What's in the Offing for Union Pacific (UNP) in Q2 Earnings?

Financial Performance - Operating revenues for Union Pacific (UNP) reached $6.03 billion, slightly exceeding the Zacks Consensus Estimate of $6 billion, but reflecting a year-over-year decline of 0.41% [1] - Freight revenues, which constitute 93.2% of total revenues, decreased by 1% to $5.62 billion [1] - Total operating expenses amounted to $3.66 billion, showing a year-over-year decline of 3% [1] Earnings Estimates - The Zacks Consensus Estimate for UNP's upcoming quarter's earnings has been revised downward by 1.81% to $2.71 per share, while revenue estimates are set at $6.07 billion, indicating a growth of 1.8% from the previous year [5] - Freight revenue estimates are projected at $5.7 billion, remaining roughly flat compared to the first quarter of 2024, while other revenue estimates are at $364 million, reflecting a 12.3% decrease from the first quarter of 2024 [6] Cost Management - To counteract the revenue decline from the freight downturn, Union Pacific is implementing cost-cutting measures, with adjusted operating expenses expected to decline by 1.5% from the second quarter of 2023 [7] Earnings Surprise History - Union Pacific has a strong earnings surprise history, having surpassed the Zacks Consensus Estimate in three of the last four quarters, with an average beat of 2.34% [11]