Now, categorized by operating revenue, this is the 2018 North American biggest railroads map. The USA rail network is dominated by 5 railroad companies. Read below to see how the 2023 railroad revenue’s compared.
The Largest US Railroads
Union Pacific is mapped in pink throughout the western United States against BNSF which is mapped in blue. Over in the east CSX mapped in green competes with Norfolk Southern. Canadian National cuts throw the mid west and spanning east to west throughout Canada. The top railroads dominate the rail market with a market cap in the tens of billions.
In the center of this mess, connecting it all, is Chicago: the largest US rail gateway. The Harbor Belt Railroad and the Belt Railway of Chicago are deserving of a shout out. Without them, traffic would come to a halt. Both switching railroads sort this mess out every day and keep traffic moving. There is another major rail center located in East St. Louis.
The six “Class I” major railroads dominate the US and Canadian railroad industry. Included above, are 5. Most of which formed as a result of a wave of consolidation in the 1980s and 1990s.
All said and done, the “Class I” railroad track miles totals about 92,000. The track managed and owned by these companies are crucial to moving goods to and from our ports for importing and exporting goods.
How do the 2018 railroad revenues compare to recent years?
Short answer:
Revenues are making a comeback.
In 2022, the five Class I freight railroad companies generated $90.8 billion in operating revenue. However, in 2018, the railroads generated $93.3 billion. Railroads experienced a hit in overall operating revenues between 2018 and 2022 but have almost recovered.
Updated for 2023, the five largest Class I freight railroad companies generated $87.4 billion in operating revenue, down about 4% from last year.
Missing from the map above are:
Canadian Pacific Railway and Kansas City Southern. In March 2023, regulators approved Canadian Pacific’s $31 billion acquisition of Kansas City Southern. Now combined, in 2023, Canadian Pacific generated $9.4 billion in revenue.
Top 5 2023 Railroads
1. Union Pacific Railroad – $24.1 Billion Revenue
- Number of employees: 32,124
- Rail network: 32,100 route miles
Another famous American railroad and a significant competitor to BNSF, Union Pacific, extended the American railway system to the Pacific coast. It was financed mainly in part by federal loans and land grants.
With its acquisition of Southern Pacific rail in 1996, Union Pacific became the largest railroad in Northern America. It relies heavily on commodities such as coal, automobiles, foods, forest and agricultural products, and chemicals. It is one of the largest intermodal shippers in the country.
In 2023, Union Pacific overtook BNSF as the largest railroad company and reported operating revenue of $24.1 billion, down 3% from last year. This was driven by lower fuel surcharge revenue, business mix, and volume declines partially offset by core pricing gains.
2. BNSF Railway – $23.9 Billion Revenue
- Number of employees: ~35,000
- Rail network: 32,500 route miles
Now Warren Buffet’s locomotive gem, BNSF’s history dates back 170 years to 1849, when the 12-mile Aurora Branch Railroad was founded in Illinois. With a rail network of 32,500 route miles in 28 states and three Canadian provinces, BNSF is one of North America’s leading freight transportation companies.
On Feb. 12 2010, BNSF became a subsidiary of Berkshire Hathaway, Inc., which still owns it. BNSF continues to haul many commodities, most notably coal and grain, as well as intermodal freight.
In 2023, BNSF railway reported $23.9 billion in operating revenue, down 8% from 2022, primarily due to a 6% decrease in unit volumes and a 1% decrease in average revenue per car/unit.
3. CSX Transportation – $14.7 Billion Revenue
- Number of employees: ~25,000
- Rail network: 20,000 route miles
Founded in 1827, CSX serves nearly two-thirds of the American population. The CSX story begins with America’s first common carrier, The Baltimore and Ohio railroad (B&O), ringing a bell from Monopoly the board game.
An interesting piece of history to note:
When the B&O operation began in 1830, its trains were pulled by horses. Several years later, the term “horsepower” was created to convince potential buyers of the value of the steam engine by comparing it to the work done by horses.
In 2023, CSX reported $14.7 billion revenue decreasing 1% year-over-year primarily due to a decline in intermodal storage revenue, reduced fuel surcharge, lower global benchmark coal prices, and a decrease in intermodal volume more than offset contributions from stronger merchandise pricing and higher merchandise and coal volume.
4. Canadian National Railway – $12.5 Billion Revenue
- Number of employees: 24,000
- Rail network: ~20,000 route miles
Canadian National’s overall rail network covers approximately 20,000 route miles. In 2023, Canadian National reported $12.5 billion (C$16.8 billion) in annual revenue, down 2% or C$279 million but up 1% or $100 million from 2022, primarily due to currency fluctuations.
The Canadian National Railways (CNR) was incorporated on June 6, 1919, comprising several railways that had become bankrupt and fallen into federal government hands, along with some railways already owned by the government. On November 17, 1995, the federal government privatized CN.
5. Norfolk Southern Railway – $12.2 Billion Revenue
- Number of employees: 20,200
- Rail network: 21,300 miles
Turns out, Norfolk Southern has served the freight transportation for nearly two centuries. The company operated 21,300 miles serving in 22 states and the District of Columbia.
The primary business function of Norfolk Southern Corporation is the rail transportation of raw materials, intermediate products, and finished goods across the Southeast, East, and Midwest United States. Norfolk Southern is a major transporter of domestic and export coal.
Norfolk Southern reported a record $12.2 billion operating revenue in 2023, down 5% or $0.5 billion, compared with 2022, primarily driven by the Eastern Ohio Incident.
Sources and Tools Used
On a final note, this map was made using the sources listed below as well as QGIS which is completely open source and free. Rail data was pulled from The Rail Network. If this map is of interest to you and you read this far, please check out our map on the largest natural gas pipelines in the us.
Sources:
https://data-usdot.opendata.arcgis.com/datasets/north-american-rail-lines
https://www.bnsf.com/about-bnsf/financial-information/
http://www.nscorp.com/content/nscorp/en/news/norfolk-southern-reports-fourth-quarter-and-full-year-2018-resul.html
https://www.csx.com/index.cfm/about-us/media/press-releases/
https://www.macrotrends.net/stocks/charts/NSC/norfolk-southern/revenue
https://www.marketwatch.com/investing/stock/cni/financials
https://www.up.com/media/releases/180124-4q-2018-earnings.htm
9 thoughts on “The Largest and Most Profitable Railroads In The US”
Great map! Are any of the involved locomotives steam powered ?
Today, there is still one steam locomotive operating on a Class I railroad in the U.S., the Union Pacific 84
Then you look at intermodal that is today.I believe J B Hunt was the pioneer of it.
I think it is unfair to identify the mess in Chicago, without giving a shout out to the two major switching railroads that sort this mess out every day – the Indiana Harbor Belt Railroad, with its distinctive black locomotives with orange stripes, and the Belt Railway of Chicago. Switching roads rule and keep the traffic moving.
You raise a good point. Thanks for the feedback.
The updated railroad map of North America has been a great work while keeping the operating revenue quite clear of every Railroad company mentioned. In addition, they have generated high railroad employee opportunities and connected complex rail networks. So, again, great work; keep updating!
Well today is January 13 2023 my name is julius Robert Warren Wilson-armstrong am 36 years old 5’4 142 pound am living here and dixmoor Illinois most of my life I been working with warehouses manufacture products and when am not with warehouses am doing dirty work like cutting trees building house or rehabbing foundation or placing down concrete. I unloaded cart before which hold 20000 to 60000 pound each at my age I feel like that I good work out/exercise .but I’ll like to know how can I go and business with people/human that drive train
I’am waiting for more posts like this.
very good jon mate. very useful mersii