Analysis of Profitability Ratios
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
Union Pacific Corp., profitability ratios
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
| Profitability ratio | Description | The company |
|---|---|---|
| Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | Union Pacific Corp. operating profit margin ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level. |
| Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | Union Pacific Corp. net profit margin ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 not reaching 2022 level. |
| Profitability ratio | Description | The company |
|---|---|---|
| ROE | A profitability ratio calculated as net income divided by shareholders’ equity. | Union Pacific Corp. ROE deteriorated from 2022 to 2023 and from 2023 to 2024. |
| ROA | A profitability ratio calculated as net income divided by total assets. | Union Pacific Corp. ROA deteriorated from 2022 to 2023 but then slightly improved from 2023 to 2024. |
Operating Profit Margin
Union Pacific Corp., operating profit margin calculation, comparison to benchmarks
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Operating income | 9,713) | 9,082) | 9,917) | 9,338) | 7,834) | |
| Operating revenues | 24,250) | 24,119) | 24,875) | 21,804) | 19,533) | |
| Profitability Ratio | ||||||
| Operating profit margin1 | 40.05% | 37.65% | 39.87% | 42.83% | 40.11% | |
| Benchmarks | ||||||
| Operating Profit Margin, Competitors2 | ||||||
| FedEx Corp. | 6.34% | 5.45% | 6.68% | 6.98% | 3.49% | |
| Uber Technologies Inc. | 6.36% | 2.98% | -5.75% | -21.97% | -43.66% | |
| United Airlines Holdings Inc. | — | 7.84% | 5.20% | -4.15% | -41.41% | |
| United Parcel Service Inc. | — | 10.05% | 13.05% | 13.17% | 9.08% | |
| Operating Profit Margin, Sector | ||||||
| Transportation | — | 9.61% | 10.07% | 9.44% | 3.36% | |
| Operating Profit Margin, Industry | ||||||
| Industrials | — | 10.03% | 9.19% | 9.36% | 3.31% | |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2024 Calculation
Operating profit margin = 100 × Operating income ÷ Operating revenues
= 100 × 9,713 ÷ 24,250 = 40.05%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | Union Pacific Corp. operating profit margin ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level. |
Net Profit Margin
Union Pacific Corp., net profit margin calculation, comparison to benchmarks
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income | 6,747) | 6,379) | 6,998) | 6,523) | 5,349) | |
| Operating revenues | 24,250) | 24,119) | 24,875) | 21,804) | 19,533) | |
| Profitability Ratio | ||||||
| Net profit margin1 | 27.82% | 26.45% | 28.13% | 29.92% | 27.38% | |
| Benchmarks | ||||||
| Net Profit Margin, Competitors2 | ||||||
| FedEx Corp. | 4.94% | 4.41% | 4.09% | 6.23% | 1.86% | |
| Uber Technologies Inc. | 22.41% | 5.06% | -28.68% | -2.84% | -60.76% | |
| United Airlines Holdings Inc. | — | 4.87% | 1.64% | -7.97% | -46.04% | |
| United Parcel Service Inc. | — | 7.37% | 11.51% | 13.25% | 1.59% | |
| Net Profit Margin, Sector | ||||||
| Transportation | — | 7.28% | 4.73% | 9.05% | -2.93% | |
| Net Profit Margin, Industry | ||||||
| Industrials | — | 8.41% | 5.16% | 5.96% | 0.25% | |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2024 Calculation
Net profit margin = 100 × Net income ÷ Operating revenues
= 100 × 6,747 ÷ 24,250 = 27.82%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | Union Pacific Corp. net profit margin ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 not reaching 2022 level. |
Return on Equity (ROE)
Union Pacific Corp., ROE calculation, comparison to benchmarks
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income | 6,747) | 6,379) | 6,998) | 6,523) | 5,349) | |
| Common shareholders’ equity | 16,890) | 14,788) | 12,163) | 14,161) | 16,958) | |
| Profitability Ratio | ||||||
| ROE1 | 39.95% | 43.14% | 57.54% | 46.06% | 31.54% | |
| Benchmarks | ||||||
| ROE, Competitors2 | ||||||
| FedEx Corp. | 15.70% | 15.23% | 15.34% | 21.64% | 7.03% | |
| Uber Technologies Inc. | 45.72% | 16.77% | -124.54% | -3.43% | -55.18% | |
| United Airlines Holdings Inc. | — | 28.08% | 10.69% | -39.05% | -118.61% | |
| United Parcel Service Inc. | — | 38.76% | 58.36% | 90.44% | 204.41% | |
| ROE, Sector | ||||||
| Transportation | — | 27.38% | 19.64% | 30.78% | -10.82% | |
| ROE, Industry | ||||||
| Industrials | — | 27.83% | 15.70% | 15.61% | 0.67% | |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2024 Calculation
ROE = 100 × Net income ÷ Common shareholders’ equity
= 100 × 6,747 ÷ 16,890 = 39.95%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| ROE | A profitability ratio calculated as net income divided by shareholders’ equity. | Union Pacific Corp. ROE deteriorated from 2022 to 2023 and from 2023 to 2024. |
Return on Assets (ROA)
Union Pacific Corp., ROA calculation, comparison to benchmarks
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income | 6,747) | 6,379) | 6,998) | 6,523) | 5,349) | |
| Total assets | 67,715) | 67,132) | 65,449) | 63,525) | 62,398) | |
| Profitability Ratio | ||||||
| ROA1 | 9.96% | 9.50% | 10.69% | 10.27% | 8.57% | |
| Benchmarks | ||||||
| ROA, Competitors2 | ||||||
| FedEx Corp. | 4.98% | 4.56% | 4.45% | 6.32% | 1.75% | |
| Uber Technologies Inc. | 19.23% | 4.88% | -28.47% | -1.28% | -20.35% | |
| United Airlines Holdings Inc. | — | 3.68% | 1.09% | -2.88% | -11.87% | |
| United Parcel Service Inc. | — | 9.47% | 16.24% | 18.57% | 2.15% | |
| ROA, Sector | ||||||
| Transportation | — | 6.44% | 4.34% | 6.88% | -2.01% | |
| ROA, Industry | ||||||
| Industrials | — | 5.69% | 3.40% | 3.48% | 0.12% | |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2024 Calculation
ROA = 100 × Net income ÷ Total assets
= 100 × 6,747 ÷ 67,715 = 9.96%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| ROA | A profitability ratio calculated as net income divided by total assets. | Union Pacific Corp. ROA deteriorated from 2022 to 2023 but then slightly improved from 2023 to 2024. |