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FOURTH QUARTER 2025 EARNINGSFOURTH QUARTER 2025 EARNINGSJANUARY 27, 2026JANUARY 27, 2026UNION PACIFIC CORPORATIONUNION PACIFIC CORPORATION Cautionary InformationCertain statements in this presentation are “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 financial performance and involve known and unknown risks, uncertainties, and other factors that may cause the Company’s (or, as it relates to the Transaction (as defined below), the combined company of Norfolk Southern and Union Pacific (referred to hereinafter as the combined company) actual results, levels of activity, performance, or achievements or those of the railroad industry to be materially different from those expressed or implied by any forward-looking statements. In some cases, forward-looking statements may be identified by the use of words like “may,” “will,” “could,” “would,” “should,” “expect,” “anticipate,” “believe,” “project,” “estimate,” “intend,” “plan,” “pro forma,” or any variations or other comparable terminology.While the Company has based these forward-looking statements on those expectations, assumptions, estimates, beliefs and projections they view as reasonable, such forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which involve factors or circumstances that are beyond the Company’s, including but not limited to, in addition to factors disclosed in the Company’s, as well as Norfolk Southern’s (as it relates to the proposed combination of it with the Company) respective filings with the U.S. Securities and Exchange Commission (the “SEC”): the occurrence of any event, change or other circumstance that could give rise to the right of one or both of the parties to terminate the definitive merger agreement between the Company and Norfolk Southern providing for the acquisition of Norfolk Southern by Union Pacific (the “Transaction”); the risk that potential legal proceedings may be instituted against the Company or Norfolk Southern and result in significant costs of defense, indemnification or liability; the possibility that the Transaction does not close when expected or at all because required Surface Transportation Board or other approvals and other conditions to closing are not received or satisfied on a timely basis or at all (and the risk that such approvals may result in the imposition of conditions that could adversely affect the combined company or the expected benefits of the Transaction); the risk that the combined company will not realize expected benefits, cost savings, accretion, synergies and/or growth from the Transaction, or that such benefits may take longer to realize or be more costly to achieve than expected, including as a result of changes in, or problems arising from, general economic and market conditions, tariffs, interest and exchange rates, monetary policy, laws and regulations and their enforcement, and the degree of competition in the geographic and business areas in which the Company and Norfolk Southern operate; disruption to the parties’ businesses as a result of the announcement and pendency of the Transaction; the costs associated with the anticipated length of time of the pendency of the Transaction, including the restrictions contained in the definitive merger agreement on the ability of the Company and Norfolk Southern, respectively, to operate their respective businesses outside the ordinary course during the pendency of the Transaction; the diversion of the Company’s and Norfolk Southern’s management’s attention and time from ongoing business operations and opportunities on merger-related matters; the risk that the integration of each party’s operations will be materially delayed or will be more costly or difficult than expected or that the parties are otherwise unable to successfully integrate each party’s businesses into the other’s businesses; the possibility that the Transaction may be more expensive to complete than anticipated, including as a result of unexpected factors or events; reputational risk and potential adverse reactions of the Company’s or Norfolk Southern’s customers, suppliers, employees, labor unions or other business partners, including those resulting from the announcement or completion of the Transaction; the dilution caused by the Company’s issuance of additional shares of its common stock in connection with the consummation of the Transaction; the risk of a downgrade of the credit rating of the Company’s indebtedness, which could give rise to an obligation to redeem existing indebtedness; a material adverse change in the financial condition of the Company, Norfolk Southern or the combined company; changes in domestic or international economic, political or business conditions, including those impacting the transportation industry (including customers, employees and supply chains); the Company’s, Norfolk Southern’s and the combined company’s ability to successfully implement its respective operational, productivity, and strategic initiatives; a significant adverse event on the Company’s or Norfolk Southern’s network, including, but not limited to, a mainline accident, discharge of hazardous materials, or climate-related or other network outage; the outcome of claims, litigation, governmental proceedings and investigations involving the Company or Norfolk Southern, including, in the case of Norfolk Southern, those with respect to the Eastern Ohio incident; the nature and extent of Norfolk Southern’s environmental remediation obligations with respect to the Eastern Ohio incident; new or additional governmental regulation and/or operational changes resulting from or related to the Eastern Ohio incident; and a cybersecurity incident or other disruption to our technology infrastructure.This list of important factors is not intended to be exhaustive. These and other important factors, including those discussed under “Risk Factors” in Norfolk Southern’s Annual Report on Form 10-K for the year ended December 31, 2024 (available at https://www.sec.gov/ix?doc=/Archives/edgar/data/0000702165/000070216525000008/nsc-20241231.htm) and Norfolk Southern’s subsequent filings with the SEC, the Company’s most recent Annual Report on Form 10-K for the year ended December 31, 2024, as filed with the SEC on February 7, 2025 (available at https://www.sec.gov/ix?doc=/Archives/edgar/data/0000100885/000010088525000042/unp-20241231.htm) and the Company’s subsequent filings with the SEC, as well as the risks described in the Company’s registration statement on Form S-4 (No. 290282), as filed with the SEC on September 16, 2025, as amended on September 30, 2025 (available at https://www.sec.gov/Archives/edgar/data/100885/000119312525224307/d908896ds4a.htm), may cause actual results, performance, or achievements to differ materially from those expressed or implied by these forward-looking statements. References to the Company’s and Norfolk Southern’s website are provided for convenience and, therefore, information on or available through the website is not, and should not be deemed to be, incorporated by reference herein. The forward-looking statements herein are made only as of the date they were first issued, and unless otherwise required by applicable securities laws, the Company and Norfolk Southern disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as may be required by applicable law or regulation.2
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FOURTH QUARTER 2025 EARNINGSFOURTH QUARTER 2025 EARNINGSJANUARY 27, 2026JANUARY 27, 2026UNION PACIFIC CORPORATIONUNION PACIFIC CORPORATION Cautionary InformationCertain statements in this presentation are “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 financial performance and involve known and unknown risks, uncertainties, and other factors that may cause the Company’s (or, as it relates to the Transaction (as defined below), the combined company of Norfolk Southern and Union Pacific (referred to hereinafter as the combined company) actual results, levels of activity, performance, or achievements or those of the railroad industry to be materially different from those expressed or implied by any forward-looking statements. In some cases, forward-looking statements may be identified by the use of words like “may,” “will,” “could,” “would,” “should,” “expect,” “anticipate,” “believe,” “project,” “estimate,” “intend,” “plan,” “pro forma,” or any variations or other comparable terminology.While the Company has based these forward-looking statements on those expectations, assumptions, estimates, beliefs and projections they view as reasonable, such forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which involve factors or circumstances that are beyond the Company’s, including but not limited to, in addition to factors disclosed in the Company’s, as well as Norfolk Southern’s (as it relates to the proposed combination of it with the Company) respective filings with the U.S. Securities and Exchange Commission (the “SEC”): the occurrence of any event, change or other circumstance that could give rise to the right of one or both of the parties to terminate the definitive merger agreement between the Company and Norfolk Southern providing for the acquisition of Norfolk Southern by Union Pacific (the “Transaction”); the risk that potential legal proceedings may be instituted against the Company or Norfolk Southern and result in significant costs of defense, indemnification or liability; the possibility that the Transaction does not close when expected or at all because required Surface Transportation Board or other approvals and other conditions to closing are not received or satisfied on a timely basis or at all (and the risk that such approvals may result in the imposition of conditions that could adversely affect the combined company or the expected benefits of the Transaction); the risk that the combined company will not realize expected benefits, cost savings, accretion, synergies and/or growth from the Transaction, or that such benefits may take longer to realize or be more costly to achieve than expected, including as a result of changes in, or problems arising from, general economic and market conditions, tariffs, interest and exchange rates, monetary policy, laws and regulations and their enforcement, and the degree of competition in the geographic and business areas in which the Company and Norfolk Southern operate; disruption to the parties’ businesses as a result of the announcement and pendency of the Transaction; the costs associated with the anticipated length of time of the pendency of the Transaction, including the restrictions contained in the definitive merger agreement on the ability of the Company and Norfolk Southern, respectively, to operate their respective businesses outside the ordinary course during the pendency of the Transaction; the diversion of the Company’s and Norfolk Southern’s management’s attention and time from ongoing business operations and opportunities on merger-related matters; the risk that the integration of each party’s operations will be materially delayed or will be more costly or difficult than expected or that the parties are otherwise unable to successfully integrate each party’s businesses into the other’s businesses; the possibility that the Transaction may be more expensive to complete than anticipated, including as a result of unexpected factors or events; reputational risk and potential adverse reactions of the Company’s or Norfolk Southern’s customers, suppliers, employees, labor unions or other business partners, including those resulting from the announcement or completion of the Transaction; the dilution caused by the Company’s issuance of additional shares of its common stock in connection with the consummation of the Transaction; the risk of a downgrade of the credit rating of the Company’s indebtedness, which could give rise to an obligation to redeem existing indebtedness; a material adverse change in the financial condition of the Company, Norfolk Southern or the combined company; changes in domestic or international economic, political or business conditions, including those impacting the transportation industry (including customers, employees and supply chains); the Company’s, Norfolk Southern’s and the combined company’s ability to successfully implement its respective operational, productivity, and strategic initiatives; a significant adverse event on the Company’s or Norfolk Southern’s network, including, but not limited to, a mainline accident, discharge of hazardous materials, or climate-related or other network outage; the outcome of claims, litigation, governmental proceedings and investigations involving the Company or Norfolk Southern, including, in the case of Norfolk Southern, those with respect to the Eastern Ohio incident; the nature and extent of Norfolk Southern’s environmental remediation obligations with respect to the Eastern Ohio incident; new or additional governmental regulation and/or operational changes resulting from or related to the Eastern Ohio incident; and a cybersecurity incident or other disruption to our technology infrastructure.This list of important factors is not intended to be exhaustive. These and other important factors, including those discussed under “Risk Factors” in Norfolk Southern’s Annual Report on Form 10-K for the year ended December 31, 2024 (available at https://www.sec.gov/ix?doc=/Archives/edgar/data/0000702165/000070216525000008/nsc-20241231.htm) and Norfolk Southern’s subsequent filings with the SEC, the Company’s most recent Annual Report on Form 10-K for the year ended December 31, 2024, as filed with the SEC on February 7, 2025 (available at https://www.sec.gov/ix?doc=/Archives/edgar/data/0000100885/000010088525000042/unp-20241231.htm) and the Company’s subsequent filings with the SEC, as well as the risks described in the Company’s registration statement on Form S-4 (No. 290282), as filed with the SEC on September 16, 2025, as amended on September 30, 2025 (available at https://www.sec.gov/Archives/edgar/data/100885/000119312525224307/d908896ds4a.htm), may cause actual results, performance, or achievements to differ materially from those expressed or implied by these forward-looking statements. References to the Company’s and Norfolk Southern’s website are provided for convenience and, therefore, information on or available through the website is not, and should not be deemed to be, incorporated by reference herein. The forward-looking statements herein are made only as of the date they were first issued, and unless otherwise required by applicable securities laws, the Company and Norfolk Southern disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as may be required by applicable law or regulation.2
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Jim VenaJim VenaChief Executive OfficerChief Executive OfficerEXECUTIVE SUMMARYFULL YEAR 20253 4Full Year 2025 HighlightsSAFETY + SERVICE & OPERATIONAL EXCELLENCE•Best-ever performance across safety, service and operating; continued to build on ‘what’s possible’•Strong core pricing, increased network fluidity, and volume growth resulted in operating ratio improvement•Service product and business development delivered volume growth in Coal, Industrial Chemicals & Plastics, Grain & Grain Products, and Metals & Minerals•Focus on strategy supports record operating performance while generating value to customersAdjusted*ReportedFinancials $ 10.0B2%$ 9.8B1%Operating Incomevs. 202459.3%(0.6)59.8%(0.1)Operating Ratiovs. 2024$ 6.9B3%$ 7.1B6%Net Incomevs. 2024$ 11.665%$ 11.988%Earnings per Sharevs. 2024Executive Summary:*See Union Pacific website under Investors for a reconciliation to GAAP.
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Jim VenaJim VenaChief Executive OfficerChief Executive OfficerEXECUTIVE SUMMARYFULL YEAR 20253 4Full Year 2025 HighlightsSAFETY + SERVICE & OPERATIONAL EXCELLENCE•Best-ever performance across safety, service and operating; continued to build on ‘what’s possible’•Strong core pricing, increased network fluidity, and volume growth resulted in operating ratio improvement•Service product and business development delivered volume growth in Coal, Industrial Chemicals & Plastics, Grain & Grain Products, and Metals & Minerals•Focus on strategy supports record operating performance while generating value to customersAdjusted*ReportedFinancials $ 10.0B2%$ 9.8B1%Operating Incomevs. 202459.3%(0.6)59.8%(0.1)Operating Ratiovs. 2024$ 6.9B3%$ 7.1B6%Net Incomevs. 2024$ 11.665%$ 11.988%Earnings per Sharevs. 2024Executive Summary:*See Union Pacific website under Investors for a reconciliation to GAAP.
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FINANCIAL REVIEWFOURTH QUARTER 2025Jennifer HamannJennifer HamannExecutive Vice President & Chief Financial OfficerExecutive Vice President & Chief Financial Officer5 Fourth Quarter Income StatementFreight Revenue Drivers:Operating Expense Drivers:20242025(1)$ 5,201)$ 5,156)Freight Revenue Ex. Fuel3)588)603)Fuel Surcharge(1)5,789)5,759)Freight Revenue(2)332)326)Other Revenue((1)6,121)6,085)Operating Revenue(2)3,596)3,684)Operating Expenses(5)$ 2,525)$ 2,401)Operating IncomeF)68)332)Other Income4)(312)(325)Interest Expense(8)(519)(560)Income Taxes5)$ 1,762)$ 1,848)Net Income7)$ 2.91)$ 3.11)Diluted EPS(1.8)58.7%60.5%Operating RatioVariance%%pts((3)$ 2.96)$ 2.86)Adjusted Diluted EPS*1.9)58.1%)60.0%)Adjusted Operating Ratio**See Union Pacific website under Investors for a reconciliation to GAAP.%ptsVolume (4.00%)Price/Mix 2.75%Fuel Surcharge 0.75%Inflationary PressureMerger-Related ExpensesCasualty ExpensesProductivityVolume-Related Expenses6
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FINANCIAL REVIEWFOURTH QUARTER 2025Jennifer HamannJennifer HamannExecutive Vice President & Chief Financial OfficerExecutive Vice President & Chief Financial Officer5 Fourth Quarter Income StatementFreight Revenue Drivers:Operating Expense Drivers:20242025(1)$ 5,201)$ 5,156)Freight Revenue Ex. Fuel3)588)603)Fuel Surcharge(1)5,789)5,759)Freight Revenue(2)332)326)Other Revenue((1)6,121)6,085)Operating Revenue(2)3,596)3,684)Operating Expenses(5)$ 2,525)$ 2,401)Operating IncomeF)68)332)Other Income4)(312)(325)Interest Expense(8)(519)(560)Income Taxes5)$ 1,762)$ 1,848)Net Income7)$ 2.91)$ 3.11)Diluted EPS(1.8)58.7%60.5%Operating RatioVariance%%pts((3)$ 2.96)$ 2.86)Adjusted Diluted EPS*1.9)58.1%)60.0%)Adjusted Operating Ratio**See Union Pacific website under Investors for a reconciliation to GAAP.%ptsVolume (4.00%)Price/Mix 2.75%Fuel Surcharge 0.75%Inflationary PressureMerger-Related ExpensesCasualty ExpensesProductivityVolume-Related Expenses6
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2025 Full Year Cash Generation, Debt, & Returns to ShareholdersCash From Operations Cash Returns to ShareholdersAdjusted Debt*2024 2025$5.9$4.787%77%2024 2025Cash Flow Conversion*2.7 2.72024 2025$32.5$32.8AdjustedDebt / EBITDA**See Union Pacific website under Investors for a reconciliation to GAAP.$ in Billions 15.8%16.3%2024 2025ROIC*$9.3$9.37 + 0.5 pts vs 2024+ 25%vs 2024 MARKETING & SALES REVIEWFOURTH QUARTER 2025Kenny RockerKenny RockerExecutive Vice President – Marketing & SalesExecutive Vice President – Marketing & Sales8
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2025 Full Year Cash Generation, Debt, & Returns to ShareholdersCash From Operations Cash Returns to ShareholdersAdjusted Debt*2024 2025$5.9$4.787%77%2024 2025Cash Flow Conversion*2.7 2.72024 2025$32.5$32.8AdjustedDebt / EBITDA**See Union Pacific website under Investors for a reconciliation to GAAP.$ in Billions 15.8%16.3%2024 2025ROIC*$9.3$9.37 + 0.5 pts vs 2024+ 25%vs 2024 MARKETING & SALES REVIEWFOURTH QUARTER 2025Kenny RockerKenny RockerExecutive Vice President – Marketing & SalesExecutive Vice President – Marketing & Sales8
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ARCVolume(Thousands)Revenue(Millions)Commodity$ 3,719 Flat5163%$ 1,9193%Bulkvs. 4Q’24$ 3,771 Flat5611% $ 2,116 1%Industrialvs. 4Q’24$ 1,731 5%996 10%$ 1,724 6%Premiumvs. 4Q’24$ 2,7784%2,0734%$ 5,7591%Totalvs. 4Q’24Fourth Quarter Commodity Review 9 2026 S&P Global Market Intelligence Economic Indicators* Durable & Non-Durable GoodsConsumer Spending*Light Vehicle Sales (MM)Housing Starts (MM)GDPIndustrialProductionYear3.3%16.11.342.2%1.3%20252.5%15.81.312.3%0.1%2026 10
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ARCVolume(Thousands)Revenue(Millions)Commodity$ 3,719 Flat5163%$ 1,9193%Bulkvs. 4Q’24$ 3,771 Flat5611% $ 2,116 1%Industrialvs. 4Q’24$ 1,731 5%996 10%$ 1,724 6%Premiumvs. 4Q’24$ 2,7784%2,0734%$ 5,7591%Totalvs. 4Q’24Fourth Quarter Commodity Review 9 2026 S&P Global Market Intelligence Economic Indicators* Durable & Non-Durable GoodsConsumer Spending*Light Vehicle Sales (MM)Housing Starts (MM)GDPIndustrialProductionYear3.3%16.11.342.2%1.3%20252.5%15.81.312.3%0.1%2026 10
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2026 Volume OutlookOutlookBusiness LineCommodityNatural Gas PricesCoal & RenewablesBulkExport Soybeans; Renewable Fuels Tax ClarityGrain & Grain ProductsWinning New Business & Plant ExpansionsIndustrial Chemicals & PlasticsIndustrialContinued Weak Housing DemandForest ProductsLower International Imports, Partially Offset by Over-the-Road GrowthIntermodalPremiumSofter Vehicle SalesAutomotive+++11 OPERATIONS REVIEWFOURTH QUARTER 2025Eric GehringerEric GehringerExecutive Vice President – OperationsExecutive Vice President – Operations12
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2026 Volume OutlookOutlookBusiness LineCommodityNatural Gas PricesCoal & RenewablesBulkExport Soybeans; Renewable Fuels Tax ClarityGrain & Grain ProductsWinning New Business & Plant ExpansionsIndustrial Chemicals & PlasticsIndustrialContinued Weak Housing DemandForest ProductsLower International Imports, Partially Offset by Over-the-Road GrowthIntermodalPremiumSofter Vehicle SalesAutomotive+++11 OPERATIONS REVIEWFOURTH QUARTER 2025Eric GehringerEric GehringerExecutive Vice President – OperationsExecutive Vice President – Operations12
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Key Performance MetricsRecord Full Year Safety PerformanceFOURTH QUARTER 2025 Year-over-year change in metrics.Freight Car VelocityIntermodal Service Performance IndexManifest Service Performance Index239 100 100 11ptsQuarterly DriversImproved Train SpeedRecord FreightCar DwellReduced Car Touches4pts9% 13 Key Efficiency MetricsFOURTH QUARTER 2025Locomotive ProductivityWorkforce ProductivityTrain Length1,151 141 4% 9,729Quarterly DriversImprovedLocomotive DwellLower Workforce LevelsOptimizing Transportation Plan Year-over-year change in metrics.3% 3% 14
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Key Performance MetricsRecord Full Year Safety PerformanceFOURTH QUARTER 2025 Year-over-year change in metrics.Freight Car VelocityIntermodal Service Performance IndexManifest Service Performance Index239 100 100 11ptsQuarterly DriversImproved Train SpeedRecord FreightCar DwellReduced Car Touches4pts9% 13 Key Efficiency MetricsFOURTH QUARTER 2025Locomotive ProductivityWorkforce ProductivityTrain Length1,151 141 4% 9,729Quarterly DriversImprovedLocomotive DwellLower Workforce LevelsOptimizing Transportation Plan Year-over-year change in metrics.3% 3% 14
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$3.4$3.5$3.32024 2025 2026EInvesting in Our FranchisePending UP Board of Directors final approval.Union Pacific 2026 Capital Plan of $3.3 Billion $1.9 B Infrastructure Replacement$0.6 B Capacity & Commercial Facilities$0.4 B Technology & Other$0.4 B Locomotive & EquipmentRail, Ties, & BallastLocomotive Modernizations & Freight CarsIntermodal and Manifest Terminals & Siding ExtensionsTech-Enabled Operations & Customer ExperienceGrowthRenewalCapital Program 15 2026 FULL YEAR OUTLOOKFOURTH QUARTER 2025Jennifer HamannJennifer HamannExecutive Vice President & Chief Financial OfficerExecutive Vice President & Chief Financial Officer16
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$3.4$3.5$3.32024 2025 2026EInvesting in Our FranchisePending UP Board of Directors final approval.Union Pacific 2026 Capital Plan of $3.3 Billion $1.9 B Infrastructure Replacement$0.6 B Capacity & Commercial Facilities$0.4 B Technology & Other$0.4 B Locomotive & EquipmentRail, Ties, & BallastLocomotive Modernizations & Freight CarsIntermodal and Manifest Terminals & Siding ExtensionsTech-Enabled Operations & Customer ExperienceGrowthRenewalCapital Program 15 2026 FULL YEAR OUTLOOKFOURTH QUARTER 2025Jennifer HamannJennifer HamannExecutive Vice President & Chief Financial OfficerExecutive Vice President & Chief Financial Officer16
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On Track With Investor Day Targets 2026 Outlook:• Meeting Customer Demand with Strong Service; Muted Economic Forecast• Pricing Dollars In Excess of Inflation• EPS Growth Mid-Single Digit; Consistent with Attaining the 3-Year CAGR Target of High-Single Digit to Low-Double Digit through 2027• Operating Ratio Improvement; Industry-Leading Operating Ratio and Return on Invested Capital • Continued Strong Cash Generation• Capital Allocation‒ Capital Plan of $3.3 Billion‒ Consistent Annual Dividend Increases17 Jim VenaJim VenaChief Executive OfficerChief Executive OfficerHOW WE WINFOURTH QUARTER 202518
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On Track With Investor Day Targets 2026 Outlook:• Meeting Customer Demand with Strong Service; Muted Economic Forecast• Pricing Dollars In Excess of Inflation• EPS Growth Mid-Single Digit; Consistent with Attaining the 3-Year CAGR Target of High-Single Digit to Low-Double Digit through 2027• Operating Ratio Improvement; Industry-Leading Operating Ratio and Return on Invested Capital • Continued Strong Cash Generation• Capital Allocation‒ Capital Plan of $3.3 Billion‒ Consistent Annual Dividend Increases17 Jim VenaJim VenaChief Executive OfficerChief Executive OfficerHOW WE WINFOURTH QUARTER 202518
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Safety, Service & Operational Excellence = GrowthUNION PACIFIC STRATEGY PEOPLECOST CONTROLASSET UTILIZATIONSERVICESAFETYEngage our teams and stakeholders.Spend resources wisely, with a buffer for the unexpected.Drive decision-making to those closest to the work.Deliver the service we sold our customers.Be the bestat safety.19 QUESTION & ANSWERQUESTION & ANSWERJANUARY 27, 2026JANUARY 27, 2026UNION PACIFIC CORPORATIONUNION PACIFIC CORPORATION
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Safety, Service & Operational Excellence = GrowthUNION PACIFIC STRATEGY PEOPLECOST CONTROLASSET UTILIZATIONSERVICESAFETYEngage our teams and stakeholders.Spend resources wisely, with a buffer for the unexpected.Drive decision-making to those closest to the work.Deliver the service we sold our customers.Be the bestat safety.19 QUESTION & ANSWERQUESTION & ANSWERJANUARY 27, 2026JANUARY 27, 2026UNION PACIFIC CORPORATIONUNION PACIFIC CORPORATION
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APPENDIX21 Fourth Quarter 2025 Operating Ratio and EPS EPSOperating Ratio$2.9158.7%Reported Fourth Quarter 2024($0.05)(0.3 ptsFuel Price (net)($0.05)(0.5) ptsMerger Costs($0.05)0.6 pts2024 Crew Staffing Agreement($0.30)-Industrial Park Land Sales($0.15)(2.2) ptsCore Results$3.1160.5%Reported Fourth Quarter 2025Favorable / (Unfavorable)22
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APPENDIX21 Fourth Quarter 2025 Operating Ratio and EPS EPSOperating Ratio$2.9158.7%Reported Fourth Quarter 2024($0.05)(0.3 ptsFuel Price (net)($0.05)(0.5) ptsMerger Costs($0.05)0.6 pts2024 Crew Staffing Agreement($0.30)-Industrial Park Land Sales($0.15)(2.2) ptsCore Results$3.1160.5%Reported Fourth Quarter 2025Favorable / (Unfavorable)22
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Full Year 2025 Operating Ratio and EPS EPSOperating Ratio$11.09 59.9%Full Year 2024 Reported($0.14)--Fuel Price (net)($0.12)(0.3) ptsMerger Costs($0.69)(0.6)ptsCore Results($0.32)-Industrial Park Land Sales($0.19)-Deferred Tax Adjustment($0.05)(0.2) ptsOther One-Timers*$11.9859.8%Full Year 2025 ReportedFavorable / (Unfavorable)* Other One-Timers includes 2024 Environmental Remediation, 2024 DCLI Gain on Chassis Asset Sale, 2024 and 2025 Crew Staffing Agreements23 +Operating Equipment Lease Expense+Improved Cycle Times‒Fuel Price+Fuel Consumption+2024 Crew Staffing Agreement+Lower Employee Levels‒Wage Inflation‒Merger Expenses‒Inflation‒Higher Maintenance & Repair Costs+Productivity4Q 2024Fourth Quarter 2025 Reported Operating Expenses $ in MillionsProductivity Partially Offsets Inflation & Merger CostsCompensation & BenefitsFuel(3%)+2% Purchased Services & MaterialsEquipment & Other RentsDepreciation Other+8% (8%)+3%+22%4Q2025($39)$14$51$18($19)$63$3,596$3,684Drivers:24‒Casualty‒Higher Property Taxes‒2024 One-Time Bad Debt Reclassification
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Full Year 2025 Operating Ratio and EPS EPSOperating Ratio$11.09 59.9%Full Year 2024 Reported($0.14)--Fuel Price (net)($0.12)(0.3) ptsMerger Costs($0.69)(0.6)ptsCore Results($0.32)-Industrial Park Land Sales($0.19)-Deferred Tax Adjustment($0.05)(0.2) ptsOther One-Timers*$11.9859.8%Full Year 2025 ReportedFavorable / (Unfavorable)* Other One-Timers includes 2024 Environmental Remediation, 2024 DCLI Gain on Chassis Asset Sale, 2024 and 2025 Crew Staffing Agreements23 +Operating Equipment Lease Expense+Improved Cycle Times‒Fuel Price+Fuel Consumption+2024 Crew Staffing Agreement+Lower Employee Levels‒Wage Inflation‒Merger Expenses‒Inflation‒Higher Maintenance & Repair Costs+Productivity4Q 2024Fourth Quarter 2025 Reported Operating Expenses $ in MillionsProductivity Partially Offsets Inflation & Merger CostsCompensation & BenefitsFuel(3%)+2% Purchased Services & MaterialsEquipment & Other RentsDepreciation Other+8% (8%)+3%+22%4Q2025($39)$14$51$18($19)$63$3,596$3,684Drivers:24‒Casualty‒Higher Property Taxes‒2024 One-Time Bad Debt Reclassification
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+Operating Equipment Lease Expense+Improved Cycle Times+Fuel Price+Fuel Consumption+Lower Employee Levels+Health & Welfare‒Wage Inflation‒Merger Expenses‒Inflation‒Higher Maintenance & Repair Costs+Productivity2024Full Year 2025 Reported Operating Expenses $ in MillionsLower Fuel Prices & Productivity Offset Volume-Related Expenses, Inflation, and Merger Costs25Compensation & BenefitsFuelFlat(3%) Purchased Services & MaterialsEquipment & Other RentsDepreciation Other+4% (1%)+3%+4%2025($2)($84)$106$67($8)$48$14,537$14,664Drivers:‒2024 Sale of Intermodal Equipment‒Higher Property Taxes‒2024 One-Time Bad Debt Reclassification‒Higher Asset Base 59.9%59.8%2024 20252025 Full Year Reported ResultsRevenue($ in millions)Operating RatioEarnings Per Share $24,250 $24,510 2024 2025 $11.09 $11.98 2024 2025165K7 Day Carloads 15.8%16.3%2024 2025ROIC**See Union Pacific website under Investors for a reconciliation to GAAP.•Total Revenue Up 1% to $24.5 Billion‒Fuel Surcharge Revenue down $0.2 Billion•Total Expenses Up 1% to $14.7 Billion•Operating Income Up 1% to $9.8 Billion•Net Income Up 6% to $7.1 Billion(0.1) ptsvs 20242025 Summary:+8%vs 2024+0.5 ptsvs 2024162K7 Day Carloads26
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+Operating Equipment Lease Expense+Improved Cycle Times+Fuel Price+Fuel Consumption+Lower Employee Levels+Health & Welfare‒Wage Inflation‒Merger Expenses‒Inflation‒Higher Maintenance & Repair Costs+Productivity2024Full Year 2025 Reported Operating Expenses $ in MillionsLower Fuel Prices & Productivity Offset Volume-Related Expenses, Inflation, and Merger Costs25Compensation & BenefitsFuelFlat(3%) Purchased Services & MaterialsEquipment & Other RentsDepreciation Other+4% (1%)+3%+4%2025($2)($84)$106$67($8)$48$14,537$14,664Drivers:‒2024 Sale of Intermodal Equipment‒Higher Property Taxes‒2024 One-Time Bad Debt Reclassification‒Higher Asset Base 59.9%59.8%2024 20252025 Full Year Reported ResultsRevenue($ in millions)Operating RatioEarnings Per Share $24,250 $24,510 2024 2025 $11.09 $11.98 2024 2025165K7 Day Carloads 15.8%16.3%2024 2025ROIC**See Union Pacific website under Investors for a reconciliation to GAAP.•Total Revenue Up 1% to $24.5 Billion‒Fuel Surcharge Revenue down $0.2 Billion•Total Expenses Up 1% to $14.7 Billion•Operating Income Up 1% to $9.8 Billion•Net Income Up 6% to $7.1 Billion(0.1) ptsvs 20242025 Summary:+8%vs 2024+0.5 ptsvs 2024162K7 Day Carloads26
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2026 Full Year Financial Assumptions •Inflation (excluding fuel): 4% vs. 2025•Fuel Price: $2.35 per gallon•Depreciation: Up 4% vs. 2025•Merger Costs: ~$25 Million per Quarter•Tax Rate: ~24%27