UPDATE: Union Pacific Shares Rise After Better-Than-Expected Q3 Earnings

Shares of Union Pacific

gained more than 4% after the company reported stronger-than-expected third-quarter earnings. The Omaha, Nebraska-based company posted a quarterly profit of $1.37 billion, or $1.53 per share, versus a year-ago profit of $1.15 billion, or $1.24 per share. Its revenue climbed 11% to $6.18 billion. However, analysts were projecting a profit of $1.52 per share on revenue of $6.09 billion. Quarterly freight revenue climbed 11%. Total business volumes rose 7%, while intermodal volume climbed 15%. Average quarterly diesel fuel prices shrank 5%. "Union Pacific achieved record quarterly financial results, leveraging the strengths of our diverse franchise to handle strong volume growth," said Jack Koraleski, Union Pacific chief executive officer. Union Pacific shares gained 4.47% to $111.64 at 9:31 a.m. ET.