Norfolk Southern Financials

NSC

Source SEC Filings (10-K/10-Q) Updated Dec 31, 2025 Currency USD FYE December

This page shows Norfolk Southern (NSC) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 19 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).

Financial Health Signals

Financial Profile 58/100

Based on FY2025 annual data. Scores normalized against common benchmarks. How we calculate these scores

Profitability

100

Norfolk Southern has an operating margin of 35.8%, meaning the company retains $36 of operating profit per $100 of revenue. This strong profitability earns a score of 100/100, reflecting efficient cost management and pricing power. This is up from 33.6% the prior year.

Growth

Norfolk Southern's revenue grew a modest 0.5% year-over-year to $12.2B. This slow but positive growth earns a score of 34/100.

Leverage

Norfolk Southern carries a low D/E ratio of 1.06, meaning only $1.06 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 80/100, indicating a strong balance sheet with room for future borrowing.

Liquidity

Norfolk Southern's current ratio of 0.85 means current assets barely cover short-term liabilities. This tight liquidity results in a low score of 12/100, which could limit financial flexibility.

Cash Flow

Norfolk Southern converts 17.7% of revenue into free cash flow ($2.2B). This strong cash generation earns a score of 69/100.

Returns

Norfolk Southern's ROE of 18.5% shows moderate profitability relative to equity, earning a score of 52/100. This is up from 18.3% the prior year.

Altman Z-Score Grey Zone

2.26

Norfolk Southern scores 2.26, placing it in the grey zone between 1.81 and 2.99. The score is driven primarily by a large market capitalization ($63.4B) relative to total liabilities ($29.7B). This signals moderate financial risk that warrants monitoring.

Piotroski F-Score Neutral

6/9

Norfolk Southern passes 6 of 9 financial strength tests. All 4 profitability signals pass (positive income, cash flow, and earnings quality), 2 of 3 leverage/liquidity signals pass, neither operating efficiency signal passes.

Earnings Quality Cash-Backed

1.52x

For every $1 of reported earnings, Norfolk Southern generates $1.52 in operating cash flow ($4.4B OCF vs $2.9B net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.

Interest Coverage Safe

5.5x

Norfolk Southern earns $5.5 in operating income for every $1 of interest expense ($4.4B vs $792.0M). This wide margin provides strong safety for debt servicing, even if earnings decline temporarily.

Key Financial Metrics

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Earnings & Revenue

Revenue

$12.2B

YoY+0.5%

5Y CAGR+4.5%

10Y CAGR+1.5%

Norfolk Southern generated $12.2B in revenue in fiscal year 2025. This represents an increase of 0.5% from the prior year.

EBITDA

$5.7B

YoY+6.0%

5Y CAGR+6.7%

10Y CAGR+3.8%

Norfolk Southern's EBITDA was $5.7B in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 6.0% from the prior year.

Net Income

$2.9B

YoY+9.6%

5Y CAGR+7.4%

10Y CAGR+6.3%

Norfolk Southern reported $2.9B in net income in fiscal year 2025. This represents an increase of 9.6% from the prior year.

EPS (Diluted)

N/A

Cash & Balance Sheet

Free Cash Flow

$2.2B

YoY+29.1%

5Y CAGR+0.1%

10Y CAGR+15.2%

Norfolk Southern generated $2.2B in free cash flow in fiscal year 2025, representing cash available after capex. This represents an increase of 29.1% from the prior year.

Cash & Debt

$1.5B

YoY-6.8%

5Y CAGR+6.5%

10Y CAGR+3.3%

Norfolk Southern held $1.5B in cash against $16.5B in long-term debt as of fiscal year 2025.

Dividends Per Share

$5.40

YoY+0.0%

5Y CAGR+7.5%

10Y CAGR+8.6%

Norfolk Southern paid $5.40 per share in dividends in fiscal year 2025. This represents an increase of 0.0% from the prior year.

Shares Outstanding

225M

YoY-0.8%

5Y CAGR-2.3%

10Y CAGR-2.8%

Norfolk Southern had 225M shares outstanding in fiscal year 2025. This represents a decrease of 0.8% from the prior year.

Margins & Returns

Gross Margin

N/A

Operating Margin

35.8%

YoY+2.2pp

5Y CAGR+5.1pp

10Y CAGR+8.3pp

Norfolk Southern's operating margin was 35.8% in fiscal year 2025, reflecting core business profitability. This is up 2.2 percentage points from the prior year.

Net Margin

23.6%

YoY+2.0pp

5Y CAGR+3.0pp

10Y CAGR+8.8pp

Norfolk Southern's net profit margin was 23.6% in fiscal year 2025, showing the share of revenue converted to profit. This is up 2.0 percentage points from the prior year.

Return on Equity

18.5%

YoY+0.2pp

5Y CAGR+4.9pp

10Y CAGR+5.7pp

Norfolk Southern's ROE was 18.5% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is up 0.2 percentage points from the prior year.

Capital Allocation

R&D Spending

N/A

Share Buybacks

$534.0M

5Y CAGR-18.0%

10Y CAGR-6.8%

Norfolk Southern spent $534.0M on share buybacks in fiscal year 2025, returning capital to shareholders by reducing shares outstanding.

Capital Expenditures

$2.2B

YoY-7.4%

5Y CAGR+8.1%

10Y CAGR-0.8%

Norfolk Southern invested $2.2B in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents a decrease of 7.4% from the prior year.

NSC Income Statement

Metric	FY25	FY24	FY23	FY22	FY21	FY20
Revenue	$12.2B+0.5%	$12.1B-0.3%	$12.2B-4.6%	$12.7B+14.4%	$11.1B+13.8%	$9.8B
Cost of Revenue	N/A	N/A	N/A	N/A	N/A	N/A
Gross Profit	N/A	N/A	N/A	N/A	N/A	N/A
R&D Expenses	N/A	N/A	N/A	N/A	N/A	N/A
SG&A Expenses	N/A	N/A	N/A	N/A	N/A	N/A
Operating Income	$4.4B+7.0%	$4.1B+42.8%	$2.9B-40.7%	$4.8B+8.1%	$4.4B+48.1%	$3.0B
Interest Expense	$792.0M-1.9%	$807.0M+11.8%	$722.0M+4.3%	$692.0M+7.1%	$646.0M+3.4%	$625.0M
Income Tax	$792.0M+12.0%	$707.0M+43.4%	$493.0M-42.7%	$860.0M-1.5%	$873.0M+68.9%	$517.0M
Net Income	$2.9B+9.6%	$2.6B+43.5%	$1.8B-44.1%	$3.3B+8.8%	$3.0B+49.3%	$2.0B
EPS (Diluted)	N/A	N/A	N/A	N/A	N/A	N/A

Metric	Q4'25	Q3'25	Q2'25	Q1'25	Q4'24	Q3'24	Q2'24	Q1'24
Revenue	$3.0B-4.2%	$3.1B-0.2%	$3.1B+3.9%	$3.0B-1.0%	$3.0B-0.9%	$3.1B+0.2%	$3.0B+1.3%	$3.0B
Cost of Revenue	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Gross Profit	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
R&D Expenses	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
SG&A Expenses	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Operating Income	$937.0M-14.7%	$1.1B-6.6%	$1.2B+2.5%	$1.1B+1.3%	$1.1B-29.1%	$1.6B+41.1%	$1.1B+431.0%	$213.0M
Interest Expense	$195.0M-1.0%	$197.0M-2.0%	$201.0M+1.0%	$199.0M0.0%	$199.0M-2.0%	$203.0M-0.5%	$204.0M+1.5%	$201.0M
Income Tax	$121.0M-43.2%	$213.0M-7.4%	$230.0M+0.9%	$228.0M+16.9%	$195.0M-40.5%	$328.0M+58.5%	$207.0M+1000.0%	-$23.0M
Net Income	$644.0M-9.4%	$711.0M-7.4%	$768.0M+2.4%	$750.0M+2.3%	$733.0M-33.3%	$1.1B+49.1%	$737.0M+1290.6%	$53.0M
EPS (Diluted)	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

NSC Balance Sheet

Metric	FY25	FY24	FY23	FY22	FY21	FY20
Total Assets	$45.2B+3.6%	$43.7B+4.9%	$41.7B+7.1%	$38.9B+1.0%	$38.5B+1.4%	$38.0B
Current Assets	$3.2B+0.3%	$3.2B-2.5%	$3.3B+63.0%	$2.0B-7.4%	$2.2B-6.5%	$2.3B
Cash & Equivalents	$1.5B-6.8%	$1.6B+4.7%	$1.6B+243.9%	$456.0M-45.6%	$839.0M-24.8%	$1.1B
Inventory	N/A	N/A	N/A	N/A	N/A	N/A
Accounts Receivable	$988.0M-7.6%	$1.1B-6.8%	$1.1B-0.1%	$1.1B+17.6%	$976.0M+15.1%	$848.0M
Goodwill	N/A	N/A	N/A	N/A	N/A	N/A
Total Liabilities	$29.7B+1.1%	$29.4B+1.7%	$28.9B+10.4%	$26.2B+5.2%	$24.9B+7.3%	$23.2B
Current Liabilities	$3.8B+6.5%	$3.5B+34.7%	$2.6B-0.6%	$2.6B+5.1%	$2.5B+16.7%	$2.2B
Long-Term Debt	$16.5B-1.0%	$16.7B-3.1%	$17.2B+18.6%	$14.5B+9.0%	$13.3B+9.8%	$12.1B
Total Equity	$15.5B+8.7%	$14.3B+11.9%	$12.8B+0.4%	$12.7B-6.7%	$13.6B-7.8%	$14.8B
Retained Earnings	$13.2B+9.4%	$12.1B+13.1%	$10.7B0.0%	$10.7B-7.7%	$11.6B-10.1%	$12.9B

Metric	Q4'25	Q3'25	Q2'25	Q1'25	Q4'24	Q3'24	Q2'24	Q1'24
Total Assets	$45.2B+1.5%	$44.6B+1.0%	$44.2B+0.8%	$43.8B+0.3%	$43.7B+1.0%	$43.3B+1.6%	$42.6B+1.0%	$42.1B
Current Assets	$3.2B+5.3%	$3.0B+4.4%	$2.9B+7.6%	$2.7B-15.3%	$3.2B+18.5%	$2.7B+16.8%	$2.3B-2.2%	$2.4B
Cash & Equivalents	$1.5B+7.9%	$1.4B+8.8%	$1.3B+29.5%	$1.0B-38.7%	$1.6B+68.3%	$975.0M+48.0%	$659.0M+1.1%	$652.0M
Inventory	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accounts Receivable	$988.0M-10.3%	$1.1B-1.9%	$1.1B-8.8%	$1.2B+15.2%	$1.1B-17.9%	$1.3B+9.5%	$1.2B-0.8%	$1.2B
Goodwill	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Total Liabilities	$29.7B+0.8%	$29.4B+0.2%	$29.4B+0.3%	$29.3B-0.3%	$29.4B-0.3%	$29.5B-0.4%	$29.6B0.0%	$29.6B
Current Liabilities	$3.8B+7.1%	$3.5B-3.9%	$3.7B+6.3%	$3.5B-2.7%	$3.5B-3.6%	$3.7B+0.3%	$3.7B+6.4%	$3.4B
Long-Term Debt	$16.5B0.0%	$16.5B+0.1%	$16.5B-1.2%	$16.7B+0.1%	$16.7B0.0%	$16.6B-1.7%	$16.9B-1.4%	$17.2B
Total Equity	$15.5B+2.7%	$15.1B+2.4%	$14.8B+1.9%	$14.5B+1.4%	$14.3B+3.8%	$13.8B+6.2%	$13.0B+3.5%	$12.5B
Retained Earnings	$13.2B+2.6%	$12.9B+2.6%	$12.6B+2.2%	$12.3B+1.7%	$12.1B+3.7%	$11.7B+7.3%	$10.9B+4.1%	$10.4B

NSC Cash Flow Statement

Metric	FY25	FY24	FY23	FY22	FY21	FY20
Operating Cash Flow	$4.4B+7.6%	$4.1B+27.5%	$3.2B-24.7%	$4.2B-0.8%	$4.3B+17.0%	$3.6B
Capital Expenditures	$2.2B-7.4%	$2.4B+2.3%	$2.3B+19.5%	$1.9B+32.5%	$1.5B-1.6%	$1.5B
Free Cash Flow	$2.2B+29.1%	$1.7B+96.1%	$852.0M-62.5%	$2.3B-18.3%	$2.8B+30.0%	$2.1B
Investing Cash Flow	-$2.6B+7.8%	-$2.8B-27.4%	-$2.2B-36.1%	-$1.6B-31.2%	-$1.2B-4.0%	-$1.2B
Financing Cash Flow	-$1.9B-59.3%	-$1.2B-1142.6%	$115.0M+103.8%	-$3.0B+9.3%	-$3.3B-71.7%	-$1.9B
Dividends Paid	$1.2B-0.5%	$1.2B-0.3%	$1.2B+5.0%	$1.2B+13.5%	$1.0B+7.1%	$960.0M
Share Buybacks	$534.0M	$0-100.0%	$622.0M-80.0%	$3.1B-8.3%	$3.4B+135.6%	$1.4B

Metric	Q4'25	Q3'25	Q2'25	Q1'25	Q4'24	Q3'24	Q2'24	Q1'24
Operating Cash Flow	$1.1B-16.4%	$1.3B+18.0%	$1.1B+13.4%	$950.0M-0.1%	$951.0M-22.4%	$1.2B+18.3%	$1.0B+23.5%	$839.0M
Capital Expenditures	$729.0M+32.3%	$551.0M+16.0%	$475.0M+5.8%	$449.0M-33.5%	$675.0M+16.2%	$581.0M+2.3%	$568.0M+2.0%	$557.0M
Free Cash Flow	$334.0M-53.6%	$720.0M+19.6%	$602.0M+20.2%	$501.0M+81.5%	$276.0M-57.2%	$645.0M+37.8%	$468.0M+66.0%	$282.0M
Investing Cash Flow	-$644.0M-33.3%	-$483.0M-16.7%	-$414.0M+59.5%	-$1.0B-9381.8%	$11.0M+104.9%	-$224.0M+69.0%	-$723.0M+60.8%	-$1.8B
Financing Cash Flow	-$307.0M+54.4%	-$673.0M-83.9%	-$366.0M+35.1%	-$564.0M-90.5%	-$296.0M+56.9%	-$686.0M-124.2%	-$306.0M-443.8%	$89.0M
Dividends Paid	$303.0M0.0%	$303.0M0.0%	$303.0M-1.0%	$306.0M0.0%	$306.0M+0.3%	$305.0M0.0%	$305.0M0.0%	$305.0M
Share Buybacks	$0-100.0%	$78.0M-62.5%	$208.0M-16.1%	$248.0M	$0	$0	$0	$0

NSC Financial Ratios

Metric	FY25	FY24	FY23	FY22	FY21	FY20
Gross Margin	N/A	N/A	N/A	N/A	N/A	N/A
Operating Margin	35.8%+2.2pp	33.6%+10.1pp	23.4%-14.3pp	37.7%-2.2pp	39.9%+9.2pp	30.7%
Net Margin	23.6%+2.0pp	21.6%+6.6pp	15.0%-10.6pp	25.7%-1.3pp	27.0%+6.4pp	20.6%
Return on Equity	18.5%+0.2pp	18.3%+4.0pp	14.3%-11.4pp	25.7%+3.6pp	22.0%+8.4pp	13.6%
Return on Assets	6.3%+0.4pp	6.0%+1.6pp	4.4%-4.0pp	8.4%+0.6pp	7.8%+2.5pp	5.3%
Current Ratio	0.85-0.1	0.90-0.3	1.24+0.5	0.76-0.1	0.86-0.2	1.07
Debt-to-Equity	1.06-0.1	1.16-0.2	1.34+0.2	1.14+0.2	0.97+0.2	0.82
FCF Margin	17.7%+3.9pp	13.8%+6.8pp	7.0%-10.8pp	17.8%-7.2pp	25.0%+3.1pp	21.9%

Metric	Q4'25	Q3'25	Q2'25	Q1'25	Q4'24	Q3'24	Q2'24	Q1'24
Gross Margin	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Operating Margin	31.5%-3.9pp	35.4%-2.4pp	37.8%-0.5pp	38.3%+0.9pp	37.4%-14.9pp	52.3%+15.2pp	37.2%+30.1pp	7.1%
Net Margin	21.6%-1.3pp	22.9%-1.8pp	24.7%-0.4pp	25.1%+0.8pp	24.2%-11.8pp	36.0%+11.8pp	24.2%+22.4pp	1.8%
Return on Equity	4.1%-0.6pp	4.7%-0.5pp	5.2%+0.0pp	5.2%+0.1pp	5.1%-2.8pp	8.0%+2.3pp	5.7%+5.3pp	0.4%
Return on Assets	1.4%-0.2pp	1.6%-0.1pp	1.7%+0.0pp	1.7%+0.0pp	1.7%-0.9pp	2.5%+0.8pp	1.7%+1.6pp	0.1%
Current Ratio	0.85-0.0	0.86+0.1	0.790.0	0.78-0.1	0.90+0.2	0.73+0.1	0.63-0.1	0.68
Debt-to-Equity	1.06-0.0	1.09-0.0	1.11-0.0	1.15-0.0	1.16-0.0	1.21-0.1	1.30-0.1	1.37
FCF Margin	11.2%-12.0pp	23.2%+3.8pp	19.4%+2.6pp	16.7%+7.6pp	9.1%-12.0pp	21.1%+5.8pp	15.4%+6.0pp	9.4%

Note: The current ratio is below 1.0 (0.85), indicating current liabilities exceed current assets, which may suggest potential short-term liquidity concerns.

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Frequently Asked Questions

What is Norfolk Southern's annual revenue?

Norfolk Southern (NSC) reported $12.2B in total revenue for fiscal year 2025. This represents a 0.5% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.

How fast is Norfolk Southern's revenue growing?

Norfolk Southern (NSC) revenue grew by 0.5% year-over-year, from $12.1B to $12.2B in fiscal year 2025.

Is Norfolk Southern profitable?

Yes, Norfolk Southern (NSC) reported a net income of $2.9B in fiscal year 2025, with a net profit margin of 23.6%.

What is Norfolk Southern's EBITDA?

Norfolk Southern (NSC) had EBITDA of $5.7B in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.

How much debt does Norfolk Southern have?

As of fiscal year 2025, Norfolk Southern (NSC) had $1.5B in cash and equivalents against $16.5B in long-term debt.

What is Norfolk Southern's operating margin?

Norfolk Southern (NSC) had an operating margin of 35.8% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.

What is Norfolk Southern's net profit margin?

Norfolk Southern (NSC) had a net profit margin of 23.6% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.

Does Norfolk Southern pay dividends?

Yes, Norfolk Southern (NSC) paid $5.40 per share in dividends during fiscal year 2025.

What is Norfolk Southern's return on equity (ROE)?

Norfolk Southern (NSC) has a return on equity of 18.5% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.

What is Norfolk Southern's free cash flow?

Norfolk Southern (NSC) generated $2.2B in free cash flow during fiscal year 2025. This represents a 29.1% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.

What is Norfolk Southern's operating cash flow?

Norfolk Southern (NSC) generated $4.4B in operating cash flow during fiscal year 2025, representing cash generated from core business activities.

What are Norfolk Southern's total assets?

Norfolk Southern (NSC) had $45.2B in total assets as of fiscal year 2025, including both current and long-term assets.

What are Norfolk Southern's capital expenditures?

Norfolk Southern (NSC) invested $2.2B in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.

Does Norfolk Southern buy back shares?

Yes, Norfolk Southern (NSC) spent $534.0M on share buybacks during fiscal year 2025, returning capital to shareholders by reducing shares outstanding.

How many shares does Norfolk Southern have outstanding?

Norfolk Southern (NSC) had 225M shares outstanding as of fiscal year 2025.

What is Norfolk Southern's current ratio?

Norfolk Southern (NSC) had a current ratio of 0.85 as of fiscal year 2025, which is below 1.0, which may suggest potential liquidity concerns.

What is Norfolk Southern's debt-to-equity ratio?

Norfolk Southern (NSC) had a debt-to-equity ratio of 1.06 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.

What is Norfolk Southern's return on assets (ROA)?

Norfolk Southern (NSC) had a return on assets of 6.3% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.

What is Norfolk Southern's Altman Z-Score?

Norfolk Southern (NSC) has an Altman Z-Score of 2.26, placing it in the Grey Zone (moderate risk). The Z-Score combines five financial ratios—working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets—to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.

What is Norfolk Southern's Piotroski F-Score?

Norfolk Southern (NSC) has a Piotroski F-Score of 6 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7–9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.

Are Norfolk Southern's earnings high quality?

Norfolk Southern (NSC) has an earnings quality ratio of 1.52x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.

Can Norfolk Southern cover its interest payments?

Norfolk Southern (NSC) has an interest coverage ratio of 5.5x, meaning it can comfortably cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.

How financially healthy is Norfolk Southern?

Norfolk Southern (NSC) scores 58 out of 100 on our Financial Profile, indicating moderate overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.