How does Union Pacific (UNP) make money?

Union Pacific (UNP) generates revenue primarily from Industrial, which accounted for 35% of total revenue in TTM through Q2 2026. The company reported $25.4B in revenue and converted 28.8% of it into net profit, equivalent to roughly $7.33B in net income — what's left after the cost of revenue, operating expenses, interest, and income taxes.

What is the gross profit margin of Union Pacific (UNP)?

Union Pacific (UNP) reported a gross profit margin of 45.5% in TTM through Q2 2026, equivalent to $11.6B in gross profit on $25.4B in revenue. Gross margin measures how much of each dollar of revenue remains after the direct cost of producing or delivering the product — a higher figure typically signals pricing power, scale, or a less capital-intensive business model.

What is the operating profit margin of Union Pacific (UNP)?

Union Pacific (UNP) reported an operating profit margin of 39.9% in TTM through Q2 2026, equivalent to $10.1B in operating income. Operating margin captures profitability after research & development, sales & marketing, and general & administrative expenses — but before interest, taxes, and one-off items — and is the cleanest single read on the underlying business's efficiency.

What is the net profit margin of Union Pacific (UNP)?

Union Pacific (UNP) reported a net profit margin of 28.8% in TTM through Q2 2026, equivalent to $7.33B in net income. Net margin is the bottom-line share of revenue that survives every expense — operating costs, interest, and income taxes — and is the figure that flows directly into earnings per share.

Is Union Pacific (UNP) profitable?

Yes. Union Pacific (UNP) reported $7.33B in net income for TTM through Q2 2026, with a net profit margin of 28.8%. The company earned more from its operations than it paid out in costs, interest, and income taxes, leaving positive earnings on the bottom line.

How much does Union Pacific (UNP) spend on capital expenditures?

Union Pacific (UNP) spent $3.76B on capital expenditures (CapEx) during TTM through Q2 2026, roughly 14.8% of total revenue. CapEx represents long-lived investment in property, equipment, data centres, and other physical infrastructure, and is subtracted from operating cash flow to arrive at free cash flow.

How much free cash flow does Union Pacific (UNP) generate?

Union Pacific (UNP) generated $6.5B in free cash flow during TTM through Q2 2026, a free-cash-flow margin of 25.6%. Free cash flow is the cash left after capital expenditures and represents the discretionary pool the company can use to pay dividends, repurchase shares, repay debt, or fund acquisitions without raising external capital.

What is the effective tax rate of Union Pacific (UNP)?

Union Pacific (UNP) had an effective tax rate of 22.9% in TTM through Q2 2026. The effective rate is the actual share of pre-tax income paid as income taxes and can differ materially from the statutory rate due to foreign earnings mix, tax credits (such as R&D), share-based compensation deductions, and one-off discrete items.

What are the main business segments of Union Pacific (UNP)?

Union Pacific (UNP) reports revenue across 6 reportable product segments, led by Industrial at 35% of total revenue in TTM through Q2 2026. See the revenue-by-segment table on this page for the full breakdown and how each segment feeds into the income-statement waterfall above.

How Union Pacific Makes Money: 2026 Visual Revenue Map

Union Pacific (UNP) Income Statement Flow — TTM through Q2 2026

Calculated from the four most recent reported quarters, ending June 30, 2026 (reported July 23, 2026).

Union Pacific discloses geographic revenue only in annual filings. to view the full breakdown.

Union Pacific (UNP) Revenue by Product Segment — TTM through Q2 2026

Aggregated from the four quarterly disclosures behind this TTM. Minor differences vs the company's annual filing can occur if reported segments changed mid-year.

Revenue contribution by product segment for Union Pacific (UNP), TTM through Q2 2026.
Segment	Revenue (USD)	% of total
Industrial	$8.89B	35%
Bulk	$7.92B	31.2%
Premium	$7.29B	28.7%
Other Subsidiary Revenues	$712M	2.8%
Accessorial Revenues	$505M	2%
Other Miscellaneous Product and Service Revenues	$96M	0.4%
Total	$25.4B	100%

Industrial$8.89B
Bulk$7.92B
Premium$7.29B
Other Subsidiary Revenues$712M
Accessorial Revenues$505M
Other Miscellaneous Product and Service Revenues$96M
Total$25.4B

Revenue Breakdown — TTM through Q2 2026

In TTM through Q2 2026, Union Pacific (UNP) reports revenue across 6 reportable product segments; the largest segment was Industrial at 35%, followed by Bulk (31.2%) and Premium (28.7%).

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