Norfolk Southern Corporation · NYSE:NSC
Norfolk Southern — Q1 2026 Earnings Presentation
21 slides from Norfolk Southern's earnings presentation, Apr 24, 2026
Slide 1: Q1 2026 Earnings Call
Q1 2026 EARNINGS CALL April 24, 2026
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 Update
SAFETY UPDATE Investment in Safety continues to drive results while building long-term culture change FRA Personal Injury Index FRA Accident Rate FRA Mainline Accident Rate 1.22 1.16 2.86 1.10 0.58 0.54 1.00 0.52 2.39 2.25 2.01 Better Better Better 0.69 1.43 0.26 0.13 Q1 Q2 Q3 Q4 Q1 Q1 Q2 Q3 Q4 Q1 Q
Slide 6: Network Update
NETWORK UPDATE NETWORK HEALTH ASSET EFFICIENCY CUSTOMER FACING AAR Terminal Dwell (Hours) Car Miles per Day Intermodal Svc Composite 92% 119 118 118 89% 22.5 22.7 22.4 22.3 116 86% 21.8 115 85% 85% Better Better Better Q1 Q2 Q3 Q4 Q1 Q1 Q2 Q3 Q4 Q1 Q1 Q2 Q3 Q4 Q1 2025 2025 2025 2025 2026 2025 2025 2
Slide 7: PSR 2.0 - A Self-Reinforcing Operating System
PSR 2.0 - A SELF-REINFORCING OPERATING SYSTEM ~$650M+ $550M ~$150M+ Recrews -8.6% 2026 Root Cause $150M War Room Analysis PSR $216M 2025 $150M 2.0 Injury Rate Stable $292M 2024 $250M Original 2026 Projection Target Our flywheel discipline is driving ~$150M+ of additional Cost Reduction in 2026 7
Slide 8: Market Overview
03 MARKET OVERVIEW Ed Elkins Executive Vice President & Chief Commercial Officer
Slide 9: 1st Quarter 2026 Results
1ST QUARTER 2026 RESULTS Q1 2026 vs. Q1 2025 / Revenue change $ in millions / favorable / unfavorable $19 $2,993 $8 $2,998 ($15) ($7) Q1 2025 Q1 2026 Q3 2025 Merchandise Intermodal Coal Fuel Total Volume 557,800 1% 980,600 (4%) 178,800 9% 1,717,200 (1%) Revenue $1,885M 1% $749M (1%) $364M (2%) $2,99
Slide 10: 2026 Market Outlook
Merchandise • Vehicle Production 2026 • Manufacturing Activity • Global Energy Prices MARKET OUTLOOK Intermodal • Import Demand Enhanced competitive environment as a result of the merger • Warehouse Inventories announcement will continue to have an adverse impact on volumes in the short and medium t
Slide 11: Focus on Freight Growth
FOCUS ON FREIGHT GROWTH The newly announced partnership with Jaguar Transport Holdings, LLC highlights our focus on: • Creating innovative deal structures that drive growth to the franchise • Delivering new capabilities that drive compelling value for customers 11
Slide 12: Financial Results
04 FINANCIAL RESULTS Jason Zampi Executive Vice President & Chief Financial Officer
Slide 13: Reconciliation of First Quarter 2026 Non-GAAP Results
RECONCILIATION OF FIRST QUARTER 2026 NON-GAAP RESULTS $ in millions, except per share Non-GAAP adjustment Increase / (Decrease) E. Ohio Adjusted (1) GAAP Merger-related Incident - Q1’26 expenses net impact Q1’26 Revenues $2,998 – – $2,998 Operating expenses $2,121 ($52) ($10) $2,059 Operating ratio
Slide 14: Adjusted Results
ADJUSTED (1) RESULTS First quarter versus prior year favorable / unfavorable $ millions, except per share Adjusted (1) Q1’26 vs. Q1’25 Q1’26 Q1’25 Variances Revenues $2,998 $2,993 $5 -% Operating expenses $2,059 $2,032 $27 1% Operating ratio 68.7% 67.9% 80 bps Operating income $939 $961 ($22) (2%) N
Slide 15: Adjusted Operating Expenses
ADJUSTED (1) OPERATING EXPENSES First quarter 2026 vs. 2025 favorable / unfavorable $ millions ↑5% ↑2% ↑--% ↑5% $12 $6 $1 $2,032 $24 $2,059 $16 ↓8% $27 ↑1% Purch. Svcs. ($17) Price ($31) Pay rates ($21) Claims $13 Rents ($7) Usage & Benefit rates and Materials $6 efficiency $19 taxes ($13) Other ($3
Slide 16: Adjusted Financial Results
ADJUSTED (1) FINANCIAL RESULTS First quarter 2026 vs. 2025 favorable / unfavorable $ millions, except per share Revenue Operating Operating Operating Net Earnings $5 Expense Ratio Income Income Per Share –% $27 $2,993 $2,998 1% 80 bps $0.04 $2,032 $2,059 1% 67.9% 68.7% $22 $2.69 $2.65 2% $12 2% $961
Slide 17: Closing Remarks
05 CLOSING REMARKS Mark George President & Chief Executive Officer
Slide 18: Re-iterating 2026 Guidance
RE-ITERATING 2026 GUIDANCE Prioritize Safety and Service • Continued momentum on safety culture and performance • Deliver consistent and reliable service Disciplined Execution and Cost Control • 2026 Adjusted Operating Expense expected to be $8.2B – $8.4B • Prolonged high fuel prices would likely im
Slide 19: Thank You
Thank You www.NorfolkSouthern.com
Slide 20: Appendix
APPENDIX 20
Slide 21: Reconciliation of First Quarter 2025 Non-GAAP Measures
RECONCILIATION OF FIRST QUARTER 2025 NON-GAAP MEASURES $ in millions, except per share Non-GAAP adjustment Increase / (Decrease) E. Ohio GAAP Adjusted (1) Incident Q1’25 net recovery Q1’25 Revenues $2,993 – $2,993 Operating expenses $1,847 $185 $2,032 Operating ratio 61.7% 620 bps 67.9% Operating in