.9%
Other 5,162 6,225 (1,063) (17.1%)
Total carloads 137,977 133,300 4,677 3.5%
Carloads from New Railroads(1) 2,842
Same-railroad carloads 135,135 133,300 1,835 1.4%
(1) Total carloads from P&W, which was acquired on November 1, 2016 and contributed 416 carloads of autos & auto parts traffic, 659 carloads of chemicals & plastics traffic, 622 carloads of intermodal traffic, 190 carloads of metals traffic, 316 carloads of minerals & stone traffic and 639 carloads from all other commodities.
 

The following highlights relate to North American same-railroad traffic, excluding traffic from P&W, which was acquired on November 1, 2016.

  • Coal & coke traffic increased 5,718 carloads, or 41.2%, primarily due to increased shipments of utility coal in G&W’s Midwest and Northeast regions, partially offset by decreased shipments in G&W’s Central Region.
  • Other commodity group traffic decreased 1,120 carloads, or 18.0%, primarily due to decreased Class 1 haulage traffic in G&W’s Southern Region.
  • All remaining traffic decreased by a net 2,763 carloads.

The table below sets forth carload information for G&W’s 51.1% owned Australian Operations for March 2017 and March 2016 by commodity group.

Australian Operations(1):      

March
2017

   

March
2016

    Change     % Change
Agricultural Products 5,195 4,579 616 13.5%
Coal & Coke 36,420 - 36,420 NM
Intermodal 4,820 4,683 137 2.9%
Metallic Ores 3,136 718 2,418 NM
Minerals & Stone 5,787 5,632 155 2.8%
Petroleum Products 30 25 5 20.0%
Total carloads 55,388 15,637 39,751 NM
Carloads from New Railroads(2) 36,420
Same-railroad carloads 18,968 15,637 3,331 21.3%
(1) 51.1% owned by G&W as of December 1, 2016.
(2) Total carloads from GRail, which was acquired on December 1, 2016 and contributed 36,420 carloads of coal & coke traffic.
 

The following highlights relate to Australian same-railroad traffic, excluding traffic from GRail, which was acquired on December 1, 2016.

  • Metallic ores traffic increased 2,418 carloads primarily due to the re-opening of a manganese mine in March 2017 and the re-opening of an iron ore mine in July 2016.
  • All remaining traffic increased by a net 913 carloads.

The table below sets forth U.K./European Operations carload information for March 2017 and March 2016 by commodity group.

U.K./European Operations:      

March
2017

   

March
2016

    Change    

%
Change

Agricultural Products 463 143 320 NM
Coal & Coke 3,096 651 2,445 NM
Intermodal 80,115 75,343 4,772 6.3%
Lumber & Forest Products - 45 (45) NM
Minerals & Stone 13,713 13,178 535 4.1%
Total carloads 97,387 89,360 8,027 9.0%
 
  • Intermodal traffic increased by 4,772 carloads, or 6.3%, primarily due to increased shipments in the U.K.
  • Coal & coke traffic increased 2,445 carloads primarily due to increased shipments in the U.K. and Poland.
  • All remaining traffic increased by a net 810 carloads.

First Quarter of 2017 Traffic

The table below sets forth summary total carloads by segment for the first quarter of 2017 and the first quarter of 2016.

Segment       Q1 2017     Q1 2016     Change    

%
Change

North American Operations 403,016 383,192 19,824 5.2%
Australian Operations 149,416 46,223 103,193 NM
U.K./European Operations 268,816 251,969 16,847 6.7%
Total G&W Operations 821,248 681,384 139,864 20.5%
Carloads from New Railroads 105,592
Same-railroad carloads 715,656 681,384 34,272 5.0%
 

The table below sets forth North American Operations carload information for the first quarter of 2017 and the first quarter of 2016 by commodity group.

North American Operations:       Q1 2017     Q1 2016     Change     % Change
Agricultural Products 57,251 56,015 1,236 2.2%
Autos & Auto Parts 8,793 6,806 1,987 29.2%
Chemicals & Plastics 46,008 44,359 1,649 3.7%
Coal & Coke 63,299 48,678 14,621 30.0%
Food & Kindred Products 14,870 14,964 (94) (0.6%)
Intermodal 1,801 12 1,789 NM
Lumber & Forest Products 33,555 34,832 (1,277) (3.7%)
Metallic Ores 4,924 6,225 (1,301) (20.9%)
Metals 35,798 35,905 (107) (0.3%)
Minerals & Stone 47,045 43,681 3,364 7.7%
Petroleum Products 25,137 25,989 (852) (3.3%)
Pulp & Paper 38,774 41,168 (2,394) (5.8%)
Waste 10,744 8,286 2,458 29.7%
Other 15,017 16,272 (1,255) (7.7%)
Total carloads 403,016 383,192 19,824 5.2%
Carloads from New Railroads(1) 7,908
Same-railroad carloads 395,108 383,192 11,916 3.1%
(1) Total carloads from P&W, which was acquired on November 1, 2016 and contributed 1,184 carloads of autos & auto parts traffic, 1,468 carloads of chemicals & plastics traffic, 1,795 carloads of intermodal traffic, 595 carloads of metals traffic, 988 carloads of minerals & stone traffic, and 1,878 carloads from all other commodities.
 

The table below sets forth carload information for G&W’s 51.1% owned Australian Operations for the first quarter of 2017 and the first quarter of 2016 by commodity group.

Australian Operations(1):       Q1 2017     Q1 2016     Change     % Change
Agricultural Products 15,266 13,573 1,693 12.5%
Coal & Coke 97,684 - 97,684 NM
Intermodal 13,578 13,623 (45) (0.3%)
Metallic Ores 6,906 2,318 4,588 NM
Minerals & Stone 15,928 16,648 (720) (4.3%)
Petroleum Products 54 61 (7) (11.5%)
Total carloads 149,416 46,223 103,193 NM
Carloads from New Railroads(2) 97,684
Same-railroad carloads 51,732 46,223 5,509 11.9%
(1) 51.1% owned by G&W as of December 1, 2016.
(2) Total carloads from GRail, which was acquired on December 1, 2016 and contributed 97,684 carloads of coal & coke traffic.
 

The table below sets forth U.K./European Operations carload information for the first quarter of 2017 and the first quarter of 2016 by commodity group.

U.K./European Operations:       Q1 2017     Q1 2016     Change    

%
Change

Agricultural Products 1,513 394 1,119 NM
Coal & Coke 10,561 8,063 2,498 31.0%
Intermodal 223,813 212,095 11,718 5.5%
Lumber & Forest Products - 180 (180) NM
Minerals & Stone 32,929 31,237 1,692 5.4%
Total carloads 268,816 251,969 16,847 6.7%
 

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, income from operations 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

Genesee & Wyoming owns or leases 122 freight railroads worldwide that are organized in 10 operating regions with approximately 7,300 employees and 3,000 customers.

  • G&W’s eight North American regions serve 41 U.S. states and four Canadian provinces and include 115 short line and regional freight railroads with more than 13,000 track-miles.
  • G&W’s Australia Region provides rail freight services in New South Wales, including in the Hunter Valley coal supply chain, the Northern Territory and South Australia, including operating 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 U.K./Europe Region is led by Freightliner, the U.K.’s largest rail maritime intermodal operator and second-largest rail freight company. Operations also include heavy-haul in Poland and Germany and cross-border intermodal services connecting Northern European seaports with key industrial regions throughout the continent.

G&W subsidiaries provide rail service at more than 40 major ports in North America, Australia and Europe and perform contract coal loading and railcar switching for industrial customers.

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

Release Summary

Genesee & Wyoming Reports Traffic for March 2017 and the First Quarter of 2017

Contacts

Genesee & Wyoming Inc.
Thomas D. Savage, 1-203-202-8900
Senior Vice President – Corporate Development & Treasurer
Web Site: http://www.gwrr.com