Norfolk Southern Corporation · NYSE:NSC
Norfolk Southern — Q3 2025 Earnings Presentation
20 slides from Norfolk Southern's earnings presentation, Oct 23, 2025
Slide 1: Q3 2025 Earnings Call
Q3 2025 EARNINGS CALL October 23, 2025
Slide 2: Forward-Looking Statements / Non-GAAP Measures
FORWARD-LOOKING STATEMENTS / NON-GAAP MEASURES This presentation and the related materials contain “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, as amended. These statements relate to future events or future p
Slide 3: Opening Remarks
01 OPENING REMARKS Mark George President & Chief Executive Officer
Slide 4: Operations Overview
02 OPERATIONS OVERVIEW John Orr Executive Vice President & Chief Operating Officer
Slide 5: Safety
SAFETY Ongoing Commitment to Safety Yields Results FRA Personal Injury Index FRA Accident Rate FRA Mainline Accident Rate 4.53 0.93 5-Year FY Average 3.95 5-Year FY Average 5-Year FY Average 1.16 1.09 1.07 1.04 0.62 3.07 Better Better Better 0.53 0.38 2.22 2022 2023 2024 YTD 2022 2023 2024 YTD 2022
Slide 6: Network Update
NETWORK UPDATE NETWORK HEALTH ASSET EFFICIENCY CUSTOMER FACING AAR Terminal Dwell (Hours) Car Miles per Day Intermodal Svc Composite 5-Year FY Average 92% 118 118 117 89% 89% 22.7 116 22.5 22.5 22.4 115 86% 85% Better Better Better 22.1 5-Year FY Average 5-Year FY Average Q3 Q4 Q1 Q2 Q3 Q3 Q4 Q1 Q2
Slide 7: PSR 2.0 Productivity and Agility
PSR 2.0 PRODUCTIVITY AND AGILITY Accelerated and Exceeded Cost Take-out Commitments All Time Quarterly Fuel Efficiency Record ~$600M 1.30 $550M 2026 ~100M+ 1.25 % Fuel Consumed per 1000 GTMs $150M 1.20 1.15 ~$200M 2025 Better $150M 1.10 1.05 1.00 2024 $292M $250M 0.95 0.90 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1
Slide 8: Operations Technology & Portal Evolution
OPERATIONS TECHNOLOGY & PORTAL EVOLUTION Premier Wheel Integrity System being installed on our busiest main lines -36% ~4.2M +6 40+ Reduction Axles New Wheel in YoY Inspected Algorithm Integrity Wayside Per Day Deployments Algorithm Stops in Q3 Intercepts 8
Slide 9: Market Overview
03 MARKET OVERVIEW Ed Elkins Executive Vice President & Chief Commercial Officer
Slide 10: 3rd Quarter 2025 Results
3RD QUARTER 2025 RESULTS Q3 2025 vs. Q3 2024 / Revenue change $ in millions / favorable / unfavorable $122 $7 ($47) $3,103 $3,051 ($30) Record IP Revenue (less Soft intermodal volumes Weak seaborne coal fuel) highlighting volume due to market and market affecting Export & price w/ some external fact
Slide 11: Market Outlook
Merchandise • Vehicle Production • Manufacturing Activity • Marcellus / Utica Basin Activity Intermodal MARKET • Import Demand • Warehouse Inventories OUTLOOK • Truck Capacity Coal • Seaborne Prices • Export Demand • Utility Demand Competitor response to the merger announcement is expected to have a
Slide 12: Financial Results
04 FINANCIAL RESULTS Jason Zampi Executive Vice President & Chief Financial Officer
Slide 13: Reconciliation of Third Quarter 2025 Non-GAAP Results
RECONCILIATION OF THIRD QUARTER 2025 NON-GAAP RESULTS $ in millions, except per share Non-GAAP adjustment Increase / (Decrease) E. Ohio Adjusted (1) GAAP Restructuring & Merger-related Incident Q3’25 net impact other charges expenses Q3’25 Revenues $3,103 – – – $3,103 Operating expenses $2,005 ($13)
Slide 14: Adjusted Results
ADJUSTED (1) RESULTS Third quarter versus prior year and prior quarter favorable / unfavorable $ millions, except per share Adjusted (1) Q3’25 vs. Q3’24 Q3’25 vs. Q2’25 Q3’25 Q3’24 Q2’25 Variances Variances Revenues $3,103 $3,051 $3,110 $52 2% ($7) --% Operating expenses $1,965 $1,934 $1,972 $31 2%
Slide 15: Adjusted Operating Expenses
ADJUSTED (1) OPERATING EXPENSES Third quarter 2025 vs. 2024 favorable / unfavorable $ millions ↑10% ↑3% ↑4% ↑3% $21 $9 $22 $1,965 $24 $1,934 $45 ↓23% $31 ↑2% Prior year stock- Rents $13 Prior year Land sales $65 based comp $22 recoveries $20 Purch. Svcs. $9 Claims $9 Pay rates $17 Volume $8 Material
Slide 16: Closing Remarks
05 CLOSING REMARKS Mark George President & Chief Executive Officer
Slide 17: Thank You
Thank You www.NorfolkSouthern.com
Slide 18: Appendix
APPENDIX 18
Slide 19: Reconciliation of Second Quarter 2025 Non-GAAP Results
RECONCILIATION OF SECOND QUARTER 2025 NON-GAAP RESULTS $ in millions, except per share Non-GAAP adjustment Increase / (Decrease) E. Ohio Restructuring Adjusted (1) GAAP Incident and other Q2’25 net recovery charges Q2’25 Revenues $3,110 – – $3,110 Operating expenses $1,935 $47 ($10) $1,972 Operating
Slide 20: Reconciliation of Third Quarter 2024 Non-GAAP Results
RECONCILIATION OF THIRD QUARTER 2024 NON-GAAP RESULTS $ in millions, except EPS Non-GAAP adjustments Increase / (Decrease) GAAP Gains on Restructuring Adjusted(1) E. Ohio Railway Line and Other Incident Q3’24 Sales Charges Q3’24 Revenues $3,051 - - - $3,051 Operating expenses $1,455 $159 $380 ($60)