FILE - In this July 15, 2013, file photo, Union Pacific Railroad locomotives sit on a track in a rail yard in Phoenix. Union Pacific reports financial results Thursday, Oct. 20, 2016. (AP Photo/Ross D. Franklin, File)

FILE - In this July 15, 2013, file photo, Union Pacific Railroad locomotives sit on a track in a rail yard in Phoenix. Union Pacific reports financial results Thursday, Oct. 20, 2016. (AP Photo/Ross D. Franklin, File) (The Associated Press)

Union Pacific 3Q profit falls 13 percent as shipments slow

Markets Associated Press

Union Pacific profit fell 13 percent in the third quarter as the railroad hauled 6 percent less freight and coal demand continued to plummet.

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The Omaha, Nebraska, based railroad said Thursday that it earned $1.13 billion, or $1.36 per share. That's down from $1.3 billion, or $1.50 per share.

The 13 analysts surveyed by Zacks Investment Research expected earnings of $1.39 per share on average.

The railroad's revenue declined 7 percent to $5.17 billion in the quarter from $5.56 billion. The six analysts surveyed by Zacks expected $5.14 billion.

Union Pacific CEO Lance Fritz says the grain and energy segments of the economy are improving although the challenges of a strong dollar and weak demand for consumer goods continue.

In premarket trading, Union Pacific's stock fell $1.72, or 1.8 percent, to $95.40 Thursday morning.

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Union Pacific shares have increased 24 percent since the beginning of the year, while the Standard & Poor's 500 index has climbed roughly 5 percent. The stock has risen nearly 5 percent in the last 12 months.

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Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on UNP at http://www.zacks.com/ap/UNP

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Keywords: Union Pacific, Earnings Report, Priority Earnings